Many companies in Asia and indeed globally have some form of incentive or bonus scheme, but many are based either on years-of-service or seniority or company performance, with little or no recognition of individual performance. In an increasingly competitive environment, when you want to attract and retain the best individual employees and high-performers, these methods of paying for performance may be unsustainable in the long-term and other approaches to variable pay and bonuses and incentive schemes may be necessary.
The aim of this course is to show you how to develop practical bonus schemes, incentive schemes and variable pay policies that meet the needs of the business, while allowing you to attract, motivate and retain good quality employees. Most employers want to ensure that they can “attract, retain and motivate” the best employees and teams, and this course will cover the key areas in the overall compensation and benefits package that enable employers to adopt best-practices and help them compete more effectively in the war for talent whilst achieving optimal cost-effective performance for the employer.
Numerous forms of variable compensation, and incentives and benefit plans, provide employees with the opportunity to earn higher pay where performance can merit. You will explore the different types of variable pay and incentive plan options available including variable pay as a total remuneration strategy, and both short and long term incentive plans and options. You will also cover key trends in both the Asia and global compensation and benefits marketplace for employees, and learn how to use the overall remuneration package more effectively to manage employee performance and achieve better business results through a more effective approach to the compensation and benefits programme.
This course will provide you with information and guidance on how to develop practical incentive schemes to meet the needs of your business. You will have the opportunity of designing and implementing various incentive schemes, as well as sharing ideas and experience. You will work on typical incentive scheme problems and issues, including actual issues and problems that are identified by the delegates during the course.
Key Benefits of Attending
Who Should Attend?
This course is designed for everyone who requires an in-depth knowledge of working with and managing salary structures and compensation and reward issues, including all professionals and HR Generalists who work in HR at all career levels, and all reward and remuneration specialists who work in Compensation and Benefits, at all levels.
This course is designed for companies from all countries in Asia will and include the following case studies designed around best-practice companies based in Asia:
- Building the internal case for introduction/revision of a variable pay programme
- Selecting the most appropriate variable pay or bonus programme
- Designing the main dimensions of a bonus scheme or company-wide bonus programme
- Designing the main dimensions of a sales incentive plan (SIP) for sales staff
- The golden triangle of Reward Management (jobs, people and performance, and pay markets)
- Why is compensation and reward management important?
The Role of Variable Pay Schemes
- Types of variable pay schemes and current best practice in variable pay management
- How incentive schemes can be used to help achieve business goals
- Current trends on variable pay and incentives
Performance Management and The Goal of Linking Pay to Performance
- Establishing targets and measures
- Measuring and tracking performance (of the employee and the company)
- Reviewing and rating individual employee performance
- Next Generation Performance Management: The
- Death of Performance Appraisals
- Say Goodbye to KPIs and Say Hello to MSCs
Types of Incentive Schemes
- What is recognition versus incentive?
- Why have variable pay?
- Improved shareholder returns and employee retention
- Short-term incentives and annual bonus plans and SIPs (sales incentive plans)
Critical Issues For Incentive Schemes
- Linking measurement to business strategy and linking payment to performance
- Importance of ‘build-up then pay-out’ process
- Variable pay as a component of total remuneration strategy
Process For Designing Short-Term Bonus Plans
- The principal stages in designing an effective incentive scheme
- Selection of performance measures
- Funding the plan (build up)
- Determining target plan payment (pay out)
- Defining plan payout criteria
Bonus Scheme Designs and Alternatives For Short-Term Company- Wide Plans (Excluding Sales)
- What motivates an employee?
- Importance of build-up and then pay-out
- Gearing effects and bonus multipliers
- Individual plans, team plans, departmental plans
- Company-wide bonus schemes such as profit-sharing bonus
SIPs (Sales Incentive Plans) instead of Bonus Schemes (Only for Sales)
- What are SIPs (Sales Incentives Plans)
- When should an employee be in SIPs rather than Bonus?
- Designing SIPs (Sales Incentive Plans)
- The 10-step plan for designing successful SIPs (sales incentive plans)
- Understanding and Managing the Key Fulcrum Points for SIPs