Compensation Benchmarking: Build a Competitive Salary Strategy

Setting the right compensation is becoming more difficult as market expectations shift, talent competition remains intense, and pay transparency continues to expand across industries and regions.

Companies that rely too heavily on internal assumptions or outdated salary references are more likely to underpay critical talent or overpay in ways that create cost inefficiency.

At the same time, many organizations struggle with the same practical issues: limited access to reliable market data, inconsistent pay structures across roles or levels, and difficulty maintaining internal equity while staying competitive externally.

These challenges matter because compensation and labor costs are among the largest and most sensitive operating expenses for many employers, with employer compensation costs remaining substantial across the workforce.

This article explains what compensation benchmarking is, why it matters, and how organizations can apply a more structured, data-driven approach to improve compensation decisions.

What is compensation benchmarking?

Compensation benchmarking is the process of comparing an organization’s salary and benefits structure against external market data to determine whether pay is competitive, fair, and aligned with business goals.

In practice, it helps employers evaluate how their pay levels compare with similar roles in the market so they can make more informed decisions about what to offer, where to adjust, and how to maintain consistency across the organization.

Compensation benchmarking is analyzing data to determine salaries and wages that are competitive and consistent with market rates, while broader compensation references note that benchmarking should consider the full package, not just base pay.

Its scope usually includes base salary, bonuses and incentives, benefits and allowances, and the overall total compensation package. That makes benchmarking especially important for organizations managing diverse job families, multiple job levels, different locations, or changing expectations around rewards and transparency.

It is not simply a pricing exercise for open roles. Used properly, compensation benchmarking becomes a strategic tool for building pay structures that are competitive externally, equitable internally, and sustainable financially over time.

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Why is benchmarking important?

1. Ensures competitive compensation

Employees now have far more visibility into pay than they used to, whether through job postings, market data, or salary-sharing platforms. That makes it much easier for them to compare what they earn with what similar roles appear to pay elsewhere.

HR Dive reported that pay transparency can decrease intent to quit by 30% when viewed in isolation, which shows how strongly compensation visibility can influence retention.

Without benchmarking, companies risk underpaying and losing talent to the market, or overpaying in ways that inflate cost without improving workforce quality. Benchmarking helps organizations stay close to market reality, which improves both attraction and retention.

2. Supports pay equity and fairness

Benchmarking is also important because it supports both external competitiveness and internal fairness. Employees do not judge pay only by market rates. They also compare their compensation with peers doing similar work inside the same organization.

Gartner found that only 32% of employees believe their pay is fair, which highlights how common compensation perception gaps still are.

Meanwhile, another report by Korn Ferry explained that organizations embracing pay transparency can see a 20% reduction in pay disparities, showing how structured compensation practices can improve fairness.

A benchmarking process gives employers a stronger basis for making salary decisions consistently across teams, levels, and roles, which helps reduce bias and pay inequity.

3. Improves budget planning and cost control

Compensation benchmarking matters financially because pay is one of the largest cost categories most organizations manage. Labor costs are often a company’s largest operating expense, and employer compensation costs remain significant across the workforce.

When organizations do not have a structured benchmarking framework, salary decisions become more inconsistent, salary growth becomes harder to predict, and compensation budgets are more likely to be allocated inefficiently.

A more disciplined benchmarking approach improves forecasting by giving leaders a clearer view of market ranges, internal pay position, and where adjustments are truly necessary.

That makes compensation strategy more sustainable and easier to defend during budget planning.

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4. Strengthens employer branding

Candidates increasingly evaluate employers not only by role and brand reputation, but also by whether compensation appears transparent, credible, and competitive.

Pay practices shape trust, and trust shapes employer attractiveness. Openness about pay structures, ranges, and compensation criteria helps organizations attract and retain top talent, while other reporting on transparent pay practices has linked openness around compensation with stronger morale and job satisfaction.

When benchmarking is done well, it improves the chances that salary offers feel market-aligned and defensible, which can strengthen offer acceptance and overall hiring success.

5. Enables scalable compensation structures

As organizations grow, compensation becomes harder to manage consistently because there are more roles, more levels, and often more locations to account for. Without structure, pay decisions tend to become fragmented, which reduces transparency and weakens employee trust.

