Customizing Bonus Pay Plns Essay Example | Topics and Well Written Essays - 250 words

Customizing Bonus Pay Plns - Essay ExampleBoth individual and group incentives layabout be used to motivate workers. One of the cons of the use of individual incentives is that it offer create interpersonal impinge due to competition among the workers. A negative aspect of group incentives is that sometimes many employees receive superfluous compensation benefits without providing any effort since they rely on the efforts of others to achieve the productivity goals.The individual performance auto-changer identified by Towers Perrin was incentive plans in which the performance was linked to a company wide throwaway and distributions were made from a pool in proportion to salary. The use of the scorecard approach is more admit for companies in the manufacturing sector or firms that have a wide variety of products to offer. Companies or professionals that offer intangible asset services such as stylists or consultants are not suitable for this assessment tool. Firms with many emp loyees can benefit from the application of this tool because it can be used as a metric to esteem the individual performance of each