The role of analytics in the career of Compensation pros [infographic]

The role of analytics in the career of Compensation pros

Recently I had a very interesting conversation with Victorio Milian, a New-York based Recruitment Manager for restaurant chain a Pret A Manger. Just as importantly, Victorio is an excellent HR blogger at Creative Chaos HR. If you have not subscribed to his blog yet, I recommend you visit it and sign up.

During the chat, I mentioned how Compensation & Benefits pros are the “geeks” of the HR function. After all, we are the ones who manipulate data the most in the HR world. If you are a regular reader, you know that I have written quite a few times about the importance of understanding and analysing data properly, and developing the right approach to communicate data and analytics-based recommendations to the company leadership.

I am convinced that analytics skills are fundamental for a great career in Compensation & Benefits. A revealing infographic from Mercer shows how analytics are used in organisations to drive decision-making about compensation. A Mercer Principal said about the study :

Respondents rely most heavily on less sophisticated analytical techniques, such as benchmarking and ongoing reporting, in their compensation decisions. (…) There’s a certain irony here that the data-rich Compensation function is running the risk of being ‘left behind’ when it comes to analytics.

This is based on the fact that the more sophisticated analytical techniques, such as predictive modeling are less used in companies for compensation purposes. However, with about two-thirds of companies using simulations, I don’t think there really is a risk of being “left behind”. And behind who, or what exactly, by the way ?

In any case, I hope this infographic will make you think about the analytics skills you should develop.

The last section focuses on topics where compensation specialists can really bring value through analytics : center efforts around the top performers of the company and how the rewards strategy (and which specifics components of it) drive employee engagement and motivation for this key segment of the employee population, and also in identifying the real drivers of employee retention. Pretty ambitious, but if you manage to do it, you will have a massive impact on the organisation !

Let me know what you think by posting a comment !
Do your analytics measure up?
Infographic by Mercer Insights

Related posts :

Print Friendly, PDF & Email


  1. Thank you Sandrine! very informative indeed!


  1. […] And if you’re curious, you can also  refer to one of my previous posts where I shared an interesting infographic on the role of analytics in the career of Compensation & Benefits professionals. […]

Speak Your Mind