ADMS 2600 Chapter Notes - Chapter 10: Merit Pay, Organisation Climate, Piece Work
8 Apr 2016
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Document Summary
Incenive rewards establish a performance threshold that an employee or group of employees must reach to qualify for incenive payments. Incenive plans emphasize a shared focus on organizaional objecives by broadening the opportuniies for incenives to employee throughout the organizaion. Shared commitment through the idea that every individual contributes to organizaional performance and success. Encourage employees to pit out more efort to complete their job tasks. Foster teamwork and unit cohesiveness when payments to individuals are based on team results. Requirements for successful implementaion of incenive pay programs. Organizaional climate in which it must operate. Employees view their incenive pay as being equitable and related to their performance. Performance measures should be quaniiable, easily understood, and bear a demonstrated relaionship to organizaional performance. Straight an incenive plan under which employees receive a certain rate for each unit produced. Permits and organizaion to predict its labour costs with considerable accuracy.
