Designing the total reward system

Employee compensation is generally an organisation's largest expense. Typical concerns are:

• Are employees paid fairly?
• Is the company paying competitively with similar businesses?
• Are positions ranked correctly within the company?
• Do the company's pay policies comply with laws and regulations?

To answer these questions, Mart Solution uses a number of techniques and tools.

• Job descriptions are usually the starting point. Using an online position data questionnaire (PDQ), employees provide the data needed for quality job descriptions.
• Internal equity can be determined by point-factor analysis, also gathered by online questionnaire.
• External equity comes mainly from comparison with other companies or published surveys, a technique called market pricing.
• A pay structure is then developed from all of these sources to meet the client's needs.

Ratio analyses are part of this work, among them:

• Market index: how closely does the client's actual compensation match its market?
• Compa-ratio: how closely does actual pay match the published pay schedule?
• Market compa-ratio: how closely does the pay structure match the market?

Large data sets are analysed with statistical and graphical techniques so that the client understands the underlying factors. Online data capture lets us obtain objective data with the least disruption to your staff. Ask us for a demonstration of the tools and techniques that can help your company reward employees and remain profitable.