CHAPTER 9 - Pay-for-Performance: The Evidance

What Behaviors Do Employers Care About?

Retain

Develop skills

Motivation Theories

Perform well

Attract

Equity

Reinforcement

Expectancy

Goal setting

Herzberg's two factor theory

Agency

Maslow's need hierarchy

Components of a Total Reward System

Security

Status/recognition

Social interaction

Work variety

Benefits

Workload

Work importance

Authority/control/autonomy

Compensation

Advancement

Feedback

Work conditions

Development opportunity

Wage Compenents

Merit bonused (lump sum bonus)

Individual incentive

Merit pay

Success-sharing plans

Across-the-board increase

Risk sharing plans

Base pay

Profit sharing

Gain sharing

Does Compensation Motivate Behavior?

Do people stay in a firm(or leave) because of pay?

Do employees more readily to agree to develop job skills because of pay?

Do people join a firm because a pay?

Do employees perform better on their jobs because of pay?