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1、HRHR英文资料英文资料 咨询师的薪咨询师的薪酬手册酬手册Alignment model.BUSINESSCLASSIFICATIONSTRATEGIESGROWMarket share GrowthPrice to buy shareProduce developmentExpand manufacturing sales force & distribution systemMarketing Market shareCapitalized ROIRelative qualityRelative priceFlat DecentralizedFewer staff functionsUti
2、lize leading technologies Plan information system expansionRecruit Minimize trainingIncentive is “fast” career growthHigh-level trainingCulture: high energyRisk seeking Venturesome Innovation / opportunisticVolatile Maximum participation Flexible rangesHigh incentivesEquity orientedHigh competitive
3、level total compensationLong range orientation EARNMarket share retentionOptimize margins Differentiate products Segment marketsOptimize value chain Operating Marketing expenses/sales R&D expenses/sales Value added/employeeLimited centralization Hold staff size Consider end-to-end solutionsCreate co
4、ntinuous improvement loops Retain Selective job training/hiring Job competition is the incentive Intermediate focusCulture: motivational Risk accepting ProgressiveCreativeStable Strongly participative Balanced mix of bonus/incentiveLong-range plan: moderate Medium competitive level total compensatio
5、n HARVESTProfit vs. market focusHold price/margin Decrease capacity Shrink sales forceIncrease efficiency Financial ROINet cash flow/inventory Gross margin/salesSales/assets Functional Facilities reduction Increasing centralization Reduction in staff functionsIntroduce reengineering Hold training St
6、aff reduction Motivation: securityShort-term focusCulture: efficiency Risk averseConservative Pragmatic Efficient Participative Cost control Tight incentives, short-term orientedMinimize long-range plansReduce competitive level total compensation GoalsMeasures Strategy Strategy Risk OrientationStrat
7、egyOPERETIONSCULTURECOMPENSATION1. The role of compensation in corporate transformation Customizing a compensation system.Highly and widely personalizedModerately flexible packagesSelective personalizationHighly standardized packagesLow Medium High Availability of talentHighGrowth of industryMediumL
8、ow 1. The role of compensation in corporate transformation Business situation and pay techniques.Business situation/pay techniques High cyclicality Emerging businessFinancial difficultyInflated wagesControlling turnover Down-sizingCulture changeSimulate entrepre-eurshipFrequent job content shifts Pr
9、ofit sharing xxxxxxxxxxxxxxxxxxxSubjective Perf. Bonus xxxxxxxxxxxOpportunity/Gain share xxxxxxxxxxxxxxxxxxxxxGroup/Team incentive xxxxxxxxxxxxxxxIndividual incentive xxxxxxxxxxxxxxxxxxKey contributor programs xxxxxxxxxxxxxxxxxxxxxxxxxCompetency, knowledge or skill-based pay xxxxxxxxxxxxxxxBroadband
10、ing xxxxxxxxxxxxxxxxxxxxxLong-term plansxxxxxxxxxxxxxxxxxxxxxxxxxxPay cutsxxxxxxxxxxxxxxxPay freeze xxxxxxxxxxxxxxxxxxTwo-Tiered Pay System*xxxxxxxxxxxxLump Sum in Lieu of IncreasexxxxxxxxxxxxExtended Pay Review Intervals xxxxxxxxxxxxWork-LifexxxxxxxxxxxxxxxxxxNon-MonetaryxxxxxxxxxxxxxxxxxxxxxxxxXs
11、indicate the effectiveness of the technique* New employee at lower rate than current employees1. The role of compensation in corporate transformation Pay techniques: descriptive matrixPay techniqueHow does this technique work?What business situations lead companies to consider this technique?What co
12、nditions are important for this technique to succeed?What are the risks of using this technique?Profit sharing Share the profit once-a-year. Profit can be taken as: - Cash/stock - Deferred for retirement - Split between options above Promotes employee involvement in improving profits. Underachieving
13、 financial performance. Need to lower relative labor costs. Desire to create of common fate. Shift from entitlement mentality to performance. Quality orientation. Sense of common fate. Management credibility/trust.Employee involvement/participation. Open communications. “Accurate” financial statemen
14、ts. Profitable years are rare. Employee view plan as a benefit. Link between individual payout and organization performance is weak. Expectation are not met. Management uses the plan as a low pay supplement. Application is forced. Employees focus on short-term results. Uncontrollable factors exist (
15、adversely impact profits). Subjective Performance Bonus Unexpected bonuses. Intent is to “present”behavioral models AXZto the organization. Rapid change. Trust,support,and commitment on everyones part. Good communications.Use of reinforcement in addition to other alternative rewards. Credible perfor
16、mance. Credible management judges. Sound communication system. Weak selection. Poor communications. Inequity of awards. Does not inspire most employees.1. The role of compensation in corporate transformation Pay techniques: descriptive matrixPay techniqueHow does this technique work?What business si
17、tuations lead companies to consider this technique?What conditions are important for this technique to succeed?What are the risks of using this technique?Opportunity/Gain Sharing (Small Group,Rucker,Scanlon,Improshare,Team) A group of highly interdependent workers is selected. Piece rate or measured
