MEASURING AND PAYING FOR PERFORMANCE衡量和支付性能.pptVIP

Measuring and PayingFor Performance Increasing organizational productivity is one of the hottest current topics in executive suites. Managers discovered that simply paying employees more will not result in increased output and improved quality. Measuring and PayingFor Performance The strong economy of the 50s and 60s and the high inflation of the 70s and early 80s helped establish the expectation among workers that their pay and benefits would be increased, as needed, to keep pace with the changes in the cost of living. Measuring and PayingFor Performance These adjustments were, more often than not, granted without consideration to individual performance or organizational productivity. What emerged was a mind-set of job and pay entitlement. Measuring and PayingFor Performance All of which has come to an end with the current wave of restructuring and downsizing activities that are so prevalent on the economic landscape. Employees understand that the days of job ownership and entitlement have ended. Measuring and PayingFor Performance Organizations began to realize that if they were to become more competitive, they would have to change this mindset of ”I’m owed it to ”I’ve earned it. Measuring and PayingFor Performance The result has been a movement toward more incentives and awards linked directly to desired employee behaviors, contributions, or results. Measuring and PayingFor Performance More specifically the outcome has been an increase in variable compensation components and a decrease in fixed components. Pay-For-Performance In A Knowledge Oriented Service Sector Economy The Knowledge Directed Worker The shift from manufacturing (low data retention) jobs to knowledge directed service (high data retention) jobs has introduced more complexity and created barriers to traditional job analysis and performance measurement. Pay-for-performance In A Knowledge Oriented Service Sector Economy These barriers limit the use of industrial engineering motion and time