Course Details & Content
This course is aimed out HR Generalists, Reward Specialists / Analysts / Members of Remuneration Committees and whoever is responsible for deciding upon human capital salaries in your oganisation.
Delegates will learn the use of linear, exponential and multiple regressions in order to establish “a line of best fit” pay scale” for all their organisation role or job categories.
Multiple regressions, is the analysis of more than one set of data, which often produces a more realistic projection. Both linear and exponential multiple regression analyses can be used. For example, when carrying out a compensation review, and the organisation already an established a pay philosophy, using a multiple regression formula, you can estimate a current or future pay line based “on a line of best fit” using current human capital salaries, by pay grade, information and the relevant salary survey market data.
During this one (1) day workshops delegates will learn the theory as well as excel skills practices for the following:
- How to use multiple regression analysis, compute and recommend pay scales in accordance with a “line of best fit”, market best practice principles and align with the organisation culture and remuneration philosophy and strategy;
- Pay scale design principles and knowledge that will include the following:
- Effective pay scale implementation and end date;
- Aging survey data;
- The use of CPI or the relevant salary survey annual increase trends;
- Use of Salary Survey benchmarks;
- Organisation Competitive market positioning;
- Pay slopes and / or mid-point pay scale progression;
- How to compute Pay Ranges;
- How to compute pay scale notches and use notch descriptors; and
- How to compare the current organisation human capital costs to the newly designed pay scales, with the aim of conducting a cost analysis to align the employees falling below the minimum and maximum of the proposed pay level ranges to the minimum and above the maximum of the respective ranges.