Talent Intelligence

How to Benchmark Technology Compensation in Financial Services, Properly

Most compensation exercises we see fail before any data is consulted, at the level-mapping step. Titles in Indian financial services are inconsistent enough that a vice president at one institution is a director at another and a senior manager at a third, and any benchmark built on titles alone inherits that noise. Map roles on scope, team size, and decision rights first; only then do external ranges mean anything.

Mover data versus incumbent data

Surveys mostly measure incumbents, people sitting in seats. Search data measures movers, people changing organisations, who price 20 to 40 percent above incumbents depending on function scarcity. Neither number is wrong; they answer different questions. Use incumbent data to check internal equity, and mover data to set offers and to understand what retention is actually competing against. Confusing the two is the single most common benchmarking error we correct for clients.

Where surveys mislead

Three recurring gaps. Survey lag: bands published annually describe a market that has since moved, which in tight functions means materially. Segment blending: averaging banks, NBFCs, fintechs and GCCs into one number hides the premiums that decide real offers. And the counteroffer blind spot: no survey captures what institutions pay to keep people at resignation, which in the tightest functions is now the true top of market.

Our function-level benchmarks

When to commission benchmarking instead

Public ranges answer "roughly what does this cost." They do not answer "what will it take to hire a specific profile into this specific seat this quarter," which depends on scope, reporting line and the current state of two dozen competing teams. That question is a talent intelligence engagement, and for a single role it is usually a fast one.

About the author

Kapil Mohan Gupta

Founder, N53 Techworks LLP

PeopleCap was founded by Kapil to do the harder work between sending CVs and writing HR policies. Decade-plus inside financial services and fintech talent in India. Writing here is drawn from current practice, not retrospective theory.

More about Kapil

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