价值为基础的管理课件

ValueBasedManagementHewittAssociatesAugust2001ValueBasedManagementCreatingShareholderValueisGainingImportanceDuetoaVarietyofFactorsRegional/Capital

MarketsPerspectiveGreaterFocusonShareholderValueIntegrationofOrganizationalStructuresDeregulationPrivatizationIntegrationofCapitalMarketsWTOCapitalMarketInvestmentObjectivesMergersandAcquisitionsGlobalizationCorporateSpecific/Top

ManagementPerspectiveTraditionalaccounting

measuresarenot

reliablylinkedtoshareholdervalueGrowingrecognitionoftheneedtoalignmanagementactionsandrewardstolong-termvaluecreationIncreasingpublicityofshareholdervaluecreationrankings(e.g.,FT.Fortune)Possibilityoftakeoverbyinvestorsseeking“under”managedassets“Buyin”

byCorporateleadersCreatingShareholderValueisWhatisValueBasedManagement?

AconsistentframeworkthatalignsmanagementactionandstrategicobjectiveswithshareholdervaluecreationTheprimarygoalofvaluebasedmanagementistobuildacorporatemindsetinwhichmanagementdecisionmakingandexecutionarefocusedonthecreationofshareholdervalueVBMEnablesAconsistentapproachtomanagementplanning,resourceallocation,performanceassessment,

andcommunicationManagementtofocusandprioritizeon“value”Alignmentofmanagementactionwithstrategicobjectivesand

shareholdervalueVBMisNotSolelyaquestionofchoosingaperformancemetricLimitedtoimplementationwithinthecorporateplanningandfinancedivisionEasytoimplementWhatisValueBasedManagementHRAlignmentFacilitatestheSuccessofVBMImplementation16.6%6.7%8.6%7.1%10.0%3.0%0%2%4%6%8%10%12%14%16%18%5-yearAverage%TSRCFROISalesGrowthCompaniesalignedtoVBMobjectivesCompaniesnotaligned•VBMmeasuresusedforplanningandcompensation•VBMgoalsetting•Performancesystem•Training•BusinessunitandcorporateincentivesHRAlignmentFacilitatestheSEmpiricalResultsShowaLinkBetween

OrganizationalImplementationandValueCreationCompanieswithbusinessunitspecificlong-termincentivestied

toshareholdervaluecreationoutperformcompanieswithouttheseincentivesCompanieswithCorporate

andBusinessunitincentivesCompanieswithsolelyCorporateVBMincentives3-yearTSR%23.320.522.825.522.525.4202122232425261997-20001994-971991-94EmpiricalResultsShowaLinkValue-CreatingBehaviors,

Priorities,Decisions,andMeasurementLinkingHRtoVBMVBM-AlignedManagementProcessesCorporateStructure

AlignmentCorporateCulture

VBM-AlignmentDesiredValue-Creating

BehaviorsandCompetenciesEmploymentRelationshipPersonalNeeds,Goals,andStrategiesIndividualPrioritiesandSkillsHRPoliciesandManagementPersonalVisionOrganizationPeopleRequirements“Ownership”Culture•Decision-making•Priorities•ReportsValue-CreatingBehaviors,

PriAnHRPerspectiveonValueManagementInvestorScorecard

TotalShareholderReturn(TSR)MarketValueAdded(MVA)ManagementTrackRecord

Growth/ReturnProfile

BusinessStrategy

InvestmentsinFutureGrowthEconomicValueImprovementIntellectualCapitalInvestorExpectationsoffutureearnings&riskFinancialPerformanceObjectivesClientSatisfactionIndicatorsEmployeeEngagement&ProductivityProductOffering&InnovationPeopleStrategySHORTTERMINDICATORS(Illustrative)DecisionProcessandOrganizationalStructurePerformanceManagementandIncentivesInternalResourceAllocationStaffingandRecruitmentValuesandCultureCommunicationsTrainingInternalProcess“AlignmenttoValue”InternalScorecardLongTermGoalsandperformancetargetsanchoredtoInvestorExpectationsAnHRPerspectiveonValueManWhatisValueintheBusinessContext?TimeTodayBusinessValue:Whatfuturecashflowsareworthtoday$$$$$WhatisValueintheBusinessCompetingPerspectives:

