CWB Global Combination Plan Sample Setup ID 301163.1

CWB Global Combination Plan Sample Setup ID 301163.
Compensation Workbench Global Combination Plan Sample

Setup - FP J and forward [ID 301163.1]
Modified:Mar 6, 2013 Type:WHITE PAPER Status:PUBLISHED Priority:3
***Checked for relevance on 16-DEC-2010***
Compensation Workbench
Combination Plan Sample Setup

Introduction
The combination plan structure enables you to use a single budget amount to award
compensation across different types of compensation. For example, you can allocate salary
increases, bonuses, and stock option awards from the same budget, also on the same worksheet.
If you want to award different type of compensation on the same worksheet but want to use
different budget amounts (ie. 1 budget for salary and 1 budget for bonus), please follow the
Component Plan Sample Setup ( Note 302084.1).
A Compensation Workbench plan can stand-alone or can be global.
 Stand-alone plans exist within a single business group and use a single currency. The
same plan acts as its own global plan and local plan.
 Global plans cross business groups and may use multiple currencies. When creating a
global plan, you define a global plan in a master business group and in the currency in
which budgets are to be published. You create local plans in each business group that
has employees eligible for the plan. You then link the global plan to each local plan.
Local plans may be in the same or different currency than that of the global plan.

All plan structures, whether stand-alone or global, must have a global and local plan pairing. A
local plan must always be linked to a global plan even if it’s one in the same.
This document will guide you in setting up a global combination plan to award salary increases
and bonuses. You can use this same sample setup to create a stand-alone plan by disregarding
all steps related to US, UK and CA plan setup. These steps are noted by “(Skip for stand-alone
plans)”.
The sample setup uses the US, UK, and CA business groups. These countries do not need to be
used specifically. This sample setup is only intended to serve as an example of how 3 different
business groups can be used to create a global plan. The US business group is the master
business group in which the global plan is defined. Administrative processing must be done in
the same business group in which the global plan is defined. Steps to set up a new business
group are not included. Steps to set up conversion rates are also not included. Please refer to
Online Help for instructions these setup steps.
Note: The Total column in the Compensation Summary table within the Allocate
Compensation task does will not provide a real total for each row of data. This is because
budgets defined at the plan level in this sample setup. You can hide the option level columns if
you choose so that managers will not be confused. An example of the data provided in the
Compensation Summary table based on this sample setup is below.
Total Global Merit Global Bonus

Compensation Summary
Eligible Employees 100 100
Employees Receiving 95 95
% Receiving 95 95
Total Eligible Salaries 1,500,000 USD 1,500,000 USD 1,500,000 USD
Budget 150,000 USD 150,000 USD 150,000 USD
Budget as % of Total Eligible Salaries 10% 10%
Total Allocated 145,000 USD 90,000 USD 55,000 USD
Unused Budget 5,000 USD
Average Allocated as % of Eligible 9.67% 6% 3.67%
Salaries

Business Rules
Some of the business rules in which this sample setup is based are as follows.
- Each country has a country specific currency.
- Budgets are published in USD.
- Budgets are published in a percentage of eligible salary.
- Managers may update rankings and rate employee performance.
- Managers may view and update employee assignment information.
- Salary increases are administered in an annual frequency.
- Line managers have access to the plan from January 1, 2006 until December 31, 2006.
- Updates to the plan cannot be made beyond November 30, 2006.
- All person related information should be displayed as of January 1, 2006.
- Approvals will climb the Supervisor Hierarchy.
- Worksheets may be submitted for approval at any time.

Setup Steps
I. Define Plan Years
1. Navigate to Total Compensation > General Definitions > Additional Setup > Program/Plan
Years.
2. Enter 01-Jan-05 as the Plan Start.

