แนวโน้ม – กลยุทธ์การบริหารค่าจ้าง 2009 พลิกวิกฤติเป็นโอกาส แนวโน้ม – กลยุทธ์การบริหารค่าจ้าง 2009 พลิกวิกฤติเป็นโอกาส ปรีชา ธนสุกาญจน์

The Total Remuneration Model HR for Non HR 2004 20 August 2004 Version The Total Remuneration Model Tangible PAY Base Salary/Annual Pay Variable Pay Special Bonuses Stock Options Allowances BENEFITS Health Care Provident Fund Loan Schemes Insurance Schemes Vacation Assistance Individual Communal LEARNING & DEV. Career Dev. Learning Opportunities Performance Mgt. Cross posting WORK ENVIRONMENT Organisation Climate Leadership Supportive Environment Work/Homelife balance Flexi Working Hours Intangible

PAY Salary Review by using Performance and Values Matrix Talent: P75++ No forced distribution when differentiating rewards No / de-personalised labels when delivering rewards Special Recognition Award Encouraging Culture of Appreciation Prompt Rewarding

Performance & Values Matrix 3 a d b ผลการปฏิบัติงานย้อนหลัง (Performance) 2 c 1 1 2 3 คุณค่าต่อองค์กร (Values)

หลักเกณฑ์การปรับเงินเดือนและจ่ายโบนัส ปี 2552 - เครื่องมือในการพิจารณาอัตราการขึ้นเงินเดือนประจำปีและการจ่ายเงินรางวัลประจำปี : ดัชนีการขึ้นเงินเดือน/จ่ายเงินรางวัลประจำปี (Merit & Bonus Indicator - MBI) - มีค่าตั้งแต่ 0.0 – 2.0 และมีทศนิยมตำแหน่งเดียว - ค่าเฉลี่ย MBI ต้องไม่สูงกว่า 1.0 - สูตรการคำนวณ การขึ้นเงินเดือน = MBI x งบประมาณ (%) x เงินเดือนฐาน เงินรางวัลประจำปี = MBI x งบประมาณ (เดือน) x เงินเดือนฐาน ถ้าผลการคำนวณรวมแล้วเกินงบประมาณ จะคำนวณปรับตามสัดส่วนให้พอดีกับงบประมาณ (Normalisation)

Special Recognition Awards Research has revealed that the type of reward most employees prefer is on the spot, personalised and from their direct supervisor.

General Criteria Exceptional performance that has resulted in tangible achievements, such as Positive impact on earnings (cost saving, increased revenue, productivity improvement) Significant in methods and procedures Taking on work of others who are on project/special assignment Use of good practice of others Positive recognition of the Company in the commnunity Successful completion of work while under severe time constraints or extreme external pressure Clear demonstration of desired attitudes and behaviours consistent with the Company values

Company A - Recognition Awards Scheme Non-cash Monetary up to RM 500 example Company A - Recognition Awards Scheme GENERAL CRITERIA Non-monetary Non-cash Monetary up to RM 500 Non-cash Monetary up to RM 2,000 Cash General Criteria - Making significant contribution towards performance of Team - Outside their normal scope of work - Making significant contribution towards performance of BU or Company. - Outside their normal scope of work - Making exceptional contribution towards performance of BU or Company. - Outside their normal scope of work Achievement of a once-off nature for individual or team who have made exceptional contributions to enhance efficiency or for successful completion of special projects. Key criteria are “Clear added business benefit has been achieved resulting from a level of exceptional performance enhancement”. Note: Exceptional Contribution shall mean the contribution is widely recognized by others outside respective BU. Significant Contribution shall mean the contribution is notified by outside the Team.

Suggestion on More Specific CRITERIA example

Non-cash Monetary up to RM 500 example SUGGESTED AWARDS Non-monetary Non-cash Monetary up to RM 500 (If it is team's contribution, the total award will not be more than RM2,500) Non-cash Monetary up to RM 2,000 (If it is team's contribution, the total award will not be more than RM10,000) Cash List of Awards - Mention/Highlight via Co's media - Formal appreciation letter from EP - Photo with GM and EP Plague/Certificate Corporate Pen - Team Lunch/Dinner Reimbursement on Fuel/Lubricant (Shell) Dinner/Lunch Pre-paid telephone card Telephone/Electricity Bill Parking Coupon Books Subscription of News Paper/ Magazine Internet Hours/ISDN Contact Lens/Eyes Glasses Leather Bag/Purse PDA PC/Laptop Subsidy Mobile Phone Camera DVD/VCD Player Sports/Musical Equipment Watch Additional Educational Support for staff/spouse/children Formula one ticket Holiday Trip Same list as of Non-cash up to RM 500 but the value up to RM 2,000. - Normally, half month salary upto one month salary. - More than one month salary is subject to MD approval. - MD may grant “MD Special Award" up to 3 month salary.

Nomination and Approval example Nomination and Approval Non-monetary Non-cash Monetary up to RM 500 Non-cash Monetary up to RM 2,000 Cash (Code40) Nomination TL or GM or Peers TL or GM or MD Approval (within allocated budget) TL GM (with support by HR to ensure consistency of rewarding) (beyond allocated budget) N/A MGT

Recognition Awards Scheme example Recognition Awards Scheme TIMING OF AWARD A timely recognition is recommended to give the highest positive impact to the recipient. PERSONAL INCOME TAX Personal Income Tax incurred is for eligible staff’s own account. BUDGET Annual Budget will be allocated to each Department/BU. REPORTING HR Services provides quarterly report to Management Team on the utilization of the scheme.