Recognise and reward good performance
How you reward your people has a strong message and an impact, and it affects everyone in the organisation. Effective pay and reward models support your organisation’s strategic goals, motivate employees and show what kind of performance you value.
Reward consulting services
Our team of reward consultants design effective reward models that fit your organisation. Whether you need assistance in developing executive pay or employee total rewards, our experienced specialists are happy to support you. The starting point in planning is always your organisation’s expectations and goals.
More information about our comprehensive reward services below.
Short-term incentive plans
A bonus plan is a valuable tool in performance management as it directs activity towards established performance goals.
Typically, a short-term incentive plan rewards personnel or management for achieving their annual goals. Depending on your company’s goals the bonus plan can be based on a balanced scorecard or designed to reward for achieving the most important KPIs or milestones.
Long-term incentive plans
Long-term incentive plans are often used to reward and retain management and key personnel. They motivate management and key personnel to achieve long-term strategic goals.
A carefully planned long-term incentive plan conveys responsibility and ensures that business is developed sustainably by increasing the shareholder value.
Share-based incentive plans
Share-based incentive plans can have either short or long-term performance periods. With share-based incentive plans you can effectively link rewards to the expected share value increase.
We assist both listed and unlisted companies in comprehensive planning of share-based incentive plans.
Our planning focuses on:
- Message and impact of the chosen incentive plan
- Valuing the shares of a private company
- Tax and social security treatment
- Corporate law and other legal aspects
Sales compensation plans
An effective sales compensation plan incentivises and motivates employees to give their best performance based on fair reward principles. Setting well-functioning goals and KPIs plays a pivotal role in rewarding salespeople. In addition, a strong link between pay and performance is a critical success factor in sales compensation (pay-for-performance).
Sales compensation plans can reward both individual and group performance, depending on how your sales organisation or team operates. Our specialists will also assist you in designing sales compensation plans that fit for different sales roles.
We are a trusted advisor and an experienced partner in the planning of share-based incentive plans for private companies. We have an extensive benchmark database for management and key personnel pay in Finnish private companies.
We assist you in designing an effective incentive plan which supports your strategy, whether you are considering an IPO, selling your company, an M&A or wish to retain your key talent. We help start-ups and more mature companies in every business sector. In addition, our clients include family-owned companies, PE-owned companies and other private small and medium-sized companies.
Alternatives for share-based incentive plans:
- Restricted stock
- Performance share plan
- Employee stock option plan
- Synthetic option plan
- Employee share issue or share purchase plan
Market data and benchmarking
Applying accurate and up-to-date benchmark data is essential in developing competitive, fair and justified pay and reward models.
We prepare benchmarking studies that are customized to suit your business and assist you in interpreting the comparative market data. By leveraging relevant benchmark data and our know-how on remuneration in different business sectors, we help you develop your organisation’s reward practices towards the desired state.
Reward audits
We assist you in auditing and assessing the effectiveness of your organisation's overall reward principles as well as specific components of total rewards. For instance, we help global and multinational companies in mapping out current employee reward models and practices in different countries and creating unified global reward policies.
Remuneration reporting
We support your company in remuneration-related reporting.
We assist, for example, listed companies in preparing remuneration reports and other required documentation in compliance with the Corporate Governance Code. We always strive for clear and effective communication that reflects your organisation's image.
Tax and legal advice
We provide tax and other legal advice in order to ensure that the tax consequences and related labor law aspects of incentive plans, as well as the requirements for legal documentation, are taken into account already in the planning stage. With careful planning, unexpected consequences can be avoided.
We assist you in the preparation of the terms and conditions of incentive plans, and other required legal documentation.
Employee benefits
Effective total rewards package typically entails different kinds of employee benefits. We help you to build a benefits policy that completes your organisation’s total rewards approach.
Base pay systems
Fair and well-functioning pay systems recognise different jobs and their level of complexity, as well as employee performance. Only pay systems that are transparent and understandable can be used effectively in performance management.
We provide comprehensive support in developing a 100 % comprehensible and modern pay system that suits your organisation.
Pay harmonisations
A compelling need for pay harmonisation typically arises after an M&A. We assist your organisation in defining different roles and determining role-based pay, so that the principles for pay are aligned and justified across the organisation.
Employees’ perception of fairness is the most important factor when evaluating how well the organisation has succeeded in rewarding its people. Equal pay for equal work must be guaranteed, or otherwise the experience of unfair treatment can significantly reduce the credibility and motivational effects of the pay system.
Why PwC?
- We are passionate about what we do and offer you new and innovative ideas for rewarding people. Your aspirations and goals are our top priority and we work closely with you to achieve them.
- We will support you in every step of the way – we will assist you in evaluating the applicability of alternative reward models, in planning a reward model that is tailored specifically for your organisation and, finally, in ensuring a successful implementation.
- Our reward consulting services are comprehensive meaning that we provide assistance with all aspects of reward from strategic design to legal considerations. We are able to leverage our extensive network of specialists when composing a dedicated project team that has the right capabilities and experience to support you. You can rely on our experienced reward, corporate law and employment law specialists, just to name a few.
We want to help you to succeed in designing and managing pay and reward models. Contact us!
