a realistic model, equitably applied

Analysis first!

Skillful implementation might be more important than the design and development of a program itself. Over the past 30 years, we’ve seen many different approaches to implementation. Regardless of the eventual decisions made, sound analysis before taking any action is critical. You must consider:

  • A target level of pay for each employee, based on their proven ability to do the job
  • The cost to bring employee pay to critical points in a new structure
  • The costs attributable to pay above target levels

The components of the ElementOne compensation approach provide all of the information needed to conduct the analysis:

  • Pay structures: Reflecting the internal and external value of each job, and establishing ranges of pay for different levels of on-going performance
  • Performance/Development Assessments: Providing the framework for performance management, so a “baseline evaluation” on employees can determine what part of the range is appropriate for each one’s performance.

A strategy and a model

ElementOne builds models using current staffing information to determine the cost of payroll at various levels of performance; this is critical for proper budgeting. A variety of models can be tested to determine the funds necessary for an effective implementation or to determine equitable ways to distribute whatever funds are available. Once information is available, ElementOne works with you to establish and carry out an implementation strategy.

Significant considerations in the development of the strategy include:

  • Bringing employees to new range minimums to ensure fairness between current and future employees.
  • Identifying any groups of employees that might be “protected classes” (e.g., women, minorities, older employees) whose pay is not at the same percent of target as other groups.
  • Determining whether difficulties in recruitment or retention of employees in any particular jobs or career paths require immediate attention.
  • Considering strategic and operational plans and determining if any particular functional area, or any “type” of employees (executive, middle management, professionals, administrative staff) are particularly at risk if not brought into line.

Applied equitably

After any special considerations have been addressed, it is essential to apply the implementation strategy equitably across the entire population to ensure fairness. ElementOne can build multi-year implementation models and assist organizations with long-term implementation efforts.