Purpose

Whether you want to be able to award a 5% salary increase across the board, or award a $2000 bonus to all employees with a performance rating of more than 100 points, then the Guidelines component provides you with the necessary tools.

Use the Guidelines component to depict the calculation methods that you use to calculate your compensation adjustments in the system.

Features

The system supports three types of guideline:

You can create guidelines that calculate an adjustment using a fixed percentage, a fixed amount, or a fixed number. Alternatively, you can use employee attributes, such as compa ratio and performance, to calculate an adjustment type or you can use a user exit to define calculation methods not covered by standard methods provided by SAP.

Integration to the Personnel Development component's Appraisal System means that you can use the point value results from a wide range of performance appraisals, for example, 360° feedback appraisals, personnel appraisals, etc. as the basis for your calculations. For more information on the Appraisal System see Appraisal Systems in the Personnel Development component.

See also:

Guidelines