LookbackatwhathashappenedLookforwardatwhatwillhappenSpreadcostssmoothlyovertimeLookatthetimingofwhencashcomesandgoesOnlycountwhatcanbemeasuredCounteverythingthataffectsvalueValuePerspectiveAccountingPerspectiveCompetingPerspectives:

LookbBridgingtheGap

AccountingResultsReturnsGrowthMarginsMarketshareProductqualityStrategyManagementteamPlanforthefutureInnovationCompetitiveposition/investmentMarketValuationStockPriceTotalShareholderReturn(TSR)ExpectationsofValueLikelihoodofsuccessDegreeofimprovementEconomicenvironmentBridgingtheGapAccountingResMeasurementofValue

Measurementofvalueisnotaneutralact-itisachoicewhichsignifiesmanagement’sprioritiesanddictatestheorganization’sviewofitself

Selectingaperformancemeasurealignedwithenhancementofvalueinfluencesnotonlythatmeasurebutalsoallthosemeasuresnotselected

MeasurementofValueMeasureMeasurementofValueReturnonEquity(ROE)ReturnonAssets(ROA)ReturnonCapital(ROC)ReturnonNetAssets(RONA)ReturnMeasuresRevenuegrowthAssetgrowthInvestmentgrowthMarketshareVolumeGrowthMeasuresTotalShareholderReturnMarketValueAdded(MVA)EconomicValueAdded(EVA)CashValueAdded(CVA)CashFlowReturnonInvestment(CFROI)CombinedMeasuresMeasurementofValueReturnoDriversofShareholderValue

ReturnsGrowthVALUEThetwomostfundamentaldriversofshareholdervalue:DriversofShareholderValueRManagingShareholderValueThebalanceofcompetingobjectives:

Growth-ReturnsTrade-offFormostfirms,therelationshipbetweengrowthinCapitalEmployedandpercentchangeinROIisinitiallynegative.Correlationispositiveoverlongertimehorizons.GrowthinCapitalReturnonCapitalProfitMarginsAssetTurnoverShareholderValueHierarchyofTradeoffsManagingShareholderValueTheDimensionsofValueShareholderValueCreationPerformancemeasuresandtargetsarecustomizedtocaptureshorttermtradeoffsinviewoflongtermvalueShort-termTradeoffsLong-termInvestmentsCapitalInvestmentforlongtermgrowthpotentialShort-termReturns:Returnsinexcessofcostofcapital-RONAEPspread(%)CFROIROEShort-termGrowth:NetIncomegrowthCashFlowgrowthSalesGrowthDividendsFreeCashFlowIndustryFactors:NotcompanyspecificMacroeconomicfactorsDemographicsCommodityprices,etcInternal-Companyspecific(CustomizedmetricsincludingEP,CVA,CFROI,TBR,andothervaluedrivers)External-IndustryspecificShort-termTradeoffsWhatmetricsdowesubscribeto?DimensionsofValueShareholderShareholderValueEnhancementImperatives

IdentificationofvaluecenterswithintheorganizationEvaluationofstrategicalternatives(harvesting,divesting,acquisitions,marketentry,etc.)basedonvaluecreationIntegrationofmanagementsystems(strategicplanning,budgeting,resourceallocationandperformancemeasurement)basedonvaluecreationImplementationofMIStofacilitateoperationaldecisionmaking,periodicreportingandmonitoringofvaluecreationRewardsalignedwith“valuebased”performance

