What is compensation program in SAP PA-CM - Compensation Management?

SAP Term: compensation program

• Component: PA-CM

• Component Name: Compensation Management

• Description: Each employee is assigned to one or more compensation areas. Each compensation area is assigned to a compensation program grouping. The groupings describe the employee's status e.g. Executive/Full Time. Employees belonging to different combinations are eligible for different sets of compensation plans. These sets of compensation plans are called "Compensation Programs".

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• Key Concepts: 
  Compensation program is a component of SAP's Personnel Administration (PA) module, specifically the PA-CM Compensation Management component. It is used to manage employee compensation, including salary, bonuses, and other forms of remuneration. It allows for the creation of compensation plans and the tracking of employee performance against those plans. It also provides tools for analyzing and reporting on compensation data. 
  
  How to use it: 
  Compensation program can be used to create and manage compensation plans for employees. It allows users to define salary structures, bonus structures, and other forms of remuneration. It also provides tools for tracking employee performance against those plans. Additionally, it provides reporting capabilities to analyze and report on compensation data. 
  
  Tips & Tricks: 
  When creating a compensation plan, it is important to consider the goals of the organization and the needs of the employees. Additionally, it is important to ensure that the plan is fair and equitable for all employees. Finally, it is important to ensure that the plan is compliant with applicable laws and regulations. 
  
  Related Information: 
  Compensation program is part of SAP's Personnel Administration (PA) module. Other components of PA include Personnel Development (PD), Organizational Management (OM), Time Management (TM), and Recruitment (RC). Additionally, SAP offers a variety of other modules that can be used in conjunction with PA-CM Compensation Management, such as Financial Accounting (FI), Controlling (CO), Human Resources (HR), and Business Warehouse (BW).