Compensation Management — DU Bachelor of Management Studies Previous Year Question Papers

: Bachelor of Management Studies (NEP) 1. Solve any *Luo of the following : 2x9=18 (a}) An executive receives stock options Oat a discounted rate of € 800 per share, while thet market price is € 1,200. They purchase 1,000 shares. The stack options vest over 4 yeais with equal distribution annually. Calculate the total savings due to the discounted price and determine the value of shares vested each year. A company shares profits based on employee tenure. If the total profits are E 20,00,000, calculate the payout for each group and determine the total amount distributed. Employee Expemence Profit % Received No. of Employees (in years) in each tier 2. (c) A company has the following details : Labor Costs : Rs.12,00,000 Sales value : Rs. 40,00,000 The company achieves a 10% lab.or cost reduction, with 50% of the savings shared with employees. Based on the Scanlon plan, calculate the total savings and determine the payout shared with employees. A multinational company wants to evaluate its job roles based on external market rates. The HR team 'collects data on the average pay for sindlar roles in the industry and company's internal pay structure : Position Average pay in the Company's intermal Industry pay structure Software Engineer € 12`,00,000 per annum € 11,50,000 per annum HR Manager € 15,00,000 per annum € 14,50,000 per armum Business Analyst € 14,00,000 per qrmum € 13,50,000 per armum ® Identify which roles are underpaid and which are overpaid based on the market pricing technique. 9 (a) 3. (cz) Discuss how market pricing helps companies remain competitive in talent acquisition. 9 Compare-and contrast different job evaluation methods with suitable examples. 9 (a) (cE) Discuss various methods that state can opt for regulation of wages? 9 a Explain how organizations are leveraging on inodem compen.sation practices to attract and retain talent. Illustrate your answer with relevant examples from the Indian corporate sector. 9 (I)) Explain the key legal frameworks governing wages and employee. benefits in India. Additionally, analyze. how these laws impact wage determination, employee rights and employer obligations. 9 (c}) Discuss the key componefits of the pay model framework. Analyz-e how organizations use different pay models to align compensation with organizational goals. 9 (a) Discuss the key components of executive pay packages. Analyze the impact of executive compensation on organizational performance, shareholder value and employee morale. •9 Write short notes on any two of the following : 2x9=18 (a) Tax planning (b) Expatriate Pay (e) Funding Benefits through VEBA.