ShareholderValueEnhancementGenericValueDriverTreeCommitmentCompetenciesCapabilitiesImplementationThroughPeopleFinancialResultsOperationalOutcomesStructures,processes,andexperiencesthatenableyourorganizationtosecurecompetitiveadvantageCapabilitiesPerformancebehaviorsthatareobservable,measurable,andcriticaltosuccessfulperformanceCompetenciesFactorsthatfacilitateemployeecommitmenttotheorganizationCommitmentBalancedMeasuresExampleFinancialMarginsCostReductionProjectProfitability

ClientClientSatisfactionPerceivedValueofService

OperationalOn-timeCompletionRatesBiddingSuccessRates

EmployeeEmployeeSurveyResultsTurnoverRates

EVAPricingFixedCostContractsCostPlusContractsCurrencyExposureMarketPositionCompetitiveDifferentiationPerceivedValueofServiceCustomerRelationshipsSalesForceEffectivenessProjectLoadIndustrySectorGeographicPenetrationBiddingSuccessRatesNewOrders

andOrderBacklogFundedNonfundedProfitMarginEBITDA/

RevenuesNetIncome/

RevenuesTurnoverRevenues/

InvestmentsOverhead/ExpenseMgmt.Marketing/AdministrativeAccountsReceivableCurrentLiabilitiesFixedCapitalUseofDebtLeverageInvestorRelationsAnalystCoverageGrowthRevenuesCostofCapitalFinancialLiquidityCapitalAccessibilityMarketAlternativeReturnsReturnonTotalCapital(ROTC)ReturnonGrossInvestment(ROGI)ReturnonInvestmentStrategicAlliance/JointVenturesMarketFocusInvestmentCapitalBranchOfficeProjectWorkingCapitalBusinessDev.CostsServiceDeliveryProjectExecutionOverallContractManagementTechnologicalCapabilitiesSubcontractorMgmt.OperatingLeverageLaborProductivityBusinessProcessesGenericValueDriverTreeCommiTranslatingValueintoManagementSystemsContentsHRReinforcesAnalyzecriticalvaluedriversReviewperformancemetricsAlignperformancemetricstoobjectivesRealignBusiness

Processes

—Targetsetting

—Planning

—Budgeting

—Resourceallocation

—Reporting

—Performance

assessmentAlignbusinessunit-specificprocessesAligndecisionmakingprocessesbasedonvalueprioritiesCommunicate

toinvestors

GainCommitment

ValueDriver

Analysis

Reinforcement

BusinessProcess

Alignment

“PushDown”ImplementoncorporateandbusinessunitlevelCommunicatevalue-drivendecisionsEducate,inform,

andreinforceSeniorlevelexecutivecommitmentBroadoperationalbuy-inCommunicationofphilosophyandgeneralstrategicobjectivesBroadeducationalinitiativeformanagersAlignmentofcommunicationAlignmentofperformancecriteriaInputforeaseofimplementationHR-alignmentofallfunctions,especiallyincentivedesignandperformancemanagementSharingthe“Learnings”CommunicationBusinessunit-specificalignmentofHRprogramsBroadeducationaleffortforallemployeesFurtherHR-systemsalignmentTheHR-functioncansignificantlycontributetothesuccess

oftheimplementationTranslatingValueintoManagemValue-CreatingBehaviors,Ownershipculture,Priorities,Decisions,andMeasurementLinkingOrganizationalSystemstoValueDrivershasMulti-pointLinkages

VBM-AlignedManagementProcessesandStructureCorporateCultureVBM-AlignmentDesiredValue-CreatingBehaviorsandCompetenciesHRPoliciesandManagementEmploymentRelationships(“What’sthedeal?”)OrganizationValue-CreatingBehaviors,OwneAnAlignedOrganizationalStrategywillhaveanImpactonBusinessValueDriversFinancialValueDriversOrganizationalImpactLeadershipStaffingRewardsOrganizationEffectivenessPerformanceVBMAlignmentDevelopmentIncreasedmarketshareRevenuegrowthProfitmarginsAssetturnoverDebt/equityratioRiskprofileBusinessexpansionImprovedcompetitivenessOperationalefficiencyOrganizationaleffectivenessOptimalcapitalstructureGrowthReturnsCostofCapitalValuedriversAnAlignedOrganizationalStraLeadershipisresponsiblefortheexpectedbehavioralchanges

