Pay-for-performance incentive rewards Free Essay Example, 1250 words

Multirater feedback can provide excellent information to an individual about what she needs to do to enhance her career. †3 The 360 feedback system is also accurate in providing data analysis of the performance of employees, besides; it also ensures personal and career development. One of the most important aspects of using this system is that it provides no scope of discrimination in an organization, which otherwise is an extremely big problem for some organizations. The system simply avoids discrimination because feedback of an employee comes from a number of individuals which also shows their readiness to give feedback. There are quite a few flaws in the system as well. Firstly, it is ought to fail if it is just an add on in the organization. It must be the supporter of an organization’s directions and fundamentals. It must be made functional keeping the goals of an organization in sight, else it will inevitably result in failure. Another big con of this system is the insufficient information provided by it. An employee receiving unclear comments has no one to go and clarify. We will write a custom essay sample on Pay-for-performance: incentive rewards or any topic specifically for you Only $17.96 $11.86/pageorder now Another big problem with this system is that it focuses upon the negatives and the weaknesses of the employees and this can be very negative for both, the employee, as well as the organization. â€Å"In addition to the insufficient training organizations provide both people receiving feedback and people providing feedback, there are numerous ways raters go wrong. They may inflate ratings to make an employee look good. They may deflate ratings to make an individual look bad. They may informally band together to make the system artificially inflate everyone’s performance. Checks and balances must prevent these pitfalls. † 4 Pay for Performance Incentive Pay or Pay for Performance is given for specific performance results rather than the time worked by an employee. It is beneficial for both, the employees, as well as the organization because an incentive increases motivation of employees to work harder and to achieve the goals of the organization and when more and more employees work towards the goals of the organization, both, the employees as well as the organization inevitably grow and prosper. Incentives can give a much deserved boost to an employee, results of which, is usually seen in quick time this also strengthens the relationship of an employee and boss, the same also contributes in achieving the goals of the organization. â€Å"The simplicity inherent in the casual incentive approach attracts many farmers who would not consider a structured incentive.