AWCape offers performance-based remuneration system

Performance-based remuneration delivers above average growth and stability.

Kenilworth, Cape Town, 10 May 2018
Read time 2min 10sec

Case studies at two leading Western Cape businesses have shown how performance-based remuneration systems contributed towards growth and stability. Main lessons learnt by all:

No target = no result. No measurement = no performance.

These two businesses not only achieved exceptional financial rewards and improved labour stability, they also received recognition from the Chamber of Business. The one nominated as a finalist in the Cape Chamber of Business's Exporter of the Year competition. In the second case, the CEO and management team received the Business Person of the Year award.

AWCape's CEO Henri Hattingh, who was the lead consultant in both cases, summarised the main factors that contributed to the successful turnarounds:

* Understanding customer needs and anticipating future needs.
* Ensuring all employees knew the company objectives and became involved in the future planning of the company.
* In both cases, AWCape created a strong culture for product and service quality.
* AWCape changed management style to supportive and participative.
* AWCape introduced a culture where shareholders were prepared to share wealth.

The above factors were important building blocks in business success. However, once performance-based remuneration systems were introduced, the growth and stability were accelerated beyond expectation.

The basic principles of performance-based remuneration systems AWCape followed were:

* Detailed job descriptions created for all staff members.
* Measurement of success was defined for each job.
* Performance ratings, including constructive feedback, were conducted on a regular basis.
* Salary and wage payments were structured according to the outcome of performance ratings. In the one case, a gain-sharing scheme was productively introduced.
* Financial rewards were scheduled on a regular basis.

Further guidelines for creating and maintaining the performance-based remuneration systems in the two case studies were:

* Use experienced consulting resources to create a performance-based remuneration system.
* Train facilitators to ensure equity between departments.
* It is beneficial to use an outside party to audit.
* Standalone systems on Excel spreadsheets are good for prototyping, but systems such as Sage 300 People HR & Payroll provide a structured base. By incorporating the payroll system, it ensures information stored in the system is always current and up to date.

AWCape is proud to announce it now offers performance-based remuneration systems through Sage 300 People and Sage 200c (VIP Premier).


AWCape, leading Sage Business Partner for accounting, HR and payroll solutions, provides professional systems integration services to its customers. AWCape ensures effective deployment of Sage 300 Accounting (Accpac), Sage 300 People and Sage 200c (VIP Premier) HR & Payroll, primarily through cloud-based solutions. AWCape's investment in quality products and services allows it to continuously define the standard for service excellence in support of its expanding African footprint.

Please visit or dial 0861 11 600 to learn about AWCape's business efficiency solutions.

Editorial contacts
AWCape Henri Hattingh 0861 111 600
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