CriticalQuestionsthatLinkManagementSystemstoVBMCriticalQuestionsHasthedesiredculturebeenarticulated?DoesVBMfitintothecultureofthecorporationand/orofbusinessunits?Whatarethekeymessagesyouwantpeopletoget

fromVBM?Howdoyouwantpeople’sbehaviortochange

underVBM?DomanagersandemployeeshavetheabilitytoimpacttheVBMimplementation?LeadershipisresponsibleforImplementingVBMRequiresaCertainCorporateCulturePersonOrientedPerformanceOrientationWeemphasizehowthingsaredone.Afocusontheprocessesandactivitiesthatleadtohighperformance.Weemphasizewhatisaccomplished.Theresultismoreimportantthantheprocedure.ProcessOrientedResultsOrientedPeoplePerspectiveWefocusnotonlyonwhatpeoplecandeliver,butalsooneachpersonasanindividual.Wefocusongettingthejobdone.Ourconcernforpeopleisbasedprimarilyonwhattheydeliverfortheorganization.IdentityPerspectiveEmployeesidentifyprimarilywith

ourorganization.Employeesidentifyprimarilywiththeirprofessions.CompanyOrientedProfessionOrientedOpennessPerspectiveThereisadefinedorganizationaltypeofperson,viewpoint,andcommunicationstyle.Thereareoftenlengthyinductionandorientationperiodswhichfortifyourculture.Diversityofpeople,viewpoints,andcommunicationstylesareencouraged.Newcomersfeelathomesoonafterarrival.ClosedSystemOpenSystemControlOrientationActivities,results,andproceduresaredeveloped,managed,andmaintainedbytheorganization.Individuals,teams,andsmallerorganizationalunitstakeaccountabilityfortheirownactivities,results,systems,andprocedures.System-DrivenSelf-DrivenFlexibilityWeadheretowell-establishedstandardsandprocedurestodealwithcustomers.StandardsandproceduresareflexiblyappliedtomeetcustomerexpectationsNormativePragmaticJobOrientedImplementingVBMRequiresaCeAligningTalentManagementPracticesBasedonCorporateCultureTalent

Management

Priorities

and

ActionAlignmentIssuesHavingtherightpeopledoingtherightthingstoreachbusinessgoalsEngagementIssuesCreatingtheenvironmentwheretherightpeoplewanttobeAlignmentPrioritiesEngagementPrioritiesLearningRewardingStaffingPerformingOrganizingTalentManagementPracticesCultureAligningTalentManagementPraHR-AlignmentFollowstheVBMImplementationProcessHR-VBM-AuditHR-Alignment

Step1:StrategicAssessmentStep2:CurrentStateStep4:ValueDrivers

Financial/OperationalStep3:FutureStateStep5:HRPolicyAlignmentStep6:HRStructureandServiceDeliveryStep8:Measure

andMonitorStep7:ChangeMgmt.

StrategyHR-AlignmentFollowstheVBMIAligningHRtoVBM:

ImplementationisaComplexProcessStep1:StrategicAssessmentStep2:FutureStateStep4:ValueDrivers

Financial/OperationalStep3:CurrentStateObjectivesToolsOutcomesGatheringdataon

businessissueswith

VBMimplementationAssessingthegapbetweencorporateandbusiness

unitperspectivesAnalysisofcurrent

stateconcerning:CultureBusinessProcessesValueEnhancingBehaviorsDesignofthefuturestate

inrespectto:Long-Term

BusinessGoalsBusinessProcessesCultureBehaviorsStructuredinterviewExistingdataand

materialanalysisInputfromstrategydepartmentorfinanceDefineexpectationsfromCorporatePerspectiveon

