ebook img

Motivate and Reward: Performance Appraisal and Incentive Systems for Business Success PDF

175 Pages·2003·0.73 MB·English
Save to my drive
Quick download
Download
Most books are stored in the elastic cloud where traffic is expensive. For this reason, we have a limit on daily download.

Preview Motivate and Reward: Performance Appraisal and Incentive Systems for Business Success

Motivate and Reward Performance Appraisal and Incentive Systems for Business Success Herwig W. Kressler Translated by Simon Pearce Motivate and Reward Motivate and Reward Performance Appraisal and Incentive Systems for Business Success Herwig W.Kressler Translated by Simon Pearce © Herwig W.Kressler 2003 English language translation © Simon Pearce 2003 Softcover reprint of the hardcover 1st edition 2003 978-1-4039-0378-5 All rights reserved.No reproduction,copy or transmission of this publication may be made without written permission. No paragraph of this publication may be reproduced,copied or transmitted save with written permission or in accordance with the provisions of the Copyright,Designs and Patents Act 1988,or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency,90 Tottenham Court Road,London W1T 4LP. Any person who does any unauthorised act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2003 by PALGRAVE MACMILLAN Houndmills,Basingstoke,Hampshire RG21 6XS and 175 Fifth Avenue,New York,N.Y.10010 Companies and representatives throughout the world PALGRAVE MACMILLAN is the global academic imprint of the Palgrave Macmillan division of St.Martin’s Press,LLC and of Palgrave Macmillan Ltd.Macmillan®is a registered trademark in the United States,United Kingdom and other countries.Palgrave is a registered trademark in the European Union and other countries. ISBN 978-1-349-50901-0 ISBN 978-1-4039-3771-1 (eBook) DOI 10.1057/9781403937711 This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. A catalogue record for this book is available from the British Library. Library of Congress Cataloging-in-Publication Data Kressler,Herwig. [Leistungsbeurteilung und Anreizsysteme.English] Motivate and reward / Herwig Kressler;translated by Simon Pearce. p.cm. Includes bibliographical references and index. 1. Employee motivation.2. Performance--Evaluation.3. Incentive awards. I.Title. HF5549.5.M63 K74 2003 658.3'14--dc21 2002193096 Editing and origination by Curran Publishing Services,Norwich 10 9 8 7 6 5 4 3 2 1 12 11 10 09 08 07 06 05 04 03 C ONTENTS List of figures ix Introduction x Part I Motivation 1 Motives – Desires – Motivational Factors 1 Motivation to Work 3 Motivation and Frustration 4 Motivation is Highly Personal 6 Theories,Hypotheses and Concepts of Motivation to Work 8 ‘Scientific Management’ 9 Trust in Technology and Utilitarianism 9 The ‘Discovery’of the Motivation to Work 11 Further Developments 13 Motivation Theories:an Overview 14 Maslow 15 McGregor 17 Argyris 19 Herzberg 20 McClelland 23 Vroom 25 Locke,Latham 27 Equivalence and Dissonance 28 ‘Sixteen Basic Desires’ 29 Eight Points for Reflection 30 Conclusion:Significant Elements of Motivation 32 Tools of Management 34 Evaluation and Pay 34 Management by Objectives:Target Agreement 34 Openness and Transparency 37 Information and Communication 38 Job Design 39 Development and Training 40 Motivation and Incentive 41 v vi Contents Part II Evaluation of Performance and Potential 45 Chapter 2 Performance Appraisal 47 Sense and Purpose 47 Evaluation in Business 48 ‘Functional’‘Top-down’Evaluation 49 ‘Bottom-up’Evaluation 49 The ‘360-Degree’Evaluation 50 The Why and Wherefore of Functional Evaluation 52 Structure,Culture and Style 53 Perception 55 Features of Performance Evaluation 57 Informal or Institutionalized 58 Open or Secret 58 Character-based 58 Task-based 59 Target-based 60 Result-based 60 Aims of Performance Evaluation 61 The Evaluation Review 63 The Working Relationship 66 Selective Communication and Perception 67 The Evaluation Scale 68 The Role of the Immediately Higher Management Level 69 Comparisons between Business Areas 70 Bureaucracy 70 Fairness and Objectivity 70 Possibilities of Appeal 71 Evaluation Routine 71 Participation,File Access,Data Protection 72 Developing and Applying the System 72 Instead of a Summary 73 Six Steps towards Efficient Evaluation 73 Amusing Aside:Quotations from Evaluations 73 Guide to Managers’and Subordinates’ Performance Review 75 Chapter 3 Evaluation of Potential 77 Performance and Potential are not Identical 77 Selection Criteria 78 Contents vii What is Potential? 79 The Three Pillars of the Development of Potential 80 Motivation and Behaviour 80 Knowledge and Abilities 81 Organization and Discipline 82 Potential and Ambition 85 Potential as a Contribution 88 Criteria of Potential 89 ‘Predictor Qualities’ 89 Competencies 94 Heroes,Prophets and Magicians 96 Potential:For What? 97 Performance and Potential 98 Chapter 4 Evaluation in Practice 100 A Real-life Example 100 Optima’s Evaluation Principles 100 Optima:Annual Performance Appraisal 103 Explanation of Optima’s Evaluation Principles 108 Explanation of the Annual Performance Evaluation in Optima 109 Main Points of the Evaluation Process in Optima 109 Part III Reward Strategies and Incentive Systems 111 Chapter 5 Structural Conditions for Reward 113 Overview 113 Professionalism and Emotion in Rewards 114 Components of Reward 115 Efficiency of the Reward Components 118 The Emergence of Global Reward Strategies 121 Future Developments 123 A New Reward Model 126 Chapter 6 Incentives 131 Bonus,Incentive Systems,Result-related Pay 131 Variable Pay 131 Incentive is not Automatically Motivation 132 Incentives:What they Can and Cannot Do 133 Incentives in Practice 136 viii Contents Incentive Bonus Systems:Four Examples 138 Short Term (on an Annual Basis) 138 Longer Term (Several Years) 140 Target-setting 142 Chapter 7 Financial Participation 144 Background 144 Development 145 Profit Sharing 145 Equity Participation 146 Costs 149 Communication 150 Share Options 151 Executive Share Options 152 And Without Shares? 156 Chapter 8 Conclusion 157 Bibliography 159 Index 161 L F IST OF IGURES 1.1 The KITA* model 7 1.2 Maslow’s hierarchy of needs 16 1.3 In the town of Ch...there lived the famous archer Francis T... 36 3.1 Ambition and potential 86 3.2 Potential and performance 99 5.1 Stick and carrot 116 ix

See more

The list of books you might like

Most books are stored in the elastic cloud where traffic is expensive. For this reason, we have a limit on daily download.