18、 day,standard hours,sales,R&D,technical milestones or unit measures can be used. Need to word in groups. Highly interdependent employees. Group can influence its own work. Group must be able to collaborate and work together. Measures must be group not individual. All awards paid on group results. Em
19、ployees trust management. Group identity. Group unable to influence end result. Payouts may not relate to corporate performance. Groups sometimes act to destroy another group. Manipulation of standards.Group/Team Incentive Rewards quality,production,project milestones or other financial or operation
20、al objectives. “Shares” profit according to pre-determined formula. Targeted incentive awards vary based on organization level,total targeted compensation. Need to improve productivity and quality. Shrinking margins. Focus on information sharing,employee commitment/involvement and teamwork. Manageme
21、nt credibility/trust. Employee opportunity to impact/improve. Sufficient demand/market potential. Workforce interdependence. Adequate support systems. Management acceptance of employee work. Commitment to change. Strong measures. People cant work together. Lack of top management commitment. Use as a
22、 “Band-Aid”. Inadequate information sharing/employee involvement. Inadequate design,administration,and follow-through. Lack of understanding of risks. Payouts for gains are not a result of employee efforts. Weak measures.1. The role of compensation in corporate transformation Pay techniques: descrip
23、tive matrix. (Continued)Pay techniqueHow does this technique work?What business situations lead companies to consider this technique?What conditions are important for this technique to succeed?What are the risks of using this technique?Targeted Individual IncentivesOnce a year: -Develop a pool or fu
24、nd based on affordability, performance,and pay. -Distribute to employees.There is a threshold before a payout can be made.Typical focus on financial measures resulting from cascading goals.Formula for payout ties to corporate goals and measures.Total value of pool ties to total compensation levels.A
25、llocate funds on the basis of individuals or groups.Performance focus.AffordabilityGoals/measures focus.Risk accepting or entrepreneurial culture.measurable results and good follow-up.Attainable goals.Individuals influence results.Organization doesnt define performance measures.Entitlement culture r
26、esists risk based pay.Decisions are to under executive control.Organization unable to objectively judge performance.Targeted Individual Incentives-Piece RatePay individuals for each unit produced with predetermined of money for each unit(typically sole performance measure).Differentiate base rate on
27、 levels of production.Create a clear link between pay and performance.Need to motivate employees in de-skilled environment.Simple, repetitive manufacturing process.Results of the work are easy to measure.Minimum amount of interdependence.Minimum need for cooperation.TrustJob security.Employees creat
28、e counter-productive behavior tying to “beat the system”.High costs to maintain the incentive system because every time a technological change is made or a new product is introduced, new rates need to be considered.1. The role of compensation in corporate transformation Pay techniques: descriptive m
29、atrix. (Continued)Pay techniqueHow does this technique work?What business situations lead companies to consider this technique?What conditions are important for this technique to succeed?What are the risks of using this technique?Targeted Individual Incentives-Measured DayFixed pay assuming employee
30、s maintain specified level of performance.Guaranteed incentive payment in advance.Pay does not fluctuate in the short-term.Inappropriate condition for piece rate.Long job cycles.Total commitment of management/employees.Effective work measurement / control system.Logical pay structure.Worker ingenuit
31、y has lowered the standard (used to create measured day work rate).Relives pressure to perform.Escalates labor cost (additions to staff).Key Contributor ProgramsIndividuals with historical high performance are priced in plan (usually in technical or R&D).Special compensation in addition to tradition
32、al pay is give (stock/cash).There is usually a waiting period to receive the award.Strong need for innovation culture.Retention is imperative for certain employees.Business is in growth stage.Special pay market conditions.Able to clearly identify ”must keep” employees.Environment must provide for in
33、dividual contribution.Employee has resources and can influence resources.Selection of recipients not credible.Non-recipients may be discouraged.Competency, Knowledge or Skill-Based PayDetermine pay progression based on competencies (skills, behaviors, knowledge)associated with superior performance.L
34、arge skilled, technical or professional workforce and/or presence of career ladders.Focus on work teams and need for workforce flexibility.Slower growth rates/fewer opportunities.Linkage to broadbanding.Well-defined position competencies.Value person,not job.Well-developed training and assessment pr
