ALM Intelligence: Q&A with The Segal Group's Jason Adwin

Adwin: We begin every compensation engagement with a top-down discovery exercise. This typically includes a review of all current program designs, outcomes and employee communications. We also meet with key leadership stakeholders and often plan participants themselves (e.g., via focus groups) to understand the organization's current state. During these meetings we spend considerable time on the organization's strategy and culture. That's because we believe that compensation designs must support both. We know "off-the-shelf" solutions don't work, so every program we design is customized to each clients' goals and objectives.

Next, we begin the design process. This involves vetting several straw-model solutions and explaining the implications of each on the organization, the employees, and the "owners" (e.g., shareholders, taxpayers, etc.) Once we select the preferred straw-man, we design and model the program. This includes building the design, developing financial forecasts, creating supporting tools and materials, and crafting the implementation plan and communications messages. The last phase is the actual implementation support and change management process. We often are engaged to either lead the process or support it, depending on the client's own internal resources.

ALM Intelligence: What are the major trends that The Segal Group is seeing in the market? 

Adwin: Virtually all of these issues are affecting our clients. Missing from the above list is the expectations of the millennial workforce. This is having a significant effect on how organizations view compensation and rewards. Millennials are more transient than Generation Xers, and the baby boomers before them. It is common for a recent college graduate to have 3 to 5 jobs in their first 10 years in the workforce. While these are generalizations, millennials typically want to grow and advance quickly, highly value career development opportunities, training, and diversity, demand workforce flexibility, and prefer greater work-life balance.

ALM Intelligence: How does The Segal Group differentiate itself in the compensation consulting market against competitors? What are your target markets?

Adwin: We see ourselves as a highly client-centric firm. We do not push products or sell the solution of the day. In fact, we have no products and all engagements are consulting oriented. To be fair, we are as interested in revenue growth as other firms, but we seek to invest in our clients and look towards their long-term interests. Many of our clients have been with us for over 20 years and view us as trusted advisors for exactly this reason. With regard to target markets, we focus on mid-market corporations, non-profits of all size and complexity, and state and local public sector entities and multi-employer funds. We have especially deep specialization in higher education, state and local governments, public utilities and transit systems, sports and entertainment, and non-profit entities.