Deloitte recognized as a global leader in Compensation Consulting by ALM
NEW YORK, NY, USA, 18 May 2018—Deloitte announced today that ALM Intelligence has ranked it as global leader in the report, entitled Compensation Consulting 2018. On Compensation Consulting, Laura Becker, Analyst, Management Consulting Research at ALM, highlights, “Deloitte stands out for its ability to create value by elevating compensation management from an isolated functional activity to a driver for cultural and business transformation, as such compensation is viewed at Deloitte as a major lever to move the organization forward.”
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(Source: ALM Intelligence)
“In a global digital age guided by disruption, companies are rethinking how their organizational structure will impact compensation programs and beyond,” said Philippe Burger, Human Capital Practice Leader, Deloitte France. “Deloitte is focused on helping clients address today’s most pressing issues, including compensation investment, a finite resource that must be managed appropriately and efficiently.”
The report lays out the opportunities and challenges for Compensation consulting providers focusing on market trends, client spending trends and forecasts, and the provider landscape, and includes profiles of select key organizations.
According to ALM, Compensation consulting services are defined as “part of Rewards Management, which forms part of the management consulting services directed at clients’ back office activities. Its objective is to improve incentive systems designed to motivate employee behaviors aligned with a company’s strategic objectives.”
“This accolade reaffirms Deloitte’s commitment to compensation advisory and our unparalleled experience across offerings that strengthens our service delivery,” added Gregory Stoskopf, Managing Director, Human Capital, Deloitte US. “Deloitte is committed to continuing to leverage our innovative pay for performance approach, leading practices, and lessons learned to help our clients successfully navigate today’s economy.”
- “Deloitte distinguishes itself with a breadth of professional services integrating technology, accounting, tax, legal, global employee services, and valuation advisory into compensation engagements. The [network] offers compensation consulting within its Human Capital consulting practice as part of its Rewards Management offerings.”
- “Deloitte views compensation as a major lever to move an organization forward on this journey. Deloitte recently announced the acquisition of Bug Insights, which will provide a human resources analytics rewards optimization to deliver employee insights into reward offerings, allowing companies to optimize talent investment and reduce benefits costs.”
- “Deloitte brings to bear significant compensation capabilities through each phase of the engagement. During the Discovery phase, they may deploy the following capabilities: needs assessment (clean slate review, incentive plan risk review, technology/tool review and M&A due diligence), external market insight (Deloitte, including its Bersin research arm, does extensive research on incentive plan designs, job architecture, salary structures, local market compensation).
- “The Human Capital practice in general has been moving toward a Total Rewards to Total Relationships strategy of late, based on a forthcoming study by Bersin on high impact rewards. The findings show that rewards need to be a differentiator for employers in terms of employee-employer relationships. Deloitte assists with all elements of this path for the employer to optimize the Human Capital balance sheet and activate the digital organization in part.”
- “The [network] provides breadth integrating technology, accounting, tax, legal, global employment services, and valuation expertise into compensation consulting engagements. Deloitte more frequently views client relationships within the context of developing end-to-end Total Rewards to Total Relationships. Deloitte brings to bear significant compensation capabilities through each phase of the engagement and sees that rewards must be a differentiator for employers. Bersin provides targeted data research and Deloitte’s latest investments in AI-driven next generation technologies, such as Cognitive Personnel Insights, will ultimately save countless hours of manual labor. Lastly, Deloitte’s approach to pay for performance, such as reducing the use of ratings in performance management provides flexibility in bridging company performance and employee engagement.”
- “Deloitte views client relationships within the context of developing end-to-end Total Rewards to Total Relationships; within compensation capabilities specifically, the requests from clients fall into 4 main buckets. First, cost structure – Deloitte advises on all facets of compensation including plan design, cost modeling, stress testing, benchmarking, market trends, performance measures, special transactions, tax and accounting. Second, risk and compliance – Deloitte provides guidance to reduce risks of shareholder and regulatory scrutiny by recommending compensation programs as such. Third, total compensation strategy – Deloitte designs compensation programs to align with short-and long-term business and talent strategies focusing on pay for performance. Fourth, critical talent – Deloitte views itself as increasing the ROI by supporting the organization’s talent strategy through a mix of talent and total rewards through improved job architecture (a major focus), pay for performance, retention awards, HR technology and career pathing. Deloitte seeks also to align engagements to its vision of the Future of Work to ensure clients are equally geared up for success in the future.”
- “For Internal Insights, Deloitte has invested heavily in its job architecture methodology (which provides a framework that supports changing goals, business priorities, market practices and organization growth), M&A integration capabilities and rewards optimization. During the Design phase, Deloitte approaches strategy as both rewards and talent as well as through communications. Focus on the operating system includes organizational transformation, equity database and HCM optimization. Management system, a strong point for Deloitte, includes vendor search and selection. It also uses Global Governance, a new AI-based cognitive personnel insights tool focused on minimizing the manual work found in job architecture, job classification projects, and M&A due diligence with natural language processing models, along with rewards optimization, and pay for performance modelling. In the engagement Delivery phase, project management entails M&A PMO support, vendor transition, and equity administration PMO support. For Capability Development, process design/documentation, compensation training, change communications and CHRO/BOD Labs are involved. Deloitte also has a plethora of enabling tools such as Deloitte. Comp, rewards optimization, job evaluation systems, and a global compensation platform under development.”
- “Management system capabilities cover how resources are used to execute the strategy specifically in the areas of governance and compliance and performance management, among others. Deloitte stands out in this area by providing global governance and compliance capability, vendor search and selection, rewards optimization and pay for performance modelling. A significant area of investment for Deloitte is its AI-based Cognitive Personnel Insights tool which uses AI to break 27,000 job descriptions down into families and functions, minimizing the manual work in job architecture by at least 80%. In addition to Deloitte’s job classification projects, and M&A due diligence with natural language processing models.”
- “Deloitte has a new study due this Spring on high impact rewards to help companies understand the leading rewards practices that drive differentiation and business value.”
As used in this press release, “Deloitte” refers only to the Deloitte Touche Tohmatsu Limited member firms and their affiliates.
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