Defining the Governance Process for Global Benefits
Benefits play a competitive role in markets around the world; a strong benefits package may mean the difference between having highly skilled workers versus having workers who require training and are slow to carry out their job tasks. This, in turn, may diminish a company's financial edge in a particular region. But while it’s important that a company's governance structure have a built-in elasticity, and that it remains flexible to respond to each unique situation, it’s equally important that a company understand in what areas it requires conformity and where it should not bend to local circumstances.
Questions to consider while developing your company’s governance process:
- Is there a need for a defined process and guidelines in order to develop, approve and manage global benefits?
- Is the scope of the governance process such that there might be, for example, one particular process for health and welfare and another for retirement? What is the rationale for this?
- How are best practices defined and identified?
- Is there a requirement to follow best practices?
- Are best practices aligned on a global or local basis (i.e., is the governance process modified to accommodate different cultural norms)?
- Is there a policy that articulates the roles and responsibilities of the individual stakeholders involved in the governance process?
- Are there any stakeholders whose views and perspectives have been overlooked thus far but who should contribute to the conversation about governance?
- What opportunities exist to build or reaffirm relationships with key stakeholders in the governance process?
- What approaches simplify the governance process to ensure compliance at the business entity and country level?
This is just a small component of the global benefits governance process. Other elements of governance include strategy, structure, communications, audits, approval matrices and tracking processes. Global Business Group on HealthSM members can access the Global Benefits Governance Toolkit.