In two pages, analyze the advantages and disadvantages of different types of pay plans.
Introduction
There are various pay plans that recognize merit and performance with different types of incentive plans. In a single company, different business units and goals may set up separate incentive plans to reward work more specifically as it contributes to the overall objectives of the unit. Profit sharing and employee stock ownership plans are popular in private as well as publicly traded companies. The world of pay for performance has taken on a much more sophisticated role in our world of work, especially as our work has changed dramatically from the industrial age to the knowledge age.
Competencies Measured
By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:
Competency 4: Evaluate effective incentives and perks programs.
Describe a situation in which a selected individual incentive plan would be most appropriate.
Describe a situation in which a selected team incentive plan would be most appropriate.
Describe a situation in which a selected long-term incentive plan would be most appropriate.
Preparation
There are a range of incentive plans for individuals and groups or teams. Think like an HR director who is responding to a work situation with a pay solution. Consider different types of pay plans along with their advantages and disadvantages.
Complete the following:
Select one individual plan, one team plan, and one long-term incentive plan.
Describe a situation in which each of these plans would be most appropriate, and justify why it is appropriate. In your descriiptions, include the type of company and type of work as well as the position or positions that would be affected by your plan.
For example, if you selected a team-based plan, you might describe a department in a retail store that has a history of employees not covering for each other during the holiday rush period. You may use actual examples and reference a company as you have witnessed it, or you may describe a generic situation. In your descriiptions, include how you think your chosen incentive plan will affect behavior and achieve intended results.
Your assessment should be no longer than two pages. Drafting a table that compares and contrasts the scenarios as a summary is appropriate but also requires a narrative describing the situations. Be sure to use proper APA (6th edition) style and formatting.
Competencies Measured
By successfully completing this assessment, you will demonstrate your proficiency in the following course competencies and assessment criteria:
Competency 4: Evaluate effective incentives and perks programs.
Describe a situation in which a selected individual incentive plan would be most appropriate.
Describe a situation in which a selected team incentive plan would be most appropriate.
Describe a situation in which a selected long-term incentive plan would be most appropriate.
