EB Connect 2013: It is vital to consider framework and processes when implementing a global reward infrastructure, said Nicos Nicolaides, director, compensation and benefits, Europe, Intercontinental Hotels Group (IHG) at Employee Benefits Connect on 1 March.
Speaking at a session on what to consider when building a global reward infrastructure, he said: “To have a joined-up global thinking and global way of working, you must have standardised framework and processes.”
The hotel group set up a global reward infrastructure in 2012, which started with the six main elements Nicolaides considers integral to building a reward structure. There are: base salary, short-term incentives, long-term incentives, benefits, international assignees and recognition.
Nicolaides added: “We also had to make sure we had an integrated HR approach.”
IHG is based in more than 100 countries. Its four regions, which each have dedicated compensation and benefits professionals, are the Americas, China, Europe, and Asia, the Middle East and Africa (AMEA).
Its framework and processes set up across these regions encompass a wide range of global programmes, including: grading structure, pay tools and salary management, pay review system, performance management process, talent and succession planning, a recognition programme, and a refer-a-friend programme.
The group also has a range of ways to ensure its compensation and benefits leaders across all regions follow a standardised approach to its overall reward structure. It achieves this using information hosted on a compensation and benefits’ intranet, weekly compensation and benefits team calls, newsletters and events, as well as having a local HR contact in each country or region.
“You may have years of experience, but if you haven’t got the global infrastructure in place, you’ll be struggling,” added Nicolaides.