Compensation [Hardcover]

George Milkovich (Author), Jerry Newman (Author)

Book Description

Publication Date: February 3, 2004 | ISBN-10: 0072875437 | ISBN-13: 978-0072875430 | Edition: 8

COMPENSATION, 8th Edition, by Milkovich and Newman is the market-leading text in this course area. It offers instructor's current research material, in depth discussion of topics, integration of Internet coverage, excellent pedagogy, and a truly engaging writing style. George Milkovich and Jerry Newman are leading authorities in the field of Human Resource Management and Compensation. They consult with leading businesses, have won teaching awards, publish in the leading journals. Milkovich received a career contribution award from WorldatWork (formerly American Compensation Association) in 2000. COMPENSATION, 8th Edition, examines the strategic choices in managing total compensation. The total compensation model introduced in chapter one serves as an integrating framework throughout the book. The authors discuss major compensation issues in the context of current theory, research, and real-business practices. Milkovich and Newman strive to differentiate between beliefs and opinions from facts and scholarly research. They showcase practices that illustrate new developments in compensation practices as well as established approaches to compensation decisions. Time after time, adopters relay stories of students getting job offers based on the knowledge they learned from this book.

Editorial Reviews

About the Author

McGraw-Hill authors represent the leading experts in their fields and are dedicated to improving the lives, careers, and interests of readers worldwide

Product Details

• Hardcover: 648 pages
• Publisher: McGraw-Hill/Irwin; 8 edition (February 3, 2004)
• Language: English
• ISBN-10: 0072875437
• ISBN-13: 978-0072875430
• Product Dimensions: 9.3 x 7.6 x 1.1 inches
• Shipping Weight: 2.4 pounds (View shipping rates and policies)
• Average Customer Review: 4.4 out of 5 stars  See all reviews (7 customer reviews)
• Amazon Best Sellers Rank: #494,011 in Books (See Top 100 in Books)

Customer Reviews

Most Helpful Customer Reviews

18 of 19 people found the following review helpful:

5.0 out of 5 stars Uses superb strategic model to supply decision-making tools, July 26, 1999

By A Customer

This review is from: Compensation (Hardcover)

A 5++ - the best BUSINESS text i've read. This is the first book i've read where i both grew intellectually and in tactical/application skills. This compensation text is quite unusual in that it effectively reduces huge bodies of research in business strategy, economics, organizational behavior and compensation to provide a holistic business model to analyze compensation decisions - all in the first three chapters. The Milkovich/Newman approach creatively blends a conceptual underpining (the why) with tactical details (the what and how). This blending allows them to supply enormous value by reducing the myriad of compensation decisions to 4 major pieces. The utility of this elegance is that long after reading the book or taking a course using this book, you'll still remember the framework and steps to both build from scratch and to adjust a compensation system - not just the what, but the why. i personally felt quite empowered and ready to take on compensation work after reading this text.

This text is really designed for those compensation practioners that want to understand how compensation might be used to supply a sustainable competitive advantage. The authors' deep reading and involvement in both research and consulting with business shows here. They worked very hard to allow us to absorb the research implication and to use the tools, without our having to read the full body of research or to invent the tools.

The authors balance the research perspective by developing a working model and applying it to real world cases where they have consulted. The reader is then challenged to apply the model to case situations presented in the book and to their work practice.

Lastly, some things i've learned from this book:

1. you get what you pay for ... -- the research clearly shows that pay is a key motivator and that people will behave as they're incentivized by their pay systems. -- the implication is that EVERY compensation system, no matter whether it's planned or evolves, supplies a network of incentives that in part direct employee behavior and business outcomes.

2. compensation systems can be designed to support a sustainable competitive advantage. -- through understanding the motivational incentives and how they tie into business strategy. -- a "universalistic" compensation approach that says there's one right answer supplies some good practices, but doesn't fully explain observed motivational differences.

3. Compensation must tie tightly to the work process (work flow) or it will surely fail in it's objectives. -- how many companies talk about changing their cultures while they don't change or even understand the motivational impacts of their pay plans?

4. There's no right answer, only a good model to help. -- is a tournament pay system (tied to an individual / hierachical workflow) better than an egalitarian system (tied to a team workflow)? it depends ... and that's where Milkovich/Newman fill in the blanks.

A M-U-S-T read for anyone participating in making compensation decisions - whether you're in school or already a compensation vice president.

12 of 14 people found the following review helpful:

5.0 out of 5 stars A First-Rate Text That Challenges As Well As Informs, December 28, 1999

By 

vivalasvogus "vivalasvogus" (Nashville, TN) - See all my reviews

This review is from: Compensation (Hardcover)

Milkovich and Newman's text is sets the standard for Compensation and Human Resources texts,period. From its strategic decisions framework it clearly illustrates that compensation policy can be a key to unlocking an organization's capabilities (and the ever elusive sustainable competitive advantage).

The strength of the book is that it extracts and builds on key research findings in a way that advances the body of compensation knowledge (in a way pleasing to academics) and is relevant to practitioners. Chapter 2 on Strategic Perspectives and Chapters 9 & 10 on Pay for Performance best exemplify the confluence of research relevance and tactical usefulness.

It is absolutely a must read for anyone who is a student of organizations or who attempts to manage one (not just compensation managers).

2 of 2 people found the following review helpful:

5.0 out of 5 stars "Compensation" provides a good framework, May 22, 2007

By 

Lynne (Lacey, WA) - See all my reviews

Amazon Verified Purchase

This review is from: Compensation (Hardcover)

"Compensation" provides clear direction in understanding management and implementation of compensation strategies for Human Resources. It provides a good overview intoducing the reader to terminology and frameworks that assist in designing a plan, compliance with laws and regulations and integrating your plan with the business's goals. It was very helpful in providing a framework to write my papers and complete my MBA.