valuecreationDefinemainproblemsofbusinessunitmanagersOwnershipfortheproblemsExpectationsforHRRoleCulturalassessmentsurveyBusinessprocessmonitoringandmappingStructuredinterviewsanddesignworkshopsUseoftoolspreparedinpreviousstepDesignworkshopsVBMCultureGapCheckofexistingbusinessprocesses-VBMrelatedwithanHR-impactCheckofHR-BusinessprocessesandprogramsAssessmentofbehaviorsenhancing/hindering

valuecreationCascadingvalue-drivertreetobusinessunitlevelsSecuringunderstanding

fordifferentunitcontributionsto

valuecreationCompensationalignmentwithVBMValue-drivergenerationIndustrybenchmarksLinktocorporateobjectivesIncentivedesign,PerformancedesignActionplanconcerningneededchangesintherespectiveareasDefinitionofbusinessunit-specificvaluedriversDefinitionofHR-inputsfordefined-valuedriversDefinitionofmainHR-programstoreinforcestrategyandvaluecreation,e.gCompensation,PerformanceManagementAligningHRtoVBM:

ImplementAligningHRtoVBM

ImplementationisaComplexProcessStep5:HRPolicyAlignmentStep6:HRStructureand

ServiceDeliveryStep8:Measure

andMonitorStep7:ChangeMgmt.

StrategyObjectivesToolsOutcomesDefinitionofthe

workforcestrategyAlignmentofall

HRsystemsDefinitionofvalueenhancingHRstructureandservicedeliveryDivisionoftasksbetweencorporateandbusinessunitDefinitionofachange

managementplanDefinitionoftransition

managementplanAssignmentofresponsibilitiesBestpracticesDesigntoolsandworkshopsBestpracticesOrganizationaldesigntoolsCostanalysis(Activitybased)ProcessmappingActionplanstructureconcerningneededchangesintherespectiveareasImplementationtools

formanagersPositioningofHRas

partnerforbusinessunits

forVBMimplementationDefinitionofrolesandservicesprovidedAssessingtheVBM-implementationplanFeedbackand

milestonecheckFocusaccountabilityEngagementmodelContinuousreportingandcommunicationsDefinitionof

correctivemeasuresDefinitionofVBMimpactontheengagementof

theworkforceVBM-basedbehaviorVBM-HR-MeasurementSystemDefinitionofneededchangesin:StaffingRewardingLearningLeadershipPerformingChangeplanincluding:CommunicationstrategyEducationstrategyLeadershipalignmentTransitionstrategyAligningHRtoVBM

ImplementaCriticalFactorsDrivingSuccessfulImplementationofVBM

Strongsupportattheexecutivemanagement(CEO)levelEffectivecommunicationthroughouttheorganizationAlignedmanagementandorganizationalsystemsDevelopedfocusonstrategicplanningResourceallocationonthebasisofvaluecreationPersistenceandpatienceCriticalFactorsDrivingSucceAboutHewittAssociates-OurPresenceWorldwide

ParisPragueRotterdamSt.Albans

StockholmUtrechtViennaWarsawWiesbadenZürichAmsterdamBrusselsBudapestDublinEindhovenGenevaLisbonLjubljanaMadridMilanNeuchatelEuropeAuklandBangaloreBangkokBeijingGurgaonHongKongJakarta

KualaLumpur

ManilaMelbourneMumbaiNewDelhi

SeoulShanghaiSingaporeSydneyTokyoWellingtonAsia/PacificSt.LouisSanAntonioSanFranciscoSanJuanSantiagoSãoPauloSantoDomingoTampaTheWoodlandsTorontoVancouverWashington,D.C.(Consulting)Washington,D.C.(Research)LosAngeles

MexicoCity

McLean

Milwaukee

Minneapolis

Montréal

NewYork

NewportBeach

Orlando

Philadelphia

Phoenix/Scottsdale

PittsburghRegina

Rowayton

TheAmericasAtlanta

Boston

Bridgewater

BuenosAires

Calgary

Caracas

Charlotte

Chicago

Cincinnati

Cleveland

Dallas

Denver

DetroitLincolnshire(HQ)

