What is Compensation survey data?
As every organization grows one of the goals will be to standardize compensation and benefits based on the market conditions to remain competitive in the market and also to make sure the employee compensation is in par with the market and internal compensation policies.
One of the ways that organizations achieve this is by consulting with the best compensation and benefits survey companies that gathers huge amounts of data and conduct analysis to share key insights about the market standard compensation.
Once you have got this information – from a HR perspective the next step is to align this with your internal organization structure of Jobs and Positions and define how the industry standard compensation translates to your company. Lets consider an example:
- Hogwart’s manufacturing is a company with 3 positions in Finance department
- Junior Accountant
- Senior Accountant
- Head of Finance
- The Junior and Senior Accountant is linked to the Job=Accountant
- Hogwart’s manufacturing purchases a sruvey from company X and tries to align the Jobs from the company with the survey as below:
- Accountant = Accountant = 1000,3000,5000
- Head of Finance = Finance Director = 5000,7500,10000
Now it is entirely upto Hogwart’s manufacturing if they want to pay the employees in the ranges indicated by the survey which is a market standard or above or below the market standards.
The key is to make sure there is a way to store and compare the compensation structure from the survey company, Hogwart’s approved compensation and the employee actual compensation data.
Dynamics 365 Human Resources offers a structured and clear way of storing and managing this information. Read on to know more:
What is pivoting area on D365HR to store compensation survey data?
Jobs are the global framework that can be used to store compensation survey data of all countries that organization is operating. In our example Hogwart’s manufacturing may be a company operating in Germany, USA, India and the accountant’s in all 3 countries will paid based on the local market conditions.
The key is really to be able to capture this local country specific data at a global level.
How to capture the data?
Step 1: Navigate to Personnel Management > Links > Jobs
Step 2: Select the Job that you want to add the Compensation Survey data>Open the Compensation fast tab add the information below:
- Click on Add
- Level: Compensation level defined within the company and the a specific country
- Survey company: Name of the survey company used in that country (It can be a global survey company or individual country specific compensation survey companies)
- Reference job: The name of the job as per the Survey company and market standard (Head of Finance in Hogwart’s manufacturing is known as Finance Director as per the Survey company so the reference job here will be Finance Director)
- Source: What is the source of this survey (Free text field to capture the source of the suvery)
- Low threshold: Minimum pay value in local currency
- Control point: Mid point/Control point pay value in local currency
- High threshold: Maximum pay value in local currency
Anything else to know about this?
- The data stored on compensation tab of the Job is not date effective which means at any point in time we can only store the latest compensation survey values
- The compensation survey values stored will not control the employee minimum and maximum salary limits while hiring and transferring.
- If you need a export of all the compensation survey data – you can download the data from the data entity: Job compensation.
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