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8/12/2019 SSTL Compensation Band Analysis
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Presented By
Contents
Our Compensation Philosophy
Market Reality
Current Compensation Analysis | Methodology
Key Findings
Critical Analytics
Suggestions
Cost Impact
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Benchmark to appropriate/comparable markets, i.e., external equity
Reconcile internal equity for job slotting
Remain attractive and competitive employer w.r.t compensation
Remain legally compliant
Remain objective with reduction in subjectivity
Build trust and buy-in from stake holders
Objective of Compensation Analysis
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Current market reality w.r.t. compensationIndia
Telecom industry in India is under hyper growth phase.
New telecom operator e.g. Telenor, Etisalat and Datacom are planning pan-India launch of their GSM mobile
services.
These service providers are having great demand for trained telecom professionals
Compensation in telecom industry in India, according to preliminary studies is set to grow
approximately by 10-12% in the sectors of telecom, FMCG and banking
Overall Indian economy is showing strong trends of growth.
Reported in Nov. 2009, Gross Domestic Production (GDP) register growth rate of 7.9%
As per estimates the GDP growth rate would remain around 7.5%
The talent shortage continuesCompanies are experiencing difficulty finding key talent with the
right mix of skills and experience to fit with their organization.
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Presented By
MTS India Compensation Philosophy
Efforts will be recognized & resultswill be rewarded.
Employees with the greatest level of performance receive the greatest rewards in pay.
By linking pay opportunities to clearly outlined individual performance objectives, we offer every
employee an equal chance to succeed.
Consistency of tenure along with performance would additionally be rewarded
Our compensation programs are globally focused, locally competitive.
We will follow competitive pay philosophy.
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Increment level
Positioning of Compensation is based on the Performance of incumbents in unique positions
Performance score Exceptional Superior Successful Minimal Successful Unsuccessful
Market Positioning 90 percentile 75 percentile Median 33 percentile 25percentile
Compensation Positioning :
Top performers will be targeted at 90th percentile Superior performers to be placed at 75thPercentile
Successful raters (Solid performers) will be targeted at 50th percentile.
Move through pay scales based on:
Performance
Competency acquisition
Market scarcity
Attraction rate
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CxO
Performs predefined tasks of moderate to high level of complexity.
Requires technical qualifications and skills to undertake assigned tasks.
M ay have some people management responsibilities
Responsible for a team and/ or a process in entirety. Responsibility of defining sub-
tasks himself.
Requires high technical qualifications and skills. Responsible for people management Responsible for a processes/ sub-functions within a departmental unit. Performs tasks
of moderate complexity.
Requires basic managerial skills to successfully accomplish tasks.
Responsible for a vertical within Department / business unit or handles a part ofdepartment.
Responsible for verticals/ functions within small business units. Performs tasks of
high complexity.
Responsible for a unit / function/ department dedicated to a large business unit.
Directly responsible for profitability or growth targets of the functional unit.
Responsible for an entire line of business.
Shape the Strategy and Operating plan,
Wholly accountable for growth, cost efficiency, profitability and sustainability of the
line of business or group of businesses / service. Responsible for people management
Sr. Executive Director
Executive Director
Sr. Specialist
Specialist
Associate specialist
Graduate xxx Trainee
Sr. Lead
Lead
Deputy Director
Assistant Director-
Director
Associate Director
Band structure
OperationalStaff
Group
Division
Department
Function
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COMPENSATION ANALYSIS
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Methodology of Current Compensation Analysis
Current analysis of compensation level of MTS India viz a viz market is based on the compensation
benchmarking data of June 2009 (Benchmarking report shared by competition who got the
benchmarking done in June2009)
Compensation data include only the total cost to company including bonus/PLI but does not include
any LTI or ESOP plan and incentives over and above cost to company.
Comparator organization include companies from telecom, FMCG and banking space i.e. either from
where we source our talent or to the sector where we loose our talent.
The compensation analysis is done on the basis of organization levels / grades represented by
designations/ titles.
Level equivalence has been established by validating the positions profiling in the comparatororganizations levels.
