Brief
We successfully completed a comprehensive Compensation & Grading Project for one of Russia’s largest oil & gas companies, covering 7,000 employees. Our structured and data-driven approach ensured a seamless transformation of the company’s compensation framework. Our approach aims to design and implement a comprehensive, transparent, and market-aligned compensation & grading system that ensures fairness, consistency and competitiveness.
Our Approach
- Comprehensive Analysis: Conducted an in-depth review of the company’s existing compensation & grading system, identifying key gaps and transformation opportunities.
- Job Architecture Design: Defined job families and developed a customized job grading & leveling framework tailored to the company’s needs.
- Compensation Strategy Development: Designed a structured compensation architecture, policy, and governance framework aligned with the new grading system.
- Salary Structure Optimization: Developed salary scales and grade structures based on internal business needs and market benchmarks.
- Benefits System Enhancement: Designed and implemented a benefits framework aligned with job grading principles.
- Employee Compensation Adjustment: Successfully recalibrated job grades, levels, salary, and benefits packages for over 7,000 employees in line with the new compensation model.
Strategy
Our strategy focused on building a robust and scalable compensation framework grounded in market best practices and internal consistency. Key strategic pillars included:
- Diagnostic Foundation: Conducted detailed diagnostics to understand existing pain points and identify optimization opportunities.
- Tailored Frameworks: Designed a customized job architecture and grading model aligned with the company’s unique operational structure.
- Market Alignment: Benchmarked compensation structures against relevant market data to ensure external competitiveness.
- Policy & Governance: Established clear policies and governance mechanisms to ensure sustainable and consistent compensation practices.
- Change Management: Ensured smooth implementation through stakeholder engagement, communication planning, and change readiness support.
Results
- Enhanced internal equity and transparency in compensation structures.
- Improved market competitiveness through a structured, data-driven salary framework.
- Increased employee satisfaction & retention by aligning pay and benefits with job levels.
- Stronger governance and policy standardization in compensation management.
With this transformation, the company established a sustainable, future-proof compensation framework, fostering both organizational efficiency and employee engagement. Our expertise and strategic approach enabled the company to establish a transparent, equitable, and competitivecompensation system, enhancing both internal equity and market competitiveness.
