Web based compensation planning

Assalammualaikum everyone! Now is the time for the reflection and my review of web based compensation planning. The logic might be easy to understand, but implementing this system requires a lot of effort and time. To standardize the multiple pay for one integrated compensation system is rather difficult. This application enables the organization to distribute and collect the data that involves compensation plan. It is designed to streamline all the data about the compensation planning.In addition, the company used Microsoft Excel to manage their compensation plan in the early days, but the system cannot manage a suitable budgets and financial model, where it becomes a failure to solve problems efficiently.

Nowadays, web based compensation is a must for an organization to manage their compensation plan. It is applied as a tool that can help fixed compensation, variable compensation and stock compensation. Example of software is PeopleSoft, where it can help defining standard rewards rules and identify the connection of rewards to job, grade and department. 

Moreover, the My SAP HR application also provides the management with the ability to design and implement innovative rewards plan. Furthermore, the organization will be depending on the HRIS to provide information of the employee in order to plan their compensation plan. It is based on the record of the employee on how are their performance and their contribution towards the organization. This application will ease the manager to maintain equity, and to link compensation with the strategic management of the organization. Manager also can view the individual performance rating online and increase the merit. Compensation system planned by the organization will show the appreciation towards employee achievement and encourages the employee to stay in the organization.
Dr.Roya says that it can help prepare the budget for salary planning, level of salary increase, performance evaluation, bonus allocation and rewards. In making decision, this system acts as a support to provide the accurate information. This will help the manager to decide on who should be promoted or what rewards should be given to the employee. This application can be accessed any time, to get information about compensation, salary where it is beneficial for both manager and employee. The application is also time saving because, the employee can get any feedback and information, without waiting for too long. The organization should practice this system to make sure the process of compensation planning is effective.

(400 words) 

 References:

1. Jerry T. Edge, Michael L. Davis, (2004), Executive Compensation: The Professional's Guide to Current Issues & Practices, Windsor Professional Information, United States of America.
2. Igi Global, (2011), Enterprise Information Systems: Concepts, Methodologies, Tools and Application, Information Science Reference, United States of America
3. Hal G. Gueutal, Dianna L. Stone, (2005), The Brave New World of eHR: Human Resources in the Digital Age, Jossey-Bass, United States of America