Market Perspectives

beqom Enables Compensation to Performance Management

Written by ISG Software Research | Oct 20, 2022 12:00:00 PM

While total compensation is not an area that can be handled by a one-size-fits-all solution, many companies lack dedicated compensation software. According to Ventana Research, many HR departments are not equipped to manage sophisticated programs that extend beyond the annual review process. Even among HR departments that do acknowledge the importance of total compensation management (TCM), many rely on outdated systems such as spreadsheets. The use of spreadsheets rather than dedicated compensation management software is a mistake though, considering only 15% of organizations that rely on spreadsheets can report that they do have errors. In the current environment, it is critical that organizations attract and retain productive members of the workforce. A key component of retention and recruitment is ensuring that appropriate compensation exists so employees feel like they are valued by the organization. One organization that is trying to address this issue by creating dedicated TCM software is beqom.

Started in 2009, beqom was founded to address gaps in enterprise software. According to beqom’s founders, other vendors did not allow organizations to customize their compensation process. With this goal in mind, beqom created a single platform that addresses compensation without the need for an extensive IT team to integrate it into the system. Not only does beqom reduce the amount of work for IT but it can be used to reduce the number of administrative tasks for HR. However, according to beqom, their open architecture and web API makes this process require less people.

Beqom allows organizations to customize the suite to their individual needs, from issues related to long-term incentives, sales performance management, and salary and bonuses. Organizations that utilize beqom software can created detailed reports which can aid in gathering workforce trends and pay inequity. Advanced analytics and dashboards can provide organizations with important information for determining how to best address issues related to compensation. While organizations that rely on spreadsheets can detect discrepancies, the beqom suite increases the likelihood that a manager will notice a significant issue that should be addressed.

The continuous performance management of beqom is designed to set clear goals for an organization. According to beqom, the performance management process is key because most workers do not want a top-down annual approach but rather expect regular recognition for accomplishments. The performance management process allows for a continuous relationship between supervisors and employees. A key component of the performance management process is to ensure that manager bias does not impact compensation. Companies are also taking steps to avoid racial and gender inequity, in which performance management can play an important role.

Our research shows that among the primary challenges facing organizations in the TCM arena is a lack of automation. Instead, organizations will often rely on a piecemeal approach which tends to be less efficient and more time consuming. Beqom addresses these issues with a single, automated platform. Beqom is designed to provide customization for customers, mostly geared toward midsize companies and large enterprises. The flexibility of the beqom suite allows its use among a variety of industries.

Beqom provides organizations with a means to address bonus plans, long-term planning, sales commissions, and other forms of compensation. Designed to integrate with popular HR suites such as Oracle HCM, SAP SuccessFactors, and Workday, beqom can be adopted by organizations with existing HR suites. According to beqom, while an HR suite might cover some of the aspects of compensation, it will likely miss many important aspects such as non-compliance and process coverage.

Another significant area being addressed by organizations is the issue of pay and compensation inequality. Due to this being a major concern, beqom has implemented several measures in their suite to address inequity. The salary management suite can be used to examine pay equity across the organization by using market data. In particular, the suite can examine market data as it relates to the organization’s compensation and rewards practices.

Additionally, organizations are focused on transparency. A lack of transparency could lead to some employees feeling like they are not part of an organization. Employees that do not feel loyal to an organization are less likely to stay. As a result, beqom takes steps to address these concerns about retention and company culture by providing transparency in compensation management. Organizations can view everything from compensation statements to audits.

A major challenge for organizations is the threat to security from ransomware and other malicious actors. Beqom has taken several steps to address security concerns in IT. The beqom platform is designed to comply with federal and international banking regulations to ensure that it provides security for clients. Backing up existing content is another important security feature because when a computer crashes, it can result in a total loss of data. In another effort to ensure security, beqom has taken numerous steps to help with redundancy by creating multiple copies of client data.

Compensation software can be a valuable tool for retention and the hiring of new employees. Dedicated TCM software, such as beqom, enables organizations to spend less time and less resources on compensation. In addition, the beqom suite empowers organizations to reduce their likelihood of errors and pay inequity among workers. In addition, a key part of the beqom suite is its focus on transparency, a lack of which can lead to issues with retention. The beqom suite has taken steps to address the omnipresent threat to IT security that businesses face. For large and medium-sized organizations interested in compensation management, consider beqom.