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ABHISHEK, AKASH, AMIT, BHUMIT, HARSHIT, NISHANT,

SAHIL, TONMOY.

Presents

PERFORMANCE PAY CASE STUDY


Introduction

• Auto Glass and Claims Management Company


• 1993- largest nation wide auto glass company in US
• Initially 250 stores were across the country
• Then it was taken over by Forstmann Little and Company in 1987.
• Till 1989 the company expanded their stores upto 550
• 3000+ employees including 1000 installers
• 12% market share as compared to Harmon glass and others
competitors
Initial strategy:
• Lower level managers
given incentives
• Introducucing mobile
services,mobile trucks
• Stores are not located
at prime places
• Demand decrease in
store based service
• Popularity of mobile
service
From store to market

• To group stores into market


• Centralized the distribution
• Separate warehouse, DCC,CTU and CSR
• Unable to handle more customers
LOW PRODUCTIVITY
• Average of 2.5 glass units a day (UAD)
• Workers simply didn’t try hard.
• Finding the correct location of Customer.
• DCC Managers “didn’t hustle”.
• No “Equitably” in assigning jobs.
Models of performance plan pay

To create loyalty among its work force

To strengthen industries traditional high turnover


rates

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