Improving visibility of remuneration decisions and enhancing data consistency

How ELMO helped The Warehouse

Introduction

The Warehouse is one of New Zealand’s largest and well-known retailers, selling clothing, entertainment, technology, music, sporting, gardening and grocery products throughout New Zealand. Established in 1982, The Warehouse remains Kiwi owned and operated and employs over 12,000 staff.

The Warehouse Group comprises 93 Warehouse stores, 69 Warehouse Stationery stores, 78 Noel Leeming stores and 11 Torpedo7 stores in New Zealand plus several online businesses. In 2017, the Group had an annual turnover of $3 billion. With an emphasis on attracting and retaining the best people, The Warehouse prides itself on creating an environment where staff are supported and encouraged to do their best.

Problems Experienced

" HR managers had limited visibility of managers’ remuneration decisions and could not easily track the review process."
The Warehouse - Remuneration and Reporting Manager at The Warehouse

The Warehouse performed bi-annual performance reviews with an annual salary review manually using spreadsheets, which often led to version inconsistencies as the files were shared around the company during the review process. Frustrated at the lack of control they had over the review process, HR managers had limited visibility of managers’ remuneration decisions and could not easily track the review process.

The organisation required a system that could reinforce clear rules around both the review and approval process. In addition, any solution needed to be online in order to eradicate the version inconsistency issues.

The Remuneration and Reporting Manager says there was a two-month window where managers started doing performance reviews and continued through to the end salary review. There was a need for more streamlined workflows and greater control of tracking the review process.

The company also needed to ensure its remuneration technology could reach a geographically dispersed workforce of more than 2,000 salaried staff throughout the country.

1 Manual remuneration processes, resulting in little visibility of remuneration reviews across the business
2 Version inconsistencies and greater likelihood of errors due to spreadsheet usage
3 Inconsistent remuneration processes and rules around bonuses

Solution

The Remuneration and Reporting Manager says the company rolled out Pivot Remuneration to high-level department heads and regional managers across the organisation. He explains how Pivot Remuneration helped The Warehouse adopt best practice remuneration processes: “At the beginning, our solution was built around our HR processes at the time. The introduction of Pivot Remuneration made us realise that if we tidied up our processes and rules around bonuses, it would work a lot better for us.”

After processes were re-organised, The Warehouse’s Pivot Remuneration system was re-configured and instant benefits were realised. The workloads of HR managers were reduced, and they were able to gain more control over the entire remuneration process.

The Result

" Pivot Remuneration has been configured to suit our specific needs; it really suits us and has made our review process more efficient and saved us a lot of time."
The Warehouse - Remuneration and Reporting Manager at The Warehouse

The introduction of Pivot Remuneration has allowed managers to track the company’s remuneration decisions and gives them better visibility of what is happening throughout the review process. The Warehouse can also do a lot more data manipulation and importing than previously possible.

“Pivot Remuneration sets quite clear rules around the both the review and approval process, and by having it online, we don’t get version inconsistency issues that we used to get with multiple spreadsheets flying around the country,” says the Remuneration and Reporting Manager.

“Pivot Remuneration also makes it easier for us to set flags and escalate issues. We now have a lot more control over what people are doing around remuneration reviews.”

As The Warehouse continues to improve HR processes, Pivot, an ELMO company, configures Pivot Remuneration accordingly.

“Pivot is very responsive in meeting our needs, says the Remuneration and Reporting Manager. “We gave them the feedback on something that would be nice to have, and within a few months they had built and implemented it for us which is pretty impressive.”

1 Enhanced visibility for HR and managers around remuneration processes
2 More robust internal systems and workflows, including identifying problems and issue escalation
3 Greater data consistency due to system automation
4 More data manipulation and importing than previously possible
5 A responsive solution that keeps pace with internal business changes