Magic Graffix
HRM/558
December 17, 2012
University of Phoenix

Motivating and Compensating Employees Simulation Magic Grafix is a successful million company that is trying to change their strategies in the development area. The company has increased their employees from 140 to 220 employees but is still heading in the wrong direction. This has been noticed by many employees in the company. Many of the employees have either given their two-week notice or quit. Many of these employees have been with Magic Grafix for less than six months. Although this is a successful organization right now, they will not stay on top without replacing this employee with new employees who can do the job. Once the right employees are selected the positions, the organization must offer their employees compensation so they can keep them. This paper will cover how Magic Grafix evaluates and manages their employees.
Appropriate Interviewing Techniques
Thirty percent of the newly hired employees quit before their six month mark due to lack of compensation. For example, the compensation package was not enough to keep the employee interest and the performance management skill were not up to par. Although these examples played a part in the employees leaving, they were not the main reason. The selection of the employees and placement in their position played the most important part in the employees leaving. Magic Grafix interviewing techniques were not appropriate for the type of hiring that they were doing so many of the new employees were placed in a position that did not fit them. The organization used external and internal recruitment strategies to hire and place employees. The internal processes consist of promoting current employees based on their knowledge, skills, and abilities. The external recruitment strategies recruited new candidates through newspaper advertisement,