Learning Options

Variable Pay—Incentives, Recognition and Bonuses
Certification Course: C12

Designing for Results

This intermediate-level course presents the fundamentals of variable pay. The course focuses on compensation strategy and variable pay, definitions and the design and implementation of incentive, recognition and bonus plans.

• Discuss variable pay as a component of total rewards
• Learn about the three categories of variable pay
• Examine internal and external factors when developing a variable pay plan
• Discuss the activities for designing the structure of the plan
• Find out aspects to consider in establishing target performance and payouts
• Learn about funding and distribution of plan earnings
• Discover how to implement, communicate and evaluate the success of your plan

Who Should Attend

Course C12 is designed for HR professionals responsible for designing, assessing or maintaining variable pay programs.

What You Will Learn

Total Rewards and Variable Pay

• Variable pay in total rewards
• Categories of variable pay

Supporting Business Objectives through
Variable Pay

• Common business strategies
• Business objectives for achieving business strategies
• Business lifecycle
• Variable pay supports business objectives
• Variable pay in tandem with fixed pay

Types of Variable

• Incentive plans—objectives, approaches and considerations
• Short-term incentive plans
• Long-term incentive plans
• Bonus plans—objectives and considerations
• Referral bonus
• Hiring (sign-on) bonus
• Retention (stay) bonus
• Project completion bonus
• Recognition plans—objectives and considerations
• Spot awards
• Managerial recognition
• Nominations
• Organization-wide recognition

Developing a Variable Pay
Plan—Phases 1 and 2

• Phase 1: Pre-Design
• Considering internal and external factors
• Obtaining management support
• Identifying the design team
• Phase 2: Design
• Determining plan objectives and plan type
• Defining eligibility
• Selecting performance measures

Developing a Variable Pay Plan—Phase 3

• Phase 3: Funding and distribution
• Determining performance targets and payouts
• Funding the plan
• Distributing plan earnings
• Final approval

Implementation and Evaluation

• Plan implementation
• Selecting the implementation team
• Developing the communication plan
• Introducing the plan
• Coordinating plan administration
• Plan evaluation
• Determining plan effectiveness
• Why plans fail
• Potential evaluation outcomes

	Credits CCP: Elective Recertification: 2 course, .5 Exam GRP Equivalency: GR6 CEUs: 1.5 Course, .3 Exam CPEs: 16 CFP: 8 CPT: 12 points CPIM/CFPIM/CSCP: 14 points PHR/SPHR/GPHR recertification hours: 16
	Faculty
	Course book amendments
	Test your knowledge

Consider Bringing This Course to Your Location This professional development program and others offered by WorldatWork can be customized to meet the unique needs of your organization and delivered at your location. For more information, contact a Corporate Education Resource Manager at 877/710-5970 or 480/905-5980.