Today, I’m very proud to share that OpenComp was named no. 8 on Fast Company’s Most Innovative Companies of 2023 in the Workplace category – which is the de facto source for recognizing organizations moving the world forward by transforming industries and society. We are humbled and honored to be among these amazing companies.
OpenComp’s 5,000+ customers spearhead a new era of adaptive transparency
Every year, 3.3 billion workers around the world are paid $40 trillion dollars, and for too long the systems used to manage compensation have been broken, confusing, and unfair.
But now, that’s changed.
Together with our 5,000+ customers across 41 countries and 18 industries, we’re setting a new standard for compensation, where there’s clarity at the point of every pay decision. We call this adaptive transparency: providing the right information to the right people at the right time.
The credit for this Most Innovative Companies award truly belongs to OpenComp’s 5,000+ pioneering customers and employees.
It’s a delight to enable the rapidly growing number of executives and people leaders who want to create a different type of company.
OpenComp’s latest compensation software innovations
OpenComp’s Compensation Intelligence Platform is the only end-to-end compensation software platform with benchmarking, design, and activation tools. Our team continues to push the boundaries of what’s possible, as HR and People leaders gain influence with executives and boards — and demand best-in-class tools to support their initiatives.
In the past year, we expanded our offerings with five breakthrough technologies, and we’re not slowing down.
1. Range Builder saves users extraordinary time and sunk cost … in 3 clicks
Pay transparency laws have swept the nation, many of which require pay ranges in job postings, and penalties for non-compliance are steep. But creating pay ranges can take costly external consultants half a year to create inside spreadsheets, 90% of which have errors.
OpenComp’s Range Builder tool de-risks headcount planning and transforms how companies build equitable workplaces. In three clicks, this AI-powered application generates expert-level pay ranges with real-time market data, compensation strategy, and growth stage.
2. OpenCompliance automates pay data reporting, starting in California
With every pay transparency law passed in a different city or state, businesses are easily at risk of noncompliance penalties. People leaders may also be personally liable.
With OpenComp OpenCompliance - CA Pay Data Edition, users don’t have to read and navigate California’s 92-page manual on filing pay data reports by May 10 of this year, which applies to employers of >100 – even if only one employee lives in California. They also don’t have to hire a specialist to spend weeks inside error-prone spreadsheets.
OpenComp OpenCompliance - CA Pay Data Edition connects directly to a business’ HRIS and intelligently matches roles to reporting standards with 95% accuracy to complete pay data reporting.
3. Intelligent Offers increase offer acceptance to 83%, which is 18% above average
Recruiters and hiring managers often lack information and approvals to quickly close top candidates within company policy. The clunky process can hurt the candidate experience, unwittingly perpetuate pay inequities, and compromise an organization’s fiscal future.
Intelligent Offers improves the candidate experience and cross-company teaming — while optimizing every offer for acceptance and equity, and safeguarding corporate financial health.
4. Comp Cycles cuts attrition by 12% and merit cycle length up to 50%
Despite companies’ best intentions, a lack of transparency in the employee lifecycle creates lasting consequences that are expensive to correct. This is especially the case during economic uncertainty, when underrepresented populations are often the most vulnerable.
OpenComp’s Comp Cycles — currently in beta — empowers employers to make impactful adjustments that remain in line with company strategy, while shining a light on any inequities between new and tenured employees. The tool also unlocks adaptive transparency, intelligently guiding users on where to concentrate energy during merit cycles and focal reviews.
5. OPEN Imperative members that track pay equity outperform national average wage gaps 85%
Technology alone cannot fix inequities, which is why we launched OPEN Imperative (Organizations for Pay Equity Now) on Equal Pay Day 2022. Our 350+ members are committed to ending gender pay gaps in their organizations by 2027.
OPEN Imperative members that tracked pay equity had a collective pay gap of $0.96 to the $1 — an 85% lower gap then the national average of $0.83. Their collective equal pay day was January 18, a full 50 days sooner than the national equal pay day of March 14.
This is putting real dollars back into women’s pockets. This additional $0.13 to the $1, when invested over a 40-year career, will be worth $2.1M, assuming an annual return of 6%.
This important milestone validates OpenComp’s vision, the intentions of its customers, and regulatory requirements. Together, we are bringing clarity to every pay decision — and reimagining the standard for compensation – one that’s consistent, equitable, and scalable.
Thanh Nguyen is CEO & Co-founder at OpenComp. A serial entrepreneur and former member of the founding HR team at salesforce.com, Thanh writes about topics including startup compensation, company growth strategies, the future of work, and hybrid work for publications including TechCrunch and Forbes. Connect with him on LinkedIn here.