In yesterday’s Advisor, we got the first five of Combearsation Manager Timothy Tanis’ Top 9 “Compensation Things To Do Now.” Today, the rest, plus an introduction to a time-saving collection of pre-written policies
Compbearsation Manager? Tanis is Manager, Compbearsation and HRIS for Build-a-Bear Workshop in Saint Louis, Missouri. His “Top 9” came at the recent SHRM Annual Convention and Exhibition in Las Vegas.
[Go here for tips 1 to 5.]
6. Get Analytical
Identify the indicators and drivers you’ll use to analyze your department’s work, Tanis says.
- Indicators give you a general direction to look for more information and perform comp-related analysis. As compensation metrics, Tanis suggests:
- Compa-ratio
- Rating Distributions
- Net Income / FTE
- Total Compensation Expense as a percent of Sales/Expenses
- Drivers speak to the business of the organization, and help with understanding the relationship between information and business choice.
- Customer Retention vs. Account Manger Length of Service
- Customer Satisfaction vs. Account Manger Bonus Pay
- Employee Satisfaction vs. Annualized Pay
- Employee Productivity vs. Education Level/Length of Service
Tanis used the chart above to illustrate how some simple charting can identify problems. In this company, it appears that at lower levels, higher bonuses mean higher retention, but then additional increases in the bonus bring lower retention. (Retention runs up the side and bonus payout runs along the bottom.)
- Are there unintended consequences in this bonus plan?
- What other factors are influencing our sales people’s decisions?
7. Prepare for the FLSA Record Keeping Proposed Changes
DOL is planning to issue rules some are calling “Right to Know under the FLSA.” The proposed rule has as goals:
- Transparency with employees on their status as an employee
- Employers to establish processes to document compliance
The big issue, says Tanis, is that employers would have to justify their classification decisions. What should you be doing? He suggests:
- Keep track of what is going on with the rule
- Draft a process to re-evaluate the exemption status of your exempt associates
BLR’s SmartPolicies gives you 350 HR policies, prewritten for you, ready to customize or use as is. Plus, for a limited time receive the complimentary special report 5 Tips For Creating HR Policies That Hold Up In Court . Click Here
8. Keep Up with 200 Now
Tanis encourages all HR managers to keep up with technological advances and to stay familiar with social media and other Internet-related developments.
9 Be an Internal Consultant
It’s a great balancing act, says Tanis. When you serve internal clients, you have to worry about compliance, which is a tactical issue, and advising and coaching, which is a strategic issue. It’s helpful to think of yourself as an internal consultant, he adds. You’re the subject matter expert, you’re a problem solver, and you manage change—all consultant roles.
It’s not an easy job, but there is a good way to make it easier—clearly-written policies. Actually, our editors estimate that for most companies, there are 50 or so policies that need regular updating (or maybe need to be written). It’s easy to let it slide, but you can’t afford to—your policies are your only hope for consistent and compliant management that avoids lawsuits.
Fortunately, BLR’s editors have done most of the work for you in their extraordinary program called SmartPolicies.
Don’t struggle with creating compliant HR policies! We’ve already written them for you, and at less than $1 each. Plus, for a limited time receive a bonus special report. Click Here.
SmartPolicies’ expert authors have already worked through the critical issues on some 100 policy topics and have prewritten the policies for you. (Seventeen of them deal with compensation.)
In all, SmartPolicies contains some 350 policies, arranged alphabetically from absenteeism and blogging to cell phone safety, EEO, voice mail, and workers’ compensation. What’s more, the CD format makes these policies easily customizable. Just add your company specifics or use as is.
Just as important, as regulations and court decisions clarify your responsibilities on workplace issues, the policies are updated—or new ones are added—as needed, every quarter, as a standard part of the program.
SmartPolicies is available to HR Daily Advisor subscribers on a 30-day evaluation basis at no cost or risk … even for return postage. If you’d like to have a look at it, let us know, and we’ll be happy to arrange it.
“Compbearsation” is great.