Compensation Planning

Select the “Compensation Planning” activity under the “Compensation Planning” business component.

The “Compensation Planning” page appears.

Pre-Requisites

Plan Period
Masters should have been defined in Set Rules & Process Defaults screen
Benchmark Salary Range
A completed appraisal cycle with Appraisal Rating & Recommended Increment rates
Compensation data to be available for employees.

Note: The ML column names can be configured dynamically from Set Rules and Process Default screen

The System behaves differently for Planner and HR, based the Internal – Deployment role mapping,

The Planner can view the planning details of his hierarchy and do planning for the employees in his span of control. He/She can also override his subordinates nodes once they are submitted / approved.
The HR can view the Organizations’ hierarchy at any point of time and do override the planning once the Plan period is locked.

This page consists of the following three tabs:

4Planning

4Summary

4Report

Tab – Planning

The following search conditions can be explored:

Compensation Planning Unit	Select the compensation planning unit.
Country	Select the country to which the employee belongs. The drop-down shows all statutory regions applicable for the compensation review You may choose to see ‘All’ if multiple countries are applicable.
Employment Unit	Select the employment unit to which the employee belongs. The drop-down is loaded with all the employment units for which the login user has permission along with “ALL”.
Currency	Select the currency as required.
Compensation Plan Period	Select the plan period of the compensation. The drop-down is loaded with all the plan periods available in system.
On Behalf of	Just in case you are doing the compensation planning on behalf of someone, you could choose the Planner from drop down for whom you would like to do planning.

Click “Get” button to retrieve the compensation details in the grid.
Click “ Quick Links” to view the excluded employees, pay revision guidelines and guidelines.

Tree On Left Pane

- If you are a planner, then you will be able to see the entire hierarchy within your span of control.
- If you the HR user, you will be able to see the entire organization hierarchy.
- Each parent node displays the total number of employees (included for the selected plan period) reporting to his/her hierarchy.
- Each parent node has Direct Reports node which lists the direct reports of him/her.
- The Node stops drilling down further when there are no direct reports at any node
- Click on any name node or name of a specific person to view the plan details in the grid.
The system displays the following details in the “Summary” section.
The name of the planner, the total no of employees directly reporting to the selected node as on date and the status

§. Click “ Exception” hyperlink to view the Exceptions Across Employees. The number of exceptions will be displayed if there are any.

The summary section displays the following:

Budget	The budget % defined in system for the selected plan period. Budget Amount is the Budget percentage on the total TEC (CTC) of the employees at each node selected as on date. This data is visible only if you have permissions on a budgeter.
Target	The target % defined for the login planner in “Budget” screen for the selected plan period. Target Amount is the target percentage on the Total TEC (CTC) of the employees at each node as on date.
Actual	The sum of Amount, One-off Lump and Discretionary Bonus at each node selected and the percentage of that sum.
Merit Increase	The average Merit Increase % at each node selected.
One Off Lump Sum	The sum of One-off Lump sum at each node selected.
Discretionary Bonus	The sum of discretionary bonus at each node selected.
Budget Vs Actual	The variance in Budget and Actual values. This data is visible only if you have permissions on a budgeter.
Target Vs Actual	This shows the variance in Target and Actual values.
Structured Bonus	The sum of structured bonus at each node selected.

“Detailed View” shows the below.

The following details are displayed in the grid for the detailed view:

