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Dessler HRM12e PPT 12
Dessler HRM12e PPT 12
Copyright
Copyright ©© 2011
2011 Pearson
Pearson Education,
Education, Inc.
Inc. PowerPoint
PowerPoint Presentation
Presentation by
by Charlie
Charlie Cook
Cook
publishing
publishing as
as Prentice
Prentice Hall
Hall The
The University
University of
of West
West Alabama
Alabama
Incentive Plans
• Companies use employee incentive plans for a variety of
reasons–to meet or increase sales goals, to meet or
increase production goals, to raise employee morale or
for extraordinary employee performance, all of which
drive the success of the company.
Sales Compensation
Programs
Pay-for-Performance
Team/Group-based
Plans
Variable Pay Programs
Organizationwide Incentive
Programs
1.profit sharing
2.Gain sharing (For example, teams may enjoy a bonus if
customer satisfaction levels rise a certain percentage above figures
from the previous year)
3.Employees stock ownership plans Profit sharing