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Purpose of compensation management:
Attracting and retaining personnel: from organizational point of view, the compensation management aims at attracting and retaining right personnel in the organization. In the Indian corporate scene, there is no dearth of personnel at a operative levels but the problems come at the managerial and technical levels particularly for growing companies. Not only they require persons who are well qualified but they are also retained in the organization. In the present day context, managerial turnover is a big problem particularly in high knowledge based organizations.
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