Large Enterprise | HR Advisory

Mercans Stands Tall as Systra’s Premier Choice for HR Advisory Excellence.

In a strategic alliance, Systra chose Mercans for HR Advisory solutions. Mercans revamped Systra's operations with comprehensive job analysis, benchmarking compensation, and a dynamic rewards program, boosting Systra's competitiveness in the Saudi Arabian market and contributing to achieving strategic business goals.

Systra is one of the world’s leading engineering and consulting groups specializing in public transport, mobility solutions, bridges, and urban infrastructure.

userClient Name

Systra

userRegion Supported by Mercans

Saudi Arabia

userIndustry

Engineering

userTargeted Staff

400 employees

userMercans' Services in Focus

HR Advisory including salary benchmarking

userMercans' Role

Mercans analyzed and graded jobs, led a benchmarking compensation study, and designed a rewards program, strengthening Systra's competitiveness in the KSA market.

Background

Systra Arabia was hyper-focused on seeking, attracting and retaining both Saudi and Non-Saudi Nationals to the organisation.

In Saudi Arabia, 400+ employees were located across 6 office locations including Riyadh (Head Office), NEOM, Jeddah and Al Ula where the business provides multi-disciplinary services ranging from consultancy and engineering for rail, urban transport, and environment.

SYSTRA Arabia desired a formalized job grading structure, salary bands, competency framework, and career mapping. Compensation packages for employees, along with associated benefits, were determined primarily by perceived market rates, lacking the support of quantifiable data. A comprehensive study was conducted to address these gaps, providing a reflective analysis of approximately 190 roles within the organisation.

Target roles

Target roles

Client’s Objectives & Challenges

Benchmarking

Systra had the task of conducting a thorough benchmarking study to evaluate its overall rewards system, covering salaries, short-term incentives, and benefits across various positions and levels. This meant comparing these aspects with companies in the same industry in Saudi Arabia, even those in remote locations. Systra aimed to obtain a detailed analysis of total rewards for different roles, levels, and locations within KSA and receive recommendations for the next steps.

Job Evaluation & Grading Structure

Systra encountered the challenge of analyzing existing job families, roles, and responsibilities across the organization. This analysis aimed to establish a grading structure within the company, taking into consideration the limited availability of comprehensive job descriptions. Ultimately, Systra was to determine an appropriate course of action to create a grading structure aligned with the organization's needs.

Pay Bands/Scales

Systra faced the challenge of creating pay bands or scales for each grade or role. This task aimed to establish identifiable career paths, especially for key roles within the organization. However, the challenge was to develop a pay structure that aligned with the organization's objectives and supported the creation of clear career paths.

Career Paths & Competency Frameworks

Another challenge encompassed planning for the creation of career paths and competency frameworks as part of a longer-term strategy. This involved developing robust competency frameworks aligned with job families, roles, and levels. Systra needed to outline its approach for delivering such a program, including time scales and associated costs, to ensure the effective implementation of comprehensive career paths and competency frameworks.

Benchmarking

Systra had the task of conducting a thorough benchmarking study to evaluate its overall rewards system, covering salaries, short-term incentives, and benefits across various positions and levels. This meant comparing these aspects with companies in the same industry in Saudi Arabia, even those in remote locations. Systra aimed to obtain a detailed analysis of total rewards for different roles, levels, and locations within KSA and receive recommendations for the next steps.

Job Evaluation & Grading Structure

Systra encountered the challenge of analyzing existing job families, roles, and responsibilities across the organization. This analysis aimed to establish a grading structure within the company, taking into consideration the limited availability of comprehensive job descriptions. Ultimately, Systra was to determine an appropriate course of action to create a grading structure aligned with the organization's needs.

Pay Bands/Scales

Systra faced the challenge of creating pay bands or scales for each grade or role. This task aimed to establish identifiable career paths, especially for key roles within the organization. However, the challenge was to develop a pay structure that aligned with the organization's objectives and supported the creation of clear career paths.

Career Paths & Competency Frameworks

Another challenge encompassed planning for the creation of career paths and competency frameworks as part of a longer-term strategy. This involved developing robust competency frameworks aligned with job families, roles, and levels. Systra needed to outline its approach for delivering such a program, including time scales and associated costs, to ensure the effective implementation of comprehensive career paths and competency frameworks.

Mercans’ Approach

Our Benchmarking process followed a structured approach:
1

Marketing positioning

  • Attrition rate analysis
  • Peer group definition
  • Budget
  • Comp and benefits strategy

2

Develop Job structure

  • Confirm organizational structure
  • Job analysis based on the job descriptions and functional job analysis
  • Group positions into job families
  • Rank positions using job evaluation method

3

Conduct Benchmarking

  • Salary benchmark database analysis
  • Market and candidate surveys

4

Conduct Job Grading

  • Create job grades
  • Align the job grades with markets grades (i.e. Mercer)

5

Develop Salary Bands / Steps

Establish salary bands/steps based on the qualification levels and market data

6

Implementation

  • Executive buy-in
  • Employee . communication and training
  • Outliers & exceptions
  • Ongoing update & indexing

Mercans’ Solutions

Salary Benchmarking Process

Mercans’ processes provide Systra with full visibility into the benchmarking process and access to our compensation and benefits specialists.

Project team

Mercans has established a specialized project management team, guided by a steering committee that oversees the entire project delivery process.

Creation of Peer Group

Mercans built the benchmarking results based in the creation of Peer group

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The Real Execution

Based on the job families and grades for Saudi Nationals, Western Expats Arab/Asian Expats, Mercans then provided the total cash component for each role.

The entire exercise was divided into 3 parts

  • Systra current compensation ranges
  • Proposed strategy – saudi nationals western & non-western expats
  • The Solution included basic salary & standard allowances, discretionary benefits & remote location allowance for all these 3 groups

Along with the salary grades & family status, Mercans also provided the market data for Total Cash Compensation for their 3 groups. This was presented along with Systra’s current position.

Post market analysis, this current cash compensation offered by Systra was compared against the peers in the same market & industry.

Proposed Benefits

Statutory Benefits  (Direct Cost Components)

  • Mobilisation Ticket
  • Demobilization Ticket
  • Medical Insurance
  • Visa (Iqama) Renewal
  • New Visa Issuance
  • Home Country Visa Stamping
  • In country Residency/Work Permit (Iqama Issuance)
  • Employer GOSI (Social) Contribution
  • End of Service Benefits (EOSB)

Discretionary Benefits (Direct Cost Components)

  • Remote Location Allowance
  • Education Allowance
  • Relocation Allowance
  • Mobile Phone Allowance

Project Specific Benefits

  • Annual Bonus
  • Annual Air Ticket
  • Annual Leave
Along with the above mentioned benefits components, Mercans also defined the eligibility criteria and monetary value of the benefits under the requirements category of the saudi labour law
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"Mercans has finished the entire project in a record-breaking time of 10 weeks."

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