On consulting assignments, here are some of the questions I frequently ask the employees I interview:
1. How does your boss measure you?
2. When the end of the year rolls around, how do you know if you have done a good job over the previous 12 months?
3. If you wanted to receive a raise double the amount that you typically receive, what do you believe you would have to do to qualify?
Only on rare occasions are employees (except for salespeople) able to answer these questions since many owners and managers are still prone to give their people discretionary raises and in many cases discretionary year-end bonuses.
Experience has taught me that adults perform best when they know specifically what performance they must achieve to qualify for a specific dollar amount of year-end bonus incentive payment.
In high school and college, students earn grades depending on how well they score on quizzes during the grading period. They know that if they get all of the answers right all year, odds are excellent that they will earn an "A" grade.
In baseball, most players are paid a salary, but most are also paid a specific incentive payment based on how they perform against measurable objectives, i.e., stolen bases, homeruns, batting average, RBI, runs scored, etc.
Of course, assigning someone a measurable goal is no guarantee that they will achieve the goal, but at least they know what they have to do to earn "x" reward.
In business just like in life, performance rewards improve the odds that people will go the extra mile to earn the prize. The name they give this motivation is called winning. This is why they install scoreboards in sports arenas. How effective do you believe a basketball team would be if there was no scoreboard and the players couldn't see whether they were winning or losing?
The reward doesn't necessarily have to be monetary, however. The reward could also be recognition at an awards dinner. It could be dinner for two at a fine restaurant. It could be a weekend getaway for two at an upscale hotel. It could even be a trip for two to a nice resort.
Rewards, awards and incentive payments are terrific ways to motivate employees to stretch and put more energy and effort into their work. Incentives also aid in making work more fun.
Some owners will rebut, "?Yeah, but that's what we're paying them a salary for."
Yes, that's true. But would such naysayers want to work for a company that paid them a salary and kept them in the dark as to how they are measured or how their bonus is calculated?
Discretionary bonuses would be like the tournament committee at the U.S. Open deciding how much to pay the golfers after play had stopped and the tournament was over.
Based on what I see in the marketplace, the companies that get the most mileage out of their incentive plans are the ones that make it clear how the company's incentive plans are designed and what level of performance is required to achieve a specified reward.
Bill Lee is a consultant who works with managers who want to put more money on the bottom line and author of Gross Margin: 26 Factors Affecting Your Bottom Line. http://www.mygrossmargin.com; blee@mygrossmargin.com; $29.95 + $5 S&H.)
If you own or operate a business in the UK,... Read More
We go to meetings to share information, to report on... Read More
Managing for Best PerformanceIn it's simplest form, performance management is... Read More
Before Gertrude Ederle began her historic swim off of Cape... Read More
Recent studies have shown that industrial supervisors are working at... Read More
Implementing an ISO 9001 system represents a major effort. However,... Read More
Take some bold steps and help your employees and business... Read More
If I was a fly on the wall what would... Read More
This facilitator's guide to running a stakeholder analysis workshop is... Read More
GROUP DECISION-MAKING: Many managers feel they are well-versed in areas... Read More
Here is a true story. My dentist did a "clinical"... Read More
Creativity can be defined as problem identification and idea generation... Read More
Why are people changing jobs so quickly these days?Here are... Read More
Many retailers do not have good internal controls in place... Read More
'I heard it on the grapevine' the old song goes.... Read More
I'm too busy; I'd love to but I'm very busy;... Read More
Creativity can be defined as problem identification and idea generation... Read More
Top leaders...Are Visionary Top leaders have a very clear understanding... Read More
Imagine the following scenario - you pay a visit to... Read More
You're the boss, and you have every reason to feel... Read More
Most of us would like to be better communicators. As... Read More
I hear many complaints daily about the "unfairness" of politics... Read More
One of the strongest weapons available allows business, non-profit and... Read More
Human communication is always three-dimensional. No spoken or written message... Read More
These factors where determined by interviews with and books from... Read More
Integrity is very important to me, and I try hard... Read More
"I'm in an abusive relationship," sighed Andrew. "My bookkeeper annoys... Read More
Mary Poppins describes a style of management which has for... Read More
Ask most people why they are in business and they... Read More
Are you the position or the person?Bosses can lose their... Read More
Employees are the often-neglected stakeholders in the success or failure... Read More
Go into any bookstore and you will find a big... Read More
Gratitude might seem like a soft or even an obvious... Read More
A major problem impairing an executive's performance is his Emotional... Read More
Use this check list to assess your communication skills.Focus* Do... Read More
With client expectations higher than ever before, and the gradual... Read More
An important aspect of good leadership is the ability to... Read More
Management guru Tom Peters says white collar workers and managers... Read More
Creativity can be defined as problem identification and idea generation... Read More
I read a report in the Toronto Star stated that... Read More
When you create your profit and loss statement to assess... Read More
1. Personal insight. Great CEOs are great leaders. They know... Read More
The senior flight attendant on the WestJet flight was starting... Read More
If you have company delivery vehicles at your small or... Read More
Do you know how many customers you have that are... Read More
In running any kind of business, it's inevitable that sometimes... Read More
The steps need to be taken to prepare an organization... Read More
Are you uncomfortable with delivering disciplinary action, even involving employees... Read More
How do you as a manager, supervisor or team leader... Read More
A recent report from the American Hospital Association's Commission on... Read More
Business Management Business Management |
|
| العاب | منتديات هيدى | الزاوية الحمراء | |
|
Pharaohs products egypt products Egypt shopping Shopping in Egypt sho Egypt Bazaar Pharaohs Shoping Center Egypt Pharaohs |