Check-up of Variable Compensation plans


Check-up of Variable Compensation plans SKU_668

At Mercer, we know the importance of acting quickly in crisis contexts and we have the tools to accompany you through 3 variable compensation programs that combine a quick and effective analysis of current plans especially affected by positions whose compensation is linked to the performance. We can help you evaluate, correct and prepare temporary adjustment alternatives that channel the efforts of the collaborators towards the improvement of the collective achievements of the organization, thus reactivating the variable compensation plans of your organization.

  • Product Details
  • Methodology
  • Coverage
  • Contacts

Product Details

Check-up of Variable Compensation plans:

  • Sales force: Macro analysis and orientation of possible adjustments to your Sales force Variable Compensation Plan, adapting them to changes and adversity of the COVID-19
  • Long-term incentives: Macro analysis and orientation of possible adjustments to your Long-Term Incentive Plan granted to executives, adapting them to changes and adversity of the COVID-19
  • Short-term incentives: Macro analysis and orientation of possible adjustments to your Short-Term Incentive Plan granted to executives and collaborators, adapting them to changes and adversity of COVID-19

Methodology

The answer lies in going back to the basic concepts of variable compensation and evaluating the application of momentary adjustments to reactivate the variable compensation plans, for which there are some key steps to be reviewed (RCP):

1) Review
Main key elements of the mechanics of the variable compensation plans (depending on the plan):

  • Type of plan
  • Eligibility
  • Grant
  • Trigger
  • Anchoring
  • KPI's
  • Spheres of success
  • Vesting
  • Target
  • Weighting levels
  • Payment curve
  • Goal setting
  • Measurement frequency and payment cycle
  • Administration Guides

2) Correction
Depending on the magnitude of the impact, it is important to apply adjustments to adapt to the current situation, continue the business, and then focus on recovery (once the operation returns to normal).

3) Preparation
The key elements to implement quickly and effectively in a situation like the current one, it is essential to define managers, activities and times to reduce negative impacts in the short term, provide peace of mind to employees and prepare the organization for the long term.

Coverage

This solution is available in:

  • Argentina
  • Paraguay
  • Peru
  • Uruguay

Contacts

For more information or to obtain your check-up, contact:

Argentina, Paraguay and Uruguay:

Sabrina Guerrero
Pay for Results & Org Design Leader
sabrina.guerrero@mercer.com

Nicolasa Jacob
Pay for Results & Org Design Associate
nicolasa.jacob@mercer.com

Peru:

Jean Paul Raymond
Ejecutivo Comercial
jean.raymond@mercer.com

Adriana Villalba
Líder de Productos de Carrera en Perú
adriana.villalba@mercer.com

  • Ordering TypeCOL/QOL
  • IsOrderingSetNo
  • Compensation GridShow
  • RegionUS