Fundamentals of Compensation Strategies

Seize the savings! Get 40% off 3 months of Coursera Plus and full access to thousands of courses.

Fundamentals of Compensation Strategies

This course is part of ADP Entry-Level Compensation and Benefits Analyst Professional Certificate

Instructor: ADP Learning Academy

1,899 already enrolled

Included with

Learn more

3 modules

Gain insight into a topic and learn the fundamentals.

Beginner level

Recommended experience

9 hours to complete

Flexible schedule

Learn at your own pace

3 modules

Gain insight into a topic and learn the fundamentals.

Beginner level

Recommended experience

9 hours to complete

Flexible schedule

Learn at your own pace

What you'll learn

The value created by an effective compensation strategy for both the employer and employees.
The regulations that influence compensation strategies, offerings, and administration.
The main factors and risks to consider when designing a compensation strategy that promotes fairness, transparency, and accountability.
How to use key metrics to evaluate the effectiveness of a company strategy.

Skills you'll gain

Details to know

Shareable certificate

Add to your LinkedIn profile

Assessments

8 assignments

Taught in English

See how employees at top companies are mastering in-demand skills

Learn more about Coursera for Business

logos of Petrobras, TATA, Danone, Capgemini, P&G and L'Oreal

Build your Business Strategy expertise

This course is part of the ADP Entry-Level Compensation and Benefits Analyst Professional Certificate

When you enroll in this course, you'll also be enrolled in this Professional Certificate.

Learn new concepts from industry experts
Gain a foundational understanding of a subject or tool
Develop job-relevant skills with hands-on projects
Earn a shareable career certificate from Automatic Data Processing, Inc. (ADP)

There are 3 modules in this course

The Fundamentals of Compensation Strategies introduces you to the key element of total rewards: compensation. In this course, you’ll gain greater awareness of the different types of compensation and how the value of each type may vary depending on the organization and employee’s needs. You’ll look at regulatory topics that impact the compensation field and factors that promote fairness, transparency, and accountability. In the latter half of the course, you’ll look at designing a compensation strategy and the role the Compensation and Benefits Analyst plays in administering and managing to strategy elements.

In this module of the compensation section of your program, you’ll explore fundamental compensation concepts. You’ll start with the different types of direct compensation and the points in time when employees are likely to experience changes in those compensation areas. Then, you’ll learn about regulations that influence compensation and compensation strategies, including a closer look at the Fair Labor Standards Act, definitions of exempt and non-exempt and how it impacts base compensation. Finally, after a closer look at both variable and equity compensation, you’ll consider the importance of staying current on compensation regulations and trends.

What's included

12 videos18 readings2 assignments1 discussion prompt

12 videos Total 51 minutes

Course Introduction - Fundamentals of Compensation Strategies 2 minutes
Introduction to Compensation Strategy 2 minutes
Key Federal Regulations for Compensation 4 minutes
Other Regulatory Requirements 3 minutes
Introducing the Common Law Test and the ABC Test 7 minutes
Employee or Independent Contractor 8 minutes
Statutory Employees and Non-employees 5 minutes
White Collar Exemptions 3 minutes
Introduction to Variable Compensation 4 minutes
Weighing the Pros and Cons of Variable Compensation 4 minutes
Introduction to Equity Compensation 4 minutes
The Lifecycle of an Equity Grant 4 minutes

18 readings Total 155 minutes

Course Overview: Fundamentals of Compensation Strategies 10 minutes
Compensation Glossary 5 minutes
Direct Compensation 5 minutes
Employee Compensation Changes 5 minutes
Introduction to Regulatory Topics 5 minutes
Federal Regulations Overview 5 minutes
Keeping Up and Staying Current 5 minutes
FLSA Coverage 5 minutes
FLSA Exemptions 10 minutes
FLSA Classification and Exemption Resources 10 minutes
A Closer Look - Merit Pay 5 minutes
A Closer Look - Commissions 5 minutes
Equity Plan Documents Definitions and Examples 15 minutes
Vesting and Exercise Methods 25 minutes
A Closer Look - NQSO and ISO Stock Options 10 minutes
A Closer Look - Restricted Stock and Restricted Stock Units 10 minutes
A Closer Look - Stock Appreciation Rights 10 minutes
Compensation and Regulatory Topics: Recap 10 minutes

2 assignments Total 30 minutes

Identify FLSA Status: Assessment 10 minutes
Compensation and Regulatory Topics: Assessment 20 minutes

1 discussion prompt Total 10 minutes

Staying Current - Activity 10 minutes

Now that you’re familiar with elements of compensation and related regulations, you’ll start to explore how these elements come together to create and support the compensation area of an organization’s total rewards strategy. You’ll begin by looking at common approach to creating the strategy, starting with defining the organization’s compensation philosophy. From there, you’ll touch on compensation-specific data sources and considerations, as well as common issues you may find in analyzing that data.

