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Variable Compensation: All HR Needs to Know

AIHR

Variable compensation, also known as variable pay , is supplementary compensation typically tied to performance goals measured by specific metrics. Sales commission : A payment for selling a product or service based on a percentage of the revenue. This helps you reduce fixed labor costs. What is variable compensation?

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High Expectations: Managing For Value In The Automotive Industry

Chief Executive

Since shareholder value is driven by investor expectations of future cash flow and EP growth (See S&P 500 Warranted Value of Discounted Economic Profits vs. Actual Traded Value chart, below), EP has been used as the profitability metric for AlixPartners’ Automotive Value Creation study.

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Exclusive: Jim Collins on ‘Thriving In Chaos’

Chief Executive

But they had this march, which was doubling components at affordable cost every 18 to 24 months, no matter what, like clockwork. It speaks to figuring out what that one key metric is that moves your business, and committing to it over and over. And if we do that, we can’t help but grow revenues per fixed cost.