35、ograms.Willingness to pay for unused capacity.Weaken the pay-for-performance link.Majority of employees with limiter growth opportunities.Unaffordable labor cost.Investment on faith.1. The role of compensation in corporate transformation Pay techniques: descriptive matrix . (Continued)1. The role of
36、 compensation in corporate transformation Pay techniqueHow does this technique work?What business situations lead companies to consider this technique?What conditions are important for this technique to succeed?What are the risks of using this technique?BroadbandingPay structures which consolidate l
37、arge numbers of grades and ranges into a smaller number of “bands” (ranges) with wide salary spreads between minimum and maximum.Reengineering.Downsizing.Organization restructuring.Fewer upward job prospects.Need for multi-skilled employees.Focus on career development.Current program is not credible
38、.Company has commitment, money, and time for major change.High level of trust between management and supervisors/managers.Viable/credible performance and career development systems are in place.Workforce is change ready and a crisis is perceived.Lack of trust in management.Poor understanding of broa
39、dbanding .Poor implementation.Loss of control over compensation.Cultural resistance.“Old wine in a new bottle.”Inadequate support systems (performance/management).Low sense of urgency by management/employees.Long-Term PlansEmployees are provided with special forms of pay based on results over a 3 to
40、 5 year period.Stock options give employees the right to purchase shares at a fixed price over a time period, creating a long-term financial interest;alternative stock plans can be used.Some long-tem plans use cash instead of stock.Need to focus on strategic issues and measures.Attraction of key tal
41、ent.Retention of key talent.Need to create sense of common fate.Need to align more closely with shareholders.Encourage entrepreneurship, particularly in start-ups.Measures must be correctly established.Employees must be willing to take risks.Management/employee trust.Options “under water”.Limiter pa
42、rticipation in plan.Windfalls can produce exaggerated payouts.Poor measures of competitiveness.Overly complex stock and surrogate programs.Pay techniques: descriptive matrix . (Continued)1. The role of compensation in corporate transformation Pay techniqueHow does this technique work?What business s
43、ituations lead companies to consider this technique?What conditions are important for this technique to succeed?What are the risks of using this technique?Work-lifePackage of benefits designed to help balance conflicting demands of family, personal life, and work.Provide childcare, paid time off, fa
44、mily services ,flexible work arrangements, eldercare, convenience services.Recruiting in tight market.Meet specific needs of workforce.Strategy is to become “employer of choice.”Employees wanting to make culture statement.Accurate determination of workforce needs (survey).High levels of communicatio
45、n.Cost/benefit analysis.Employee/management trust.Ongoing monitoring.Pay at or above market.Inability of supervisors and manager to implement program.Pay levels not competitive.Low employee perception of value of benefits.Insufficient management commitment.Non-monetary AwardsRecognition of outstandi
46、ng performance using non-cash awards.Focuses on creating awareness of successful behaviors exhibited by recognized employees (role models).Awards include:merchandise, travel, time-off, symbolic (trophy), praise.Awards can be individual, group or team.Supplement to sound cash programs.Retention of ke
47、y people in tough market.Helpful when goals change frequently.Can apply across most employee populations.Recognized employee behaviors must be credible to organization.Award “judges” must be credible.Communications system explaining program before and after awards must be in place.Rewarding wrong be
48、haviors.Rewarding weak or wrong results.Using non-cash in place of cash program.Culture and pay techniques.Pay techniqueRole of employee/management trustAchievement orientationCapacity to measure performanceCurrent compensation issuesProfit SharingCould add to dissatisfaction if trust is low.Culture
49、 must be performance oriented.Can be used where accounting data is all that is available.Consider total compensation effect.Subjective Performance BonusTrust level varies with individuals relationship with management.May be counter-productive in risk adverse organization.Successful plans have good m
50、easurement.Opportunity/Gain SharingMost need neutral to positive level.Standards are an issue.Requires good cost to goods and labor data.Group IncentiveShould be positive.Standards are an issue.Varies with degree and focus desired.An additive built on sound base salary, not a substitute.Targeted Ind
51、ividual IncentivePerceived attainability of goal is critical.Works best with achievement individuals.Largely dependent on culture.Objectives must be measurable.Consider total compensation effect.Key Contributor ProgramsIf negative, participant backlash could be a problem.Able to identify key contrib
52、utors.An additive built on sound base salary, not a substitute.Competency, Knowledge or Skill-Based PayMust be able to assess level of knowledge of skill.Can be expensive.Must be justified by impact on productivity.1. The role of compensation in corporate transformation Culture and pay techniques.Pa
