Executive compensation is one of the most confusing and evolving areas in Total Rewards and the progress made demands a broad and deep understanding of methodology, plan, organization, and evaluation of executive compensation plans.
Having the Certified Executive Compensation Professional assignment gives you traction in the present serious world. The certification shows that you are a specialist in your field. It gives you, and your boss, trust in your work abilities. It is a pacesetter that indicates you basically possess the knowledge, experience, and important skills necessary to design and manage programs that attract, drive, and retain active executives and leaders who can provide positive business results and organizational techniques.
Certified Executive Compensation Professional
In contrast to the WorldatWork Society’s assignments, the CECP assignment states to have acquired some form of difference that relates itself with knowledge about experience through practices adopted by different individuals or firms in that given sector hence establishing a benchmark grouping for both a person or the business success.
The CECP assignment is accomplished through one comprehensive competency-based exam; however, other assignments are only taken just like those needed to be qualified with Certified Compensation Professional ®, Global Remuneration Professional (GRP ), Certified Benefits Professional ® and Work-Life Certified Professional ® as a candidate passes several specific program-based exams.
Insight into Field Before I Take CECP Test
The WorldatWork Society recommends that its CECP challengers have experience of at least three years. Being a competency-based test, there is no one prep course that covers the entire substance contained within the exam. you ought to survey the incomparable CECP Body of information which talks about the total arrangement of information and abilities expected for professionals working inside the field.
Ready to Test My Availability for CECP Test
WorldatWork Provides practice tests to allow you to familiarize yourself with the types of questions asked completely out and inside information zones during the test. Practice tests give basic thanks to test your readiness by reviewing your strengths and weaknesses, and allow you to spot information gaps that you will need to fill in with further research or experience.
Competency-Based Test
- There are 110-160 questions on the competency-based tests.
- Certified Executive Compensation Professional™ CECP™ Body of knowledge.
Preparers in preparation for the CECP test should consult the Body of knowledge. The Body of knowledge represents the full scope of information and skills which must be achieved by professionals involved within the area of executive compensation. Established with business standard in place, the Body of knowledge was endorsed by the WorldatWork Society after administering a legitimate practice exam for the large number of individuals. All point areas found within the Body of knowledge are included on the CECP assessment.
The Body of information contains 4 primary areas of information with 85 total tasks to include the typical abilities, information, and competencies of the central compensation professional ExamOut. you should review the BOK in the performance of a self-evaluation of your individual strengths and weaknesses of the topic interest. you should review all knowledge domains with an emphasis on those which you have identified as areas for improvement.
Key Management of Executive Compensation
- Understand the mission, vision, and business procedure of the association
- Provide arrangement of executive compensation with business procedure.
- Develop the central compensation procedure
- Determine potential destinations for executive compensation plans
- Understand the authoritative culture.
- Understand the administration structure of the association.
- Acknowledge inner and external factors influencing executive compensation
- Identify investor interest and concern
- Track industry practices and trends
- Build a robust working relationship with the Board of Directors’ compensation advisory group
Plan Executive Compensation Plans
- Acquire peer-bunch market information
- Analyze and decipher review information
- Analyze and decipher intermediary information
- Conduct work assessments for executive positions
- Assess the serious climate
- Target serious market position for executive jobs
- Understand executive compensation benchmarking measures
- Know transitory motivating plan ideas
- Long-haul impetus plan ideas Understand
- Understand the administrative preconditions for executive compensation.
