Based on Figure 1, discuss TWO (2) suggestions on how the Individual Incentive Grid could be used to resolve the conflict.
Based on Figure 1, discuss TWO (2) suggestions on how the Individual Incentive Grid could be used to resolve the conflict.
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
Related questions
Question
![As a Remuneration Manager in No-Direction Sdn. Bhd., Mr. Harry Styles would like to
end the conflict between Marketing Manager and Sales Assistants incentive plans.
Specifically, Sales Assistants are not clear about the standard performance indicators
that have been used to evaluate their performance. In fact, most of them are not
satisfied with the calculation of the incentive rate. Mr. Harry plans to use the Individual
Incentive Grid as a basis to clarify the calculation and to address all the problems
related to the incentive plan.
Based on Figure 1, discuss TWO (2) suggestions on how the Individual Incentive Grid
could be used to resolve the conflict.
Relationship
Between
Production
Level and Pay
Pay constant
function of
production level
Method of Rate Determination
Pay varies as
function of
production level
Units of production
per time period
(1)
Straight
piecework plan
(3)
Taylor differential
piece-rate system
Merrick multiple
piece rate system
Figure 1: Individual Incentive Grid
Time period per unit
of production
(2)
Standard
hour plan
(4)
Halsey 50-50 method
Rowan plan
Gantt plan](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0f3947ed-902f-4447-9310-9bcb540c50ae%2F3cac81ca-cbe7-43f8-b2d5-528124201f84%2Fdcbjzyp_processed.png&w=3840&q=75)
Transcribed Image Text:As a Remuneration Manager in No-Direction Sdn. Bhd., Mr. Harry Styles would like to
end the conflict between Marketing Manager and Sales Assistants incentive plans.
Specifically, Sales Assistants are not clear about the standard performance indicators
that have been used to evaluate their performance. In fact, most of them are not
satisfied with the calculation of the incentive rate. Mr. Harry plans to use the Individual
Incentive Grid as a basis to clarify the calculation and to address all the problems
related to the incentive plan.
Based on Figure 1, discuss TWO (2) suggestions on how the Individual Incentive Grid
could be used to resolve the conflict.
Relationship
Between
Production
Level and Pay
Pay constant
function of
production level
Method of Rate Determination
Pay varies as
function of
production level
Units of production
per time period
(1)
Straight
piecework plan
(3)
Taylor differential
piece-rate system
Merrick multiple
piece rate system
Figure 1: Individual Incentive Grid
Time period per unit
of production
(2)
Standard
hour plan
(4)
Halsey 50-50 method
Rowan plan
Gantt plan
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