53、y techniqueRole of employee/management trustAchievement orientationCapacity to measure performanceCurrent compensation issuesBroadbandingAspects of application requires high levels of trust at all organization levels or could be perceived as arbitrary.Lack of quality performance management system an
54、d performance culture will negate approach.Must have solid linkages between corporate strategy and performance measures down to individual and/or team level.Can disrupt and distract organization or improve morale, performance, and organization strength when compared to existing system.Long-Term Plan
55、sTrust in equitable assignment and appropriateness of measures is critical.Achievement orientation must be focused over a longer term.Must be able to select appropriate measures which satisfy all stakeholders.Predicting long-term stock payouts can be a source of conflict.Work-Life BenefitsEmployees
56、must believe management is sincere and supportive.Compensation levels must at least equal and preferably exceed pay market.Non-CashPotential for arbitrary decisions makes it important to make basis of reward explicit.Does not require organization wide achievement orientation.There should be clear me
57、asures of behaviors and results.Compensation levels should approximate pay markets.Awards are taxable.1. The role of compensation in corporate transformation Culture and pay techniques. (Continued)1. The role of compensation in corporate transformation Pay techniquePower of the techniquePotential im
58、pact on employee compensationOrganizational issuesCulture characteristicsOrganizational pressure for performanceProfit SharingDiffuse unless backed by culture.Can be demoralizing if no profit to share.A good option where measurement capability is limited.Most compatible with a group-oriented culture
59、.Can reinforce and help raise level of demand.Subjective Performance BonusArouses desire to do well, but does not focus employee in advance.Unpredictable.Often found where direction is unclear.Focuses on individual accountability.Can be successful if clearly defined.Opportunity/Gain SharingPowerful
60、if done right.Effective at focusing efforts.Upside 5%-15%.Downside varies by plan type.Fits a group-oriented culture best.Supports emphasis on performance.Adds peer pressure.Group IncentiveStrongest with small cohesive group.Upside potential controlled by group output.Clear goal-setting needed.Requi
61、res a group- oriented culture Fits medium to high demand.Targeted Individual IncentiveStrongest if achievable cash award.Opportunity must be at least 10%-15%to have an impact.Clear goal-setting neededTotally focused on individual accountability.Good for high demand situations.Key Contributor Program
62、sPowerful for retention.Recognition can be motivational.Must be sizable and not very variable.Must be limited to “truly key” contributors.Will culture accept”individual deals?”Aimed at retaining proven performers.Competency, Knowledge or Skill-Based PayObjective is workforce flexibility,not incentiv
63、e.Should be large enough to make acquiring skills worthwhile.Most useful as part of a broader productivity effort.Culture and pay techniques. (Continued)1. The role of compensation in corporate transformation Pay techniquePower of the techniquePotential impact on employee compensationOrganizational
64、issuesCulture characteristicsOrganizational pressure for performanceBroadbandingRelieves employee frustration over perceived loss of career opportunities and pay growth.Focuses on performance when support systems are in place.Some redistribution of pay based on perceived individual actual/potential
65、contribution.Need for adequate assessment tools.Organization commitment to implement and support.Strong rationale is rapid organizational change.Tolerance of ambiguity necessary of bands will be structured similar to grades.High commitment to communications.Better for medium demand.Unproven in creat
66、ing high performance demand.Long-Term PlansDriven by significant capital accumulation.Maximize or minimize competitiveness of total compensation.Executives must be able to collaborate and sacrifice unit for company performance.High performance pressures optimize success.Work-Life BenefitsWorks best
67、as loyalty and morale builder.Helps recruitment and retention.Reduces employee out-of-pocket expenses.Communications, supporting policies and procedures, orientation of supervisors is key.Works best in IT,R&D and related cultures and in younger workforce.Fits all situations.Non-CashRole modeling and
68、 public recognition can be an incentive for future behavior.Should make to impact.Good option when goals are unclear of changing frequently.Highly collaborative cultures might resist individual or group recognition.Fits all situations (individual,group,or team). Under the most successful scenario, a
69、 business should plan a compensation transformation before it is destabilized by market, competitive, or internal change triggers. A companys potential for survival is increased by fast response and quick adaptation. The following simplified steps can be helpful during the transformation process:1.