Beqom’s 2025 Compensation and Culture Report found that only 38% of employees understand how their compensation is calculated, which signals a broader lack of clarity in many organizations. Benchmarking helps solve this by creating clearer salary architecture and more consistent pay logic across a complex workforce.

In that sense, benchmarking does not just help companies pay competitively today. It helps them build compensation structures that remain understandable, scalable, and credible over time.

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Common challenges in compensation benchmarking

Compensation benchmarking may sound straightforward in theory, but in practice it is one of the more complex and error-prone HR processes, especially as organizations grow across business units, job levels, and locations. The difficulty usually does not come from a total lack of data.

More often, the real problem is how compensation data is interpreted, matched to internal roles, and applied in salary decisions. That is why many organizations still struggle to turn market data into a compensation strategy that is both competitive and internally fair.

1. Inaccurate job matching

The most common root problem in compensation benchmarking is inaccurate job matching. Many benchmarking mistakes begin when organizations assume that the same job title means the same job scope across companies. In reality, titles can be highly misleading.

A Product Manager in one company may own product strategy, roadmap, and cross-functional leadership, while in another company the same title may refer to a more execution-focused role with much narrower responsibility.

It is important to emphasize broad, role-based market data across job levels and structures, which reinforces the need to match the actual job content, not just the title.

If internal job architecture is inconsistent or job descriptions are inflated, companies can easily benchmark against the wrong market role and arrive at misleading salary conclusions.

2. Over-reliance on low-quality or outdated data

Another major challenge is relying too heavily on low-quality or outdated data. Many teams still use public salary websites or older survey snapshots as their main reference point, even though these sources may not reflect current market movement.

Platforms like Glassdoor post salary data on their platform anonymously by employees, which means it can be useful as directional input but does not carry the same level of verification and contextual control as structured benchmarking sources.

Traditional survey providers such as Mercer and WTW remain credible and widely used, but their data is still collected and published in cycles, which means it reflects a particular moment in time rather than a continuously updated market view.

In fast-moving labor markets, that lag can lead employers to underestimate or overestimate actual pay pressure until hiring or retention starts to suffer.

3. Misalignment between HR and finance

Compensation benchmarking also becomes difficult when HR and finance are not aligned on how market data should be used. HR may push for stronger market alignment to improve attraction and retention, while finance may focus more heavily on cost control and budget discipline.

In practice, this often means benchmarking results are acknowledged but only partially applied. For example, HR may identify a role that sits 20% below market, but finance may only approve a 5% to 10% adjustment because of budget constraints.

When there is no shared framework linking compensation decisions to business impact, salary actions get delayed, offers become harder to close, and benchmarking loses practical value.

4. Balancing external competitiveness vs internal equity

One of the hardest compensation decisions is balancing external competitiveness with internal equity. In a tight hiring market, organizations may need to offer higher salaries to attract new talent, especially in hard-to-fill roles.

But if current employees in similar positions remain on lower pay, the company creates internal pay gaps that are difficult to justify.

This often shows up when a new hire enters at a salary above that of a longer-tenured employee in the same role. External correction may solve a hiring problem, but it can also weaken internal fairness if it is not managed carefully.

This is one reason benchmarking cannot be treated as an external exercise alone. It must also be connected to internal pay structure.

5. Lack of clear compensation philosophy

Benchmarking is much harder to apply consistently when the organization has no clear compensation philosophy. If leadership has not defined whether the company intends to pay below market, at market, or above market for certain roles, salary decisions tend to become inconsistent across teams.

Hiring managers may negotiate differently, recruiters may position offers differently, and similar roles may end up with noticeably different pay outcomes.

Over time, that creates a fragmented salary structure that is difficult to scale and even harder to explain to employees. A clear compensation philosophy gives benchmarking a strategic reference point. Without it, market data may be available, but decision-making still remains inconsistent.

6. Managing multi-location and multi-market complexity

Compensation benchmarking becomes even more complex when organizations hire across multiple cities, countries, or remote markets. Salary expectations for the same role can differ significantly depending on location, labor market maturity, and local cost structures.

A software engineer in Jakarta, for example, may be benchmarked differently from a similar role in Singapore or a fully remote international hiring market. Global compensation data can be valuable, but it does not always translate neatly into local pay decisions.

Without a clear location strategy, organizations may end up with confusing pay structures, inconsistent offers, and fairness concerns across markets. This is where compensation benchmarking becomes not just a pricing exercise, but a broader policy and workforce design challenge.

