Incentive Plan For An Organization Essay

“Accepting or Rejecting Innovation” by Jared Diamond, discusses about the factors and processes of adopting new innovations. Diamond explained how innovations, no matter how progressive and efficient it is can be delayed or not used at all. The first factor that decide the new technology can be used is the economic advantage. This is the most obvious, according to the author is if the technology can provide an economic advantage, society would more readily support it. The wheel was used as an example in Native American society, compared to industrial nations, it was not as valued economically due to the lack of domesticated animals. The second factor that the author list was the social and prestigious value of the innovation also plays a crucial

Group Incentive Plan: It is set in place to promote helpful, combined behavior among employees. Through this company a group incentive plan assists in nurturing relationships among their staff member, inspiring them to discover ways to collaborate in a shared environment in order to be successful. The method is able to create a stronger team, brainstorming and building a entrusted sense of project ownership for everyone.

At the beginning of Joe and Janie’s relationship, she was very much in love with him. When they started their endeavor to the new town, she was very proud of the man she was looking at. He moved to a new town to start his own business and buy his own land. However, as time progressed, the town began to feel lonely to Janie. She never saw Joe anymore, and when she did, he was trying to control her every move. He became very possessive and mean to her. He wanted her to submit to him, and he wouldn’t stop until he had it. The once loving relationship they had, has now become detached.

“Incentives are the cornerstone of modern life”(Levitt and Dubner 12). Levitt and Dubner once mentioned in their book “Freakonomics”. According to Oxford dictionary, incentives are something tends to incite to action or greater effort, as a reward offered for increased productivity (“incentives”). In business field, incentives are something given by bosses to encourage their employees to endeavour in bringing benefits to their business. For a simple example, the employee who hits the monthly or year sales target will get cash or prizes as incentives. Apparently, these incentives are something that motivates employees maintains their great performance and also to motivate other employee, whoever wants to get the incentives, work harder.

Also, form career development plans and spot out important achievements within the business. Not only employee motivation should be worked on, but also set up a comprehensive rewards system. The

As a manager the three motivational methods that should be used would be to provide monetary incentives, employee recognition, and training incentives. Monetary incentives are one method that can be used by a leader or a manager in his or her workplace, these incentives is to reward an employee for his or her outrageous work-related performance. These incentives may include such as profit-sharing within the company, stock options, performance bonuses, and scheduled bonuses. These different types of monetary incentives can increase the motivation of its workers and can lead to more productive, less absenteeism, and may improve one’s quality of service. Monetary incentives when awarded to one employee may also be a morale booster can also encourage other workers to improve his or her work performance, and maintain a healthy, friendly, positive work environment. A healthy workplace is a product of a successful and productive work environment. Working in this kind of economy, monetary incentives is the excellent method to use. However, these incentives may persuade others and may not to some; the result will be the same, increased quality work

The incentive management plan of the company is one of the important aspects in the management of a company in general. It will be noted that an organization’s culture may be one of its strongest assets or its biggest liability. A well-structured incentive management plan for a company can indirectly increase production. Even as a disorganized incentive management plans of an organization may also affect production negatively. In the Lincoln electric company incentive management plans is an outcome oriented culture, since its stated in their case study that if you can produce more you will be paid more, disregarding the amount of years you have spent in the company. Lincoln electric company reward

Employee motivation and performance management depends on a good system that offers both financial and non-financial rewards (non-monetary rewards). The purposes of rewards within a performance management system helps:

The best performance incentive plans are the ones that work, of course, but what works for employees - cash or days off - might not be what your organization can afford. Incentive plans that are effective at motivating billers must be affordable and targeted to specific results. Most importantly, they must be finite - that is, not a permanent entitlement.

Reward Management (RM) has been defined as the distribution of monetary and non-monetary rewards to employees in an effort to align the interests of the employees, the organisation, and its shareholders (O’Neil, 1998). In addition O’Neil (1998) also suggests that a RM system can serve the purpose of attracting prospective job applicants, retaining valuable employees, motivating employees, ensuring legal requirements relating to direct and indirect rewards are not violated, assisting the company in achieving human resource and business objectives, and ultimately assisting the organisation in obtaining a competitive advantage.

1. Incentive compensation is a major practice that has continually been adopted by healthcare organizations, especially for managers. Most of these organizations use this tool as a means of rewarding employees financial for outstanding performance. Generally, incentive compensation involves the use of monetary reward for managers to attain specific established goals. Therefore, incentive compensation can be a motivational tool that benefits health care managers and the entire organization because it enables managers to achieve greater compensation while promoting organizational productivity. As the Chief Executive Officer of a hospital, I would design an incentive compensation program for my management team by aligning the financial rewards with business objectives and people costs. This will involve the use of a comprehensive approach that examines basic pay, health benefits, incentive opportunities, and retirement programs. The alignment of the compensation program is geared towards promoting organizational productivity and employee motivation.

As I have shown in the previous paragraphs of Cole and Poe, they are very different people who have had contrary life experiences . Yet their works are still very similar. To further prove my case I shall use some of their works as examples.

Reward and recognition programs must connect the needs and expectations of the workforce with the company’s overall goals and strategies. A program that reinforces important company values and goals will encourage employees to act in line with such goals and emphasize the importance of achieving these goals. Alternatively, rewards which do not connect with organizational goals may convey a misleading message and encourage employees to act in a manner that does not facilitate the

Keeping employees motivated in addition to creating incentives and/or additional ways for employees to receive more compensation will create better performance overall within an organization. Contrary if company B gives their employees incentives to perform, without any motivational tactics they probably will not have as many top performances as company A, in addition the company may only seek short term rewards verses have long term success. Lack of motivation for employees within an organization, can cause long term damage for the company’s success. Different things motivate everyone; therefore there should be a system in place to keep employees motivated for the long term success of the company. In the MBM textbook under the concept of incentives, compensation, and motivation, there are a couple of different views of how it should be applied within an organization. We will discuss The Social Role of Profit, Personal Profit and Losses, and the way Market-Based Management view how incentives, compensation, and motivation should be applied and the things that effectively drive employees’ actions while at work.

Holiday or year-end bonuses or monetary gifts can be used as a tool to motivate staff and propel them to achieve specific goals, meet targets or complete projects. These can act can important motivators that can benefit both the staff and the business as a whole.