Скачать или смотреть How to Design Team Incentives

Firms increasingly rely on teams to manage their work. They therefore need incentive plans that focus teams on performance and encourage teamwork. Team (or group) incentive plans pay incentives to the team based on team performance.

Companies usually incentivize teams in one of three ways: they pay the same incentives to each team member based on some overall standard, or pay different rates to each member based on performance, or pay different rates to each in some proportion to each team member’s base pay.

The usual approach is probably still to tie rewards to some overall standard of group performance, such as “10 labor hours per car.” One company established such an overall standard for its work teams. If the firm reached 100% of its goal, the employees would share in about 5% of the labor costs saved. If the firm achieved less than 100% of its goal, the bonus pool was less.

While most employers just use their experience to estimate what the team goal or standard should be, others carefully engineer their production standards, often basing the team incentive on either the piece rate or standard hour plan. All team members then typically receive the same share of the team’s incentive pay. Thus, the team might receive, say, $5 for each wheel installed above the industrially engineered “standard” of 10 wheels per hour.

Team incentives often reinforce team problem solving, and can help ensure cooperation. Team incentives also facilitate training, since each member has an interest in getting new members up to speed fast. The main disadvantage is the demotivating effects of free rider workers who share in the team-based pay but who don’t put their hearts into it.