webinar-compensation best practices for fast growing companies
TRANSCRIPT
Compensation Best Practices for Fast Growing Companies
Mykkah Herner, MA, CCPModern Compensation Evangelist
Camie BaileyCustomer Training Specialist II
www.payscale.com
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Camie BaileyCustomer Training Specialist IIhttps://www.linkedin.com/in/camiebailey
Mykkah Herner, MA, CCPModern Compensation Evangelist
https://www.linkedin.com/in/mykkahherner
www.payscale.com
Challenges and types of rapid growth
Comp plans can help
Aligning across multiple locations
Three options for M&As
Things to do today
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Types of Rapid Growth
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Life Cycle of a …
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Growth and change
Charles Handy “Age of Paradox”
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Continued growth
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Three ways companies grow
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Challenges for growth:Moving in the right direction(s)
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Challenges for growth: Cash
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Challenges for growth:Infrastructure
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Challenges for growth:Inconsistencies
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Challenges for growth: Pace
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Comp Plans Can Help
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Reinforce Clear Strategy
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Align Resources to Goals
Business Goal
Business Strategy
Talent Strategy
Comp Strategy
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Develop Guidelines for Pay
Range MidpointMinimum Maximum
$20,000 $32,000$26,000
Green-Circled Employees Red-Circled Employees
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Enable Quicker PaceJob Code GradeClient Service Associate 1Marketing and Business Development Associate 2Executive Assistant 3Sr. Client Service & Compliance Administrator 4Office Manager 4
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Ensure fairness across locations
TAMPASchedule A:
-5%
NEW YORKSchedule C:
+15%
PORTLANDSchedule B:
Main
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Aligning Across Multiple Locations
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Same job in multiple locations has different titles and pay
TAMPAMachine Set Up
$20/hr
NEW YORKMachine Operator 3
$15/hr
PORTLANDMachinist
$18/hr
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Different jobs in multiple locations have the same titles
TAMPAMachinist
$18/hr
NEW YORKMachinist
$18/hr
PORTLANDMachinist
$18/hr
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How do you fix it?
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Target Specific Issue Areas
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Three Options for M&As
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Maintain separate plans
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Use one plan
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Merge plans too
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Things to do today
• Clarify alignment of business goals to talent strategy• Discover your talent markets• Prioritize pay decisions based on the above• Decide between pay ranges and pay grades• If merging, get to know both plans• Make a plan to develop a comprehensive comp plan
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Camie Bailey
Customer Training Specialist II
Mykkah Herner, MA, CCP
Modern Compensation Evangelist
www.payscale.com