Running Head: Incentive Plans Outline

Incentive Plans Outline Shalee Kekawa MGT 431 October 10, 2011 Anthony Di Gaetano

Running Head: Incentive Plans Outline

I.

Introduction Every organization must have incentive plans that relate to organizational

objectives. Incentive plans help motivate employees to apply themselves to a high quality performance and to reach their goals. Sometimes these same incentives fail to actually make a significant contribution to the organizations goals. One way to make sure that the organizations objectives are met is to make sure that the employee incentives are focused on the specific activities that are necessary to achieve the objectives. This would mean that other than the traditional ways of basing it on seniority and political prowess, new types of incentives and activities would need to be put into use. In this outline you will see the incentive plans that Verimatrix uses to motivate their employees and how it does or does not motivate employees to reach the organizational goals and objectives. II. Evaluation & Strategy A. Review of incentive history 1. Who are incentives plans for? Will these be accessible to all employees and contractors at Verimatrix? 2. How much do existing plans pay? Too little or too much? 3. How are employee incentives delivered? Monthly, goals attained, etc 4. Types of incentives: money, paid vacation time, bonuses, gift cards, etc...

Running Head: Incentive Plans Outline B. Review of objective goals 1. What are objective goals? Are these goals attainable? 2. Do objective goals promote future sustainability and growth? Are we just sustaining or are we motivating growth in the company with these objectives? 3. What goals have we reached from offering the incentives? 4. Are objectives measurable Rewarding employees based on behavior that directly contributes to toe objectives? 5. What are cost of incentives to organization? Are the incentives costing our organization without reaching our goals? III. Define role of incentive plan A. Put plan in writing Evaluate the employees and what motivates them 1. Create a list of behaviors that organization wishes to encourage and discourage in their employees. 2. What end results are anticipated?

Running Head: Incentive Plans Outline IV. Set objective measures for Verimatrix A. Is the anticipated objective measurable? 1. Through the use of surveys and questionnaires, an organization will be able to accomplish their goals. Measurement provides ("Learning By important feedback to employers and employees Design", 2011). B. Are the objectives reasonable? 1. Verimatrix employees will be expected to understand what is being asked of them to do. V. Review the objectives with management A. Involve all staff 1. The staff must be on board and know what the organizations goals are B. All heads of departments must understand the objectives 1. Department heads must be supportive of the objectives and be able to support their staff VI. When objectives are in place, determine tactics and concepts

A. Does Verimatrix have a theme that we are going to incorporate with the objectives and incentives?

Running Head: Incentive Plans Outline VII. A budget for incentives must be established A. Verimatrix will create a budget in order to reach objectives and goals 1. The budget will be sure to include all awards, and compensations that will be given to employees when the goals are reached. 2. A minimum and maximum amount will be set 3. Administrative costs will be taken into consideration to track and measure the goals and objectives B. Training and resources taken into account and included in budget 1. Our staff will be trained and given the resources they need in order to reach the goals set for them. This is an important part goals to be VIII. of the program and in order for it work and the attainable. Preparation of the incentive program A. When does the incentive program start/end? B. Will all personnel be participating? Management? C. Is this a ongoing incentive program D. Are all objectives clear and comprehensive to staff

Running Head: Incentive Plans Outline 1. Employees value open communication, employee recognition and involving personnel in decision making. ("Hubpages", 2011). IX. Track objectives

A. Reports must be created at all levels: executives, managers, employees 1. An assigned person from each group level will be asked to prepare a report and track the objectives and progress. B. Incentives will be monitored 1. Those awarded will be interviewed and asked what they like about the incentive program and what, besides the incentives made them reach their goals. C. Make necessary changes to the objectives or incentives 1. Track history of objectives. What goals were reached? How long did it take? How were they attained? 2. Keep a log of what issues came about while working towards the objectives? 3. Create a report of each objective and add it to Verimatrixs company knowledge database. Conclusion

Running Head: Incentive Plans Outline Employee incentive plans is important to an organization to be able to support the

business. Whether it is during a recession or when the economy is not in recession an incentive plan is important in order to motivate the employees and build a strong team of employees that reach the organizations objective goals. Although these incentive plans dont take place of managing, it does get peoples attention and also assists with making the goals of the organization clear to everyone. It is important to be able to align the right people and inspire them to help the organization reach their goals. This outline has explained what the management and human resources or Verimatrix has thought about in order to create a incentive plan that will ensure that their objectives are met and the company is ever moving forward and upward to reaching their goals and their future growth.

Running Head: Incentive Plans Outline References Hubpages. (2011). Retrieved from http://lilyrose.hubpages.com/hub/simple-ideas-toimprove-employee-retention Learning by design. (2011). Retrieved from http://mindermans.com/?page_id=135