Overview
TFI International Inc. is a leading North American provider of transportation and logistics services, operating across the United States, Canada, and Mexico. The company offers a comprehensive range of services through its network of operating companies, including package and courier delivery, truckload, less-than-truckload, freight forwarding, transportation management, and logistics brokerage.
Problem
During implementation the team encountered a range of challenges driven by the intricacy of the compensation design and the need to accommodate a dynamic organizational structure. Aligning performance expectations with individual outcomes, despite evolving roles and varying employee circumstances, added complexity to determining eligibility and handling exceptions.
- Legacy, manual, Excel-based compensation planning
- Complex eligibility and exception handling across a dynamic org structure
- Standard Oracle Goal and Performance Management did not cover the requirement
Additionally, a mechanism was needed for managers to assign individual targets aligned with organizational goals, ensuring clear communication and traceability. Oracle’s standard Goal and Performance Management modules did not fully support these needs, necessitating a custom solution within the Workforce Compensation module.
Approach
The end-to-end compensation process, including target setting, assessment, calculation and payout, was implemented entirely within the Oracle Workforce Compensation module using a configurable, out-of-the-box approach. The solution integrated seamlessly with job-level performance indicators, compensation percentages captured through element entries, employee salary data and Core HR attributes.
- Job-level structure capturing key performance indicators and their weightages
- New elements to determine eligibility and manage compensation targets
- A unified compensation worksheet giving stakeholders full visibility
- Structured process for managers to communicate individual targets, with formal acknowledgement
- Real-time performance evaluations and payout calculations during the review period
- Approval workflows and escalation paths for multi-level governance
- Automated notifications guiding users through key steps
- Outcome letters shared through multiple accessible channels
- Accurate, timely transmission of final compensation data to payroll
Approval workflows and escalation paths were implemented to ensure governance and oversight at multiple levels, with automated notifications guiding users through each key step of the process.
Outcome
The compensation solution was delivered within an aggressive timeline of just four months, achieving all major milestones and business goals. The previous year cycle was executed seamlessly using the new process, and the current year cycle has already been initiated within the same framework.
Finalized compensation data is transmitted accurately and on time to payroll systems, and outcome letters support performance discussions through multiple accessible channels.
Before vs After
The Difference Automation Makes
Manual Process
- Excel-based compensation planning
- Manual eligibility and target tracking
- Limited auditability and transparency
- No real-time reporting
Automated Workflow
- Fully configured in Oracle Workforce Compensation
- System-managed eligibility and targets
- Auditable, transparent process end to end
- Real-time tracking and reporting