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Where does compensation benchmarking data come from?

The quality of compensation benchmarking depends heavily on the source, accuracy, and recency of the data being used. In other words, even the best compensation process can produce weak decisions if the data behind it is outdated, inconsistent, or poorly matched to the organization’s roles.

In practice, companies tend to rely on three main categories of compensation data, and each comes with different strengths and limitations.

1. Real-time salary benchmarking tools

Real-time salary benchmarking tools are the most modern source because they are designed to reduce lag, manual submission, and interpretation risk.

Platforms such as Ravio and Pave publicly position themselves around direct HRIS integrations and continuously updated market benchmarks. Ravio says it connects directly to HR software to enable real-time benchmarking and automatic updates when employee data changes, while Pave describes its platform as benchmarking compensation in real time through integrations with HCM, ATS, and other systems.

This type of model reduces manual input and human error because the data is pulled more directly from source systems rather than collected only through periodic surveys.

It also makes it easier to filter results by role, level, location, company size, and peer group, which is especially important for organizations operating across multiple teams and markets.

Figures and Deel also offer compensation benchmarking capabilities, with Figures focusing on salary benchmarking and pay analysis in Europe and Deel offering salary insights across many countries.

2. Salary surveys from HR consultancies

Traditional salary surveys from HR consultancies remain one of the most widely used benchmarking sources. Providers such as Mercer, Radford, and WTW gather compensation data from participating companies and package it into structured survey datasets.

These surveys are often valued because they are large, credible, and designed for formal benchmarking exercises. Mercer’s Total Remuneration Surveys and WTW’s salary survey products both highlight broad global datasets and structured compensation analysis.

The limitation is that these surveys usually operate on a fixed cycle, so the data reflects a defined point in time rather than the current market moment.

That does not make them unhelpful, but it does mean they can become less responsive in fast-moving hiring environments. Manual survey participation can also create inconsistencies in how roles are submitted or matched.

3. Employee-reported data and job market signals

The third source is employee-reported data and broader job market signals, such as salary ranges shown in job ads or pay information on public platforms like Glassdoor.

These sources can be useful for directional insight because they provide a quick sense of what candidates may be seeing in the market. However, they are generally less reliable as a primary benchmarking source.

Glassdoor describes its salary data as anonymously posted by employees, which means sample quality, role context, and methodology can vary significantly. Public job ads may also show wide salary bands that reflect hiring flexibility rather than actual pay outcomes.

For that reason, these sources are best used as supporting signals rather than as the foundation of a compensation strategy. They can help identify market movement or candidate perception, but they are usually not strong enough on their own to support high-stakes compensation decisions.

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Elements of compensation benchmarking

Effective compensation benchmarking is not just about finding a salary number and comparing it with another number. Accurate benchmarking only happens when several variables are aligned properly so the comparison is meaningful.

If organizations skip this standardization step, the result can be misleading even when the data source itself looks credible. That is why strong benchmarking starts with role clarity, level clarity, market relevance, location context, and a full view of total rewards rather than base pay alone.

1. Job role and responsibilities

The first element is the actual job role and responsibility set. Compensation should be benchmarked against what the role truly does, not just the title printed on the org chart.

The need to classify roles based on real business-related factors and position attributes is why job content matters more than title labeling. In practice, HR needs to define key responsibilities, decision-making authority, and the degree to which the role affects business outcomes before choosing a benchmark match.

A “Manager” title, for example, can represent very different scopes depending on the company, function, and maturity of the business.

A practical way to reduce error here is to review job descriptions regularly, update outdated role definitions, align positions into standardized job families such as sales, engineering, operations, or finance, and group similar jobs together for more consistent comparison.

This is important because poor job matching is one of the main reasons benchmarking goes wrong. If the role is not documented properly, market data may be technically accurate but still applied to the wrong internal position.

2. Job level and seniority

The second element is job level and seniority. Compensation can vary significantly between entry-level, mid-level, senior, and leadership roles even when the core function looks similar.

That means organizations need to define not only years of experience, but also the scope of ownership, such as whether the role is an individual contributor position, a people manager role, or a functional leadership role.

Consistent role classification and evaluation are central to making market comparisons work.

This is why a clear job leveling framework matters. HR needs to map internal roles to external benchmark levels carefully and apply that logic consistently across teams.

