Background of Talent Mangement
Though the definition of Talent Management may vary from vendor to vendor or from one analyst firm to another, mostly Talent Management functions constitute of recruiting, learning, performance management, career and succession planning, and compensation management.
Though various individual components of talent management have been there in the marketplace for an extended period, the market for talent management has developed in the past ten years as one cohesive incorporated and well-connected function.
Despite the fact that Compensation solutions are available in the market for some years, but this module probably is the most underdeveloped one of all of the Talent Management Modules.
This is also among the newest among the various Talent Management offerings in the industry. Historically, compensation analysts have relied upon spreadsheets with few, if any, tools for supervisors.
Changing face of Compensation Management
For an extended period, Compensation was mostly a standalone process, but now organizations are expecting it to have an impact on strategic activities like performance and retention.
From being a mostly manual purpose, the current day compensation is powered by Big data and insight based analytics that helps the compensation analysts and director to plan, forecast and predict the future and present scenarios for business.
Mobile and collaboration are the two other areas where the compensation management function has come a long way.
Five best practices in selecting your next Compensation Management solution
It is essential for an organization to select the right solution for their Compensation Management.
Here are a few objectives that can help organizations who are looking to change their existing Compensation solution:
- Do an HR Health Check to assess your organization’s talent culture and maturity.
- Focus on Total Compensation Management (TCM)
- Give high importance to Compensation Analytics and its ability to create what-if scenarios.
- Excellent UX and should be mobile ready.
- Think how Compensation Management can be part of the big talent picture.