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EMPLOYEE INCENTIVE SCHEMES

ork with other employees is through a company wide goal such as ‘cutting expenses.’ For example, empowering employees at all levels to find ways for saving the company money can be very helpful in motivating the workforce and saving the company money as well. For example, British Airways had implemented a remuneration that worked on the basis that ideas that improve productivity would result in a certain amount in monetary value. This simply means that everyone in the organisation is responsible for the bottom line and is given incentives for assisting the company in increasing profits they get bonuses based on the innovations they've come up with. Another tactic that can be used to involve the entire workforce in an incentive program is through gain sharing which involves a specific measurement of productivity combined with some type of calculated bonus to offer employees a share of increase in company productivity. Benefits of gain-sharing increased worker motivation because of the pay-for performance incentives, and a greater sense of personal responsibility for making performance contributions to the organisation. Gain-sharing plans also encourage co-operation and teamwork in the workplace." (Schermerhorn, Jr. J., Basic Organisational Behavior).When employees don’t show up for work it results in lower productivity and unnecessary sick leave pay. One way Southwest attempts to motivate all of its employees is by offering two free airline tickets to employees who don’t take any sick time for three months. If the employee doesn’t use the tickets, someone can use them in their family. At Southwest, managers are encouraged ConclusionThe role of top management should be to "manage", and the most important resource they must manage is the people that work at all levels of an organisation. Their role should not be "to rule", but "to lead". They must be objective and understand that they cannot solely provide th...

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