2. Objective of the study
The objective of this survey is to provide reliable market data to the retail sector
in India on :
- Trends in Extrinsic Rewards i.e. Fixed Compensation, Variable Pay, Benefits
- Trends in Intrinsic Rewards i.e. Culture Building Practices, Flexi benefits
- Trends in Attrition & Retention
- Impact of economic downturn
Which shall in turn help organisations to :
Track compensation and benefit practices specific to the industry
Align their current reward structure to the current economic scenario, to
effectively attract and retain talent
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© 2008 Hay Group. All Rights Reserved
3. About HayGroup
Hay Group is a global management consulting firm. We provide advisory services
across key human resource and management areas . One of our core strengths is
rewards consulting and conducting benchmarking assignments in compensation and
benefits. We have over 2600 employees working in 88 offices in 47 countries.
We help clients translate strategy into action
We help clients make insightful decisions
We help organizations develop and retain world-class talent and leaders
We help clients mobilize people to achieve business goals
We help organizations to effectively implement and sustain our recommendations
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© 2008 Hay Group. All Rights Reserved
4. Reward Information Services
Reward Information Services exists to provide reward information services to clients
based on high quality databases and consistent methodologies
Global Mission - We deliver the best information solutions that support the daily and
strategic rewards decision making processes of our clients. We do this in a manner which
generates organization specific insight and value by truly integrating with a client’s business
Our global databases represent more than 7 million employees from nearly 13,000
organizations in over 90 countries worldwide (over 60 on PayNet)
Over 500 of the Fortune 1000 are our clients
Data available for over 100 countries and interactive (PayNet) databases in over 70. The
number of companies in our global databases increased by 14% and the number of
incumbents by 19% this year.
In India we have a Live Database of 163+ companies with over 91,000 incumbent wise data
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5. Data Collection & Confidentiality
Hay Group collects data 3 times a year to have the most updated market data
•
All incumbent data is collected. We do not collect ranges
•
Extremely stringent and globally consistent confidentiality norms
•
No individual organization’s data will be shared publicly or with the other
•
participants
Market calculations are based on data suppression rules to ensure that the
•
statistics are representative of the market and not an individual company’s
information
We also sign Non-Disclosure Agreement with the participating companies
•
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© 2008 Hay Group. All Rights Reserved
6. Total Rewards Approach – Reward Elements
• Life Style
• Work climate
• Future Perspective Emotional Rewards
• Quality of work
Total
Intrinsic
•Training &
Value Addition
Development
Internal Value
Or
• Phone R
Motivation • Cars Active
E
• Clubs Benefits
REWARDS
• Discounts M
TOTAL U
• Retirement Passive
N
• Health and Welfare Benefits
EXTRINSIC • Holidays E
R
Long Term
• Stock C
All components to Incentives TOTAL
• Performance Shares A
O
which we can M
DIRECT
T
P
assign a monetary E
value I
• Annual Incentive N
Short Term Variable T C S
• Bonus O A O
A
T
T S
N
I
• Base Salary A H O
Guaranteed Cash
• Allowances N
L
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7. Profile of the study
• No. of participants: 60+ key players from the retail sector
• Formats covered: Hypermarkets, Supermarkets, Department Stores,
Specialty Stores & Single Brand Stores
Benefits to the participants:
• A Complimentary Report consisting of:
- Trends in Extrinsic Rewards i.e. Fixed Compensation, VariablePay, Benefits
- Trends in Intrinsic Rewards i.e. Culture Building Practices, Flexi benefits
- Trends in Attrition & Retention
- Impact of economic downturn
• ½ Day Job Mapping session and individual company job matrix using the
scientific approach based on Job Evaluation principles
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9. Study Proposition
THREE key stages:
DATA ANALYSIS &
COMMUNICATION
GATHERING RESULTS
• Individual participants - • Data collection across • Analyze the collected data
Build clarification components of pay and information
benefits policies
• Managing expectation • Sector Report
• Data verification and
validation • Presentation of Findings
JOB MAPPINGSM
• Conduct Job MappingSM Session
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10. Timeline
Activity Deadline
Participation Solicitation 30th January 2009
Data Collection 20th March 2009
Quality Assurance & Data Analysis 31st March 2009
Report Publication 01st April 2009
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© 2008 Hay Group. All Rights Reserved
12. Methodology
Job Evaluation
(HayGroup
Method)
Job Matching JobMappingSM with
Clients time
with job structured approach
descriptions and evaluated job
descriptions
Job Status (HayGroup Method)
(hierarchically)
matching
Job Title
matching
Value Add
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13. Job Mapping in today’s Value Chain
• Freedom to act
• Magnitude
• Impact
Accountability
Know-How
Problem solving
• Technical know how
• Breadth of Management
• Human relations skills
• Thinking challenge
• Thinking environment
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14. Methodology - How Job MappingSM is different from others?
