Leadership and Compensation: Henderson Printing Case Study Analysis

This case study analyzes Henderson Printing, a printing, web designing, and graphic designing company facing employee unrest due to perceived drawbacks in its organizational system, particularly in reward and compensation management. The analysis delves into the company's compensation strategy, including pay, benefits, and career enhancement programs, emphasizing the importance of a well-defined compensation strategy to attract, satisfy, and motivate employees. The study examines the need for salary structuring, yearly salary audits, and performance management records to assess employee contributions and align compensation with performance. It further explores the company's existing strategies, such as providing benefits, gratuity, and provident funds, and the importance of legal assurance and a strong administrative structure. The analysis concludes by suggesting revisions to the company's wage and rewards policy to regain employee confidence and loyalty, ultimately aiming to improve production rates and address strategic problems.

Running head: HENDERSON PRINTING
HENDERSON PRINTING
Name of the Student:
Name of the University:
Author Note:

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The Henderson Printing, is a premier printing, web designing and graphic designing and
marketing company. Situated in Brockville, the printing company is in the business since
1976. Form simple business cards to brochures to web designing process, all are included in
the organization. The company has modified itself and its business process and strategies
with time. The organization is now considered to be Eastern Ontario’s premiere printing and
designing company. The organization effectively includes creativity and innovation into their
business service as which has made the organization a prime and premier service
organization. The experienced and creative stuff of the organization has contributed to the
rapid growth of the organization over the years. They involve up to date equipment and
provide the highest quality service to the customers. The organization has a diversified
alternative options for each of the services that they provide. More importantly the
organization offers the customers a complete, organized, and wide format, which includes
from design to detailing of the information that are to be consisted. As mentioned before, the
organization uses the upgraded model of the Xerox J75 Digital Colour Press, which enables
the company to provide, fast, inexpensive, quality and short run services to the customer. In
this notion it is also important to mention that the organization provides the customers, the
services at a very cheap and inexpensive price range. The digital printing sector is fastest
growing sector, as it involves tremendous versatility and also involves quick outcomes at an
inexpensive price range. This benefits both the company and the customers of the company.
However, the organization not only has a good customer base, but also involves an excellent
employee base, who act as the driving agents for the company. The company, also does not
involve much employee attrition. However, recently, the organization is perceived with an
unrest among the employees. As per the market analysts, there are certain areas of
drawback of the organization, into its organizational system. There is a lack of management
approach within the institution. The organization has an affected reward management
system, running within the organizational structure, and this is impacting upon the
organizational processes, and affecting the employee behaviour. Therefore, in the following

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essay, the reward and compensation management of the company will be discussed and
further how the organization can manage and improve its reward and compensation, will be
analysed and suggested.
Compensation Strategy:
The compensation strategy refers to a set of guidance or rules of the company that act as its
key principles for the remuneration of the company. Each of the organization includes key
strategies and behaviours that are involved within an organization that, works and invests
towards the formation of values and behavioural codes of the organization. The
compensation management, of an organization, therefore, works towards the value
propositions and the rewards management system, and this essentially needs to be
incorporated and used by all of the organizations. The human resource department of the
organizations, is the prime member to have included this strategic management process.
The compensation management therefore includes the human resource strategies and the
human resource developmental processes and the organizational structure. These are the
prime factors that incorporate the strategic compensation management process.
To understand the compensation management process of the Henderson Printing, it is
important to understand the key components of the structure. The key aspects or elements
of the compensation management system are,
Pay, which includes the basic pay of the employees, the overtime pay, the lump sum
payments made to an employee, the cash profit sharing, and the long term incentive
structures of an organization, and the performance and the equity plans made by the
organization.
Benefits, which refers to the benefits that are provided to the employees of the organization.
These benefits include the retirement planning, the health and income protection paid by the
organization, the provisions made by the organizations to for the maintenance of the work

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life balance of the employees, the time offs and the death benefits provided to the
employees of the organization, and other associated benefits made by the organization.
The compensation and reward management also includes the career enhancement
program, to improve the skills of the employees. Therefore, this skill enhancement process
includes the various skill enhancement programs, the training programs, the career
advancement program, the leadership skill development programs, provisions to acquire the
promotion attributes. This also includes skills to ensure stability at work by understanding the
nature and the requirements of work, and also includes the provisions for job enrichment.
Therefore, while considering the compensation strategies within an organization, it is
important to maintain these aspects. According to the market researchers the basic notion of
these attributes are, these three are the basic requirements for any employee. A good pay
attracts an employee, a good work environment and job propositions contribute to the job
satisfaction of the employees, and the opportunities for career development plans motivate
an employee.
It is always necessary for any organization to have an appropriate compensation strategy to
look at the payment and benefits of the employees in detail. The strategy therefore is
recorded in a written form to circulate the motto of the company to all the employees and
parts of the organization (Israel and Duffy 2014). It definitely works as a motivational tool to
the employees, which keeps them going along with energy and efficiency. It does not only
revolve around the increment in salary but also depend upon several other factors.
There should be a proper allocation of budget accordingly so that it can be
appropriately distributed among salary and expected incentives. It will also cover the benefits
of the members of the organization. Henderson Printing has optimally allocated its budget
throughout the course of production which will help it to comprehend the minute details of
the company and compensate the money accordingly (Ness 2016).

