More and more organisations are realising the importance of implementing an automated Remuneration Management System in an organisation for an effective performance-based annual reward process. As part of the drive for organisations to instil a culture of performance improvement and excellence, organisations would like to measure and manage performance and measurement outcomes in order to link performance to individual rewards, including salary increases, incentives and equity growth awards.
Salary increases and incentives are a key business issue for any organisation and sit close to the hearts of the people working for any organisation. The incentive & salary increment process is often not designed to support the organisation’s strategy or objectives, but rather is run as an ad hoc and disjointed process periodically throughout the year. The process typically does not support a well-articulated remuneration strategy that is derived directly from the organisational strategy.
An analysis of a company’s pay practice often highlights discrepancies and inconsistencies between staff, as well as a poor correlation to market benchmarks. With resources limited each year, it is difficult to address these discrepancies, to really reward top performance and to improve the “fit” to targeted pay lines. The absence of a disciplined approach to applying these resources year after year in a consistent manner perpetuates the problem.
To be successful in addressing problems such as these, an organisation requires a systemic approach to articulating and communicating a remuneration strategy, and then applying that strategy (and reporting on the implementation practices) in a transparent and objective manner based on carefully defined, and pre-determined, business rules. Furthermore, such a system should have a central database, with simultaneous and controlled access by various users, including data validation at every step of the process, and with no manual intervention, manipulation or consolidation of any data in the system.
A web-based application provides a secure, convenient environment for users to manage their HR data (related to remuneration), allocate salary increases and draw various reports and analyses. As the data is stored in a central database, there is no need for collation or distribution of data and updates to data are instantaneous. Detailed analysis views are provided so that users, whether managers or HR staff, can analyse trends and identify anomalies quickly and easily.
Enables the structured and proactive management of the remuneration process resulting into a more efficient remuneration cycle and outcome.
Provides live/ real time REM data to enable informed decisions.
Provides an easy to use and interpret web-based platform – access anywhere/anytime.
Minimise manual intervention required to manage the process.
Create a platform for future structured enhancements to the process and additional phases to be implemented; i.e. bonus allocations.
Through the provision of detail data analysis tools to users, the focus becomes on “the doing” not the reporting.
Provides one version of the truth across the organisation.
Improves data integrity through the provision of structured data formats and rules within the system.
Over the past decade, ASG Solutions has formed key partnerships with national and international organisations providing consulting and software solutions with a particular emphasis on Human Capital and Business Intelligence.
As a customised solution provider, ASG Solutions will tailor your Remuneration Management System to meet your organisation’s requirements. Get in touch with ASG Solutions for your organisation’s customised Remuneration Management System.