3. Enter 31-Dec-05 as the Plan End.
4. Save.
5. Repeat for each year up to 2008.
II. Define Life Events
This form is available to core HR customers. However, only life events that are of the type
‘Compensation’ (or ‘Grade/Step Progression’) are supported without an Advanced Benefits
license. Life event triggers are not supported without an Advanced Benefits license.
Life event names must be unique for each plan.
1. Navigate to Total Compensation > General Definitions> Additional Setup > Life Event
Reasons.
2. Name the life event Global Combination.
3. Select Compensation as the Type.
4. Save.
(Skip for stand-alone plan)
Repeat steps 1 through 5 and create another life event called US Combination.
III. Create Derived Factors
A Stated Compensation derived factor is used by a standard rate to determine eligible salary.
1. Navigate Total Compensation > General Definitions > Eligibility/Rate Factors > Derived
Factors.
2. Select the Compensation tab.
3. Name the factor Stated Salary.
4. Select US Dollar as the Currency.
5. Define Stated Compensation as the Source.
6. Define Annually as the Stated Compensation Periodicity. (The periodicity computes all
amounts the same regardless of salary basis. Upon distribution of the award, salary is converted
back based on the salary basis of the individual.)
7. Check No Minimum and No Maximum.
8. Select As of Event Date as the Determination Code.
9. Save.
IV. Define Plan Type
1. Navigate to Total Compensation > Programs and Plans > Plan Types.
2. Name the plan type Combination Plan.
3. Choose Compensation Workbench as the Option Type.
4. Choose Combination Plan as the Compensation Category.
5. Save.
V. Define Options
Options are defined to house the different types of compensation being awarded within the
combination plan.

1. Navigate to Total Compensation > Programs and Plans > Options.
2. Create a new option and name it Global Salary Increase.
3. Select Combination Plan as the Plan Type.
4. Save. The Group Option field and checkbox will fill in automatically upon saving.
5. Repeat the above steps and create options for Global Bonus.
Repeat steps 1-5 and create local options for US Salary Increase and US Bonus. For each local
option, in the Group Option field, select the corresponding global option name (i.e. Global
Salary Increase and Global Bonus).
VI. Define Plans
When setting up a global plan, a global plan must be defined along with the local plans for each
country that has employees eligible for the plan. Local plans also identify each local currency
(or country) in which compensation will be awarded. When setting up a stand-alone plan, you
only need to setup a single global plan.
1. Navigate to Total Compensation> Program and Plans > Plans.
2. Create a new plan and name it Global Combination Plan.
3. Choose Active as the Status.
4. Choose Combination Plan as the Plan Type.
5. Choose May Not be in a Program for the Usage.
6. (Skip for stand-alone plans). (For the US Combination Plan only, select the Restrictions
tab. Select Global Combination Plan in the Global Plan Name field. For the global plan,
upon saving, the Global Plan box will automatically be checked and the Global Plan Name
field will be populated with its own name.)
7. Select Not in Program tab.
8. Choose US Dollar as Currency.
9. Choose Annually as Activity Reference Period.
10. Save.

Define Details
11. Select the Details button.
12. Select the Plan Periods tab.
13. Enter 10 as the Sequence.
14. Choose 01-Jan-05 and 31-Dec-05 as the Start and End Date.
15. Repeat the above steps for all plan years through 2008.
16. Save.

Define Tasks
17. Select the Compensation Workbench tab.
18. Enter 10 as the Sequence.
19. Select the Task Type of Set Budgets.
20. Enter Set Budgets as the Self-Service Task Name.
21. Set the Access to Full Access.
22. Enter 20 as the next Sequence.
23. Select the Task Type of Job Changes/Promotions.
24. Enter Update Assignment Information as the Self-Service Task Name.