- Understand multivariate research
- Understand value vehicles won’t pay back executives
- Understand value compensation valuations techniques
- Understand supplemental executive benefits (for example, deferred compensation)
- Determind least difficult short-term motivator (STI) method
- Determind easiest long-term motivator (LTI) method
- Develop market-based recommendations for base pay
- Develop market-based recommendations for short-term motivating factors
- Build market-based suggestions for long-haul motivating forces
- Build market-based suggestions for all-out executive compensation
- Make suggestions for extra executive projects
- Make suggestions for executive advantages
- Make suggestions for executive perquisites
- Establish execution measures for all arrangement parts
- Design/create stock proprietorship rules
- Assess the interior value of existing projects and proposed plans
- Assist in guaranteeing the lawful consistency of all arrangement plans
- Work with interior and outside partners on chief compensation programs
- Consult with outside specialists on the executive compensation plan
- Understand all executive prize components
- Understand business agreements and arrangements
- Understand severance and change-in-charge arrangements
- Understand budget reports
- Understand assessment and bookkeeping standards for executive compensation
- Make powerful and concise introductions on executive compensation recommendations and patterns
- Obtain fitting arrangement endorsements
Regulate Executive Compensation Programs
- Administer base compensation program for executives
- Administer extra projects for executives
- Administer transient impetus programs for executives
- Administer long-haul motivating force programs for executives
- Administer benefits for executives
- Administer supplemental advantages for executives
- Administer conceded compensation programs for executives
- Administer perquisites for executives
- Provide data and guidance to executives on advantages and perquisites
- Analyze purchase interior executive staffing moves
- Analyze purchase outside executive recently recruited employees
- Interact with/uphold the compensation panel of the Board of Directors on arrangement organization
- Provide logical devices (and training) to be utilized by the compensation advisory group to evaluate the change in executive compensation programs (e.g., count sheets, and so on)
- Interact with/uphold different councils of the Board of Directors
- Develop all executive prizes-related materials and reports for chief gatherings on a case-by-case basis
- Work with executive compensation specialists
- Manage specialist organization relationship with the stock office
Oversee Specialist Co-Op Relationship
- Manage specialist organization associations with other executive prizes suppliers
- Coordinate with Finance to supply information required for value counts
- Collaborate with Accounting
- Collaborate with Legal
- Collaborate with Investor Relations
- Manage the move up of execution and monetary outcomes to control the authority audit and assurance measure on conclusive prize payouts
- Communicate and associate with senior executives
- Communicate with executives about the points of interest of their all-out individual remuneration bundles
- Administer executive compensation programs as per all applicable bookkeeping and expense prerequisites
- Assist in the fulfillment of all intermediary revelation necessities (Compensation Discussion and Analysis [CD&A], plain exposures, other)
- Prepare records depending on the situation for investor gatherings
- Conduct Securities and Exchange Commission (SEC) research
Assess Executive Compensation Programs
- Use measurable devices and cycles to gauge plan execution
- Analyze the accomplishment of shifted executive compensation plan plans
- Obtain subjective and quantitative information on arrangement execution
- Evaluate executive compensation plan execution against destinations
- Evaluate the exhibition of executive compensation specialist co-ops
- Evaluate the inward value and outside intensity of executive compensation programs
- Assess legitimate consistence
- Identify and report unintended results of executive compensation plans
- Identify and actualise expected improvements to executive compensation plans
Executive compensation is the most complex and dynamic area in Total Rewards and advancement calls for a broad and deep understanding of the system, plan, organization, and evaluation of executive compensation plans.
Having the Certified Executive Compensation Professional assignment gives you leverage in this day and time seriously. Certified also means being the expert at something. And what that creates, and hopefully can instill between you and your boss, is trust. He or she would have reason to believe, beyond a reasonable doubt, your competencies or capacities to fulfill requirements and bring an element of strength to organizational outcomes. End.
This assignment is designed for professionals involved with various aspects of executive compensation. WorldatWork Society believes that expertise in executive compensation is derived from a broad type of experience and training. Being a competency-based assignment, the WorldatWork Society recommends CECP candidates have at least three years of experience.
I Eligible to Become CECP®
The CECP accreditation is accomplished by breezing through one entire test that upholds what’s experienced because of the Executive Compensation Body of information. All rivals, irrespective of inclusion, ought to peruse the following four periods.
Audit CECP Body of Information (BOK)
- Supplement Your Knowledge
- Take the Practice Exam
- Register for the CECP Exam
Resulting Steps
Review your qualification territories listed above and that you have addressed all of those needs to seat the CECP® exam. If you’re not meeting that criteria, then you will advance your exams and information to top out to those CECP® needs or instead, you could review one of the other anti HR certifications which WorldatWork should provide.
Holding CECP® Certification
Upon fruitful fulfillment and expenditure of the CECP® test, all professionals should stay dynamic to remain in their assignment.
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