Compensation and Motivation: Maximizing Employee Performance with Behavior-Based Incentive Plans

Description

Forward-thinking companies are waking up to the fact that compensation is not merely a financial cost, but a powerful tool that can boost performance and profits at all levels of the organization. Linking psychology and pay is both an art and a science, and Compensation and Motivation is the first complete guide to this cutting-edge approach. For more than fifteen years, author Thomas J. McCoy has improved the performance of organizations through improving the performance of their employees. In these pages, he spells out the details of his innovative Behavior-Based Incentive Compensation system (BBIC). You'll learn why you should replace typical bonus and commission arrangements (which usually apply only to executives and sales personnel) with performance-oriented, self-funding plans that truly empower every employee. And, step by step, you'll learn how to identify your organization's needs; choose the best behavioral and compensation elements to address those needs; combine those elements into an incentive plan that will maximize performance and provide the best return for your compensation dollar and your management efforts; manage the sometimes difficult transition from fixed to variable compensation; balance the use of cash and noncash options; link incentive compensation with teamwork and quality improvements (such as Total Quality Management) for synergistic results; and measure your progress (using the Total Effectiveness Rating Model). GTE, Frito Lay, Xerox, Coming, and Vista Chemical are just a few of the corporations that have adopted the BBIC system as an attractive alternative to traditional compensation practices. This book includes candid accounts of their experiences--information and insights gleaned from McCoy's personal interviews--that will help you translate theory into practice as you design and implement your own new compensation plan. Compensation and Motivation shows how to apply the proven techniques of behaviorists such as Herzberg, Maslow, and Skinner without taking your eye off the bottom line. Use this pioneering yet practical handbook to make psychological and financial rewards work together at your company--perhaps for the first time.