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The factors influencing compensation management are broken into two categories: Internal and External
InternalCorporate philosophy
Corporate mission
Business strategy
Human resources philosophy and strategy
Total rewards philosophy and strategy
Corporate culture
Shareholder expectations
Corporate structure
Costs/resource availability
ExternalCommunity culture
Competition
Economics
Industry characteristics
Labor market
Legal/regulatory
Technology
Globalization
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Internal factors that can affect Human Resource Management:- culture and politics- organization size and structure- organization's strategy- type of organization
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