27. Select the Task Type of Performance Ratings.
28. Enter Rate Employee Performance as the Self-Service Task Name.
31. Select the Task Type of Allocate Compensation.
32. Enter Award Salary Increases and Bonuses as the Self-Service Task Name.
35. Select the Task Type of Manage Approvals.
36. Enter Approve Awards as the Self-Service Task Name.
39. Select the Task Type of Review and Submit.
40. Enter Review & Submit as the Self-Service Task Name.
42. Save.
Attach Options
43. Select the Options button.
44. On the General tab, enter 1 as the sequence and select the Global Salary option.
45. Set the status to Active.
46. Enter 2 as the next sequence and select the Global Bonus option.
48. Save.
Repeat the above steps 1-48 and create a local plan called US Combination Plan (skip the
Define Tasks steps 17-42). In step 6, on the Restrictions tab, select the Global Combination
Plan in the Global Plan Name field. The Global Plan box should be unchecked. In the Attach
Options steps 43-48, attach the US Salary and US Bonus options to the US Combination Plan.
VII. Define Plan Enrollment Requirements
1. Navigate to Total Compensation > Programs and Plans > Plan Enrollment Requirements.
2. Query the Global Combination Plan.
3. Select the General tab.
4. Select the Plan tab.
5. On the Enrollment alternate region, select Explicit as the Method.
6. Save.
Define Timing
7. Select the Timing tab.
8. Select the Scheduled tab.
9. Select Compensation as the Enrollment Type.
10. Select the General alternate region.
11. For the Enrollment or Availability Period, enter 01-Jan-2006 as the Start and 31-Dec-2006
as the End.
12. Enter 01-Jan-2006 as the Assigned Life Event Date. (This is the date as of which plan
design and person data is checked for eligibility and rate calculations.)
13. Select Global Combination as the Life Event.
14. Select When Elections Are Made as the Close Enrollment Date to Use. (This code allows
you to close the event for this plan during the Compensation Workbench Post Process.)
15. Choose 01-Jan-2005 to 31-Dec-2005 as the Year Period.
16. Select the Coverage alternate region.
17. For the Enrollment Coverage Start Date, select Event.
18. For the Enrollment Coverage End Date, select 1 Day Before Event.
19. Select the Rates alternate region.
20. For the Rate Start Date, select Elections.
21. For the Rate End Date, select 1 Day Before Event.
22. Choose the Budget alternate region.
23. Check Uses Budget box. (This flag must be checked if using budgets.)
24. Select Store Budgets as Percentages in the Preserve Budget Column.
25. Select the Miscellaneous alternate region.
26. Choose Supervisor Hierarchy as the Hierarchy to Use. (Supervisor hierarchy is more
easily used for cross-business group processing.)
27. Select the Approval Mode of Submission at any time.
28. Select the Performance alternate region.
29. Enter 01-Dec-2006 as the New Ratings Become Effective date.
30. Choose the Miscellaneous alternate region.
31. Enter 01-Jan-2006 as the Self Service Update Period Start date.
32. Enter 30-Nov-2006 as the Self Service Update Period End date.
33. Choose Full Access as the Default Worksheet Access.
34. Enter 01-Jan-2006 as the Freeze Date
35. Enter 01-Dec-2006 as the Assignment Changes Become Effective date.
36. Choose Periodic Review as the Salary Change Reason.
37. Save.
Repeat the above steps for the US Combination Plan. In step 13, select the US Combination life
event.
IX. Define Standard Rates
For the global combination plan structures, budget rates (Budget Amount, Worksheet Budget,
Reserve Amount) are defined for the global plan at the option in plan level. Budget rates only
need to be defined in the master business group. One set of budget rates should be defined for
each option in plan.
If you are creating a stand-alone plan, skip all rate setup as noted below.
Distribution Budget
The distribution budget is the budget that a manager gives another manager to further distribute
down the reporting hierarchy. This is not the budget amount a manager sees on his worksheet.
1. Navigate to Total Compensation > Rates/Coverage Definitions > Standard Rates.
2. Create a new rate and call it Global Combo Plan – DB.
3. Set the Status to Active.
5. Set the Level to Plan.
6. Select Global Combination Plan as the Compensation Object.
7. Select CWB Distribution Budget as the Activity Type.
8. Select Not Applicable as the Tax Type.
9. Uncheck the Element and Input Value required flag.
10. Select the Calculation Method tab.
11. Select Flat Amount as the Method.
12. Check the Enter Value at Enrollment box.
13. Verify that the Calculate for Enrollment box is also checked.
14. Enter 0 as the Min.
15. Enter 1000000000 as the Max.
16. Enter 1 as the Increment Amount.
17. Enter 0 as the Default.
18. Set the Rounding Code to Round to nearest one.
19. Save.
Budget Reserve
A budget reserve allows managers to hold back money in a budget for later use. This rate is
optional and should only be defined if managers are allowed to set aside a reserve.
2. Create a new rate and call is Global Combo Plan - RB.
7. Select CWB Reserve as the Activity Type.
11. Choose Flat Amount as the Method.

