State:
Free Special Resources
Get Your FREE Special Report. Download Any One Of These FREE Special Resources, Instantly!
Featured Special Report
Claim Your Free Cost Per Hire Calculator
This handy calculator lets you plug in your expenses for recruiting, benefits, salaries, and more.

Graphs automatically generate to show you your annual cost per hire and a breakdown of where you are spending the most money.

Download Now!
March 27, 2010
Mistakes Involving Unrealistic Organizational Incentives

Dan Kleinman discusses common incentive-related mistakes in a BLR webinar entitled ‘Incentive Pay: Best Practices for Designing and Managing Pay-for-Performance Plans’. He states that another sure-fire death for incentive pay plans is any obstacle that makes an organization’s workers feel that they have no real chance of hitting their performance goals and winning the incentives. These include forces outside their control such as the lack of needed equipment that will prevent them from hitting their targets, or if employees feel they are already working as hard as they can.

For a Limited Time receive a FREE Compensation Market Analysis Report! Find out how much you should be paying to attract and retain the best applicants and employees, with customized information for your industry, location, and job. Get Your Report Now!

Organizations should note the following points about incentives that are unrealistic:

  • When an organization sets incentive plans, brainstorm in advance about any possible obstacles such as budget restraints, equipment shortages or supply shortages that might be negative for employees going after their performance goals
  • The organization should try to remove these obstacles, if possible
  • The organization can also keep eyes and ears open for these types of complaints and do what it can to remove the issues

Dan Kleinman is the principal of Dan Kleinman Consulting (www.dankleinmanconsulting.com), a California-based compensation and human resource consulting firm. He has served as an independent consultant for a broad spectrum of regional, national, and international companies, providing compensation, performance, organizational planning, and reward-system design services. He can be reached at info@dankleinmanconsulting.com.

Featured Free Resource:
Cost Per Hire Calculator
   
   
 
 
Twitter  Facebook  Linked In
Follow Us
CT-WEB06
Copyright © 2016 Business & Legal Resources. All rights reserved. 800-727-5257
This document was published on http://Compensation.BLR.com
Document URL: http://compensation.blr.com/Compensation-news/Compensation/Bonus-Payments/Mistakes-Involving-Unrealistic-Organizational-Ince/