- Compare different job family
Retail
Merchandise HR Jobs
Operations
Operations Jobs Jobs
Level 18
Job 3 Job 3
Level 17
Job 2 Job 3
Level 16
Job 2
Level 15
Job 1 Job 2 Job 1
Level 14
Job 1
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© 2008 Hay Group. All Rights Reserved
15. Methodology - How Job MappingSM is different from others?
- Compare among same job family with different organization
HR Jobs in Org A HR Jobs in Org B HR Jobs in Org C
Level 18
Job 3 Job 3
Level 17
Job 2 Job 3
Level 16
Job 2
Level 15
Job 1 Job 2 Job 1
Level 14
Job 1
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© 2008 Hay Group. All Rights Reserved
16. Job Family Analysis Methodology
Individual jobs are grouped into Hay Standard Reference Level which are considered to be
of similar job size
Asst Store Manager
Production Planner
Customer Service
Dept Manager HR Specialist
Import/Export Supervisor
Executive Sec Sourcing Assistant
Store MT Account Executive
Unit supervisor
Secretary Finance Exec
Cust Service Assoc Policy Service Exec
Warehouse Supervisor
Account Asst
12 13 14 15
Job Size
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© 2008 Hay Group. All Rights Reserved
17. Job Family Analysis methodology
Individual jobs are grouped into Hay Standard Reference Level which are
considered to be of similar job size.
For each Job Family , the average of the salaries within each Hay Standard
Reference Level for all jobs submitted by each companies is calculated.
Using “Five-Value Approach”, up to 5 percentile values will be calculated for the
−
same job family for each organization at each Hay Standard Reference Level
The resulting salaries within each Hay Standard Reference Level are ranked and
percentiles calculated to create the market for the particular job family
For each job family, the ranked percentiles at each Hay Standard Reference
Level are then connected for graphic presentation
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19. Deliverables
1. JobMappingSM Session and a defined Job Matrix for each participating company
2. Complimentary Indian Retail Sector Study Report 2009 – Manning Retail
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20. Deliverables 1 – Job Matrix (Sample)
Ref Level Operations HR Finance Logistics
District Manager Head of HR Financial Controller Manager logistics
19 Operations
Regional Manager
18
C&B Manager Accountant
17
Store Manager Training & Management Warehouse Manager
Development Account
16
Specialist
15 Assistant Store
Manager
Senior HR Executive Warehouse
14 Supervisor
Store MT HR Executive Account Executive Unit Supervisor
13
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21. Deliverables 2 – Indian Retail Sector Study Report 2009
The report will include:
• Participant Profile – Ownership, Format Type, Employee Size, Revenue Group, No.of Stores
• Salary movements & forecasts
- Job family wise trends – by Management levels
- Compensation data with market statistics based on data sufficiency for Base
Salary, Total Cash, Total Remuneration-CTC)
- Merchandising Operations /Category Management
- Logistics / Supply Chain
- Design
- Location wise trends – by Management levels
- City wise compensation trends
- Format wise trends – by Management levels
- Format wise compensation trends
- Average area sq ft market practice
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© 2008 Hay Group. All Rights Reserved
22. Deliverables 2 (continued)
• Variable pay trends – by Management levels
• Allowances – Prevalence information
• Benefits Overview for 15 critical benefits in the Indian context (Leave, Entry
level, Locational Difference , Travel, Retention & Incentives, Insurance, Special
Allowances in the sector and so on)
• Impact of Economic Downturn Analysis
- Economic Uncertainly Survey Results – 2008 – 09
- HR & Reward practices adopted by companies to respond to the challenges of
the downturn
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23. RSVP
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