CHALLENGE
Attracting talent in a competitive market
Growth, diversification and the rising complexity of Randstad’s businesses demanded more flexibility, creativity and transparency in their compensation and benefits strategy. They needed to attract talent in an increasingly competitive and dynamic labor market. A “one-size-fits-all” compensation model would not suffice. Randstad Germany sought a standardized platform that would be easy to use and administer, yet flexible enough to accommodate diverse compensation models and special cases, handle complex hierarchies and matrix structures, and allow easy adjustments to react quickly to changes in the market. It also had to support demands for transparency, fairness, and the timely reporting and analytics required by many stakeholders, from employees to managers to works councils.
SOLUTION
Using bonus plans to drive results
Randstad selected beqom’s Total Compensation Management software to manage their various KPI-driven bonus processes, such as quarterly and annual team bonuses and individual bonus plans. The project was implemented quickly with high user acceptance and limited risks. The budget pool is determined based on profit and other weighted factors. Then the budget is allocated down through the organization and each manager can distribute their pool to their employees, according to performance criteria and manager discretion.
BENEFITS
Efficiency, accuracy, transparency
As a result, Randstad:
- Automated a complex process, saving time, enforcing consistent rules, and increasing accuracy.
- Provided employees with transparency, and a self-service way to see how their bonus is calculated.
- Can handle multiple complex bonus plans and cycles using the same staff, and make adjustments as needed.
- Has a future-proof solution that can handle further automation such as annual salary review.