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There is a dire need in development of salary structuring. A company should be
completely aware of its salary structure and which employee is drawing what amount is
necessary. Henderson printing is into the business of publishing books, journals so all the
members have to be equally and optimally given the money as per their accommodation.
The printing house makes a yearly structure of salary where it is critically examined whether
all the employees are getting the salary accordingly or not (Knight and Sartini 2015). The
rise in salary can always act as the best weapon of serving the employees and it also acts
as compensation. Although money is a great factor of motivation for the employees to work
more efficiently yet this company knows each employees very well and decide the salary
accordingly.
The yearly salary audit is mandatory because it keeps the salary track and the
expenditure of the printing house recorded in digital or printed form to stay updated. The
change in salary whether increment or declination is added or sometimes the change in the
overall structure takes place. It helps to evaluate the demands of the other contemporary
companies. It also enables to understand the present scenario of the company and others
too.
According to Maslow’s theory the employees get motivated according to a five step
policy where the psychological aspect of the employees are taken care of (Jerome 2013). It
is to improve the condition of the workers. It is also important to take care of the safety issue
of the workers which in this company is entirely looked after by the HR. Sometimes the
workers are from different background having different demands which the company has to
look into to solve the problem (Kaur 2013).
The Henderson Printing company also delves into the package that provides the
employees with some benefits. This includes other issues that salary like health, retirement,
after job planning, provident and provisions other than money. This is a great strategy
initiated by the company to keep to workers motivated and engaged in the work and work
more efficiently. This is a motivational step that all the organizations follow in order to gain

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the loyalty and confidence of the employees. This company provides the workers with
gratuity and provident fund so that they can enjoy some benefits even after retirement. The
company promises to stay with the employees even when they are not working with it. This
sometimes stops an employee from leaving the company. These offers should be this much
lucrative that one has to think twice before leaving or opting for changing the company.
Performance management record should be maintained because that helps in
keeping the track of the performance of the employees. This helps in the time of salary hike,
increment and promotion or in fact it also helps in assessing whether the company needs the
worker anymore or not. It generally sets a target for individual employee according to their
capacity and the employee has to abide by it and should proceed to work in a way to
achieve it by the end of the month or the course of the production (Edwards et al. 2014).
This does not only increase the production rate but also helps the employee to pace up and
motivate them to gain the required target. This overall helps in rise in the production rate and
it is definitely a helpful policy that Henderson applies to improve the strategy of hike in
production by the employees without even putting any other effort. The publishing house
therefore sets the target for each books or journals in a way that expectation of the workers
of meeting the target automatically rises and they go to the last possible extend to achieve
that.
The company gives its workers the assurance that all the works and decision related
to the work and production has been legally sanctioned. Hence the employees are given
securities and they do not go through any sort of mistrust or miscommunication. The legal
assurance also gives the transparency between the authority and the employees (Ahmadi
2016).
The above mentioned strategies are compiled under the administrative structure of a
company. Similarly Henderson arranges its strong structured administration so that it can
keep its eye on all the employees and the track record of them which portrays their annual

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report, their overall progress and performance. It also looks into the initiation of rewards and
incentives that keeps the workers enthusiastic to come to the office more regularly.
Henderson Printing Company is dealing with so many employees that it has its
responsibility to take care of the employees so that they do not leave the company without
any solid reason. The company does everything to satisfy it employees and tries to meet
their needs accordingly (Wigfiel, Gladstone and Turci 2016). Therefore Henderson applies
its several strategies in order to keep the employees motivated. It regularly revises its policy
of salary, increment and management structure. The company looks deeply into the advance
care of the employees by improving the environment of the workplace. The condition of the
workplace is regularly taken care of for benefiting the workers. In fact the workers have the
opportunity to express their selves freely to the HR. The company has this policy to give
equal opportunity to all the workers to come up with their opinions.
The printing house is facing some strategic problems in tackling its employees s it
has initiated to revise its wage and rewards policy to gain back the confidence and loyalty of
the employees. The profits associated with books and journals not only encourage the
authorities but also the workers to get more involved so the recurring issues can be solved
by increasing the rate of production and that can be done by the revision in the policy
abiding by the seven strategies which can compensate the problems. The problems should
be assessed in detailed method and then the meticulous study on each aspect should be
done. That would help the printing house to get away with the problems.

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References
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Edwards, A.J., Weinstein, C.E., Goetz, E.T. and Alexander, P.A., 2014. Learning and study
strategies: Issues in assessment, instruction, and evaluation. Elsevier.
Israel, S.E. and Duffy, G.G. eds., 2014. Handbook of research on reading comprehension.
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Jerome, N., 2013. Application of the Maslow’s hierarchy of need theory; impacts and
implications on organizational culture, human resource and employee’s
performance. International Journal of Business and Management Invention, 2(3),
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Kaur, A., 2013. Maslow’s need hierarchy theory: Applications and criticisms. Global Journal
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Knight, V.F. and Sartini, E., 2015. A comprehensive literature review of comprehension
strategies in core content areas for students with autism spectrum disorder. Journal
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classrooms: Teacher use of and attitudes towards reading comprehension
instruction. Reading Horizons: A Journal of Literacy and Language Arts, 49(2), p.5.
Wigfield, A., Gladstone, J.R. and Turci, L., 2016. Beyond cognition: Reading motivation and
reading comprehension. Child development perspectives, 10(3), pp.190-195.