Compensation Analysis and Review Services (CARS)

Taking the Work out of Your Compensation Review Process

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Compensation Analysis and Review Services (CARS) SKU_8191


<img src="/content/Asia/images2/cras-cover.jpg" alt="Compensation Analysis and Review System (CARS) image" style="border:1px solid #d9d7d7;" /> Mercer’s Compensation Analysis and Review System (CARS) has been carefully conceptualized by Mercer experts after detailed research and close collaboration with our clients for their annual salary review process.

The tools of the trade, often spreadsheets lend themselves to human error and as the result, many hours are lost struggling with outdated tools to audit the data and keep the compensation review process on track.
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Gain competitive insights

  • Obtain Data analysis on pay levels to access market competitiveness by market, region or industry.
  • Study compa-ratio against the market using your company’s pay philosophy and guidelines. This provides you with an understanding of competitive practices and insight into market pay mix policies.

Ensure fairness with internal calibration

  • Obtain data analysis on company data to gauge internal parity and ensure alignment of actual pay practices to pay policy.

Ensure budgets are used wisely through analysis of pay dispersion

  • Obtain Reports on statistics from 5th percentile to 95th percentile.

The value of greater efficiency, reduced errors, and expert analysis and reporting translates into much better returns for your business.

arrow Sample Outputs

i. Deviation Analysis by Job

Analysis done at each incumbent level where deviation percentage is calculated against the actual market data for the Mercer Job Library Code mapped, at all chosen percentiles based on the peer group selected.

Deviation Analysis by Job image

ii. Deviation Analysis by Job Family

View the average deviation reports at each Mercer Job Family or Sub Family based on Career Level/Stream for all compensation components – Comp1, Comp2, Comp3 (Actual) or Comp3 (Target). This analysis allows you to view market competitiveness at the department level and highlights focus areas for your organization.

 Deviation Analysis by Job Family image

iii. Company Trend Line Analysis

Regression is done for both the chosen peer market and the company data to assess the company's overall positioning at each Mercer Position Class (PC) for all compensation components. You can also view regressed data tables for accurate comparison.

Company Trend Line Analysis image

iv. Company Practice vs. Policy

You may view how incumbent scatter points on Actual and Average Pay compare against the Company Pay Policy line, so as to understand the company's actual pay practice against the established philosophy.

iv. Company Practice vs. Policy image

v. Internal Equity

This report plots the actual salaries of all incumbents at each position class against the Minimum, Median and Maximum regressed lines of the company pay. It helps you to view pay equity between like-positions and the report highlights if all roles are governed by the same guidelines.

Internal Equity image

vi. Compensation Mix Analysis

The ratio between annual guaranteed (fixed) compensation versus annual variable pay is illustrated for each Mercer career stream and level, for both market and company.

Compensation Mix Analysis image

vii. Pay Dispersion

The Pay Dispersion index provides the scatterplot of compa-ratio of each incumbent at each Position Class against the index of 100% compa-ratio market reference salary. It helps you to see if incumbents are paid significantly lower/higher for a similar job size.

Pay Dispersion image

viii. Internal Grade and Position Class

Quickly assess your company’s overall positioning at each internal grade level for all compensation components against a chosen peer market.

Internal Grade and Position Class image

Need Help Interpreting Data?

If you would like assistance in interpreting and presenting data, our consultants are on hand to provide consulting services and recommendations.

This is especially useful for clients who need quick help to do all kinds of analyses and would prefer a Mercer consultant to share key findings with stakeholders.

Contact Mercer Now

Please contact our client solutions team at for more information and a quote.


USD 1000 / EUR 850 / AUD 1325 / CAD 1325

*Country specific and custom cuts available. Contact your Mercer consultant for details

If you have any questions, contact

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Compensation Analysis and Review Services (CARS)


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  • Sub TitleTaking the Work out of Your Compensation Review Process
  • Ordering TypePDF
  • IsOrderingSetYes
  • Compensation GridShow
  • Short DescriptionCompensation Analysis and Review Services (CARS) are specifically designed to assist clients during their annual salary review process.
  • RegionUS