Misaligned leveling is one of the most common causes of inaccurate benchmarking because a company may compare a senior specialist internally to a manager-level benchmark externally, or vice versa. Once that happens, the pay analysis becomes distorted before any compensation decision is even made.

3. Industry and talent market

Compensation also needs to be interpreted in the right industry and talent market context. The same role can command very different pay depending on the sector, demand for the skill set, and the competitive intensity of the labor market.

Ravio, for example, highlights filtering by industry and peer group as part of making salary benchmarks relevant, which reflects a broader principle in compensation benchmarking: market data becomes stronger when it reflects comparable business environments rather than a generic average.

A data analyst in a high-growth tech company may be benchmarked differently from a similar role in a slower-moving sector, even if the title is the same.

For that reason, organizations should avoid mixing data from unrelated sectors unless the talent market is clearly shared.

HR should choose benchmark sources that reflect the actual industry environment, account for scarce or high-demand skills, and distinguish between roles that are strategically difficult to hire and those with a more stable labor supply.

This creates more realistic pay positioning and reduces the risk of either underestimating or inflating compensation needs.

4. Geographic location

Geographic location is another major factor because compensation is strongly influenced by regional salary norms, local talent supply and demand, and cost considerations.

For example, filtering by location because market rates vary significantly across cities and regions. A role benchmarked at a national level may still be inaccurate if the company is hiring into a premium talent market or operating across locations with very different labor conditions.

That is why organizations should benchmark by city or region whenever possible rather than using broad country-level assumptions alone.

They also need a clear approach to remote versus on-site pay so that compensation decisions remain understandable and defensible.

In multi-location or global teams, location-adjusted benchmarking becomes essential for maintaining fairness while still reflecting market reality. Otherwise, compensation structures can become difficult to explain and harder to scale.

5. Compensation structure and total rewards

Finally, compensation benchmarking should cover the total compensation package, not just base salary. Organizations need to consider base pay, variable pay, equity, benefits, and other reward components when comparing offers or pay structures.

Two companies may offer very similar total compensation, but one may lean more heavily on base pay while another may rely more on bonus, incentive, equity, or benefits design.

That is why HR should define total compensation for each role, compare the compensation mix as well as the total amount, and ensure the structure aligns with company strategy.

A business that wants stronger pay stability may emphasize base salary, while another may use higher variable pay to reinforce performance or sales outcomes.

Benchmarking becomes more useful when it captures that structure clearly, because the goal is not simply to match a number, but to compare rewards in a way that reflects how the organization actually pays and competes.

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Compensation benchmarking methodology

Compensation benchmarking works best when it follows a structured and repeatable methodology instead of one-off comparisons made role by role.

The importance of market pricing methodology, job documentation, and job evaluation practices in building compensation decisions that are consistent and scalable should be considered.

Without a clear method, benchmarking results can become inconsistent across teams, difficult to explain, and hard to translate into a structured pay framework.

1. Market pricing method

The market pricing method compares internal roles directly with external salary data. In this approach, HR identifies relevant market ranges, medians, and quartiles, then uses that information to position compensation against the external labor market.

This method is especially useful when the organization has access to reliable salary data and when the roles being benchmarked are common enough to match clearly.

In practice, many organizations use percentile references such as P50 or P75 to guide where they want to position pay relative to the market.

The strength of market pricing is that it creates direct external competitiveness. The limitation is that it depends heavily on data quality and role matching accuracy. If the market data is weak or the internal role is matched poorly, the output may look precise but still lead to the wrong pay decision.

2. Internal benchmarking method

The internal benchmarking method focuses on comparing compensation across roles inside the organization to support internal consistency and pay equity.

This method is useful when a company is building more structured pay architecture or when external data is limited for certain roles.

It helps HR identify gaps between similar positions, reduce unnecessary pay variation across teams, and create a more coherent salary structure.

Its limitation is that it cannot fully answer whether the company is competitive in the external market. If used alone, internal benchmarking can slowly drift away from real market pay and make the organization less competitive over time. That is why it is best used alongside external benchmarking rather than as a replacement for it.

3. Job evaluation method

The job evaluation method assesses roles based on factors such as responsibilities, impact, required skills, and complexity, then uses that analysis to classify positions into grades or levels.