Morethan12,000associatesin81officesin36countriesaroundtheworldAboutHewittAssociates-OurOurStandingAboutHewittAglobalmanagementconsultingfirmspecializinginhumanresourcesolutions.Ourstrengthishelpingorganizationsidentifyandimplementpeoplesolutionsusingboththestrategicandtacticalapproaches.Privatelyheldsince1940;recognizedasaleadingemployerGlobalrevenueofmorethanUS$1.3billioninFY2000Amongthetop20globalmanagementconsultingfirmsInthetop200ofForbesmagazine's“Top500PrivateCompanies”“Wrotethebook”onworkforcemanagement,TheTalentSolution:AligningStrategyandPeopletoAchieveExtraordinaryResults.LeadingexecutivecompensationconsultingfirmPercentof“Fortune500”CompaniesUsingHewitt’sExecutiveCompensationConsultingServicesOurStandingAboutHewittPercen1979Hewitt’sVBMinitiativelaunchedwithincompensationpractice1995-2000IntegratedValueAlignmentProgramimplementationatclientcompaniesExecutiveandBroadBasedCompensationLeadershiptrainingPerformanceManagementEmployeeCommunicationsStaffingandTalentManagementACApublications,ShareholderValueIncentivesandCreatingEquityExcitement,1995,UnleashingTrappedValuewithBusinessUnitIncentives,1998VBMConferencePresentationsClientTeleconferencesponsoredbyHewittandHOLTValueAssociates,Oct5th,2000“BeatingtheFade:ImpactofEmployeeBrandingonBusinessValue”VBMforFinancialInstitutions,London,2000VBM-LinkingStrategicPlanning,PerformanceMeasurementandCompensation,ExecutiveProgramsCourseatKelloggGraduateSchoolofManagement,1998topresent.GlobalFinanceConference,2000VBMEmployeeEducationProgramCreatingValueWorkingtoWin,avideobasedVBMandEVAtrainingprogramfeaturingAbbieSmith,UniversityofChicago,GraduateSchoolofBusinessResearchBreakthroughWachoviaBank,LinkingEmployeeEngagementtoBusinessResults1980-1990VBMCompensationClientProjects--examplesVanDornMattelPacificTelesis(w/Marakon)USWestRelativeTRSLongTermIncentiveplan(firstofitskindin1983)ResearchonPay-Performancerelationshipandvaluemetrics;CollaborativeempiricalstudieswithProfessorDavidLarcker,Wharton;ValuemetriccorrelationtoTRSOurTimeLine1990-1995In1990,HewittbringstogetherleadingfirmsinShareholderValueTheory/ExecutiveCompensation

forthefirstconferencedevotedtothelinkbetweenShareholderValueandCompensation-Researchcollaboration

ProfessorAbbieSmith,UniversityofChicago.-Articlepublications

VBM,CompensationandPerformanceManagementValueBasedCompensationClientProjects--examplesValmontEVAProgramClearCommunicationsCVAHalliburtonIndustriesCVABancOneEVAMaytagVBMincentiveplanDominionTextileCanadianTireMolsonsVBMConferenceLinkingVBMtoCompensation:OurExperience19791995-2000IntegratedValuExperienceinDevelopingGlobalHumanResourceApplicationsExpertiseinTotalCompensationIntegratingShareholderValueCreationApproachesKnowledgeofEmployeeEngagementandEmployerofChoiceProgramsUtilizationofToolsandTechnologyInDeliveringtheNewPrograms

