Why choose Ortexia's Compensation Strategy and Design services?
To decide what to pay their employees and to offer benefits, organizations need a rational methodology, not a hit-or-miss or trial-and-error approach. At Ortexia we establish a system for analyzing your marketplace and deriving a reasonably competitive compensation system that matches your organisation’s positions. Based on our experience we can help you to take one of the three below compensation approaches to determine how competitive you want to be.
We can help your organisation in the following ways:
Compensation Strategies:
Market lead strategy: The lead strategy is designed by us to aggressively set salary rates above the market to improve your recruitment process and retention. This strategy expects results and places pressure on staff to perform at a high level. Adopting market rates (salary range midpoints at the 75th percentile) are usually characteristic of a lead strategy.
Market lag strategy: We use the lag strategy when your organization does not have the financial resources to devote to salaries or the organization attracts and retains employees through nonmonetary characteristics (nonprofit, charitable, or economically depressed environment).
Meet-the-market strategy: The meet-the-market strategy is one in which equilibrium of resources is desired. Compensation should not be too high nor too low. Employees are paid fairly and are expected to perform well. Long-serving staff members, through performance increases, are expected to move up through their pay range to a level comparable to well-paid peers in competitive organizations.
How We Can Help
There are several ways to compensate employees, but the most important way is fairly. Whether you have a small or large organisation, we can help you define salary ranges, pay grades, and forms of other remuneration for work performed that is based on solid research and arithmetic and not just what “seems” fair!