70、The role of compensation in corporate transformation 1.Determine the direction of the transformation, that is, the acceleration or deceleration of growth.2.Determine the amount affordable by the business unit over a 2-to 3-year period.3.Identify the characteristics of each discrete pay market in whi
71、ch the company competes for talent.4.Within each pay market and within the company as a whole, assess the competitive level of total human resources cost (include base salary, variable pay, benefits, training, education, work-life, and other relevant programs) of the workforce.5.With each pay market
72、, determine the difficulty of recruitment, time to recruit, turnover rate, skill levels required, and training necessary.6.Assess affordability based on the feasibility of basing more pay on incremental profits.7.Assess change readiness8.Identify pay techniques relevant to each pay market.9.Utilize
73、succession and workforce assessment to customize compensation programs for must-keep employees.10.Develop customized pay strategies, administrative progress, performance management, and career management progress for each talent pay market by combining those with similar characteristics and segmenti
74、ng others that do not fit together.11.Communicate new program.1. The role of compensation in corporate transformation The evolution of reward management in an organization.Emphasis on:Job personLow Medium High High 【1】Start-up or entrepreneurial phaseEmphasis: ExpediencyPlan Type: Person-based discr
75、etionary ApproachMethod: Subjective (“gut fell”)Set By: CEO 90% Staff 10%【5】Continuously changing, highly competitive business environmentsEmphasis: Organizational effectivenessPlan Type: Person-based integrated Reward SystemsMethod: Market Pricing/Skill-based PaySet By: CEO/Line Managers 70% Staff
76、30%Medium 【2】Early growth phaseEmphasis: Internal job equityPlan Type: Job-based Qualitative Systems Method: Ranking/Grade ClassificationSet By: CEO/Line managers 60% Staff 40%【4】Increasingly competitive marketsEmphasis: Individual motivationPlan Type: Job-based Quantitative Systems + Incentive plan
77、sMethod: Same as 【3】Set By: CEO/Line managers 50% Staff 50%Low 【3】Later growth phaseEmphasis: ControlPlan Type: Job-based Quantitative systems Method: Point Factor/Factor ComparisonSet By: CEO/Line Managers 20% Staff 80%4. Compensation: an overview Job Documentation The first step toward providing a
78、 sound basis from which to document an organizations jobs is to analyze the organizations culture. The second step is to determine what categories or parameters will be analyzed. The third step in the job analysis process is to collect job content. The final step in the job analysis process is to do
79、cument job content.5. Job analysis and job documentation What are those determinants of pay?Organization-Level Determinants: Industry, Size, Performance, Ability to pay, Location.Job-Level Determinants: Organization location, organization level, Job size.Employee-Level Determinants: Roles, Skill, Co
80、mpetencies.8. Retrieving, manipulating, and analyzing compensation dataDeveloping competitive compensation programsWho are the competitive for resources?What are the distinguishing characteristics of my business?How should my business fit with prevailing market pay practices?What functions are criti
81、cal to my business competitive advantage?How does location affect my ability to attract skilled personnel?Gathering and interpreting competitive market data.Compensation database-to keep compensation program current with changes in the market.Deriving market data for large populations and HYBIRD job
82、s.9. Developing competitive compensation programsTypical compensation by business maturity stageComponent Embryonic growthMature Aging Base Low Competitive Competitive/HighHigh Short-term incentivesCompetitiveCompetitiveHigh Low Long-term incentivesHigh CompetitiveCompetitiveLowBenefits Low Competit
83、iveHighHighPerquisitesLow CompetitiveCompetitiveHighOverall pattern AdaptiveAdaptive Regulated Regulated9. Developing competitive compensation programsBusiness-compensation strategy flow10. The development of salary structuresBase pay program architecture10. The development of salary structuresOrgan