RecognizedleaderindevelopingandimplementingglobalHumanResourcesolutions.Withover80officesin37countriesaroundtheworldweareveryfamiliarwiththeculturalandlegaldifferencesinvariouscountries.Weunderstandhowtotakeglobalprogramsandmakethemeffectiveacrossborders.Vastexperienceovertheyearstointheareasoftotalcompensation,performancemanagementsystems,talentmanagementdevelopmentsolutions,valuescorecardsandcommunicationofglobalstrategies.PreferredpartnerofTheECONOMISTIntelligenceUnitinconductingthe1998study"Buildingandretainingglobaltalenttowards2002".OurStandingExperienceinDevelopingGlobaExperienceinDevelopingGlobalHumanResourceApplicationsExpertiseinTotalCompensationIntegratingShareholderValueCreationApproachesKnowledgeofEmployeeEngagementandEmployerofChoiceProgramsUtilizationofToolsandTechnologyInDeliveringtheNewPrograms

WeunderstandhowvariouselementsofcompensationfittogethertosupportbusinessobjectivesExpertiseinallareasofcompensation,includingdirectpay,short&longtermincentives,salescompensation,ITcompensation,ownershipprograms(e.g.stockoptionandstockpurchaseplans),andexecutivecompensation.Thelargestdatabasesonexecutiveandmanagercompensation(TotalCompensationMeasurement-TCM)andvariablecompensation(VariableCompensationMeasurement-VCM)programsinexistence.OurStandingExperienceinDevelopingGlobaExperienceinDevelopingGlobalHumanResourceApplicationsExpertiseinTotalCompensationIntegratingShareholderValueCreationApproachesKnowledgeofEmployeeEngagementandEmployerofChoiceProgramsUtilizationofToolsandTechnologyInDeliveringtheNewPrograms

Deepexpertiseinhelpingcompaniesthinkthroughanddesigncompensationprogramstomaximizeshareholdervalue.Understandingofmeaningfulmeasures,andtheirreinforcementthroughperformancemanagement,communicationandcompensationfromourexperiencewithglobalorganizationslikeHalliburton,Whirlpool,Cargill,GATX,andRhône-PoulencRorerInc.Verticallylinkedourengagementmodeltoshareholdervaluecreationtoofferanall-employeebusinesseducationcourseentitled“CreatingValue:WorkingtoWin,”whichreflectsvaluebasedmanagementconcepts.OurStandingExperienceinDevelopingGlobaExperienceinDevelopingGlobalHumanResourceApplicationsExpertiseinTotalCompensationIntegratingShareholderValueCreationApproachesKnowledgeofEmployeeEngagementandEmployerofChoiceProgramsUtilizationofToolsandTechnologyInDeliveringtheNewPrograms

GoodunderstandingofwhatittakestobeanEmployerofChoicefromourworkwith:FortuneMagazine's“100BestCompaniestoWorkforinAmerica”OngoingAsianWallStreetJournal’s“BestEmployersinAsia”BestEmployerStudiesinIndia,Australia,Brazil&CanadaFirsthandknowledgeofhowcompanieshaveapproachedtotalcompensation,performancemanagement,andbusinessobjectivemeasurement,aswellastheadvantagestheyenjoyinretention,attractingtalent,andstockappreciation.OurStandingExperienceinDevelopingGlobaExperienceinDevelopingGlobalHumanResourceApplicationsExpertiseinTotalCompensationIntegratingShareholderValueCreationApproachesKnowledgeofEmployeeEngagementandEmployerofChoiceProgramsUtilizationofToolsandTechnologyInDeliveringtheNewPrograms

Ownanumberofdevelopment,benchmarking,measurementandadministrationtoolsthatcansupportthedevelopmentofnewcompensationandperformancemeasurementprograms,andaugmenttheeffectivenessofexistingprograms.

OurStandingExperienceinDevelopingGlobaATypicalEngagementNPV($MM)FinancialModelingAbsoluteComponentsofValueBusinessMonitoringScorecardValuedriversgroundedinbusinessunitstrategy…andrefinedandboughtintothroughdiscussion...…toarriveatasetthatthebusinessunitbelievestrulyrepresentsitsstrategy.BusinessUnitCorpBusinessUnitFacilitatedDiscussionPVM*ConsultantParticipationCustomizedPeopleInitiativesIncentiveprogramsSpecificationofannualperformancemetricsandtargets