8/12/2019 SSTL Compensation Band Analysis
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MTS present compensation has been compared Hewitt Benchmarking report (2009)
Comparator CompaniesHewitt StudyYear 2009
http://images.google.co.in/imgres?imgurl=http://komplettie.files.wordpress.com/2009/07/vodafone-logo.jpg&imgrefurl=http://komplettie.wordpress.com/2009/07/22/bt-hands-off-to-vodafone/&usg=__PqWhWleAR419hJg7OXwqpv4zi7U=&h=400&w=400&sz=41&hl=en&start=4&um=1&tbnid=Uw1_eQJTb7xAmM:&tbnh=124&tbnw=124&prev=/images%3Fq%3Dvodafone%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.empireofthekop.com/anfield/wp-content/uploads/2009/09/standard-chartered.jpg&imgrefurl=http://www.empireofthekop.com/anfield/%3Fp%3D3523&usg=__GWcGJcnSeYA0J8c6uGwmri7znNo=&h=193&w=193&sz=8&hl=en&start=3&um=1&tbnid=jwzArSkucekWZM:&tbnh=103&tbnw=103&prev=/images%3Fq%3Dstandard%2Bchartered%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.amazingskies.org/Images/PepsiLogo2.jpg&imgrefurl=http://www.stormfront.org/forum/showthread.php%3Ft%3D555676%26page%3D4&usg=__JUw3j_TBGk3yVw9VKP4MO3aS7oE=&h=393&w=466&sz=46&hl=en&start=3&um=1&tbnid=gOJs2fhpjKOZ8M:&tbnh=108&tbnw=128&prev=/images%3Fq%3Dpepsi%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://erictric.com/wp-content/uploads/2009/10/nokia-logo.jpg&imgrefurl=http://erictric.com/tag/nokia&usg=__X-VR8D1JBXNkJI9BYg4rOSGlma4=&h=300&w=440&sz=81&hl=en&start=4&um=1&tbnid=rSik1mEwbQUEyM:&tbnh=87&tbnw=127&prev=/images%3Fq%3Dnokia%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.chaaps.com/wp-content/uploads/2009/08/idea-cellular.gif&imgrefurl=http://www.chaaps.com/how-to-check-balance-reliance-gsm-tata-docomo-aircel-airtel-bsnl-vodafone-idea-bsnl.html&usg=__tl04PbQJTLL1bVAhUwsm3fI2lFs=&h=123&w=200&sz=5&hl=en&start=4&um=1&tbnid=BAMRgcDYKID82M:&tbnh=64&tbnw=104&prev=/images%3Fq%3Didea%2Bcellular%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.gurukulonline.co.in/images/icici.jpg&imgrefurl=http://www.gurukulonline.co.in/verticals-mandatory-training.html&usg=__HbO4Cuu9df3z8fJgg9BFl38dZdg=&h=160&w=200&sz=22&hl=en&start=4&um=1&tbnid=oRbMIlj1J2UTpM:&tbnh=83&tbnw=104&prev=/images%3Fq%3DICICI%2BPrudential%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://userlogos.org/files/logos/logonub/icici_logo.png&imgrefurl=http://userlogos.org/node/4969&usg=__YodWQ0QQdHotnLePIDI5fAycMtI=&h=225&w=300&sz=24&hl=en&start=6&um=1&tbnid=rXnqiFIiaxl_yM:&tbnh=87&tbnw=116&prev=/images%3Fq%3DICICI%2BBAnk%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.topnews.in/files/HSBC-Logo.jpg&imgrefurl=http://www.topnews.in/hsbc-acquire-73-21-stake-il-fs-investmart-242805&usg=__bMH01a0LI_svSCTrjld-PERd_d4=&h=150&w=200&sz=2&hl=en&start=5&um=1&tbnid=FGH7RoE7CGNnfM:&tbnh=78&tbnw=104&prev=/images%3Fq%3DHSBC%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.networks2008.org/data/upload/image/Patrons/ericsson_logo.jpg&imgrefurl=http://www.networks2008.org/patrons&usg=__oBrlsuvNRSt1xAle5k2i0lCuw58=&h=1050&w=2160&sz=107&hl=en&start=5&um=1&tbnid=F-7DOcy2Ii07TM:&tbnh=73&tbnw=150&prev=/images