Developing Compensation, Benefits, & Job Design to Achieve Strategic HR Goals

Edward B. Villanueva

Dr. Paul Brower

Strategic Human Resource Management

June 16, 2013

Human Resource Strategy and Compensation Choice:

• Committed Expert • Long-term relationship is desired.

• Variable Pay

• Incentives for continued development

• Meet the Market Strategy (Base Pay)• Comparable to other Atlanta based firms with

similar industry backgrounds.

• Meets national median average according to O*NET

Gathering Base Pay Requirements:Local vs. National Medians

$47,000 ATLANTA MEDIAN

$55,800 NATIONAL MEDIAN

Benefits Overview

• Organizational Discretionary Benefits• Health care

• Dental

• Vision

• Life

• Retirement (401k)

• Health and Wellness

• Subsidized Commuting

• Professional Development Benefits and Incentives• Professional Affiliation Fee Allowance

• Recertification Allowance

Employment Status

• Professional Employee• Exempt Status

• PHR Certified – Helps ensure HR practices are up to date.

• Professional Exemption – HRIS skills and HR knowledge requires specific training gained through specialized education.

• Leveraging employee’s knowledge.

• Brings specific skill-set to the organization. Source: http://www.hrci.org/phr/

Reducing Overtime and Balancing Workload Mitigating the need for Overtime

Exempt employees receive no overtime.

Maintaining the 40 hour work week.

Overtime will occur occasionally but will be mitigated.

• Tools for reducing the need for overtime1. ADP HRIS Provides Self Service Portal

1. Reduces HR Secretary interaction with customers.

2. Job design identifies key tasks and expectations

1. Provides clear work path for employee.

2. Reduces the need for to work beyond 40 hour work week.

Enhancing Performance

• Onboarding • Introduce to key personnel such as Directors and Executives.

• Training• HRIS Fundamentals (Review)

• Business Procedures and Policies Training

• Scheduled Feedback During 90 Period• Bi-weekly one-on-one feedback session with HR Director

• Setting Clear Expectations Through Job Design• Disambiguate the position and what HR secretary is and

isn’t responsible for.

Enhancing Performance:Job Design

Onboard

Train

Set Goals

Provide Feedba

ck

Expectations

Job Tasks Identified

Job DesignClarified Expectati

on

Measurable

Performance

Enhancing Motivation

• Regular Goal Setting • Measurable Results

• Realistic and Achievable Goals

• Encouraging Personal Mastery• Use of Discretionary Benefits

• Professional Fees Allowance encourages professional affiliation with SHRM or ASTD

• Professional Certification Allowance encourages personal commitment to career and reduces the burden of paying for fees personally.

Sustainable Employee Motivation

Identify Opportunity

Develop Plan to Resolve

Issue

Set GoalsCoach

Analyze Outcomes

Identify opportunities for the employee to constantly set goals. Coaching and measuring results will ensure employee is motivated to handle new tasks.

Government Regulations on Compensation• FLSA Compliances

• HR Secretary is identified as Professionally Exempt

• Brings specific skill to organization

• PHR requirement indicates specialized training and or experience relevant to the position.

• Also falls under Administrative Exemption

• Office worker with no manual labor tasks.

• Exercises discretion and judgment when dealing with HR related issues when HR director is absent.

• Exempt from Overtime Pay

• Discussed earlier were strategies that will mitigate the need for secretary to work beyond regular work week.

• Pay is above minimum wage

• Regular full time employee

• Organization automatically deduct federal deductions: Social Security, Federal Income Tax, State Tax, and Medicare.

Industry Comparable Packages

• BLS National Salary Average for HR Specialist

• Source: http://www.bls.gov/ooh/Business-and-Financial/Human-resources-specialists.htm

• Competitive Advantage by offering Other Discretionary Benefits that not many other private companies offer to their employees.

• Source: http://www.bls.gov/opub/ooq/2005/summer/art02.pdf

Aligning with HRM Strategy

Organizational Strategy Identified:1. Committed Expert2. Retention 3. Developing Subject Matter

Expertise to Increase Organizational Effectiveness

Compensation and Benefits Characteristics. 4. Meet-the-Market Salary with

Discretionary Benefits5. Investment in Employee

Training and Development6. Commitment to Personal

Mastery Through Professional Fee Allowances.

Alignment

Committed Expert•Compensation and Benefits Package Encourages Long Term Relationship

Building Subject Matter Experts •Encourage professional affiliation through allowances

Retention •Merit based pay allows for growth through goal setting and performance management.

Developing a Competitive Advantage With a Medial Salary Model Through Benefits

Compensation Benefits

Comprehensive Insurance

Health and Wellness

Professional Development

Retirement

National Average

Meet the Market