Introducing flexible benefits requires careful planning.  It us imperative that you undertake all the steps necessary to ensure the success of the project. There are several discrete stages involved in implementing flexible benefits which are outlined below. From the outset our project team will draft a detailed project plan to ensure that each stage is carried out to your budget and timescales.
 
1) Feasibility Study 

It is important to assess whether the introduction of flexible benefits is correct for your organisation. This typically involves assessing the:

• Financial implications;
• HR implications - e.g. impact on existing HR policies e.g. holiday, sickness and maternity leave;
• Operational implications - E.g. how do flexible benefits fit with your business strategy and reward strategy? What impact will it have on your culture? Do you need to negotiate with Trade Unions?
• Benefit implications - e.g. how many different benefit structures are there in place currently?
• Technological implications - E.g. What are your current HR and payroll systems? What technology is available to individuals within the organisation? How suitable is the IT infrastructure available?
• Communication issues - what methods does the business normally use to communicate with employees? Are their any unusual communication issues, for example, employees in remote offices or those based overseas?  
• Employee opinion - e.g. undertaking a survey and setting up focus group discussions to ensure communication begins at the outset and there is buy-in to the benefit strategy.

At the end of the study a detailed report is drafted outlining all the findings. This should include a cost-benefit analysis on implementing flexible benefits, a business case for the change and some draft benefit designs.  
   
2) Scoping and design

Following the decision to implement flexible benefits the detailed work involved in scoping and designing an appropriate scheme begins. There are many aspects to this including:

• Deciding on the level of spend per employee (an individual's benefit allowance). Determining whether they are able to spend more than this and up to what level. Establishing whether there are different categories of employees with different levels/benefit choices;
• Deciding what the core benefits and the choice of flex benefits will be. Determining the level of flexibility for each benefit;
• Designing an appropriate communication strategy, the communications materials, fixing the event launch dates; 
• Test the proposed design on a selection of employees for example your focus groups;  
• Financial modelling - costing the implications and impact of different employee choices. E.g. if all employee chose to flex the maximum amount of holiday; 
• Investigating the tax and national insurance implications and present a model of the proposed scheme to the Inland Revenue.   
3) Benefit sourcing

Once the final design of the scheme has been agreed, it is time to source the appropriate benefit providers at the best available prices. For further information on how we source benefits click here. 
 
4) Branding and communication

As increasing numbers of organisations implement flexible benefit plans, the pressure is on to evolve and differentiate them from those of rivals.
One emerging trend among some of the most forward-thinking employers is to link their flex scheme with their brand identity, creating a powerful tool for reinforcing the organisation's ethos and values, and subsequently boosting the level of employee engagement with the business.
Our research shows that the biggest challenge reported by respondents who had implemented flexible benefits was communicating the change effectively (58.9 per cent). Therefore we recommend creating a benefits or reward brand to launch the project and undertaking a structured drip-feed programme of information in digestible chunks, using a variety of methods. Ensure that employees know why flexible benefits are being introduced, what the process is, what their options are, what the implications on their take-home pay will be and how to enrol. Most of all make sure they are excited by it! For further information on branding and communication click here.   
  
5) Enrolment

Throughout the enrolment process we will provide regular updates for you on who has flexed their benefits and ensure that those that haven't are chased prior to the deadline.

6) Flexible Spending Account (FSA) Administration

Many flexible benefits programs in the region feature a flexible spending account and requires an account to be set up and maintained for every employee participating in the program.  All available benefit allowance (or flexible credits) which have not been used during enrolment are credited to the employees FSA which they can use to purchase benefits or other approved items during the year.  All employees will be allowed access to their FSA to claim, check their balances  or to track the status of their claims.  

7) Evaluation and ongoing development

Following the introduction of flexible benefits it is important to evaluate the success of the scheme and to ensure the scheme continues to be refreshed on a regular basis to keep the benefits message alive.
For example assessing:

• Whether the stated objectives of flexible benefits have been achieved;
• Calculating the take-up rate amongst employees. 
• Analysing which benefits have proved the most and the least popular;
• Determining whether any benefits should be removed or added;
• Assessing the market for new and interesting benefit ideas.