How do I create compensation models?

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Building compensation models can help you align budgets and compensation awards with your organization's pay practices and guidelines. Use models to determine manager budgets based on various criteria, such as performance ratings or current compa-ratios of eligible people in their management hierarchies. You can also automatically allocate compensation amounts based on each person's country, job, grade, and quartile.

Start on the Home page.

Select My Team.

Select Workforce Compensation.

This page displays all your plans with active compensation cycles and their current status. Depending on their configuration, you can create models for any of these plans.

Select Annual Compensation Plan 2025.

Select More Actions and select Models.

Here are the all the models you've created…

Select the Global Models tab.

…and any global models available to you. Global models are created by compensation administrators for managers to use.

Select the My Models tab.

To create a new model select Add.

Select Add.

Model properties determine how the model is built, who can access it, and the purpose. The allocation method determines the values you can enter in the model.

In the Model Name field enter 2025 Performance Management Model.

In the Component field select Bonus.

In the Allocation Method field select Allocate n percent of eligible salary.

In the Select purpose section, select the Determine Compensation Amounts option.

Select Continue.

Models let you select up to 4 grouping criteria.

In row 1 select the Edit icon.

In row 1, in the Criteria field, select Job.

Select the Add icon.

In the new row, in the Criteria field, select Oracle Fusion Performance Management rating.

In the new row, select the Apply icon.

Select Continue.

By default, the model includes all of your direct reports who are eligible for the component. You can select and exclude workers as needed. If you have a preferred currency set up it will be displayed here along with the current plan currency.

Highlight the Exclude button.

Select the Change Currency drop-down list.

Close the Change Currency drop-down list.

Select Continue.

Then enter your criteria values.

In all three rows, in the Percentage of Eligible Salary column, enter 3.

Select Continue.

You can review the results and verify how the model affected the amounts allocated to each person. The Worker Details are displayed by default, but you can also view the Manager Rollup.

Select Manager Rollup.

When you're done you can Submit.

Select Submit.

After you create a model, you can delete it, you can duplicate it and use it as the basis for a new model, or select the Model Name link to view and edit the model details.

Highlight the Delete icon.

Highlight the Duplicate icon.

Highlight the Model Name link.

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