This course is taught in the first semester. It is expected that students will take it in parallel with the other courses of the semester.

By the end of the course, students will be able to: - Describe the different purposes of performance management as well as the components of an effective performance management programme; - Explain the challenges associated with the implementation of an effective performance management programme; - Describe the purpose of compensation as well as the different approaches that mangers may follow to design compensation systems; - Explain the components of an effective compensation system; - Explain the rationale behind how incentive plans motivate the workforce; - Contrast and compare the relative advantages and drawbacks of different types of incentive plans.

How well employees perform is influenced by their attitudes and behaviours in the workplace. Encouraging appropriate attitudes and behaviours involves motivating employees to continually improve their performance. This is a fundamental HR task that practitioners should thoroughly grasp. Some key mechanisms for guiding employees' efforts include: - Performance management programs - Base salary - Incentives - Benefits This course is designed to offer students a comprehensive understanding of these HR mechanisms. It also addresses the primary issues and obstacles organizations may face when implementing these mechanisms. Additionally, the course explores potential strategies for effectively addressing these issues and challenges.

The course will be based on case studies, readings and some presentations. The debate and the exchange of ideas and experiences will be pivotal for the development of the course. Students will be encouraged to bring their insights and thoughts on the material assigned into class discussions. As in many other HR areas, most issues, cases and problems will not have "one right answer", though some answers will be more valid than others. Thus, being "right" or "wrong" should not be a concern for students when participating to class discussions. All viewpoints will be of interest. Everyone is expected to critically listen to the contributions of fellow students and any disagreement should be explained. Each student is expected to: - Be prepared for each class session, implying that assigned readings, exercises and case studies will have to be completed as required; - Be a committed and loyal contributor to the team work; - Participate politely in class discussions and activities; - Attend all classes; - Be on time. In this course, students should not use artificial intelligence tools to carry out the work or exercises proposed by the faculty. In the event that the use of AI by the student gives rise to academic fraud by falsifying the results of an exam or work required to accredit academic performance, the Regulation of the University Carlos III of Madrid of partial development of the Law 3/2022, of February 24th, of University Coexistence, will be applied.