Employee Compensation
Family & Privately Owned Business Employee Compensation
Family and privately owned business employee compensation require both knowledge and decades of experience to get it right.
The BCG team has provided services to six of the top 20 largest family offices in the entire US.
Steps in Compensation Planning
Family offices are unique. Working with them requires a deep understanding of privately held businesses, as well as the nuances of family dynamics. Creating the right alignment with the right economics is an art and a science. And we do it better than anybody else.
Benchmarking
When you’re unsure what the industry employee compensation standards are, it’s difficult to attract and keep the best talent. For employee compensation in family and privately held businesses, we often benchmark dozens of unique job descriptions, providing data related to comparable positions in the marketplace. Since we work with so many family and privately held businesses, we have current, accurate data on employee compensation.
We review employee compensation data in the context of company size, location, and industry to get an apples-to-apples comparison.
We examine:● Base Salary● Short-Term Incentives● Long-Term Incentives● Core Benefits
Internal equity is frequently a business and regulatory concern, so we examine the employee compensation and benchmark for both internal and external pay equity.
Benchmarking compensation for single-family offices is not like formulating standards for any other public or private company. Only someone with deep experience in family offices can get it right. We are the premier provider for compensation benchmarking.
Evaluating
After benchmarking your employee salaries to the marketplace and internal pay equity scales, we evaluate that data against your business and family goals. We determine the gaps between where you are and where you want to be. We then identify the employee compensation structures that need to be in place to bridge that divide. You can rely on our deep experience working with major family and privately held businesses to evaluate your employee compensation in the right light.
Incentive Planning
Employee compensation includes incentives to retain and motivate team members so that the family and business can achieve their goals. Incentives can include cash, commission, year-end bonuses, sign-on bonuses, and performance bonuses. We align the structure of the employee compensation with economics, business, and family goals to create a scenario where everyone wins.
Short Term Vs. Long TermIncentives can be short term or they can be long-term devices used to support continuing advances. We develop incentive plans to align the interests of the family and privately held business on both a short and long-term basis and can design the right structures to help you grow.
Sales Compensation
If your sales team isn’t delivering the results you want, your sales compensation strategy may be to blame. BCG helps family and privately held businesses attract and retain top talent through better sales compensation strategies.
We will help you motivate your sales team by designing a compensation strategy that aligns with your family and business goals. With a carefully planned compensation strategy, you’ll be more competitive in your industry, and better able to actualize your business strategy.
Not only do we develop plans, but we can also help you implement and communicate them to your sales team. By the end of our engagement, your sales team has the motivation to achieve your goals.
Our employee compensation planning process has four phases.
Phase I:Discovery
We conduct interviews, collect data, review current roles, pay levels, and goals.
Phase II: Benchmark & Analysis
We benchmark pay and benefit levels and analyze the competitive market.
Phase III: Reporting
We present our findings and recommendations for designing the incentive plans.
Phase IV: Final Plan
We offer multifunctional programs that include the needed set of features and support services.