This type of structured approach is important where roles are evaluated using defined business-related factors rather than informal judgment. Common methods include point-factor models and job grading systems.

This approach is particularly useful for organizations with complex role structures or growing needs for consistent job leveling.

Once roles are evaluated and graded, salary ranges can be linked to those grades more systematically. The trade-off is that job evaluation can become time-consuming and subjective if the process is not standardized well.

4. Percentile-based benchmarking

Percentile-based benchmarking positions pay according to a chosen point in the market distribution, such as P25, P50, or P75.

Percentiles are central to market pricing because they help organizations decide whether they want to pay below market, at market, or above market depending on their compensation philosophy.

For example, a company targeting P50 is effectively aiming for the market median, while a company targeting P75 is positioning pay more aggressively to attract and retain talent.

This method is powerful when the organization has already defined its compensation philosophy clearly. Without that clarity, percentile decisions can become inconsistent and hard to defend. In other words, percentile-based benchmarking is useful not only as a pricing technique, but also as a way to operationalize the company’s broader pay strategy.

5. Hybrid or blended approach

In practice, the most balanced methodology is often a hybrid approach. That means combining external market data for competitiveness, internal benchmarking for fairness, and job evaluation for structure and leveling.

Compensation decisions are strongest when organizations use more than one lens rather than relying on a single market number in isolation.

This blended approach is especially useful for organizations managing many roles, multiple locations, or different talent markets at once. It allows HR to use market data for external alignment, internal analysis for equity, and job evaluation for consistency.

That combination usually produces the most scalable and defensible compensation framework because it balances competitiveness, fairness, and organizational structure at the same time.

Steps on how to do compensation benchmarking

Compensation benchmarking is not a one-time exercise. It is an iterative, cross-functional process that usually involves HR, finance, and business leaders. In practice, the hardest part is not simply collecting salary data.

The real challenge is turning that data into decisions that are usable for offers, salary reviews, budget planning, and pay structure design. That is why a practical benchmarking process needs both analytical discipline and operational clarity.

1. Define benchmarking objectives

The process should begin with a clear use case. Benchmarking is most effective when it starts from a real business problem rather than a vague desire to “check salaries.”

HR needs to clarify whether the organization is trying to improve offer acceptance, address internal fairness concerns, prepare for a salary review cycle, support budget planning, or reduce attrition in critical roles.

Once that goal is clear, leadership and finance can align on what success should look like, whether that means better retention, faster hiring, or fewer compensation escalations.

2. Audit current compensation

Before looking outward, HR should understand the internal baseline first. Many organizations skip this step and go directly to market data, even though the real issue may be inconsistency inside the company rather than overall pay level.

A proper audit should review current salary by role, level, and location, the spread between minimum and maximum pay inside each role, and outliers that may already indicate internal inequity. Mapping roles and reviewing current employee positioning is a core part of benchmarking.

In practical terms, that usually means exporting salary data from the HRIS or payroll management system, grouping employees by role and level, and identifying patterns before any market comparison is made. Often the issue is not that the company underpays everyone, but that pay decisions have been applied unevenly over time within the same role.

3. Choose the right benchmark data

The next step is selecting benchmark data carefully, because poor data leads to poor decisions. HR should check whether the data is recent, whether it reflects the right industry and talent market, and whether the companies behind the benchmark are reasonably comparable in size or complexity.

Data quality and relevance are central to effective compensation work, even though they approach it through different models.

A strong practice is to combine structured tools and credible surveys rather than depending on public or self-reported data alone. Critical roles should ideally be validated through more than one source, especially when the organization is making high-impact salary decisions.

This matters because using global or generic data for local hiring decisions can easily lead to overpaying or underpaying.

4. Match roles properly

Role matching is where many benchmarking exercises fail, so it deserves explicit attention. HR should match roles based on actual scope, not title, and validate those matches with hiring managers or business leaders who understand the work in practice.

That means aligning roles into job families, checking seniority carefully, and documenting any assumptions that affect the comparison.

Job role matching is one of the most tedious and error-prone parts of the process, which reflects how often compensation decisions break down at this stage.

A useful example is a “Marketing Manager” title that may map externally not to another manager role, but to a senior specialist or senior executive role depending on actual scope. If HR skips that translation step, the salary positioning will be wrong even if the survey itself is accurate.

