Performance Appraisal and Salary Review Process Summary ...
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Transcript of Performance Appraisal and Salary Review Process Summary ...
Performance Appraisal and Salary Review Process
Summary and Recommended Actions
For Review and Approval by
Board Compensation Committee
Peter F. DiGiammarino Copyright 2017 IntelliVen, LLC and Peter F. DiGiammarino.
All rights reserved. Quotation, reproduction or transmission is prohibited
without written permission from IntelliVen, LLC and Peter F. DiGiammarino
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Salary Action Process Summary
• Managers complete performance appraisals to determine growth and performance for each
employee on the current cycle in terms of expectation (below, at, or above)
• Executive committee sets overall salary guidance
– Cost of living basis
– Target average annualized percent increase
– Ceiling for sum of all raises
• Managers propose raises for each person in their area based on:
– Scope and scale of responsibility
– Growth Potential
– Current Base Salary
– Experience
– Education & Training
– Market Conditions
– Internal Peer Group
– Company & Group Performance
– Performance since last review
– Growth since last salary action
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Salary Action Process Summary (continued)
• Executive committee
– Reviews proposed salary actions in aggregate and by performance unit (e.g.,
client or market) and functional peer group relative to overall guidance and to
assess:
• Are highest increases going to those who have contributed and grown the most?
• Are lowest increases going to those who have contributed and grown the least?
• Are those who are paid the most contributing and growing the most?
• Are those paid the least contributing and growing the least?
• Is the distribution of increases rational?
– Review in one-on-one conversations with managers
– Determines adjustments and works with managers to finalize
– Prepares schedule for compensation committee to review and approve
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Contribution
& Growth
Performance
Appraisal
Process
Salary
Review
Process
Stakeholder
Input
Manager Input
Employee Input
Company
performance
Time since last
Salary action
Performance against
goals
Current Base
Growth
Potential
Scope & Scale
of Responsibility
Education
& Training
Experience
Market
Internal Peer
Group
Unit Performance
New
Salary
Performance Appraisal & Salary Action Process Data Flow
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Record Salary
Recommendations
For Each Person
Prepare
histogram
by group
HR
Managers
Salary
Control Form Salary
Guidance
Management
Committee
• Target Average X %
• COL Z %
• Overall Raise Amount $YYYK
Administer
Salary
Actions
1X1 w/
Managers
to review
& revise
Salaries
Histograms
1
2
3.1
3.2
3.3
3.4
3.5
4.1
4.2
4.3
5
6
7.1
Input to Salary Recommendation •Scope and scale of responsibility •Growth Potential •Current Base Salary •Experience •Education & Training •Market Conditions •Internal Peer Group •Company and Group Performance •Performance since last review •Growth since last salary action
Approved
Salaries
Personnel
Data
Salary Review Process Data Flow
7.2
2
Compensation
Committee
Review
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Salary Review Process Control Sheet
1 2 3 4 12 13 14 15 16 17 18 19 20 21 22 23 28 29 30 31 32 33 34 35 36
# Name Base Bonus
Total
Comp Direct Manager Director Job Title Recal
Recalibra
ted Base Raise %
Raise
Amount
Annual
Base
2006
Base Pay
Per Pay
Period
Annualize
d Raise %
Increase
% In Total
Comp
Hire
Date
Review
Date
Last
Review
Mo's @
Current
Contribution
Rating
Growth
Rating
Commission/B
onus Plan
Participant Notes
- #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
- - #DIV/0! - 0.00% - - - #DIV/0! #DIV/0! 0.0 0.00 0.00
Manager Approval: ____________________________________________ Date: ________________________________________
President Approval: ____________________________________________ Date: ________________________________________
Reid Jackson
2005 2006
Projected Total
2005
Compensation
2005
Bonus as
a % of
Base
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Guidance Parameters
• Cost of Living Basis: 3%
• Target average increase: 5.50%
• Target ceiling increase to annual salaries:
$285,000
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Target Raise %
by Growth and Contribution (@ COL = 3%)
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Distribution of approved raises by
percent increase.
Cost of
Living =
3.00%
1%
Belitsky, Hilary
Beth
Rao, Vikas
Chennupati,
Sreenivasulu
Gorgon,
Christopher
Araneda,
Alberto
Shifflet, Stacie Muccio, Andrew
Boppana, Gopal
Chandrasekar,
Sam
Cole, Lori
McDonald,
Mary
Moran, Dana
Pateria, Rajne
Powell, Sandy
Donfor-Chen,
Lorraine
Scalia, Phil
Kellier,
Antionette
Costa, Fred
Curtis, RyanHoverman,
Bruce
Le, Quang
Eleazer, Angel
Thomas, Alan
DiGiammarino,
Peter
Mann, Katie
Foreman,
Tamaira
Lesoine,
Thelma J
Kho, Heather
Jumblatt, Linda
Nguyen, Ben
Fung, GuokJackson, Reid
Chu, James S
Brown, Laura
Mosson, Tracy
Woodson,
Melanie
Cederborg,
Kristin
Cooley, Hector
Vassanta,
Ramarao
Ward, Kelvin
Williams, Louise
2% 3% 4% 5% 6% 7% 8% 11%10%9%
% Raise
Compusearch Software Systems, Inc.
July 2006 Raises by Percent
Average
Annualzied
Raise = 5.6%
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