GUIDELINES: DESIGNING AN EFFECTIVE REWARD SYSTEM
GUIDELINES: DESIGNING AN EFFECTIVE REWARD SYSTEM
- Performance payoff must be a major, not minor, piece of total compensation package
- Incentive plan should extend to all managers & employees
- System must be administered with scrupulous care & fairness
- Incentives must be linked tightly to achieving only performance targets in strategic plan
- Performance targets each person is expected to achieve must involve outcomes person can personally affect