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Technology

Revolutionizing Global Compensation Management: A Digital Transformation Story

03

Engineers

06

Months

60%

Increase in operational efficiency

Technology

Reactjs, Nodejs, GraphQL,

Services

Data Infrastructure Modernization

Location

Chicago, USA

Overview

A Fortune 200 company based in the US, employing roughly 91,000 people across 30 countries, sought TechVariable’s expertise to digitally transform its remuneration management system. The firm previously relied on Microsoft Excel and email, leading to inefficiency and lack of transparency. TechVariable developed a comprehensive, automated solution to streamline compensation management, addressing the company’s unique technical and business requirements.

Challenges

The existing compensation management system led to a series of problems, including:

  • Complex Compensation Calculations: The varying HR guidelines and policies across different countries complicated the compensation calculations, which must be updated manually.
  • Workload Spikes: During the busiest period from December to March, the HR team faced difficulties managing the overwhelming number of emails and manual updates on MS Excel.
  • Multiple Stakeholders: As the compensation management process involved numerous stakeholders, an extensive exchange of emails made finalizing the compensation structure a time-consuming process.
  • Lack of Transparency and Access to Information: Senior leadership had limited access to critical data such as budget allocation, money disbursement, and other related details for their regions, creating a transparency issue.

High Level Design Architecture

Solutions

TechVariable developed an automated, one-stop solution for managing compensation, addressing technical and business aspects.

  • In-depth Understanding of Business Logic: Our team delved deep into understanding the logic behind calculating bonuses, perks, and salaries across different business units, regions, and hierarchies. This knowledge was integral in building a comprehensive solution.
  • Custom Solution for Unique Business Requirements: After extensive discussions with the global HR head, technology leads, business analysts, and other leaders, the compensation system was split into two parts to accommodate the company's needs better:
  • Primary Salary: This represents a fixed, annual salary increment.
  • Performance Bonus: This is an increment based on the performance of the employee and the organization.

Result

  • Customized reports: Users at different hierarchical levels could view over 60 reports tailored to their geography for allocations and expenditures.
  • Unified Global Compensation System: The system could manage compensation for 91,000 employees across 30 countries by seamlessly adapting to regional requirements and guidelines, enhancing visibility, better planning, and streamlining the handling of geographical differences.
  • Increased efficiency: The HR team could handle workload surges effortlessly.
  • Hierarchical access authority: The system empowers users with hierarchical access authority to view comprehensive data on specific countries or business units and information on funds required and used across geographies, enhancing planning capabilities for future compensations.
Remuneration management system result image 1
Remuneration management system result image 2
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Remuneration management system result image 4

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