Intro

Question 1

variable pay

Answer 1

Also know as incentive plans
link to Organizational objectives

Types of incentives plan
Individual ( piecework, standar hour plan, bonus.etc)
Group
Enterprise/Organization

Question 2

link to Organizational objectives

Answer 2

By meshing compensation and organizational objectives, managers believe that employees will assume “ownership” of their jobs,

thereby
improving their effort and overall job performance.

Question 3

Degree of success depends on:

Answer 3

1. identifying important organizational metrics -employee performance
2. customized incentive plan
   measures employee output
   rewards exceptional performance

Question 4

Failures

Answer 4

1. fail to satisfy employee expectations for pay gains
2. adequate attention to the design of the plan
3. , employees may have little ability to affect performance standards.
   4 success of an incentive plan - Environment