Salary structure bench marking, Salary Survey

by, yogesh mhatre 31

nikita purav 43

yogita gorule 17

manali tarkar 20

Benchmarking

Benchmarking is the process of identifying, understanding &adapting outstanding practices from organizations anywhere in the world to help your organisation improve its performance

Gregory B Watson

Salary structure benchmarking

Companies today are benchmarking the salary packages provided to their people. This helps them to motivate their employees & retain best people within their company

It is done through range of salaries, companies annual report, informal contacts & other forms of market intelligence

Purpose of salary structure benchmarking:-Pay the employee as good as any other Organization Motivate the employees to work with almost loyalty To retain the best workforce within the Organization Compare the pay structures of other organizations

for the same job Review the salaries when needed

Types of benchmarking

Internal benchmarking

External benchmarking Process benchmarking

Steps in benchmarkingprocessPlanning

Analyzing Integration

Action

Maturity

In Planning stage:- Identify who is to be Benchmarked &

determine the data Collection method. In Analyzing stage:- Determine the current Salary structure

of target companies & Set future plans of your company.

 In Integration stage:- Communicate the findings & Gain

acceptance from deciding Authorities.

In Action stage:- Implement the revised salary structure

& monitor the response through employee satisfaction survey. Recalibrate benchmarks if needed.

 In Maturity stage:- Newly invented Salary structure are

fully integrated into the process. Accordingly salary is provided for the newly hired people too.

Broader ways of salary structurebenchmarkingCompetitors benchmarking:- Salary structure benchmarking of one

company with that of its market competitors Neighbours benchmarking:- Salary structure are benchmarked

among the neighbourhood companies. Employees may shift to

companies which located nearby locations

Advantages of benchmarkingIt involves performance comparison with the

best in the industry It enables the organisation to incorporate

creatively the best practices from any industry

It helps the organisation to meet the requirements of the end user.

It helps in establishing quality goals & true measures of productivity

It facilitate changes It helps in attaining a competitive edge.The interactions of professionals with

benchmarking facilitate future professional growth.

This will be more useful to the organisations in future assignment.

Pitfalls of benchmarking Lack of focus and priority  Lack of commitment on the part of management  Failure to consider customer requirements  Incompetent leadership  Lack of proper planning  Not involving the staff in the program  Conflicting objectives of the organisation & those of benchmarking

partners  Lack of adequate resources & facilities

Requirements for successfulbenchmarkingUnderstand your own company's processes &practices

thoroughly Select the best companies for benchmarking

Focus on the best practices Share companies with the companies selected for Benchmarking Involve concerned people in benchmarking Use benchmark regularly Be willing to change

SALARY SURVEYInformal Surveys:May be conducted through telephones and

informal interviews. Formal salary survey:It uses questionnaires based on the

benchmark jobsThat are also present in other companies

and industries.

Steps In Conducting Salary Survey 1. Defining the Labour Market 2. List of Key Job position  3. Detailed Description of Jobs  4. Collection of Salary data  5. Compilation off Salary data  6. Results Survey

The following are the steps in Conducting the SurveyDefining the Labour Market

>Establishing the boundaries of the pertinent labour market is the most critical step in the survey procedures. It involves the selection of the industry, the region or area, or the firm to be included in the survey.

 List of Key Job Position Common to Most Firms

>This will ensure a representatives sampling of the jobs. >Selected as universal for a particular salary survey. 

Detailed Description of Jobs>Key jobs are the labor grades that are

comparatively stable in duties and responsibilities. These are occupations that are common in most industries and scattered through the ladder of labor classification and commonly familiar to most people in the industry.

Collection of Salary Data>This may be done through a set of questionnaires

and supplemented by interviews to get the accurate information. The information must be able to pinpoint the problem area that has to be addressed by the compensation structure and the terms of payment plan.

Compilation of Salary Data>The data gathered will provide management with

the opportunity of arriving at the arithmetical average , the median , and the rage rate paid and the supplementary wage data.

 Presentation of Result Survey>From here the results are properly evaluated and

the HRD prepares the corresponding recommendations to the management of the most appropriate action to take relative to the revision of the current wage structure . Participating companies are also provided with the summary of the findings to foster continuous cooperation.

Compare Employers: Assistant Manager, Customer Service at Air India

Air India Thomson Reuters

TATA CONSULTANCY SERVICES LIMITED

Compensation

Salary Rs 247,357 - Rs 857,877

Rs 261,860 - Rs 945,380

Rs 340,169 - Rs 879,701

Bonus Rs 2,915 - Rs 39,592

Rs 16,897 - Rs 198,938

Rs 13,157 - Rs 115,097

Total Pay Rs 266,539 - Rs 893,479

Rs 289,860 - Rs 1,079,268

Rs 356,548 - Rs 940,888

Salary survey of flight dispatcherJob: Flight Dispatcher Salary by Years

ExperienceYears ExperienceNational Salary Data 

1-4 years 6 salaries Rs 235,832 - Rs 610,419 

  5-9 years 6 salaries Rs 294,791 - Rs 1,013,295 

Country: India | Currency: INR | Updated: 13 Nov 2013 | Individuals Reporting: 18

Companies and Industries for Flight Dispatcher Salaries

Popular Industries Salary RangeCommercial Aviation or AirlineRs 218,084 - Rs 1,354,469

Key Statistics for Flight Dispatcher Salaries and JobsYears of Experience Less than 1 year 11% 1-4 years 33% 5-9 years 33% 10-19 years 17% 20 years or more 6%

Salary survey of aircraft mechanic

Job: Aircraft Mechanic / Service Technician Salary by Years Experience

Years ExperienceNational Salary Data 5-9 years 6 salaries Rs 318,374 -

Rs 732,503 10-19 years 5 salaries Rs 420,000 -

Rs 1,080,000 Country: India | Currency: INR | Updated: 11

Nov 2013 | Individuals Reporting: 16

Companies and Industries for Aircraft Mechanic / Service Technician Salaries

Popular Industries Salary RangeCommercial Aviation or Airline

127,857 - Rs 1,312,070Aircraft Maintenance Services

Rs 111,007 - Rs 981,201Key StatisticsYears of Experience1-4 years 25%5-9 years 38%10-19 years 31%20 years or more 6%

Survey comparisonAir India typically

pays its employees -12% below market

Similar employers pay their employees:-1%

below marketSimilar companies

include: Thomson Reuters, 

TATA CONSULTANCY SERVICES LIMITED