Talent Management in the Social Sector: A Review of Compensation and Motivation

Abstract

"This article is based on a systematic literature review of compensation practices and motivation processes in social sector organizations. The review is divided into two main sub-sections- compensation and motivation. The review of the compensation literature provides a holistic understanding of the factors (classified into organization-level and employee-level) influencing compensation in the social sector. Findings of existing research reveal that compensation influences organizational performance and organizational commitment of employees. Other relevant factors influencing compensation that might need further research are also discussed. The review on motivation research in the social sector gives an understanding of the theories used to understand motivation thereby giving an insight into the factors influencing social sector motivation. Overall, the review indicates that the compensation and motivation literature is concentrated in North America and Europe. Moreover, the literature largely considers social sector organizations as one distinct category. However, social sector organizations widely differ across themselves in structure and functions. These overlooked differences between organizations in the social sector pose obstacles to understanding talent in the Indian social sector. We discuss these obstacles and suggest recommendations for practitioners and future researchers."