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Incentives as an Employee Motivator

Incentives or "pay for performance" can be a powerful employee motivator. It can take a variety of forms of compensation and can be measured in multiple ways.

How would I go about writing a paragraph for those three types of incentives and also explaining one positive and one potential negative of each?

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Although the question asks for only one advantage and one disadvantage, I have included a number of them in order to enrich the answer.

Employee incentives are usually motivational tools for increasing employee performance, and can be monetary or otherwise. Incentives can take a wide variety of different constructs. Let's look at three types of employee incentives, their advantages and disadvantages:


Individual incentives are designed to given to a particular person who has excelled in his/her position within the organization. Decisions to grant the incentive are based solely on the performance of that one individual. The advantage of this type of incentive is that it creates ...

Solution Summary

The incentives as an employee motivators are examined.