COMMERCE 1BA3 Chapter Notes - Chapter 6: Merit Pay, Computer Network, Job Enrichment
Document Summary
Chapter 6 motivation lower level needs production completed: piece rate is a pay system in which individual workers are paid a certain sum of money for each unit of, wage incentive plans are various systems that link pay to performance on production jobs, potential problems with wage incentives, lowered quality, differential opportunity, reduced cooperation, incompatible job design, restriction of productivity. Lump sum bonus is merit pay that is awarded in a single payment and not build into base: low discrimination, small increases pay, pay secrecy, using pay to motivate teamwork retirement supplement. Cons: factors beyond the control of employees can affect profits, difficult for employees to see the impact of their actions on profits, employee stock ownership plans (esops) are incentive plans that allow employees to own a set amount of a company"s shares and provide employees with a stake in the company"s future earnings and success.
