Check Point- Incentive Plans - goals in the time allotted....

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April Ross Check Point- Incentive Plans There are various types of incentive plans; both long-term and short-term. Incentive plans are designed to improve the morale of an organization which usually increases sales and keeping employees happy which usually increases performance. There are benefits and drawbacks in all incentive plans so it is important to observe the pro's and con's before determining which ones to use. The annual performance plan is a well known long-term incentive plan. It's an annual lump sum of money which is presented to an employee for the time and dedication that is acknowledged by the company. This bonus is earned by reaching goals with attendance, participation, and performance. Pro's Con's keeps employees motivated and focused over the entire year a more substantial reward performance levels can sometimes be measured inaccurately sometimes quantity overpowers quality The quarterly performance bonus plan is a cash or merchandise reward for reaching a specific set of
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Unformatted text preview: goals in the time allotted. Every three months an employee's performance is evaluated and rewarded accordingly by upper management. Pro's Con's keeps employees motivated and focused short-term makes the reward seem more real sometimes quantity overpowers quality objectives may seem out of reach or rushed The vacation bonus is a long term incentive plan. New employees receive one paid vacation day for every six months they are employed (receiving up to six vacation days a year). Pro's Con's keeps employees motivated and focused a reliable bonus a long time at a slow pace to earn full reward On a more personal note; I believe, with the combination of these three incentive plans all put in motion there would be a positive outcome for the whole organization. There is a mixture of long-term and short-term incentive plans to keep the employee intrigued enough to reach for higher goals....
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This note was uploaded on 06/30/2011 for the course HRM 240 GROUP ID: taught by Professor Karlynnedennis during the Spring '10 term at University of Phoenix.

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