13. Verify that the Calculate for Enrollment box is checked.
17. Enter Default as 0.
18. Set the Rounding Code to Round to Nearest one.
19. Save.
Worksheet Budget
This is the budget amount that a manager sees on his worksheet.
2. Create a new rate and call it Global Combo Plan - WB.
8. Select CWB Worksheet Budget as the Activity Type.

20. Save.
Worksheet Amount
This rate is required and represents the amount a manager enters on the worksheet in money or
shares. Attaching an element entry to this rate forwards this amount to the payroll system upon
running of the post process.
2. Create a new rate and call it Global Combo Plan - WA.

8. Select CWB Worksheet Amount as the Activity Type.

19. Select the Processing Information tab.
20. Select Combination Plan as the Compensation Category.
21. Save.
22. Repeat the above steps and create a worksheet amount rates for Global Combination Plan
– Merit and Global Combination Plan – Bonus. In step 20, select Base Pay and Bonus,
respectively, as the Compensation Category.

(Skip for stand-alone plans)
Repeat the above steps and create a worksheet amount rates for US Combination Plan, US
Combination Plan – Salary and US Combination Plan – Bonus.

Eligible Salary
Eligible Salary is the salary used for CWB calculations. Eligible salary differs from base salary
and stated salary in that eligible salary is determined as of a common date for all eligible
persons. Base salary is a person’s salary as of the date accessed in CWB and is displayed in the
frequency of the person’s pay basis. Stated salary may be converted to a different frequency
and is displayed as of a specific date. Stated salary is commonly defined as a multiple of a
compensation factor.
In this sample setup, eligible salary is equal to stated salary.
2. Name the rate Global Combo Plan – ES.
3. Indicate Active as the Status.
5. Select the Level as Plan.
7. Select CWB Eligible Salary as the Activity Type.

11. Verify that the Calculate for Enrollment box is checked.
12. Uncheck the Enter Value at Enrollment box.
13. Choose Multiple of Compensation as the Method.
14. Enter 1 as the Multiplier.
15. Select Multiply by as the Operator.
16. Select Stated Salary as the Compensation Factor.
18. Save.
19. Repeat the above steps and create eligible salary rates for Global Combination Plan –
Merit and Global Combination Plan – Bonus.
(Skip for stand-alone plans)

Repeat the above steps and create eligible salary rates for US Combination Plan, US
Combination Plan – Salary, and US Combination Plan – Bonus.

If you are creating a stand-alone plan, your plan design is complete. Please refer to Note
356770.1 for Administration help. If you are creating a global plan, please complete the
following setup steps.

XI. Setup UK and CA Business Groups

Global plan structures are based on compensation being awarded across business groups or
using multiple currencies. For this sample setup, UK and CA business groups must be set up if
they are not already. (Please refer to Online Help for instructions to set up a new business
group.)

Once your business groups are set up, for each business group, follow the same steps as above
for the following items only. All other compensation objects can be copied using the Plan Copy
Process.
- Define Plan Years
- Create Derived Factors
- Create Life Event*

* If you are coping your plan design into the same business group, you need to create a new
Life Event for your copied plan. You cannot reuse an existing life event.

The Plan Copy Process can copy your US Component Plan and all of its child records into your
UK and CA business groups one at a time as the setup is virtually the same. Do not copy the
global plan.

1. Navigate to Total Compensation > Programs and Plans > Plan Design Copy.
2. Select the link to Copy or Export Plan Design.
3. Enter UK Combo Plan as the Process Name.
4. Enter 01-Jan-1990 as the Effective Date.
5. Hit Next.
6. Select your US Combination Plan.
7. Hit Next.
8. Select the Target Category as Different Business Group (assuming that the UK business
group is in the same database. If not, then Export to a File.)
9. Hit Next.
10. Query your UK business group as the Target Business Group.
11. Enter 01-Jan-1990 as the Effective Date to Copy.
12. Select Reuse existing objects if current name exists in target as the Reuse Method.
13. Enter a Prefix of UK.
14. Hit Next.
15. No mapping is needed. Hit Next.

