Plan Stock

The tables on this page list the tasks for this business process, grouped by role. Some roles may be listed more than once if their tasks are performed at different points in the process. Follow the task numbers in order, unless the Task Description column provides instructions to go to a different task number. Click links in the Task Description column to view detailed diagrams for those tasks or to go to the online help for those pages.

Compensation Manager

Task Number	Task Description
1	Define rewards goals and measurements.

Stock Administrator

Task Number	Task Description
2	Decide what action is needed. In parallel: Go to task number 3, Go to task number 21, Go to task number 54, Go to task number 55.
3	Identify Regulatory Requirements. Governing Body Rules
4	Identify Stock Exchange on which company stock is traded. Exchange Table
5	Identify transfer and escrow agencies. Transfer/Escrow Agency
6	Specify brokerage firms/branches that will handle the stock. Brokerage Table Brokerage/Branch Table
7	Identify stock FMV methods. FMV Method Table
8	Create stock ID. Stock Table
9	Create Reports. Governing Body Rules Rpt Exchange Table Rpt Transfer/Escrow Agency Rpt Brokerage Table Rpt FMV Method Table Rpt
10	Associate stock Exchange, Agencies and Brokerages to stock. Stock Agent Table Stock Branch Table Stock Exchange Table
11	Specify the financial accounting standard that is appropriate to your organization; either FAS 123 or APB 25. Stock Table
12	Define stock attributes and rules. Stock Details
13	Define your fiscal year calendar for a stock ID. Stock Fiscal Year
14	Create Stock Agreement ID Information. Stock Agreement Table Stock Legend Table
15	Specify blackout periods and individuals impacted. Stock Blackout
16	Define participant groups for stock processing, reconciliation, and reporting. Process Group Process Groups (rpt)
17	Specify expected rates for volatility, risk-free interest, and expected dividends for use by the Black-Scholes pricing model and update for values. Estimate Table
18	Link the stock to be valued, the valuation method, and the Estimate ID that represents the volatility, interest rate, and dividend rate, and the volatility type. Valuation Table
19	Tax Rules. Stock Tax Types Stock Country Tax Stock State Tax Stock Local Tax
20	Create Reports. Stock Agent Report Stock Branch Report Stock Details Report Stock Exchange Report Stock Agreement Report Stock Legend Report Stock Blackout Report Stock Fiscal Year Report Process Groups Rpt Tax Information Report
21	Create/update Options Plan or Purchase Plan. In parallel: Go to task number 22, Go to task number 41.
22	What is the action needed?. In parallel: Go to task number 23, Go to task number 24.
23	Expire variable comp plan and return the share to the stock plan. Expire Variable Comp Plans End of activity.
24	Determine the design of the stock option plan.
25	Determine the number of shares to place in the stock option pool.
26	Obtain approval from shareholders.
27	Register plan with appropriate federal and state agencies.
28	Define and allocate shares to treasury, stock classes and Stock Plans. Stock Treasury Table Stock Class Table Stock Plan Table
29	Define the vesting schedules used for granting stock options. Vesting Schedule
30	Define general plan options such as types allowed, governing body, transferability, exercise before vest, and repurchase alternatives. Stock Option Plan Rules
31	Define payment and income methods for a stock option plan. Stock Option Plan Rules
32	Define rules to account for reacquired or unissued shares. Stock Option Plan Rules
33	Define FMV and non-trading day rules for a stock option plan. Stock Option Plan Rules
34	Define how stock option plan processes change based on HR status changes. Stock Action Table Stock Action Reason Table Stock Action Rules
35	Define the various reasons you grant stock options. Grant Reason Table
36	Will stock be provided as a variable component?. In parallel: Go to task number 37, Go to task number 40.
37	Define a stock plan as a variable compensation plan.
38	Allocate stock to variable comp stock fund. Variable Comp Allocation
39	Allocate funds from the Variable Comp Fund to the Variable Comp Stock Plan and to allocate stock awards.
40	Create stock option reports. Stock Treasury Report Stock Allocation Report Stock Plan Report Grant Reason Report Stock Option Plan Rules Report Vesting Schedule Report Stock Class Report Go to task number 58.
41	Define stock pan and allocate shares from Treasury. Stock Plan Table
42	Associate the stock ID to a benefit plan ID and define plan details, such as governing body, offering type, and when participants can enroll. Stock Purchase Plan Rules
43	Identify the valuation plan type that is appropriate to a specific stock purchase plan and indicate if the plan is considered compensatory according to FAS 123. Stock Purchase Plan Rules
44	Define the FMV rules for offering begin, grant, and purchase FMV. Stock Purchase Plan Rules
45	Define the offering and purchase period lengths as well as any applicable company limits. Stock Purchase Plan Rules
46	Define the purchase rules of your plan, such as purchase price calculation and share and price rounding rules. Stock Purchase Plan Rules
47	Define the contribution rules. Stock Purchase Plan Rules
48	Need disposition rules?. In parallel: Go to task number 49, Go to task number 50.
49	Define the number of months participants must hold the stock before they sell it. Stock Purchase Plan Rules
50	Define reasons for holding a purchase. Hold Reason Table
51	Define offering period begin and end dates, grant dates within an offering period, and purchase period begin and end dates. Offering/Purchase Periods Review Offering Periods
52	Define stock purchase processing messages. Purchase Msgs
53	Create stock purchase plan reports. Stock Purch Plan Rules Rpt Offering/Purchase Periods Rpt Hold Reason Table Rpt Go to task number 58.
54	Calculate and review stock balances. Option Plan Purchase Plan Treasury Class Go to task number 58.
55	Identify parameters and request process to create stock split report to reconcile balances. Define Stock Splits
56	Indicate stock ID and split ID and request process to split stocks with a status of unprocessed. Process Stock Split
57	View stock split information. Stock Split Report
58	Manage Stock Plans. End of activity.