Submitted to: Prof.

Pooja Kunwar Submitted by: Rashika Gupta

Flow of Presentation
Meaning of Compensation
Components of Compensation About Big Bazaar

Hierarchy of one store of Big Bazaar

Compensation Elements used by Big_Bazaar Advantages of Compansation

Meaning of Compensation:
Human Resource Management defines compensation in these words

"Employee compensation refers to all forms of pay going to employees and arising from their employment"
The phrase 'all forms of pay' in the definition does not include non-

financial benefits, but all the direct and indirect financial compensations

Components of Compensation
Guaranteed pay monetary (cash) reward paid by an employer to an

employee based on employee/employer relations. The most common form of guaranteed pay is the basic salary Variable pay monetary (cash) reward paid by an employer to an employee that is contingent on discretion, performance or results achieved. The most common forms are bonuses and sales incentives Benefits programs an employer uses to supplement employees compensation, such as paid time off, medical insurance, company car, and more

About Big Bazaar:

Type

Public
Retailing 2001

Industry : Founded :

Headquarter : Mumbai, Maharashtra, India Products Revenue

Hypermarket

: 11000 crore (US$1.7 billion) crores (in 2012) (Big Bazaar and Food Bazaar combined)

Hierarchy of one store of Big Bazaar

Store Manager

Assistant Store Manager

Department Manager

Assistant Department Manager

Team Leader

Team Member

Various element of Compensation used by Big Bazaar

Elements of Compensation

Guarantee pay

Benefits

Incentives & Reward Per piece incentive Weekly incentive

Basic Salary

Allowance

Allowances
House rent Allowance: Big Bazaar Provide house rent allowance Means monthly expenses on house rent to all employees
Cash Risk Allowance: An allowance that is paid out in cash, instead of

being reimbursed at a later date. Employers usually give cash allowances to employees in order to cover the costs of, for example, meals and lodging
necessary. It is called Adhoc Allowance employees

Adhoc Allowance: The allowance which unplanned given when Food Allowances: Big Bazaar Provide coupons for tea & breakfast to all

Continued
Medical Allowance: Big Bazaar Provide Medical facility to employee &

his/her family. (Blood Relation). Employee those who get less than 15000 Rs salary/months. For them they Provide ESIC facility
Education Allowances: Big Bazaar Provide facility of education (MBA) for

good Performer of employee they give all fees of education & give leaves as well as salary for 2 years
Conveyance Allowance: if employee go outside of city for company related

work than only Big bazaar Provide transportation cost to their employee

Long term benefits

Provided Fund: A retirement plan for the private and public sectors in

Malaysia, enacted by the Employees Provident Fund (EPF) Act of 1991, intended to help employees save a portion of their salary in the event of retirement, disability, sickness or unemployment

Gratuity: Gratuity is a lump sum payment made to the employees

based on the duration of their total service

Incentive & Rewards

Big bazaar is a retail outlet so they give incentive as per target
Weekly Incentives: company provide weekly incentive to that employee who achieved their

target weekly

Per Piece Incentive: this type of incentive based on Piece not on time. Means are employees

sold pieces as per target given to them

Achieve high Target: if any team achieved high target & if any big target is achieved than

company Provide entrainment facility like dance party & movie show

Employee of Month: at the end of month the employee who achieved all target & performed

well. Company provide trophy, certificate or voucher to him/her for employee of the month salary of employee

Bonus: they give bonus to their employee to only diwali, bonus is exactly the one month

Advantages of Compensation & Benefits

Advantages to Your Company: Job satisfaction Motivation Low Absenteeism Low Turnover Advantage to Your Employees: Peace of Mind Increases self-confidence