Does compensation management seem more like a chore than it should? Here’s ten quick tips to help keep the compensation management process as simple and effective as possible.
- Automate as much as possible. The less reliance on manual input and calculations done by users, the less chance you have of introducing time-consuming errors.
- Use the right tools for the job. Spreadsheets are fine if your organization’s size and structure aren’t too big or too complicated, but if the process is taking too long it might be better to move on to something more advanced.
- Keep sensitive information secure. Avoid sending compensation data through unsecured emails.
- Avoid kinks in the approval chain. Automating the process will notify each person up the chain automatically, meaning you won’t have to keep hounding them to approve any changes made.
- Allow users only as much access as they need. Users should only have access to the data and sections of your compensation management system that allow them to complete their part of the compensation management process. Giving them access to the entire system is both confusing and a potential for security risks.
- Keep all necessary data at hand. Information like compensation budgets, performance metrics, eligibility for promotion/raises/merit bonuses should be consolidated to avoid having to cross reference multiple different systems or programs at once.
- Keep all necessary systems accessible. Allow users to have the necessary access to wherever your compensation data is being hosted. If you’re using a compensation management system hosted locally, this may lengthen the compensation process as users will have to use whichever specific machines house the system.
- Utilize the cloud. A secure cloud-based SaaS compensation management solution allows users to access the compensation management system whenever (and wherever) they need to, while keeping compensation data secured through encryption and user auditing.
- Reward your employees. Recognizing and rewarding hardworking and valuable members of your organization helps employee retention. Make sure their hard work is reflected in how they’re being compensated.
- Work smarter, not harder. Consider investing in a compensation management solution if your organization’s compensation process is too unwieldy, lengthy, or just plain difficult.