CHALLENGE
Motivating Employees with Clear and Accurate Compensation Communication
BNP Paribas was in search of a compensation solution to enable improved performance by aligning its employees with the organizational strategy. This meant that it needed a solution that would provide clear communication about compensation for all employees, something that was difficult to do with an in-house developed solution. The company also needed to manage complex long term incentive (LTI) processes, including deferred bonus and equity management processes for 20,000 employees.
BNP Paribas Personal Investors additionally had to meet internal and external compliance initiatives such as to comply with the Alternative Investment Fund Managers Directive (AIFMD) Remuneration Guidelines.
SOLUTION
Transparent, Compliant Compensation Processes
With beqom's Total Compensation Management software, the BNP Group manages executive compensation, deferred bonus and equity management processes, all within one integrated platform, ensuring that compensation processes are transparent and compliant with regulatory guidelines. The ownership of the beqom solution is in the hands of the business users, enabling BNP Paribas to simplify and administer complex compensation processes with flexibility and agility.
Employees can simulate their future LTI plan value by entering a virtual stock price. Managers can control compensation spending for investment managers, with the system calculating theoretical commissions that can then be adjusted by managers based on budget envelopes.
BENEFITS
Increased Employee Engagement with Controlled Costs and Reduced Risk
By adopting a unified approach to compensation, BNP Paribas has benefited from:
- Cost savings by improving employee productivity and process efficiency.
- Compliant processes that reduce risk, ensure fairness, and avoid costly regulatory fines.
- Full transparency in compensation processes across all levels of the organization.
- Improved engagement, motivation and clarity around goals.