What's included

3 videos9 readings3 assignments1 discussion prompt

3 videos Total 11 minutes

Value of an Effective Compensation Strategy 3 minutes
Defining a Compensation Philosophy 3 minutes
Importance of Benchmarking Data 4 minutes

9 readings Total 100 minutes

Research Insights - Online Resources 10 minutes
Developing a Compensation Strategy 15 minutes
A Closer Look - SWOT Analysis 15 minutes
Different Pay Philosophies 20 minutes
Components of a Compensation Philosophy 5 minutes
Sample Compensation Philosophies 5 minutes
Market Data Sources Details 15 minutes
Sourcing Internal Comp Data and Challenges 10 minutes
Developing Compensation Strategies: Recap 5 minutes

3 assignments Total 45 minutes

SWOT Analysis: Assessment 10 minutes
Developing Compensation Strategies: Assessment 20 minutes
SWOT Analysis - Activity 15 minutes

1 discussion prompt Total 10 minutes

Your Experience with Compensation Strategies - Activity 10 minutes

In this module of this course, you’ll turn your attention to some of the key responsibilities for a Compensation and Benefits Analyst: administering, communicating, and evaluating your organization’s compensation strategy and programs.

What's included

7 videos5 readings3 assignments

7 videos Total 14 minutes

The Compensation and Benefits Analyst's Role In Administering Compensation Plans 2 minutes
The Importance of Updating and Aging 2 minutes
Communicating Compensation Strategies 3 minutes
Compensation Metrics and KPIs 2 minutes
Evaluating Adverse Impacts 1 minute
Administering, Communicating, Evaluating: Recap 2 minutes
Congratulations- Course Complete 2 minutes

5 readings Total 50 minutes

Clarity of Roles and Responsibilities 10 minutes
Compensation-related Policies Considerations 15 minutes
Compensation-related Policies Example 5 minutes
Details of Compensation Metrics and KPIs 15 minutes
Metrics for Evaluating Bias in Compensation Programs 5 minutes

3 assignments Total 50 minutes

Metrics Scenario: Assessment 15 minutes
Administering, Communicating, and Evaluating Compensation: Assessment 15 minutes
Metrics and Dashboards Scenario- Activity 20 minutes

Earn a career certificate

Add this credential to your LinkedIn profile, resume, or CV. Share it on social media and in your performance review.

Instructor

ADP Learning Academy

Automatic Data Processing, Inc. (ADP)

14 Courses 78,530 learners

Offered by

Automatic Data Processing, Inc. (ADP)

Explore more from Business Strategy

Status: Free Trial
Automatic Data Processing, Inc. (ADP)
Fundamentals of Benefit Strategies
Course
Status: Free Trial
HRCI
Compensation and Benefits
Course
Status: Free Trial
Automatic Data Processing, Inc. (ADP)
Total Rewards & the Role of Compensation & Benefits
Course
Status: Free Trial
University of Minnesota
Managing Employee Compensation
Course

Why people choose Coursera for their career

Felipe M.

Learner since 2018

"To be able to take courses at my own pace and rhythm has been an amazing experience. I can learn whenever it fits my schedule and mood."

Jennifer J.

Learner since 2020

"I directly applied the concepts and skills I learned from my courses to an exciting new project at work."

Larry W.

Learner since 2021

"When I need courses on topics that my university doesn't offer, Coursera is one of the best places to go."

Chaitanya A.

"Learning isn't just about being better at your job: it's so much more than that. Coursera allows me to learn without limits."

Open new doors with Coursera Plus

Unlimited access to 10,000+ world-class courses, hands-on projects, and job-ready certificate programs - all included in your subscription

Learn more

Advance your career with an online degree

Earn a degree from world-class universities - 100% online

Explore degrees

Join over 3,400 global companies that choose Coursera for Business

Upskill your employees to excel in the digital economy

Learn more

Frequently asked questions

To access the course materials, assignments and to earn a Certificate, you will need to purchase the Certificate experience when you enroll in a course. You can try a Free Trial instead, or apply for Financial Aid. The course may offer 'Full Course, No Certificate' instead. This option lets you see all course materials, submit required assessments, and get a final grade. This also means that you will not be able to purchase a Certificate experience.

When you enroll in the course, you get access to all of the courses in the Certificate, and you earn a certificate when you complete the work. Your electronic Certificate will be added to your Accomplishments page - from there, you can print your Certificate or add it to your LinkedIn profile.