Author Question: Discuss characteristics of the most effective type of contingent pay plan in an organization with an ... (Read 186 times)

stock · **on:** Jul 7, 2018

Discuss characteristics of the most effective type of contingent pay plan in an organization with an involvement culture. Give examples.

What will be an ideal response?

Question 2

What are the motivations for rating inflation?

What will be an ideal response?

tdewitt · **Reply #1 on:** Jul 7, 2018

Answer to Question 1

The most effective type of contingent pay plan in an organization with an involvement culture is geared less toward specific, observable measures of performance, and more geared toward group results. For example, profit sharing and skill-based pay, where employees are paid rewards based on new knowledge and skills that are beneficial to the organization, would be effective.

Answer to Question 2

Motivations for rating inflation include:
- Maximize merit raise/rewards.
- Encourage employees.
- Avoid creating a written record.
- Avoid confrontation with employees.
- Promote undesired employees out of unit.
- Make manager look good to his/her supervisor.