Compensation Strategies for Fast Growing Companies

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Comp Strategies for Fast Growing Companies



Rusty LindquistVP of HCM Thought Leadership

BambooHR

Mykkah HernerModern Compensation Evangelist

Payscale



What we’ll talk about1. Challenges and byproducts of rapid growth

2. Comp plans can help

3. Aligning across multiple locations

4. Three options for M&As

5. Things to do today

Understanding Rapid Growth(and how it relates to comp)



Growth

Time

STAGE 1 STAGE 2 STAGE 3

MarketViability

ClientAcquisition

BusinessScalability

Organizational Waste

(grow)(validate) (operationalize)BYPRODUCTSOF GROWTH

Cultural DilutionReduced (Intrinsic) Engagement

Reduction In TransparencyStrained Management

Inconsistencies Create Friction

Ram CharanBest-selling Author, Business Advisor

OUR PEOPLE SYSTEMSARE THE MOST IMPORTANT SYSTEMS

IN OUR ORGANIZATIONS

Comp Plans Can Help



Reinforce Clear Strategy



Align Resources to Goals



Develop Guidelines for Pay



Enable Quicker Pace



Ensure fairness across locations

Comp & Culture



Everything you dobecomes part of that story…

The story of what you value



Compensation:

The story of how much you are valued



Making the CompensationConversation a Culture Builder

Don’t be offended

Be open

Take it seriously Be objective

Be proactive

Be Positive



Make Sure Your Approach To CompTells The Right Story

Aligning Across Multiple Locations



Same job in multiple locations has different titles and pay



Different jobs in multiple locations have the same titles



How do you fix it?



Target Specific Issue Areas

Comp & Engagement



Feeling appreciated, valued, and adequate rewarded for your effort.Value

Total rewards

Va Value

Rewards Recognition Compensation

What you get from work



Comp is about anExchange of Value

Not just Money

Experience in industry

Experience in market vertical

Experience in adjacent markets

Experience in field of discipline

Experience in adjacent disciplines

Experience with competitors

Product knowledge

Competitor knowledge

Time and experience in company

Education

Discipline training and certification

Supply and demand

Employer Value DriversEmployee Value Drivers

Base payPerformance Pay

Paid time offBenefits

TravelCulture and environment

Work flexibilityWork/Life balance

Meaningful workWho you work with

Challenging workOpportunity to impactJob security

Shared purpose / missionCareer advancement opportunities

Autonomy

Senior leadership

Three Options for M&As



Maintain separate plans



Use one plan



Merge plans too



Things to do today1. Things to do today

2. Clarify alignment of business goals to talent strategy

3. Discover your talent markets

4. Prioritize pay decisions based on the above

5. Decide between pay ranges and pay grades

6. If merging, get to know both plans

7. Make a plan to develop a comprehensive comp plan

Thank you!Follow BambooHR on social media:

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Follow BambooHR and PayScale on social media:bamboohr.com/blog | payscale.com/compensation-today

Questions?

Rusty LindquistV P S T R A T E G I C H R I N S I G H T S

B A M B O O H R

@ r u s t y l i n d q u i s t

r u s t y @ b a m b o o h r . c o m

w w w . l i n k e d i n . c o m / i n / r u s t y l i n d q u i s t

Mykkah HernerM O D E R N C O M P E V A N G E L I S T

P A Y S C A L E

@ m y k k a h _ h e r n e r

M y k k a h H @ p a y s c a l e . c o m

w w w . l i n k e d i n . c o m / i n / m y k k a h h e r n e r

Compensation Strategies for Fast Growing Companies

Business

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