%3Fq%3DEricsson%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.london2012.com/news/archive/2008-10/cadbury-logo.jpg&imgrefurl=http://www.london2012.com/news/archive/2008-10/cadbury-becomes-official-london-2012-supporter.php%3Fmailpage%3D1&usg=__ceNXz4Wfa-CvjD07wYeJfoEwv_k=&h=185&w=340&sz=25&hl=en&start=2&um=1&tbnid=x1Mu3lSPZgjaCM:&tbnh=65&tbnw=119&prev=/images%3Fq%3Dcadbury%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://www.techshout.com/images/bharti-airtel-logos.jpg&imgrefurl=http://www.techshout.com/internet/2008/22/airtel-launches-zero-side-effect-offer-for-broadband-users-in-south-india/&usg=__PsucgXQHIxOPFOxJwEPF1Opr-qk=&h=200&w=320&sz=21&hl=en&start=9&um=1&tbnid=E8dSBNpawk9Y1M:&tbnh=74&tbnw=118&prev=/images%3Fq%3DBharti%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26um%3D1http://images.google.co.in/imgres?imgurl=http://1.bp.blogspot.com/_1pKvii0Z9Cs/RfvYUUHiqeI/AAAAAAAAAfE/JDREwCr0GvA/s200/asian_paints_31082006_8.jpg&imgrefurl=http://marketingpractice.blogspot.com/2007/03/asian-paints-every-color-tells-story.html&usg=__U3AydRUlCcEUz27GjrUMklU7Gis=&h=143&w=200&sz=7&hl=en&start=4&um=1&tbnid=Rg6TKkGe-nBvyM:&tbnh=74&tbnw=104&prev=/images%3Fq%3DAsian%2BPaints%2Blogo%26hl%3Den%26rlz%3D1R2ADBF_en%26sa%3DN%26um%3D1http://images.google.co.in/imgres?imgurl=http://archives.chennaionline.com/events/Business/2004/images/Henkel.jpg&imgrefurl=http://archives.chennaionline.com/events/Business/2004/02henkel.asp&usg=__E9SXK-YU8CqBwHWKU_pjozT8UDg=&h=142&w=200&sz=5&hl=en&start=4&tbnid=XBISTnfx4q_aAM:&tbnh=74&tbnw=104&prev=/images%3Fq%3DHenkel%2BSpic%2Blogo%26gbv%3D2%26hl%3Den8/12/2019 SSTL Compensation Band Analysis
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Findings of Current Compensation Analysis
Compensation levels are maintained at par or ahead of market levels for most of the levels.
For Director compensation level is at 75thpercentile of Market compensation.
For the frontline positions, MTS compensation is lagging behind the market either at
minimum level or 25thpercentile
For the circles launched in first phase (TN, Kerala, Bihar and West Bengal) compensation
levels are generally low.
Circles launched / planned in later half of the year (Delhi , Karnataka and Mumbai )
compensation levels are as per market median.
8/12/2019 SSTL Compensation Band Analysis
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S. No. Level / Title MTS India
Market Median
Salary
(INR 000 pa)
MTS Median
Salary (Overall)
(INR 000 pa)
MTS Median
Salary (CC)
(INR 000 pa)
MTS Median
Salary (All Circles)
(INR 000 pa)
Median Salary
(Circle - w/o Raj)
(INR 000 pa)
1 Director 4433 5293 5500 5034 5034
2 Associate Director 3368 3200 3371 3200 3280
3 Deputy Director 2568 2520 2916 2200 2300
4 Assistant Director 1906 1896 2200 1750 1770
5 Sr. Lead 1369 1427 1619 1271 1350
6 Lead 823 950 1000 921 960
7 Sr. Specialist 547 550 562 550 600
8 Specialist 384 307 415 302 374
9 Associate Specialist 282 160 254 157 220
Compensation levelmaintaining at par or ahead of market levels for most of the levels.
