Designing a compensation program aligned with their business needs and talent management strategy is one of the most powerful methods employers can use to attract and retain talent. Yet, even the best-developed plans are only effective when implemented and communicated effectively. Failure to follow through with a compensation plan could negate all of the hard work you’ve put into researching and planning to craft the best program for your organization.
When you’ve reached a point where you have a strong compensation program designed to successfully attract, engage, and retain a quality workforce, you must then administer it successfully by following the key steps listed below:
Keep Leadership Informed
Implement compensation and benefits-related program design information, including guidelines and training, to get your leadership teams on board with strategic pay decisions.
Gather & Analyze Survey Data
While survey data isn’t the only element you should use to create a solid compensation structure, it is an important part of making informed pay decisions in line current market conditions.
Proactively Advise Managers
Become a strategic partner for compensation matters, and be the source managers turn to when they need help by providing actionable advice and helpful tips.
Manage Job Descriptions
Facilitate and coordinate with managers to update job descriptions regularly. Make sure each description fits with your current business needs and approach to talent management.
Support Organizational Structure
Provide organizational charts, and be a partner during re-organizations.
When you’ve followed the guidelines listed here, you can also develop a pay transparency trifecta in which you help employees understand their role, avoid pay inequity, and foster a sense of trust within your organization. When these elements come together, it means your compensation programs are successfully supporting organizational goals.
HRsoft is a leading provider of compensation management software that improves manager effectiveness and business results. To learn more about our Compensation Management Software, COMPview, click here.