CUSTOMIZING BONUS PAY PLANS

Customizing bonus pay plans Name: Institution: Course: Tutor: Date of submission: Customizing bonus pay plans Question 1 There are several reasons why including operating employees in the development and use of an incentive program is important. Incentive programs are developed to make the different tasks and processes more effective. Involving operating employees ensures that the management body is equipped with the relevant information about what should be done. Such involvement is also important as it helps in the assessment of how each party is affected by the incentive program and what they would like to be done so as to increase the effectiveness of the incentive program. Such involvement is also important as it boosts the employees` morale and enhances the relationship between management and those being managed. (Ivancevich, 2006). Question 2 Individual performance modifier is a management term derived from individual assessment. In management, one of the ways to measure, analyze, and improve a team is through analysis of a team from the individual perspective. Individual performance modificat...