5. Identify gaps

Once internal pay and market data have been matched, the next step is gap identification. At this point, HR should look for roles that sit below market and may create retention or hiring risk, roles that sit meaningfully above market and may signal inefficiency, and internal inconsistencies that need attention. The goal is not just to compare data, but to turn comparison into prioritization.

In practice, that means quantifying the size of the gap, such as identifying roles that are 10% or 15% below the target market position, and then ranking those roles by business impact. Not every gap needs to be fixed at once. The smarter approach is to focus first on critical, high-risk, or hard-to-hire roles.

6. Translate insights into decisions

Benchmarking only becomes valuable when it leads to action. After gaps are identified, HR and finance need to decide which roles require immediate adjustment, which can be moved gradually, and how salary structures or ranges should be updated. This is also where compensation philosophy becomes practical.

A company rarely has the budget to align every role fully and immediately, so prioritization and phasing are usually necessary.

A common real-world outcome is that critical technical or revenue-generating roles are adjusted first, while lower-risk support roles are deferred to the next review cycle. This kind of staged approach helps the organization improve competitiveness without losing financial control.

7. Monitor, communicate, and iterate

The final step is to treat compensation benchmarking as an ongoing cycle rather than a finished project. HR should continue tracking hiring outcomes, offer acceptance, attrition by role, and market movement, especially for roles with high turnover or strong external demand.

Benchmark data should be reviewed periodically, and critical roles may need more frequent updates than the broader workforce.

Communication also matters. Employees care not only about how much they are paid, but also about whether compensation decisions feel understandable and fair.

That means organizations should document their decisions, maintain a clear explanation of how pay is set, and be prepared to revisit compensation off-cycle if the market shifts materially during the year.

Optimize compensation decisions with Mekari Talenta to drive scalable and data-driven workforce strategies

Compensation benchmarking does not end when market data is collected. Many organizations can identify market gaps, but still struggle to turn those insights into structured salary decisions, budget planning, and day-to-day execution.

In practice, compensation decisions become much easier to manage when the organization has a system that connects employee data, payroll, analytics, and workforce planning in one place rather than across disconnected files and manual workflows.

Mekari Talenta is positioned as a cloud-based HR software and HRIS platform that integrates core HR functions such as payroll, employee administration, attendance, compensation and benefits, and analytics.

Mekari Talenta has dedicated modules for compensation and benefits management, HR analytics, employee database management, workforce planning, and AI-powered insight generation through Airene.

Taken together, those capabilities make it reasonable to view Mekari Talenta as an execution layer for compensation decisions, because it connects the underlying workforce and payroll data needed to apply compensation strategy more consistently.

From a compensation benchmarking perspective, one of Mekari Talenta’s strongest contributions is centralized compensation data. Its compensation and benefits module is described as enabling organizations to manage salaries, allowances, bonuses, incentives, and benefit programs in a structured and controlled manner, while its employee database pages highlight searchable employee details such as name, job position, and salary.

That kind of visibility is important because benchmarking becomes much more useful when HR can review compensation data across roles, levels, and locations in one system instead of combining fragmented files manually.

Mekari Talenta also supports the internal side of compensation analysis through its HR analytics capabilities. The official HR Analytics page states that the platform can analyze operational HR data including headcount, attendance, and payroll expenses through a centralized dashboard, which can help teams examine payroll cost patterns and compare pay decisions more systematically.

In practice, that kind of visibility can support internal benchmarking and pay equity review by making compensation patterns easier to track and explain over time.

On the execution side, Mekari Talenta’s integrated payroll, workforce planning, and AI features help connect compensation decisions with broader workforce management. Its workforce planning capabilities help businesses forecast workforce needs, analyze skill gaps, and plan hiring strategies with data-driven insights, while Airene is positioned as an AI feature that analyzes HR datasets and generates actionable insights.

That means organizations can use Mekari Talenta not only to store compensation information, but also to estimate workforce impact, review payroll and headcount trends, and support more proactive decisions across planning cycles.

For organizations that want to make compensation decisions more structured and scalable, the practical takeaway is clear: benchmarking works better when it is backed by a system that supports visibility, consistency, and execution.

You can explore Mekari Talenta, learn more about its compensation and benefit management platform and cloud-based HRIS platform, or request a demo through our sales team to discuss how the platform can support your compensation strategy.