For the frontline positions we are lagging behind the market.
MTS India Overall Compensation analysis
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MTS Org Unit Level
Market
Median
MTS
Median CC MUM DELHI KTK TN KERALA WB BIHAR RJ
Director 4402 5293 5293 5500 4569 4500 4569 0 0 0 0
Associate Director 3368 3200 3300 3300 3200 3000 3240 3280 3027 2916 3300
Deputy Director 2560 2520 2650 2225 2800 2530 2300 2300 2934 2760 2100
Assistant Director 1906 1896 1900 1800 1800 1900 1900 1710 1896 1896 1720
Senior Lead 1362 1427 1441 1450 1368 1429 1500 1495 1400 1372 1133
Lead 823 950 984 1216 900 966 1000 923 882 876 920
Senior Specialist 544 550 550 583 562 551 580 600 580 539 550
Specialist 384 307 321 398 360 370 330 330 352 325 315
Associate Specialist 251 160 288 263 202 250 155 200 216 200 163
Circle wise compensation level analysis
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8/12/2019 SSTL Compensation Band Analysis
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Median Compensation across levels is less than market median
Amount in INR 000
MTS India Overall Compensation levelGap analysis
MTS Org Unit Level
MTS
Median
Market Compensation Benchmarks MTS Median % Deviation from Market
Min P 25 Median P 75 P90 Max Min P 25 Median P 75 P90 Max
Director 5293 3850 4133 4402 5188 5624 6943 37% 28% 20% 2% -6% -24%
Associate Director 3200 2457 3186 3368 3730 4055 4256 30% 0% -5% -14% -21% -25%
Deputy Director 2520 2263 2423 2560 2887 3286 3886 11% 4% -2% -13% -23% -35%
Assistant Director 1896 1408 1728 1906 2128 2538 2975 35% 10% -1% -11% -25% -36%
Senior Lead 1427 902 1089 1362 1547 1734 1891 58% 31% 5% -8% -18% -25%
Lead 950 646 719 823 1042 1161 1168 47% 32% 15% -9% -18% -19%
Senior Specialist 550 361 489 544 616 728 774 52% 12% 1% -11% -24% -29%
Specialist 307 238 317 384 445 512 530 29% -3% -20% -31% -40% -42%
Associate Specialist 160 152 206 251 295 320 339 5% -22% -36% -46% -50% -53%
8/12/2019 SSTL Compensation Band Analysis
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Recommendations and suggestions
Analysis of trend depicts that there is a need to carry out detailed compensation benchmarking exercise
specific to MTS Levels and positions.
Present trend shows that salary corrections could be carried out at least for frontline position to bring
salaries closer to the median. While making changes, it is recommended that we consider following
points :
Recruitment plans and the ease of recruitment for the requisite skill set.
Identification of mission critical functions / levels / positions
Identification of high performance and high potential (HIPO) professionals
Provide for additional budgets to manage issues of internal equity and ensure development and
implementation of salary bands to manage future internal equity.
Compensation corrections should be linked to retention plan.
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Thank You
ANALYSIS FINDINGS MTS INDIA Vs THE MARKET
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ANALYSIS FINDINGSMTS INDIA Vs THE MARKET
OVERALLCC AND CIRCLES INCLUDING RAJSTHAN
Level No of Observations Below Market Median Above Market Median
No. %age No. %age
Director 24 6 25% 18 75%
Associate Director 44 25 57% 19 43%
Deputy Director 47 25 53% 22 47%
Assistant Director 106 58 55% 48 45%
Senior Lead 151 67 44% 84 56%
Lead 220 70 32% 150 68%
Senior Specialist 446 212 48% 234 52%
Specialist 559 366 65% 193 35%
Associate Specialist 295 257 87% 38 13%
MTS Median___
Mkt. Min.____
Mkt. Max._____
Mkt. Median___
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
Asso.Specialist
Specialist Sr. Specialist Lead Sr. Lead AssistantDirector
Dy. Director Asso.Director
Director