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Discuss how incentive pay plans – both individual and group – motivate employees to achieve high levels of performance. Identify potential weaknesses of these plans and suggest steps that can be taken to make these plans highly effective. Then, choose one industry that either an individual or group incentive pay plan would work best providing support for your reasoning (using personal examples to illustrate your point if possible).
Additional reading that maybe helpful
Assessing the merit of merit pay: Employee reactions to performance-based pay
Lowery, Christopher M, Petty, M M, Thompson, James W. HR. Human Resource Planning. New York: 1996. Vol. 19, Iss. 1; pg. 26, 12 pgs
Merit pay-performance reviews: They just don’t work!
Wilkerson, James L. Management Accounting. Montvale: Jun 1995. Vol. 76, Iss. 12; pg. 40, 6 pgs
Pay for Performance: Implementation of Individual and Group Appelbaum, Steven H., Shapiro, Barbara T.. Management Decision. London: 1992. Vol. 30, Iss. 6; pg. 86, 6 pgs
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