Certification, Compensation, Core HR, Microsoft Dynamics 365 for Talent

MB6-898 Describe the range utilization matrix

In each compensation plan you can register the range utilization matrix.

Range utilization matrix
Range utilization matrix

The range utilization matrix helps you transition employees to get a raise so that they get to the control point for their jobs.  You can also use range utilization to make sure that you pay equally in the company.  For example, employees who are paid lower in their range receive higher percentage increases than employees who are paid higher in their range. This way you can make sure everybody had equal pay.

The range utilization is calculated as follows: (Fixed Pay Rate – Range Minimum) ÷ (Range Maximum – Range Minimum).

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