Have you heard of the acronym FARM as it relates to compensation? I first heard this term from a BLR® webinar run by Paul Dorf, the Managing Director of Compensation Resources, Inc. (CRI). In that webinar, Dorf noted that a compensation strategy has to incorporate all of the objectives of compensation: to direct what you’d like employees to focus on (through incentives and variable pay), to be able to attract new talent to the organization, to be able to retain existing employees, and to motivate employees to perform well. He referred to these objectives as FARM: focus, attract, retain, and motivate.
