CREATING FAIR AND SMART PAY SYSTEMS
INTRO

No matter the size, the industry and/or the location, a pay system is always a choice, never a given. Salaries should be set for the optimal health of the company. The actual objectives of each pay system need to be defined in close relation to the overall objectives. The best schemes are easy to understand and allow for flexibility. There is no such thing as one size fits all. Special needs sometimes dictate pay in relation to expected performance.

PRACTICAL EXPERIENCE

We always promote an “If it was your money would you spend it on this” attitude. However, we believe organizations should be increasingly looking at ways to improve business performance. They should develop pay structures and systems which promote: the acquisition of skills, increased flexibility, greater awareness of business requirements, a strong link between individual/team pay and the overall well-being of the organization. Math is just a part of the solution.

SOLUTION IN PRACTICE
  • Analyzing business considerations for pay structure design including strategic issues, competitive practices, the organizational culture and the affordability of pay.
  • Running job analysis and job evaluation workshops
  • Setting your upper salary limit by what a particular job is worth to you
  • Getting to know the market to determine the least you’ll pay
  • Using bonuses to align everyone around company or product or division goals.
  • “Customizing the deal” for experts and upper managers
  • Monitoring and evaluating impact