The Reward Management Toolkit: A Step-By-Step Guide to Designing and Delivering Pay and Benefits

Enhanced descriptions from Syndetics:

Deciding how to effectively reward staff is one of the most tricky and contentious areas in people management. Getting it right can help promote a motivated workforce, and significantly improve recruitment and retention. But how do you decided what pay scale is suitable for which job and how do you design reward packages which recognise contribution and encourage employees?

The Reward Management Toolkit provides practical, step-by-step guidance on designing and delivering rewards across organizations. In each tool the authors describe what the tool will achieve and provide guidance on when it is appropriate to implement. Each tool is supported by questionnaires, checklists and opinion surveys which can be used as the basis for analysis, discussions in workshops, project teams and focus groups. These tools include: the design, development and implementation process, strategic reward, job evaluation, market rate analysis, benefits options, including flexible benefits and the management and evaluation of reward systems. Online supporting resources include figures and templates such as checklists and questionnaires.

Table of contents provided by Syndetics

• Introduction: the tools and how they are used (p. 1)
• Tool 01 Reward reviews (p. 13)
• Introduction (p. 13)
• Purpose of the tool (p. 13)
• The reward review process (p. 13)
• Conducting the review (p. 18)
• Conclusions, recommendations and action planning (p. 29)
• Tool 02 Reward strategy (p. 31)
• Introduction (p. 31)
• Purpose of the tool (p. 31)
• Contents of the tool (p. 32)
• Tool 03 Total rewards (p. 45)
• Introduction (p. 45)
• Purpose of the tool (p. 46)
• Contents of the tool (p. 46)
• Models of total rewards (p. 46)
• Introducing total rewards (p. 49)
• Tool 04 Reward risk management (p. 59)
• Introduction (p. 59)
• The risk management process (p. 60)
• Developing a framework for managing risk (p. 61)
• Risk identification (p. 61)
• Risk assessment (p. 62)
• Controlling risk (p. 65)
• Risk monitoring and review (p. 69)
• Key learnings (p. 69)
• Tool 05 Job evaluation (p. 71)
• Introduction (p. 71)
• Types of job evaluation (p. 71)
• Purpose and contents of the tool (p. 72)
• Step 1 Analyse present job evaluation arrangements (p. 75)
• Step 2 Decide approach to job evaluation in principle (p. 75)
• Step 3 Select and brief project team (p. 77)
• Step 4 Develop communications strategy (p. 78)
• Step 5 Decide on features of new scheme (p. 79)
• Step 6 Prepare project programme (p. 80)
• Step 7 Develop basic factor plan (p. 80)
• Step 8 Select and analyse test jobs (p. 83)
• Step 9 Test basic factor plan (p. 86)
• Step 10 Amend basic factor plan as necessary (p. 89)
• Step 11 Decide on weighting (p. 89)
• Step 12 Produce full factor plan (p. 90)
• Step 13 Consider software support (p. 90)
• Step 14 Apply scheme to benchmark jobs (p. 91)
• Step 15 Conduct market rate analysis (p. 91)
• Step 16 Design grade and pay structure (p. 92)
• Step 17 Develop analytical matching approach (p. 92)
• Step 18 Implement (p. 93)
• Tool 06 Market analysis (p. 95)
• Introduction (p. 95)
• The market analysis process (p. 96)
• Step 1 Preparation (p. 96)
• Step 2 Choosing jobs for external comparison (p. 98)
• Step 3 Defining data collection criteria (p. 99)
• Step 4 Matching jobs to the external market (p. 104)
• Step 5 Analysing and interpreting data (p. 105)
• Step 6 Presenting results (p. 110)
• Tool 07 Base pay management (p. 113)
• Introduction (p. 113)
• Purpose of the tool (p. 113)
• Contents of the tool (p. 114)
• The grade and pay structure design sequence (p. 115)
• Analysis of present arrangements (p. 116)
• Choice of structure (p. 116)
• Selection and development of job evaluation scheme (p. 119)
• Definition of guiding principles (p. 119)
• Design options (p. 120)
• Graded pay structure design (p. 122)
• Broad-banded structure design (p. 126)
• Career family structure design (p. 128)
• Job family structure design (p. 129)
• Assimilation policy (p. 129)
• Protection policy (p. 130)
• Implementing new grade and pay structures (p. 131)
• Tool 08 Contingent pay (p. 133)
• Introduction (p. 133)
• Purpose and contents of the tool (p. 134)
• The design and development sequence (p. 135)
• Analysis of context and opinions (p. 135)
• Readiness for contingent pay (p. 136)
• Define guiding principles (p. 138)
• Set objectives for the scheme (p. 139)
• Project planning (p. 139)
• Design scheme (p. 140)
• Conduct pilot scheme (p. 147)
• Implement scheme (p. 149)
• Evaluate scheme (p. 149)
• Tool 09 Bonus schemes (p. 151)
• Introduction (p. 151)
• Purpose of the tool (p. 152)
• Schemes defined (p. 152)
• Developing a bonus scheme (p. 152)
• Stage 1 Agree direction (p. 156)
• Stage 2 Design scheme (p. 164)
• Stage 3 Introduce scheme (p. 166)
• Stage 4 Manage scheme (p. 168)
• Stage 5 Evaluate scheme (p. 168)
• Tool 10 Executive remuneration (p. 173)
• Introduction (p. 173)
• Purpose of the tool (p. 174)
• Contents of the tool (p. 174)
• Guiding principles (p. 174)
• Remuneration committees (p. 175)
• Total remuneration policy (p. 177)
• Base pay (p. 178)
• Bonus schemes (p. 179)
• Longer-term incentive plans (p. 180)
• Clawback policy (p. 181)
• Service contracts (p. 183)
• Pensions and other benefits (p. 184)
• Tool 11 International reward (p. 185)
• Introduction (p. 185)
• Purpose of the tool (p. 185)
• International reward strategy guiding principles (p. 186)
• Survey of reward programmes (p. 187)
• Gap analysis (p. 187)
• Convergence/divergence policy (p. 187)
• Remuneration of expatriates (p. 192)
• Tool 12 Employee benefits (p. 197)
• Introduction (p. 197)
• Purpose and contents of the tool (p. 197)
• Conducting an employee benefits review (p. 198)
• Defining employee benefits objectives (p. 199)
• Reviewing employee benefits arrangements (p. 200)
• Developing employee benefits package (p. 205)
• Introducing flexible benefits (p. 205)
• Communicating to employees (p. 210)
• Tool 13 Pay reviews (p. 213)
• Introduction (p. 213)
• Purpose and contents of the tool (p. 213)
• Pay review policy (p. 213)
• General reviews (p. 214)
• Individual reviews (p. 215)
• Tool 14 Evaluating reward (p. 219)
• Introduction (p. 219)
• Purpose and contents of the tool (p. 219)
• Aims (p. 220)
• Fundamental questions (p. 221)
• Methods of evaluation (p. 221)
• Reward measurement (p. 225)
• Reaching a conclusion (p. 228)