84、ization and Salary StructureMature, Hierarchical OrganizationFluid, Flat OrganizationNetwork, Virtual Organizationn Midpoint-driven salary ranges with typical spreads of 35-50%n Broadbands with typical emphasis on market values and demonstrated individual competencies or skillsn Fluid, market-driven
85、, individually based frameworkn Numerous grades from top to bottom; heavy overlapn 200+% range spreads or ranges without dollar definitions; moderate overlapn Person-based framework, depending on capabilities, contribution, end results10. The development of salary structuresFive-band model.10. The d
86、evelopment of salary structuresA typology of competency-related pay.Focus of Competency DefinitionJob Role Person Method of Linkage Evaluation Point factor plans and grade structures e.g. Portsmouth Housing TrustRole classification systems into broader pay bands, e.g. MotorolaPerson-based pay settin
87、g in very broad bands, e.g. SmithKline Beecham Pay AdjustmentSkill/competence pay steps in ranges e.g. PacifiCorpFormula-based increases, e.g. VWUKPay increases based on assessment of results and competencies e.g. WoolwichPay increases based wholly/largely on personal competence e.g. ICLBonus and Re
88、cognitionBonuses related to assessment of results and competencies, e.g. U.S. Computer CompanyRecognition awards for personal behaviors in line with corporate values e.g. South West Airlines.12. Relating competencies to payThe competency evaluation framework from the Woolwich Bank.Band 1Band 2Band 3
89、Competence IndicatorsLevel Competence IndicatorsCompetence IndicatorsTeam leaderTeam SpecialistTeam leaderTeam SpecialistTeam leaderTeam SpecialistPlanning to Achieve CDPlanning to Achieve CCPlanning to Achieve BBImprovement Through changeDDImprovement Through changeCCImprovement Through changeCBSel
90、f Development DDSelf Development CCSelf Development BBEffective CommunicationCDEffective CommunicationCCEffective CommunicationBBInfluencing OthersCDInfluencing OthersBCInfluencing OthersBBHelping Others to AchieveCAHelping Others to AchieveBBHelping Others to AchieveBAManaging PerformanceCCManaging
91、 PerformanceBAManaging PerformanceBAMaking DecisionsDDMaking DecisionsBCMaking DecisionsBBSpecialist Knowledge CDSpecialist Knowledge CCSpecialist Knowledge BC12. Relating competencies to payWhat make for success in relating pay to competencies?1.Recognize that competency-related pay is not for ever
92、yone, nor for all the different parts of an organization.2.If you do not have a well-established competency framework already in use for development and recruitment purpose, again, competency-related pay is probably not for you.3.Generally, dont pay only 100 percent on the basis of competence.4.Fina
93、lly, the traditional compensation mantras of “keep it simple,” and regularly review, monitor, and modify appear to apply with particular force in this area of pay.12. Relating competencies to payExample of the definition of a competence area at the Land Registry Agency.Elements of competencePerforma
94、nce indicators Outcome 1. Understanding scope of own rolen Know when to take decisions without reference n Takes an interest in what is happening in the section and keeps up-to-daten Takes advantage of opportunities for self- development as they occurHas the trust and confidence of their line manage
95、r2. Managing time effectively n Plans own workload to achieve prioritiesn Delegates tasks where appropriatePriority tasks are achieved within agreed timescales 3. Showing determination to achieven Demonstrates commitment by a disciplined approach to the jobn Sets a personal example of good conductn
96、Adopts a flexible approach to overcoming difficulties Gets things done 12. Relating competencies to payREASON FOR USING NONMONETARY AWARDS1.Supplements a fair compensation plan.2.Eases the transition to an organizational unit incentive plan.3.Helps introduce an objective-driven or cost reduction/gro
97、ss profit enhancement plan.4.Recognizes outstanding performance.5.Works well with most employee populations.20. Nonmonetary rewards: cash equivalents and tangible awards Recognition plan for top performers.Number of peopleWinnersPerformancePeople likely to be motivatedEarning threshold for performan
