List the pros and cons for each of these 3 incentive plan Bonuses, Sales incentives, and Standard hour plan.
For a supervisor position which of these would be most appropriate? Explain your answer.
Pros and cons of Bonuses:
The benefit is that employees will be motivated to achieve better than expected results in areas such as operational margins, quality and other performance criteria to earn more bonuses, thereby benefiting themselves as well as the organization.
The cons is that if bonuses are being regularly paid, workers start expecting it every time and if the management is not able to pay bonuses during hard times, the morale and motivation level of the employees drops down significantly. Thus, it needs to be administered and implemented with care and should be directly linked to performance so that workers know in advance that the bonuses will be paid for performance and results only.
Pros and Cons of Sales Incentives:
We will see pros and cons of different types of sales incentives plans:
Attracts people who have skills beyond that of pure selling.
Enables a company to compete with employers offering alternative careers.
Helps retain employees during tough times while maintaining a variable element in ...
Bonuses, Sales incentives, and Standard hour plan.