Siebel Incentive Compensation Administration Guide > Plan Design >

Designating the Plan Participant as Compensable

The Plan Compensable field determines if a plan participant receives compensation for the plan. In some cases, some plan participants do not receive compensation.

For example, sales managers are often compensated based on the performance of the employees they manage. To make sure that the manager gets credit for the deals that are closed by the manager's direct reports, both the employees (sales representatives) and the manager must be added as participants to the plan and as members of the same compensation group.

However, if the plan is a manager plan, only the sales manager receives compensation. In this case, Plan Compensable flags are removed for the sales representatives included in the plan. When calculation begins, only the sales manager receives compensation for the plan. The Plan Compensable flag applies to each plan rule.

To designate a plan participant as compensable

1. From the application-level menu, choose View > Site Map > Incentive Compensation Administration > Plans.
2. In the Plans list, select a plan, and then drill down on the hyperlink in the Name field.
3. Click the Plan Participants view tab.
4. Add the participants, and then designate the participants as compensable.
   1. In the Plan Participants list, click New.
   2. In the Add Positions dialog box appears, select the participants, and then click Add Participants.
   3. In the Plan Participant list, select the participant, and in the Plan Participant form, select the Plan Compensable check box for each participant to be compensated.

      NOTE:  You should assign an end date to position records designated as compensable in the Group Administration screen's Positions view. A position should not be deleted if it was used as a plan participant.

5. Complete the rest of the fields as needed.

   The following table describes the fields.

   Field	Comments
   % Fixed	Indicates the percentage that is fixed.
   % Variable	Indicates the percentage that is variable.
   Default Draws	The check box determines whether or not the participant should be associated with the default plan draws. Selecting or clearing the check box does not synchronize the plan draws with the personal plan draws. When you add new plan participants they automatically inherit the plan draws. When you add new plan draws, they are automatically added to plan participants if the plan draws check box flag is selected.
   Default Caps	When the check box is selected, the plan cap is the default.
   Default Plan Rule Caps	When this check box is selected, the plan rule cap is the default.
   Default Rules	The check box indicates whether or not the participant should be associated with the default plan rules. Selecting or clearing the check box does not synchronize the plan rules with the personal plan rules. When you add new plan participants they automatically inherit the plan rules. When you add new plan rules, the rules are automatically added to plan participants if the plan rules check box is selected.
   End	The end date of the position on the plan. The default is the plan end date, but you can modify the date.
   First Name	The first name of the participant.
   Job Title	Job title of the participant.
   Last Modified	Login name of the person who last modified the record.
   Last Modified Date	The date and time the record was last modified.
   Last Name	The last name of the participant. This field is automatically completed when the participant is added to the plan.
   Organization	The organization associated with the participant. The field is automatically populated when you select the position.
   Plan Compensable	This check box indicates whether or not the employee receives plan compensation.
   Position	The position added to the plan.
   Position Type	The type of position. A default value appears when you select the position.
   Quota Prorate	Enter a prorate for the position or enter a new start or end date and the prorate is automatically adjusted. The quota is adjusted for the prorate amount.
   Start	The start date for the position included in the plan. The default is the plan start date, but you can modify the date.
   Target Incentive	The target incentive for the position on the plan. Enter the total cash that can be paid as a bonus for the position included in the plan. The value might be a target bonus amount or salary. For example, your plan might have a Management by Objective (MBO) plan rule that specifies if an employee's score is 90% or greater, then the employee receives a bonus of 15% of the employee's salary. Enter the salary amount in the Target Incentive field for the participant, and the engine calculates 15% of that amount as the payout for the MBO bonus.
   Target Incentive Script	The name of a script that is executed at run time to create a variable target incentive.

About the Prorate Factor

The prorate factor is an amount used in a formula when determining the quota target for a plan participant. The value in the Prorate field is automatically calculated using the following formula:

Prorate Factor = ((Effective End Date minus the Effective Start Date) + 1) /
((Period End Date minus Period Start Date) + 1)

The Start and End fields default to the start and end dates for the plan.

The effective dates are the dates the employee participates in the plan. The period dates are the dates of the plan itself.

When you add employees as quota plan participants, the Quota Prorate field is automatically populated. You can change the prorate amount by clicking the Prorate field and entering an amount or by changing the start and end date.

NOTE:  Quota prorate works similarly for groups.

Associating a Group of Participants with a Plan

You can select groups of employees as plan participants, using the Add Positions dialog box. For example, you could query for employees with the same position type, and then add the employees to the compensation plan.

To associate groups of participants with a plan

1. From the application-level menu, choose View > Site Map > Incentive Compensation Administration > Plans.
2. In the Plans list, select the plan to which you want to add a group of employees, and then drill down on the hyperlink in the Name field.
3. Click the Plan Participants view tab, and in the Plan Participant form, click New.

   The Add Positions dialog box appears listing the compensable positions.

4. In the Add Positions list, search for the group you want to add, and then click Go.

   For instance, you can find employees in the same position, position type or division.

5. Select one or more participants, and then click Add Participants.

   Press the CTRL key to select nonconsecutive positions.