First Gen. HR Transformation was focused inward: finding ways to control and deliver existing HR admin services more efficiently. The Next Gen. of HR Transformation will look outside the function to help companies achieve their desired results and Growth in an environment where competition is Global and talent is scarce.

2. INTRODUCTIONS
Provision of Traditional Benefits, under which a similar set of benefits are offered to all
Employees, is dominant in the competitors.
However, such a benefits design has a limitation – employers can not select the
benefits they value the most and are provided with a “ one-size-fits-all-solution.”
In view of the fact that EMPLOYERS spend a substantial amount of money on benefits
provision, there is increasing pressure on HR Manager to deliver a more value –
effective benefits design.
It provides a better over costs, improves employee perception of benefits and thus
contributes towards furthering employees, total reward satisfaction and ENGAGEMENT.

3. WAGE SYSTEM : OVERVIEW

4. WAGE SYSTEM : OVERVIEW
W/P
Time
E
W
/P
W*
/P
b c d
N*
IU : In-voluntory Unemployment
VU : voluntory Unemployment
SN – Supply of Labor

5. BASIC RULE : COMPENSATION MANAGEMENT

6. FUNDAMENTAL : WAGE MANAGEMENT
1. Right for the Company
A. Labor Market ( Industry, Competitors )
B. Policy
C. Ability to Pay
2. Right for Staff
A. Pay for what he does ( job value )
B. Pay for how he does ( performance )

7. FUNDAMENTAL : WAGE MANAGEMENT

8. FUNDAMENTAL : WAGE MANAGEMENT
SalaryStructure
Range
RangeSpead
Overlap
MPProgressionRate
MP15,000บ.
Max20,000บ.
Min10,000บ.
Max28,000บ.
MP21,000บ.
Min14,000บ.

9. FUNDAMENTAL : WAGE MANAGEMENT
For Example :

10. FUNDAMENTAL : WAGE MANAGEMENT
For Example :

11. CONCEPTUAL : MERIT INCREASE
By Salary Structure :
- Compa – Ratio
- External Compa – Ratio
- Internal Compa - Ratio
ECR = Base Salary / Mid Point (MKT) ICR = Base Salary / Mid Point (Firm)

12. MODEL
Pay Line : NEW
Pay Line : Old
Salary

13. KEY SUCCESS : MERIT INCREASE
1. Policy
2. Data Management
3. Communications
4. Follow Up Plan
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