WEB BASED COMPENSATION AND PLANNING

From the recent class, my classmate have do a presentation about the web based compensation and planning. There is lots of information there that we can take. Web- based compensation is an online approach that helps an organization to manage, analyze, gather and store the information regarding the compensation.  It is a web-based that provides a set of secure regarding the web-bases payment, pension and also insurance application. Web-based benefits planning is been used to organize the benefits planning in the organization by the combination between the human resources information and payroll processing.

According to IGI Global (2011), new web based compensation programs speed up collecting data with a built-in configurable compensation questionnaire which allows customization. It’s means that the employee must entered the data via online and processed to generate statistics and report. So, the systems will import the salary data external data for comparison.

Moreover, there are two types of online compensation systems which are fixed compensation and variable compensation. These two types of compensation give a different meaning and components.  Fixed compensation is about the fixed payment for the employee such as pay wages, bonuses, merit pay or cost of living adjustment and equity adjustment.

 Besides that, variable compensation also known as incentive pay refers to pay earned beyond an employee’s normal weekly, monthly or annual salary. Not a guarantee, it is paid out only if an individual or team achieves a goal. Typically these goals relate to profit, sales growth, productivity or customer service improvement. Moreover, online benefits plan is a system that managed the data about benefits of employees. This system has facilitated employers to manage the benefits of employees and help in streamlined workflow.

 There are many advantages on this web based application. For example these systems enable the planning and budgeting of the employee salaries and also any increase in their payment of their wages. It depends on the performance of the employees to increase or decrease the payment. Besides, it also improvises the effectiveness of the accurate information. Before this, the employers have to manage the payment or benefits through traditional way which is use a paper or form. Everyone hates to deal with piles of paper unless they don't have any other alternatives. The benefit of web based solution is that they not only modernizes established business practices, but also makes services and information available from any web-facilitated PC.