BUS409 Strayer University Person Focused Incentive Pay Programs Discussion

Please respond to the following: first discussion writing produce 200 words about both bullet point. please place answers under each bullet point. In Addition a response must be given back (100 words) to the other student Christina Miller and Phillissia Clinton .

  • Analyze the advantages of person-focused and job-based pay plans to determine which would be least preferable for companies in the technology industry. Explain your rationale.
  • Discuss at least (2) two disadvantages associated with team-based incentive pay plans. Provide examples to support your rationale.

Christina Miller

RE: Week 4 Discussion

Advantages of person-focused pay plans would be: the approach provides to the employee the job security perspective and they will be able to have a job enrichment strategy, as well as being able to get rewarded for the extra job and effort they set forth in their work. Another advantage would be that the employer would have the chance to get enhanced performance from the employees as they would be individually motivated.

Advantages of job-based pay plans would be: this approach would place an emphasis on specialization and seniority would would increase overall performance of the organization. This would also encourage the employees to work harder so that they can move up the chain and receive more pay raises. Job-based pay plans are easy to administer as the job unit will become the unit of knowing how much to pay an individual, and can be used in various situations.

Two disadvantages of team-based incentive plans would be that the team members don’t have control over the compensation that is dependent on a colleagues performance. The pay and incentive is based on an individual that may want to loaf around while others work extremely hard, which would allow for those people to receive the compensation that only a few should actually be receiving. Another disadvantage would be that it could cause friction between employees in the work place. For instance, if you have that employee that is always slacking or calling off and you are working your very hardest and giving it 110%, if the entire team received the raise, that would cause for the employee giving it their all to be upset that they worked so hard and other people reap the benefits. On the other hand, you could lose out on raises or incentives if your team has multiple people negatively effecting the performance and you don’t end up receiving a raise or certain incentive.

Phillissia Clinton

Professor & Classmates,

The two (2) issues associated with Precision’s current performance appraisal process that may pose a challenge for Jackson to implement a merit pay program is: employees do not have written job descriptions to include performance expectations, and there is little to no employee and supervisor communication about their performance only when there is a problem. Clear and specific job descriptions are developed through a job analysis, and they help to create a development plan that is applicable to every employee as well as the company’s objectives. Also, when everybody is rated the employees with outstanding performance are not recognized which means no one is being paid fairly.

The most appropriate appraisal process is the merit pay program because it ensures the performance appraisal process is aligned with the proposed program. The merit pay program provides employees with pay increases as a reward for performance, and is an effective measurement of performance which is essential. The amount of a merit pay increase should reflect prior job performance levels and motivate employees toward striving for exemplary performance. Rewards should reflect employee performance rather than representing adjustments for inflation. Ideally companies should give larger pay increases for employees who have exemplary job performance. This will process will encourage employee productivity and influence future good work performance.