Cogent Analytics Project Director, Gerald Vogl, recently wrote an article that was published by Constructor Magazine. The article titled, Managing Incentives for Better Performance provides valuable information about creating a how to implement effective incentive programs for employees.
Incentives are meant to motivate employees and encourage desired behavior. However, implementation is key, and sometimes even the most well-meaning programs struggle.
Here’s an example: A construction company that wanted to improve accountability, morale and labor utilization implemented a system of goal setting and created an incentive plan to help achieve those goals.
In an attempt to improve the company’s overall performance, management and supervisors worked to make critical changes throughout the organization. Some of these changes included implementing job descriptions, establishing daily standard operating procedures (SOPs), improving motivational leadership skills and creating an incentive plan to help achieve company goals.
From the outset, the foremen received training on how to motivate their crews by establishing daily goals. They participated in morning meetings to determine objectives with their team while also comparing the previous day’s performance against company targets. Additionally, upper management worked to improve communications with the foremen while also linking their compensation and the crew’s compensation to the results achieved. With this established, the company would experience higher productivity and increased commitment to achieving company objectives. Moreover, establishing an incentive plan would bring even more benefits and efficiency to the company, or so one might think.
Read the full article, Managing Incentives for Better Performance, by Cogent Analytics Project Director, Gerald Vogl here in Constructor Magazine here.
At Cogent Analytics, we never stop looking for ways to improve your business and neither should you. So, check out some of our other posts for helpful business information:
Cogent Analytics, LLC is a business management consulting firm, with a primary focus to help small to medium size, privately held businesses achieve success and long term profitability. Cogent provides powerful solutions with integrity and transparency to privately-held businesses throughout the United States.