The main challenge associated with compensation management for multi-national companies is accumulating and analyzing assignee compensation data from multiple sources and in various formats. Local home and host payroll tax and social security regulations have to be considered thereby. Lack of resources, processes and technologies can lead to late or inaccurate employer and employee payroll reporting which can generate penalties as well as causing reputational damage for companies. Many companies are using Global Relocation Provider to support with compensation reporting. Further there is an increased compliance risk through digital wage tax audits from tax authorities and therefore unburdened access to the compensation data.
The goal of the thesis will be the attempt to provide an overview how multi-national companies are dealing with
- compensation data collection from multiple sources and various formats
- the process of analyzing, mapping and reviewing compensation data
- payroll instructions including Tax and Social Security requirements
- control points to make sure that instructions were processed correctly through payroll
and how global Transfer (Assignment) Policies are supported by processes and IT-Systems. The following questions should be addressed:
- Are there global processes and supporting IT-Systems in place to support compliance with global compensation policies on a local level?
- Which type of applications (packages) supports on a local level compensation according to global Transfer (Assignment) Policies?
- Is the IT support of global Transfer (Assignment) Policies and/ or compliance with global Transfer (Assignment) Policies embedded in a general IT-architecture?
The thesis preferably shall be written in English. It should be explored what actions global companies are taking to tighten the control over their management and reporting of global assignee compensation. The analysis should be supported by a comprehensive benchmarking survey.
Prof. Dr. Thomas Wolf, dr thomas wolf∂consileon de, +49 152 2287 7942