Course Information

Building a 3P Compensation System

Guide participants in building a compensation system based on position, competency, and performance while ensuring consistency, transparency, and affordability.

Instructor facilitating communication skills for a corporate management team

Actual classroom session at Masterskills

Instructor presenting during a training session

Participants taking part in a training activity

Discussion during a corporate training program

Overview of an on-site corporate training class

Instructor guiding participants through practical exercises

Group activity during the training program

Group photo of participants at the end of the course

Table of Contents

Course Overview
Learning Objectives
Target Participants
Course Outline
Training Methodology
Class Information
Materials & Certification
Faculty
Masterskills Corporate Profile
Selected Clients

1. Course Overview

A compensation system without clear principles can create unexplained pay disparities, fail to reflect job value, and provide weak performance incentives. The 3P model enables organizations to consider position value, incumbent competency, and performance results together, but it requires reliable data and consistent evaluation processes.

The course “Building a 3P Compensation System” guides participants in evaluating positions, building salary ranges, defining competency standards, linking performance results to pay, and designing the total compensation structure. The course also addresses policy communication and risk control during system transition.

Participants work with evaluation criteria and calculation scenarios to develop an implementation framework suited to their organization's scale, budget, and human resources management system.

2. Learning Objectives

Explain the P1, P2, and P3 components and the role of each within the compensation system.
Analyze jobs and evaluate position value using consistent criteria.
Develop position-based salary ranges and assess alignment with the market and budget.
Define competency standards and methods for evaluating job-holder competency.
Link performance results to appropriate salary and incentive mechanisms.
Plan implementation, communication, and periodic review of the 3P compensation system.

3. Target Participants

Business Leaders and Human Resources DirectorsThose who approve compensation direction, budgets, and principles.
HR Managers and Compensation & Benefits SpecialistsThose directly responsible for designing salary ranges, criteria, and 3P policies.
Functional ManagersThose involved in evaluating positions, employee competencies, and team performance.
Payroll and Administration PersonnelThose coordinating compensation calculations, operations, and policy communication.

4. Course Outline

PART 01Foundations of the 3P Compensation System

The concept of a 3P compensation system in organizations.
The three components: Position, Person, and Performance.
The role of 3P in compensation equity.
Differences between traditional pay and 3P compensation.
The relationship among pay, competency, and performance.
Conditions for successful 3P implementation.
Scenario: salaries increase but employees remain dissatisfied.
Practice assessing the current compensation system.

PART 02Building Position-Based Pay

Conduct job analysis for each position.
Standardize job descriptions.
Evaluate job value using a point-factor method.
Define job grades within the organization.
Establish salary ranges by position group.
Conduct internal comparisons and market benchmarking.
Example: ranking positions within a department.
Practice evaluating job value.

PART 03Building Competency-Based Pay

Define competency frameworks by job title.
Distinguish core and technical competencies.
Establish required competency levels.
Evaluate competency using behavioral criteria.
Link competency levels to individual pay grades.
Periodic competency assessment process.
Scenario: a long-tenured employee with low competency.
Practice building a sample competency framework.

PART 04Building Performance-Based Pay

Define appropriate KPIs for each position.
Distinguish individual and team results.
Establish performance-based incentive formulas.
Define achievement, overachievement, and underperformance thresholds.
Control metrics that may drive counterproductive behavior.
A transparent performance evaluation process.
Scenario: high KPI results that do not reflect actual contribution.
Practice designing a performance incentive mechanism.

PART 05Designing the Compensation Structure and 3P Policy

Balance base salary, allowances, and performance incentives.
Develop salary ranges and progression steps.
Establish principles for compensation adjustments.
Control the organization-wide payroll budget.
Ensure internal equity and external competitiveness.
Policy for transitioning from the existing pay system to 3P.
Scenario: compensation transition creating employee concern.
Practice outlining a 3P compensation structure.

PART 06Implementation, Communication, and System Maintenance

Develop a phased 3P compensation implementation roadmap.
Communicate objectives and principles transparently.
Train managers to assess competency and performance.
Establish feedback and grievance processes.
Periodically review salary ranges, competencies, and KPIs.
Measure the effectiveness of the 3P compensation system.
Scenario: inconsistent manager evaluations.
Practice developing a 3P implementation plan.

5. Training Methodology

Classes are delivered in small, learner-centered groups. Instructors provide concise input, then facilitate discussions, scenario-based practice, feedback, and reflection so participants can translate knowledge into practical workplace behaviors.

Group Discussions Individual Exercises Group Presentations Brainstorming Techniques Guided Practice with the Instructor Experiential Projects In-Class Activities Role-Playing Activities Class Presentations

6. Class Information

Expected Start Date	Schedule	Class Hours	Location	Tuition Fee	Register
To Be Announced	Saturday – Sunday	08:30 – 16:30	Ho Chi Minh City	VND 4,500,000	Register
To Be Announced	Monday – Thursday	18:00 – 21:30	Hanoi	VND 4,500,000	Register

10% discount for registration at least 15 days in advance, groups of three or more participants, or returning clients.Reserve a Seat

Note: The schedule above is provisional and may be adjusted based on enrollment, class arrangements, and the actual training plan. Masterskills will confirm the official schedule with participants before the course begins.

Duration: 2 days / 4 sessions; maximum 35 participants per class.
Ho Chi Minh City: 224 Dien Bien Phu Street, Ban Co Ward, Ho Chi Minh City.
Hanoi: 51 Le Dai Hanh Street, Hai Ba Trung Ward, Hanoi.
Corporate in-house training: Delivered at the client's office or factory; pricing depends on the design scope, location, and class size.
Additional costs: Instructor travel and accommodation costs are determined by the delivery location, where applicable.

7. Learning Materials & Certification

Participants receive proprietary course materials developed by Masterskills, practical handouts, self-assessment forms, and reference materials aligned with real business situations.

Proprietary Course MaterialsStandardized content updated in line with the course objectives.

Practical ToolsChecklists, handouts, feedback templates, and individual action plans.Explore the Toolkit

Course Completion Certificate

Participants who meet the attendance and practical requirements receive a Masterskills certificate of program completion.

8. Faculty

Masterskills instructors and experts bring practical management, consulting, and training experience relevant to the program content.

MBA Dao Hoai Bac - Human Resources Management & KPI–BSC Expert

MBA. Đào Hoài Bắc

Human resources management and KPI–BSC expert specializing in performance management, KPIs, BSC, corporate culture, and management systems.

MBA La Kien My - Human Resources Management & Organizational Leadership Expert

MBA. La Kiến Mỹ

Human resources management and organizational leadership expert specializing in workforce planning, performance, motivation, and succession development.

View Faculty Profiles

9. Masterskills Corporate Profile

View Profile

An overview of Masterskills' training capabilities, areas of expertise, delivery methodology, and experience partnering with organizations.

Client feedback after attending a Masterskills course

Client Testimonials

“The Building a 3P Compensation System course offers practical content, workplace-relevant exercises, and clear facilitation. The instructor helps participants use appropriate tools, analyze situations, and develop solutions they can apply after the program.”

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