Assignment Details Your organization recently merged with another organization. The HR manager of compensation and benefits, the new leadership team resulting from the merger, has come to you with concerns pertaining to the current compensation policies. The senior leadership team has specifically expressed concern over the ability of the organization to hire and retain a competitive workforce due to outdated policies. Your task is to research and develop an updated compensation philosophy that aligns with the new core values of the organization, which focus on customer service, quality production, employee recruitment, and retention. You have been given 3 months to complete your analysis and present your recommendations to the leadership team. Your presentation should include the following considerations: What is the role and benefit to an organization of a compensation plan? Provide a minimum of 3 factors to consider in identifying the needs of a compensation package. What type of pay system do you recommend and why? Review the pay theories in Chapter 6 of your course textbook, and identify the 1 that bests support your pay system recommendation. In addition to your pay recommendation, provide 2 additional policy recommendations. Include in your recommendation the legal implications that you have considered in making your recommendations. Prepare a presentation that will be shared with the senior leadership team. The presentation should focus on practices that the organization can implement (a minimum of 15 slides with notes). Submitting your assignment in APA format means, at a minimum, you will need the following: Title slide: Remember the running head. The title should be in all capitals. Length: 15 slides minimum Body slides: This begins on the slide following the title slide and must be double-spaced (be careful not to triple- or quadruple-space between paragraphs). The typeface should be 12-pt. Times Roman or 12-pt. Courier in regular black type. Do not use color, bold type, or italics, except as required for APA-level headings and references. The deliverable length of the body of your presentation for this assignment is 15 slides. In-body academic citations to support your decisions and analysis are required. A variety of academic sources is encouraged. Reference slide: References that align with your in-body academic sources are listed on the final slide of your presentation. The references must be in APA format using appropriate spacing, hanging indent, italics, and uppercase and lowercase usage as appropriate for the type of resource used. Remember, the Reference slide is not a bibliography but a further listing of the abbreviated in-body citations used in the paper. Every referenced item must have a corresponding in-body citation.

CompetencyEvaluate the principles of risk and reward in the investment sector and their applications to the broader area of risk management. InstructionsLTD Acceptance is a private property and auto insurance carrier that specializes in sports cars and motorcycles. This organization is owned by LTD Capital, a large equity group with over 15 holdings. LTD Acceptance is the parent company's single largest holding as it drives 70% of total revenue. Due to the inherent risk involved in that segment of the market, many of LTD Acceptance's competitors do not offer policies for sports cars or motorcycles. This market segment is underserved which is why the organization has 20,000 active policies for a sports car or a motorcycle.LTD is headquartered in Houston, TX. LTD does not sell insurance directly to the public. Instead, it uses third-party agents to sell its policies. LTD handles all customer service needs including claims intake, policy services, and general questions. The company operates in four states: California, Texas, Louisiana, and Florida. Currently, LTD does not have an active system in place to ensure that its agents are in fact using LTD guidelines to screen potential policyholders. However, no evidence of negligence has emerged so far as the organization has yet to have a year in which it was not profitable. LTD has also had the good fortune of not suffering losses because of natural disasters or catastrophic events.LTD Acceptance has 18,000 active policies in its book of business, and the firm is yet to experience a year period with high loss ratios. To increase its profitability ratios, LTD has invested the premium dollars across various asset classes. LTD's Chief Financial Officer (CFO) believes the organization should take a calculated risk and allocate the assets more aggressively. As the senior risk analyst, you have carefully analyzed the organization's numbers and strongly believe that LTD's favorable loss ratios are a result of chance and not through the sensible use of the firm's systematic framework for managing risk. You also believe the CFO is purely looking at the rewards and not the risks. Therefore, you do not believe the firm should increase risk exposures at this time.To convey your point of view, you have decided to conduct a cost-benefit analysis report which should include the following:For this report, provide an introduction which discusses the relationship between risk and reward. Using the information provided in the background of this case, explain why the organization may appear to be in a better position on paper than it really is.Include at least two ways how each party listed below can be adversely impacted if the organization suffers losses as a result of a more aggressive approach. PolicyholdersShareholdersVendorsCreditorsEmployeesAlso include a discussion on how effective financial management aligns with overall risk management.Your conclusion should highlight how the risk assumed in an organization's activities should be consistent with its long term goals. All business activities include inherent risks. Thus, all the activities and risks the firm takes should help them reach their long-term goals. If the managers engage in activities that create risks outside of this scope, it can create problems. For instance, most firms have the goal of driving sustainability. However, if they are highly leveraged, then seeking additional credit for a project can derail the long term goal of sustainability.The format for your report should be in the business, professional style.