16. Hit Submit.

Update the names of the copied compensation objects assuming that they do not already exist
in the target business group.
17. In the UK business group, navigate to Total Compensation > Programs and Plans >
Options.
18. Query your UKUS Salary Increase option.
19. Change it the name to UK Salary Increase.
20. Save and repeat for UKUS Bonus.
21. Navigate to Total Compensation > Programs and Plans > Plans.
22. Query your UKUS Combination Plan.
23. Change the name of your plan to UK Combination Plan.
24. Change the Status to Active.
25. Select the Restrictions tab. Make sure that the Global Combination Plan is the Global Plan.
26. Select the Not in Program tab.
27. Change the Currency to Euro.
28. Save.
Update Rate Names (Optional, as rate names are not displayed anywhere in CWB.)
30. Query all your UKUS rates that you copied and delete the “US” from the names.
31. Save.

Create a local plan in the CA business group
32. Repeat the above steps to create a local plan in your CA business group. In step 26, the
Currency should be Canadian Dollars.

Your plan design is complete.

CWB Global Combination Plan Sample Setup ID 301163.1

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CWB Global Combination Plan Sample Setup ID 301163.1

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CWB Global Combination Plan Sample Setup ID 301163.

Compensation Workbench Global Combination Plan Sample

***Checked for relevance on 16-DEC-2010***

A Compensation Workbench plan can stand-alone or can be global.

Total Global Merit Global Bonus

- Each country has a country specific currency.

- Budgets are published in USD.

- Budgets are published in a percentage of eligible salary.

- Managers may update rankings and rate employee performance.

- Managers may view and update employee assignment information.

- Salary increases are administered in an annual frequency.

- All person related information should be displayed as of January 1, 2006.

- Approvals will climb the Supervisor Hierarchy.

- Worksheets may be submitted for approval at any time.

I. Define Plan Years

2. Enter 01-Jan-05 as the Plan Start.

5. Repeat for each year up to 2008.

II. Define Life Events

Life event names must be unique for each plan.

2. Name the life event Global Combination.

3. Select Compensation as the Type.

(Skip for stand-alone plan)

III. Create Derived Factors

2. Select the Compensation tab.

3. Name the factor Stated Salary.

4. Select US Dollar as the Currency.

5. Define Stated Compensation as the Source.

7. Check No Minimum and No Maximum.

8. Select As of Event Date as the Determination Code.

IV. Define Plan Type

2. Name the plan type Combination Plan.

3. Choose Compensation Workbench as the Option Type.

4. Choose Combination Plan as the Compensation Category.

2. Create a new option and name it Global Salary Increase.

3. Select Combination Plan as the Plan Type.

(Skip for stand-alone plan)

VI. Define Plans

1. Navigate to Total Compensation> Program and Plans > Plans.

2. Create a new plan and name it Global Combination Plan.

3. Choose Active as the Status.

4. Choose Combination Plan as the Plan Type.

5. Choose May Not be in a Program for the Usage.

8. Choose US Dollar as Currency.

9. Choose Annually as Activity Reference Period.

11. Select the Details button.

12. Select the Plan Periods tab.

13. Enter 10 as the Sequence.

17. Select the Compensation Workbench tab.

18. Enter 10 as the Sequence.

19. Select the Task Type of Set Budgets.

20. Enter Set Budgets as the Self-Service Task Name.

21. Set the Access to Full Access.

22. Enter 20 as the next Sequence.

23. Select the Task Type of Job Changes/Promotions.

24. Enter Update Assignment Information as the Self-Service Task Name.

25. Set the Access to Full Access.

26. Enter 30 as the next Sequence.

28. Enter Rate Employee Performance as the Self-Service Task Name.

29. Set the Access to Full Access.

30. Enter 40 as the next Sequence.

31. Select the Task Type of Allocate Compensation.

33. Set the Access to Full Access.

34. Enter 50 as the next Sequence.

Checked for relevance on 16-DEC-2010