98、ce improvement and recognition for top performers.Number of peopleAll Achieving threshold earn awardsPerformancePeople likely to be motivatedEarning threshold(goal)Performance-based reward plan.Number of peoplePerformanceAll achieving individual or group goal earn awardsPerformanceIncreaseTeam pay a
99、rchitecture.Parallel Merit Increases Recognition Awards (Noncash) Spot Cash AwardsAfter the FactProcess Skilled-based Pay Team Competencies Multi-rater Evaluations Predetermined IncentivesBefore the FactProject Merit Increases Spot Cash Awards Royalties Before/After the FactModel for optimal sales c
100、ompensation plan design.Business ObjectivesMarketing StrategySales StrategyPlanningSales JobDefinitionSales PerformanceAnd MeasurementSales CompensationPlan DesignSales CompensationPlan AdministrationConfirm Jobs& Eligibility1Establish LevelsAnd Mix2IdentifyPerformanceMeasures3Set Goals4DevelopIncen
101、tiveMechanics5Sales Strategy Matrix.AccountManagerNewCustomersIn-Line NewProductsBusinessDeveloperNewCustomersIn-Line NewProductsProductSpecialistNewCustomersIn-Line NewProductsChannel orSegment ManagerNewCustomersIn-Line NewProductsHow Is An Executive Compensation Strategy Developed?Rules of Engage
102、ment Identify Success Factors Identify Design Team Specify Data Needs Commun- ication Project Project Timeline Specify DeliverablesInformationGathering &Analysis Review Business Strategy Executive Interviews Employee Research Competitive Pay Analysis Review Industry Analysis Financial MeasurementStr
103、ategy Development& GapAnalysisPrioritize Compensation Strategy DriversSpecify Compensation Strategy ImplicationsDevelop Preliminary Compensation StrategyAssess Gaps;New Strategy vs. Current PlansProgram Design&CalibrationDesign Specific ProgramsRegulatory ConsiderationsFinancial ImpactsReporting Iss
104、uesTax RamificationsProgram Approval ProcessImplementation& Testing Prepare Plan Documents Prepare Commun- ication Test and Recalibrate Plan OperationThe Performance-Rewards Process ModelTraditional approach to best practicesBehavioral approach to best practicesPay for performance Traditional apprai
105、sal completed by ones manager and communicated to employee Pay for exhibiting desired behaviors Appraisals completed by management and team members, peers, subordinates, suppliers, and vendors, or a combination of themAppraisal dealings with predetermined and agreed-upon measurable outcomes Process
106、oriented No required competencies Strengths and weaknesses Wish list for trainingBehavior based including the acquisition of new skills, development of core competencies, and personal and professional growth User friendly Position requirements Scale of competency Educational prioritiesBest practices
107、 for senior managersBest practices for senior managers Annual revenue Net profit before and after taxes Return on assets or equity (ROA/ROI) Earnings per share Revenue or cost per employee Strategic vision Implementation of tactical approach Team building People development Personal leadership chara
108、cteristicsThe Performance-Rewards Process ModelBest practices for middle managersBest practices for middle managers Budget performance Solving major people and process problems Controlling turnover Planning and organizing skills Quality focus Energy Verbal and written communications Decision making
109、and decisiveness Personal and professional development Flexibility and tenacity LeadershipBest practices for nonexempt employeesBest practices for nonexempt employees Attendance Fit with team and is a team player Conformity with safety and health program Quality of “work” Timeliness of efforts Willi
110、ngness to do more than asked Teamwork Entrepreneurialism Problem solving Desire to learn Team leadership roles CommunicationsRole-Result MatrixTeam ResultsTeam MembersNew Product DesignsShipped ProductsProfitable SalesProduction Product cost estimates Manufactured products Cost-saving ideasMarketing
111、 Focus group results Product ideas Competitive summary Retail sales Orders from retailersCreative Product ideas Product designsFulfillment Shipping requirements Correctly filled orders Cost-saving ideasHuman resources Skills and experience inventory of existing employees Trained employees Trained employees结束结束
