Companies often dedicate more time to administering their girl cash drawer who think about the strategic importance of their compensation and structure systems.
That appointment from a previous iteration from our research on compensation, technology and buyer behaviors was one of the great taxi drivers we had after interviewing dozens of human resources and compensation.
However, feeling seems to be changing.
In our new research, which includes answers from more than 800 employers, we find some remarkable and surprising changes that occur in the market. For example, more SMB signatures are entering the market and go beyond the limits of spreadsheets to support their decisions and priorities for talent.
Other key findings in the data:
More companies that are never using a variety of data sources, both conventional and not conventionalNales, to support compensation and design practices, there are a greater number of employers who use management compensation that any previous measurement period, we see a significant change in the market on the horizon, with one of the two companies planning to evaluate new technology providers in the next 12 to 24 months
Some of Estese owed to a market for buyers with maturation, but other external factors are also promoting complexity. For example, an industry study found that approximately one in four Americans moved to a new state Last year. If that is intriguing as an independent fact, it also highlights an increasing demand for employers to understand where their people are, what differential payments exist regionally, and how to meet the needs of the workforce together with the needs of the business. .
123]Our hiring data show that 70% of employers plan to make a more remote and location hiring, agnostic in the next year, which means that companies that were traditionally concerned about local payment data have to intensify their game for Satisfy this new demand.
These signs point to unincrement of the strategic importance for compensation not only as a practice of talent, but as a business practice.
Critical controllers for the selection of compensation providers
The profile of a buyer of compensation technology and data has matured since our last measurement. To clarify these stages and differentiators, we have developed an expiration model of the compensation buyer based on our data review of hundreds of organizations and dozens of interviews with executives in the last two years that appears within the investigation reportn.
In general, we find that decision controllers for different buyers’ characters vary depending on where they are on the buyer’s trip. The table below examines the main decision points for current users, those who consider a new provider, and those who are possible first-time buyers.
Top Five factors in the choice of the system, classified by hearing
at the conclusion of the First First -Time -Time # 1Data Quality and precision (-) Quality of the customerSport provided by the cost of the provider (+9) (+2) # 2Data Privacy and security (-) Ease of use of the system (-) Quality of data and precision (-1) # 3 Sudden and performance / reliability of the system (-). ( -2) Privacy and data security (-1) # 4Ease of system use (+1) Data and security privacy (+8) Ease of use of the system (+1) # 5 Quality of customer service provided by the Prov.EDUER (+3) Ability to integrate with other business software, such as HRIS (-1) solutions and product features (+3)
As the data is demonstrated, one of the most larger controllers for those exchange systems is around the need for high-quality customer service. We guess time and time again in our research interviews that along From 2020, employers needed a variety of support and assistance from suppliers. Note: The colors are used to match the responses in groups for easy analysis. Figures +/- indicate the change in the position from our last measurement period. For example, +3 means that a priority jumped 3 slots in Ellista
Compensation technology was not immune to that demand. In those cases in which the support was not available, those employers are now looking for new suppliers that can offerER The help they need. Not only was it presented in the data as a priority, it jumped nine places to the thing, what employers want when they are considering alternative suppliers.
There are other factors here, clearly, but it simply goes to demonstrate that smart buyers not only want a piece of software, want experience and an association of their suppliers.
A landscape in development of smart technologies
An important component of this research is an evaluation of the panorama of the compensation technology market, its key players and their differentiarists. We found continuous innovation in the market by the different companies we talk about, and we point out an exciting moment for the professional compensation community that is seeking to raise the status of its function.
As an example, Bulos Yers were intrigued by the offers that are tied to compensation and will allow themThey carry out their work in a more effective way, such as the administration of job description, smart alerts and notifications, and other relevant functions. If the basic capabilities of compensation structures, price work of the Market and the evaluation of payment data are still relevant, the more mature buyers are looking forward to other relevant conversations for the business, such as the payment equity panels to create more informed conversations with interested parties.
The bottom line is clear: Compensation has never before a fundamental role has been played on business success, and should be informed about how to make the most of this opportunity.The new report is designed as a tool to help you help it to understand how to examine technology in the market, as well as to take into account when making a purchase decision. In addition, it offers information about what HTools are available and how they are compared and contrast. It is a cross-set of ideas for talents-oriented leaders who wish to promote a strategic value through better and more driven compensation practices.
For more information about findings in this report, join us for a Web seminar in December.6:
To download the full report, click here.You can also join us for a web seminar on December 6: Status of the Compensation Technology Market: How today’s professionals make decisions, select the technology, and provide value.He contributed by: Ben Eubanks, Director of Research, Factory Research and AMP; Advisor.