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.; Organizations that thrive in compensation management do more than set a philosophy, they operationalize it.

Frost: Organizations can connect disparate data sets, such as rewards data, other HR data, business performance data and even potentially external data (e.g., labor market data, socio-economic data), to drive strategic insights that improve business decisions.

Set up employee resource groups.

That may mean walking around a factory floor speaking directly with employees, setting up a table in the lunchroom to provide information about open enrollment, mailing out postcards about benefits offerings, offering in-person open-enrollment sessions, producing webinars and sending out companywide texts.

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Some level of complexity and secrecy continues to surround the wage-setting processes within many organizations, leading to subjective decision making that takes into account internal budgetary constraints, labor trends and the expectations and motivations of individual employees ( Grimshaw and Rubery 2007).

It therefore offers “an interesting setting [for researchers] to compare their views with directors” (ibid.).

And 80% said that simply setting financial goals would be helpful.

The challenge might be a single terminating employee complaining of final sales credit treatment or, worse, a government agency set to investigate your Fair Labor Standards Act sellers’ exemption status.

Here are the competing complexities in the current climate, and a set of guiding principles that can help navigate the delicate balance of compensating retiring executives.