General definition: Bonus and Equity Planning involves the design and management of variable compensation components such as bonuses and equity awards to incentivize and retain employees, aligning their interests with company performance and long-term goals. Organizations deploying this use case will be equipped with all the tools to develop and implement bonus structures and equity plans (including incentive stock options, non-statutory stock options, restricted stock, restricted stock units, stock appreciation rights, performance units and performance shares), ensuring they are competitive, equitable, and aligned with business objectives.
Value it delivers:
- Help organizations attract and retains top talent
- Enables organizations to motivate employees to achieve performance targets
- Helps organizations align employee interests with shareholder value
How Anaplan delivers that value: Anaplan includes features for modeling various bonus and equity scenarios, performance target setting, and tracking, along with a user-friendly interface for plan administration and communication. It integrates with financial and human resources systems to streamline the administration of bonuses and equity awards and provides robust reporting and analytics to assess the effectiveness of these programs.
Typical Inputs for this use case:
- Organizational performance metrics
- Individual performance data
- Market benchmarks for equity and bonus levels
- Internal benchmarks
- Budgetary constraints
What this use case feeds into:
- Anaplan use cases:
  1. Workforce (HR): Salary and Merit
  2. Workforce (HR): Diversity, Equity, and Inclusion (DEI) Planning
  3. Workforce (HR): Compensation Package Modeling
  4. Workforce (HR): Operational Workforce Planning
  5. Sales & Marketing: Incentive Pay Calculations
  6. Finance: Financial Headcount Planning
  7. Finance: OpEx Planning and Forecasting
- Other business benefits:
  - Enhanced employee engagement and retention through attractive compensation packages
  - Improved alignment of employee performance with company goals
  - Ability to manage compensation costs effectively while supporting long-term organizational growth

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