TOPIC: Compensation and Benchmarking

Study for NDZ

Objectives:
1. To find out what market pays for a particular job.
2. To find out whether the salary provided are market
competitive.
3. To find out whether the performance are in line with the
compensation.
4. To find out whether the compensation is structured well
enough to stimulate desire of future growth.
5. To find out ways to structure the compensation in
future to competitively;
(1) RECRUIT (2) RETAIN and (3) PERFORM.
Analysis and Results:
Objective 1: To find out what market pays for a particular job.

Designation and Salary in NDZ(Engineering)

Designation Min Salary Max Salary Median Salary
Trainee Software Engineer 1.62 1.62 1.62
Junior Software Engineer 1.62 2.52 1.62
Software Engineer 3.36 7.28 5.32
Sr. Software Engineer I 3.6 6.9 5.25
Sr. Software Engineer II 4.62 6.0 4.7
Sr. Software Engineer III 8 8 8

Designation and Experience

DESIGNATION AVERAGE EXPERIENCE
(In Years)
Trainee Software Engineer .25
Junior Software Engineer 1.25
Software Engineer 3.5
Sr. Software Engineer I 6.5
Sr. Software Engineer II 10
Sr. Software Engineer III 13.5

Average experience is calculated as:

(Minimum Year of experience required for promotion +
Maximum year of experience after which the employee get auto
promoted) / 2
Similar designation in other Companies (MNCs)
NDZ Infosys TCS Cognizant
Trainee Software Engineer System Engineer Assistant System Engineer Programmer Analyst
Trainee (Trainee) Trainee
Junior Software Engineer System Engineer Assistant System Engineer Programmer Analyst
Software Engineer Senior System Systems Engineer Associate
Engineer
Sr. Software Engineer I Technology Analyst IT Analyst Senior Associate
Sr. Software Engineer II Technology Lead Assistant Consultant Manager
Sr. Software Engineer III Project Manager Associate consultant Senior Manager

Infosys Designation and Compensation:

Designation Min Salary Max Salary Median Salary
System Engineer Trainee 2.38 6.52 4.45
System Engineer 2.54 6.67 3.6
Senior System Engineer 1.73 8.2 4.96
Technology Analyst 2.3 9.93 6.1
Technology Lead 8.9 19.6 14.25
Project Manager 11.5 30.86 21.18

TCS Designation and Compensation:

Designation Min Salary Max Salary Median Salary
Assistant System Engineer 1.4 3.73 3.62
(Trainee)
Assistant System Engineer 1.41 4.61 3.70
Systems Engineer 1.64 8.98 5.49
IT Analyst 4.36 12.89 7.88
Assistant Consultant 8.73 16.08 12.35
Associate consultant 6.78 21.02 15.93

Cognizant Designation and Compensation:

Designation Min Salary Max Salary Median Salary
Programmer Analyst 3.32 5.64 3.4
Trainee
Programmer Analyst 2.5 6.29 3.6
Associate 2.36 12.02 6.5
Senior Associate 3.2 20.77 7.2
Manager 3.43 31.60 15.02
Senior Manager 13.15 35.56 16.7
 LEVEL NDZ INFOSYS TCS COGNIZANT Avg Salary
ENTRY LEVEL 1.62 4.45 3.62 3.4 3.27
LEVEL 1 1.62 3.6 3.7 3.6 3.13
LEVEL 2 5.32 4.96 5.49 6.5 5.56
LEVEL 3 5.25 6.1 7.88 7.2 6.6
LEVEL 4 4.7 14.25 12.35 15.02 11.58
LEVEL 5 8 21.18 15.93 16.7 15.45

Result: What market pays?

Objective 2: To find out whether the salary provided are

market competitive.
Similar designation in other Companies (MNCs)
NDZ
Trainee Software Engineer
Junior Software Engineer
Software Engineer
Sr. Software Engineer I
Sr. Software Engineer II
Sr. Software Engineer III
Infosys TCS Cognizant
System Engineer Assistant System Engineer Programmer Analyst
Trainee (Trainee) Trainee
System Engineer Assistant System Engineer Programmer Analyst
Senior System Systems Engineer Associate
Engineer
Technology Analyst IT Analyst Senior Associate
Technology Lead Assistant Consultant Manager
Project Manager Associate consultant Senior Manager

Average pay according to levels in each companies.

LEVEL NDZ INFOSYS TCS COGNIZANT AVG Market Pay
ENTRY LEVEL 1.62 4.45 3.62 3.4 3.27
LEVEL 1 1.62 3.6 3.7 3.6 3.13
LEVEL 2 5.32 4.96 5.49 6.5 5.56
LEVEL 3 5.25 6.1 7.88 7.2 6.6
LEVEL 4 4.7 14.25 12.35 15.02 11.58
LEVEL 5 8 21.18 15.93 16.7 15.45
 Level wise Salary Comparison
NDZ INFOSYS TCS COGNIZZANT

25

20

15

10

0
ENTRY LEVEL LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 LEVEL 5

Comparison of average salary prevailing inside industry vs

Salary Provided by NDZ.

NDZ Avg Maarket Pay

ENTRY LEVEL 1.62 3.27
LEVEL 1 1.62 3.13
LEVEL 2 5.32 5.56
LEVEL 3 5.25 6.6
LEVEL 4 4.7 11.58
LEVEL 5 8 15.45
 AVERAGE SALARY PREVAILING INSIDE
INDUSTRY VS SALARY PROVIDED BY NDZ
NDZ Avg Maarket Pay

15.45

11.58

8
6.6
5.32 5.56 5.25
4.7
3.27 3.13
1.62 1.62

ENTRY LEVEL LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 LEVEL 5

Results:
1. NDZ offer the same salary to the first 2 levels. Ie, for
Trainee Software engineer and Junior Software engineer
where as others offer different salary to different levels.
2. Level 2(Software Engineer) and Level 3(Software Engineer
1) jobs in NDZ offers a competitive salary pack where as it
is not seen in other levels of the hierarchy.

Objective 3: To find out whether the performance are in line

with the compensation.
 NDZ has hired people who has completed diploma or
similar courses. These people are not technically skilled
when compared to employees who has completed their
BE/Btech. Hence they are paid less. Because an employee
with BE/BTech can be allocated to any project as required
 by the company since they are trained mostly in all
programing languages whereas diploma holders are
bound to certain tasks.
 NDZ believes that people who has work experience in
other companies can add value and make the company
grow faster. Hence lateral entrants are paid more as
compared to other employees.
 People who are handling more than one project in the
company are highly rewarded in terms of compensation.
 Every employee is gone through a Performance
evaluation once in every 6 months. Salary revision is also
done with the evaluation.
Result: In NDZ the management looks to it that the
performance are in line with the compensation.

Objective 4: To find out whether the compensation is

structured well enough to stimulate desire of future growth.
 The company is able to fill the new vacancies immediately
by attracting employees with the current salary pack.
 NDZ is on boarding many experienced employees by
offering a competitive package and is trying to expand
business.
 The company has bought a new space in carnival Infopark
to expand its Analytics Team who are dealing with big
data, AI etc. Members of this Team are the highly paid in
NDZ.
Result: The compensation is structured well enough to
stimulate desired future growth.

Objective 5: To find out ways to structure the compensation in

future to competitively;
(1) RECRUIT (2) RETAIN and (3) PERFORM.