Column 1	4 Click icon to view any employee level exceptions. This icon is visible only if there are any exceptions at employee level.
Column 2	4 Click icon to view conversation to be read. This icon is highlighted when there is a conversation to be read for collaborating with other users higher level planners in the hierarchy.
Column 3	The photo of the employee is displayed.
Employee	The name, employee code, position and department of the employee. Clicking on the Employee name will launch the Employee Snapshot pop up which will display the Compensation history details of that employee.
Hire Date	The date on which the employee is hired.
Gradeset	The gradeset of the employee.
Grade	The grade of the employee.
No. of Days Considered	The number of days the employee worked in the organization during the corresponding Plan period.
LOS in Years	The length of service (LOS) of the employee specified in years.
Separation Date	The date on which the employee is separated.
Job Rev. Date	The date on which the employee was last promoted.
TEC Rev. Date	The date on which the employee’s salary was last revised.
Rate Grade Desc	The overall final Appraisal rating grade description of the employee for the corresponding appraisal period.
Rate Grade	The Overall final Appraisal rate grade of the employee for the corresponding appraisal period.
Potential	The Potential mapped to the employee for corresponding appraisal period.
FTE	Full time equivalent value of the employee which is captured in Assignment.
Pay Rate	The total current TEC (CTC) of the employee as on date.
Pay Basis	Current TEC (CTC) frequency as on date.
Current TEC	Total current Annual TEC (CTC) of the employee as on date.
Job Family - Job Level	The job family and job level of the employee.
Salary Range	The minimum and maximum value calculated on the Median by applying the min and max % captured in Plan Parameters in the Set Rules and Process Defaults screen.
Compa-Ratio	The compa ratio shows the derived value: Employee’s current salary divided by the mid-point/median salary of the salary range of the corresponding Hay/Benchmark Job Family prorated with FTE value.
Benchmark Salary Range	The minimum – average – maximum salary range values of the Hay Family & Level mapped to the employee’s job by applying the min and max Percentile value which is captured in Plan Parameters in the Set Rules and Process Defaults screen.
RP	The Range Penetration is calculated as follows: (Employee’s salary - Range MinFTE) / (Range MaxFTE– Range Min*FTE).
Range for % increase	The % increase values for each performance rating in the corresponding appraisal period.
Reco Merit %	The recommended merit increase % for employee’s performance rating as per in the corresponding appraisal period.
Actual Merit %	The system defaults the value from Recommended % increase value which can be edited by the planner.
Merit Amount	This amount is calculated based on the “Reco Merit %” on employee’s TEC/CTC. Note: When the planner changes the “Actual Merit %”, the system recalculates ‘Merit Amount’.
Revised TEC	The revised TEC (CTC) is the current annual salary added with the merit increase amount.
One-off Lump Sum	Enter the one time lump sum amount.
Discretionary Bonus	Any additional discretionary bonus can be given in this column on planner’s discretion.
Revised Compa Ratio	The revised compa ratio calculated with the revised TEC (CTC).
Actual Amt	The actual amount is the total increase which is: Revised TEC + One Off lump sum amount + Discretionary bonus.
Actual %	Actual % Increase is calculated as follows: Total Increase / Annual TEC (CTC) %.
Structured Bonus	Enter any value for structured bonus if applicable.
Status	The workflow status displays here.
Remarks	Enter any remarks related to the compensation planning.

Select “Compact View” to view the compact view of the compensation planning of the employee.

The following column details are retrieved and displayed in the multiline with all the directing reporting employees of the selected planner in the tree. These columns can be dynamically enabled / disabled based on the settings in the Set Rules and Process Defaults screen,

Column 1
Column 2
Column 3
Employee
Rating Grade
Rating %
FTE
Current TEC
Job Family - Job Level
Compa Ratio
Benchmark Salary Range
RP %
Reco Merit %
Merit Amt
Revised TEC
One-off Lump Sum
Discretionary Bonus
Actual %
Structured Bonus
Status
Remarks
Click “Save” button to save the compensation planning details. You could Save the planning details and edit multiple times until it is submitted and the plan period is ‘Open’ for planning.

The system saves the details calculates the summary section values and refreshed with the actual values. The status is updated to “In Progress”.

Click “Submit” button to submit the compensation planning details.

The system saves the details and calculates the summary section values and displays submitted actual values after recalculation. This set of employees planning which is submitted is sent for approval to next level as per workflow.

Note: Only Not Started and In Progress details can be submitted. The planner cannot submit the planning unless all his/her subordinate planners’ nodes are approved. You cannot modify the record once it is submitted.

Click “Approve” button to approve the submitted records to approve.

Note: Only submitted records can be approved.

Click “Revise” button to send the planning details for revision by below level planner You may give the reason for revision request and click Ok

The system saves the details and the status updated to “To be revised”. Submitted and Approved records can be sent back for revision. While doing so, Submitted Records will be considered as Rejected and Approved records will be treated as Revoked internally based on the status of the record.

Revision reason pop-up appears. Enter the revision reason and click “Confirm” button.

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