BU354 Chapter Notes - Chapter 8: E-Commerce, Uptodate, Treasury Stock
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Incentives for operations employees: piecework plans straight; guaranteed- this is alright in ont. , but not in. Ways to implement: set work standards for each member of the group and maintain a cont of the output of each member. Dis: each workers rewards are not based solely on his or her own effort. Annual bonus decisions (short term: more than 90% of firms in canada with variable pay plans provide an annual bonus, short-term incentives can easily result in an increase or decrease of. Poor might not even receive a company-performance-based bonus on the assumption that the bonus should be a product of individual and corporate performance. When either is poor, the product is zero. More prevalent approach is to use a combination of salary and commission to compensate salespeople. Widespread use of incentives for salespeople is due to three factors: tradition, the unsupervised nature of most sales work, and the assumption that incentives are needed to motivate salespeople.
