{"id":43206,"date":"2020-06-22T17:46:00","date_gmt":"2020-06-22T17:46:00","guid":{"rendered":"http:\/\/sticky-highjinx.flywheelsites.com\/?p=43206"},"modified":"2025-03-03T03:05:49","modified_gmt":"2025-03-03T08:05:49","slug":"10-tips-for-successful-incentive-plans-2","status":"publish","type":"post","link":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/","title":{"rendered":"10 Tips for Successful Incentive Plans"},"content":{"rendered":"Reading Time: <\/span> 3<\/span> minutes<\/span><\/span>\n

Increase Productivity Without the Need for Large Capital Improvements<\/h2>\n\n\n\n

Incentive pay programs<\/a> are becoming an increasingly popular supply chain initiative to increase productivity without the need for large capital improvements. Tom Stretar, Vice President of Technology at enVista, offers the following tips for implementing a successful incentive plan.<\/p>\n\n\n\n

1. Understand the need for incentives<\/h3>\n\n\n\n

The first item to consider when implementing an incentive plan<\/a> is to answer the age old questions of \u201cWho, What, When Where, Why and How.\u201d Understanding the responses to these questions will help align the behaviours you wish to reward as you develop the actual incentive programme details.<\/p>\n\n\n\n

2. Involve the employees<\/h3>\n\n\n\n

It\u2019s important to understand the employee\u2019s perspective and interest level when developing the framework for an incentive plan. Additional pay, paid time-off and rewards are the three most common types of incentives used. The use of focus groups and questionnaires will identify which type of incentive, if any, will motivate the employees to perform above normal expectations.<\/p>\n\n\n\n

3. Simple is best<\/h3>\n\n\n\n

When developing the framework for an incentive plan, the \u201cKISS\u201d principle (Keep it Simple) will be easily understood by the employees and will result in a higher implementation success rate. Employees want to be able to calculate what they have earned. Incentive plans that are too complex will not be adopted by the organisation as a whole and will not achieve the desired results that management expected.<\/p>\n\n\n\n

4. Include all employees<\/h3>\n\n\n\n

Avoid segmenting out certain employee workgroups when developing the incentive plan. Incentive plans that focus on a small subset of the overall employee staff will lead to jealousy and resentment within the organisation. Be creative with individual and team incentives and don\u2019t forget about the supervisors!<\/p>\n\n\n\t\t

\n\t\t\t\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t
\n\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t
\n\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t
\n\t\t\t\t
\"Large<\/div><\/a>\n\t\t\t\t
\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/article>\n\t\t\t\t<\/div>\n\t\t\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t
\n\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t
\n\t\t\t\t
\"Large<\/div><\/a>\n\t\t\t\t
White Paper<\/div>\n\t\t\t\t
\n\t\t\t\t

\n\t\t\t\n\t\t\t\tIncrease ROI Through Successful Warehouse Slotting\t\t\t<\/a>\n\t\t<\/h3>\n\t\t\t\t
\n\t\t\t

A well-thought-out slotting strategy also enables businesses to minimize wasted space and maximize storage capacity within the warehouse. Increase ROI using the right tools, strategy and management plan with successful warehouse slotting.<\/p>\n\t\t<\/div>\n\t\t\n\t\t\n\t\t\tDownload\t\t<\/a>\n\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/article>\n\t\t\t\t<\/div>\n\t\t\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t\n\n\n\n

5. Use work methods and labour standards<\/h3>\n\n\n\n

Just like every house needs a solid foundation, an incentive plan needs a solid foundation based on Preferred Work Methods and Engineered Labour Standards<\/a>. An employee observation programme should be established to ensure each employee is reviewed on a frequent basis to ensure the employee understands the method so he or she can be successful. Multivariable or discrete labour standards are recommended over single variable labour standards, such as line or units per hour.<\/p>\n\n\n\n

6. Reward direct work<\/h3>\n\n\n\n

Reward work that supports movement of goods in the facility (receiving, transport, put-away, replenishment, picking, packing, shipping, etc.). Indirect work, such as cleaning, meetings, or prep activities, should not be part of the incentive plan as this promotes a lack of motivation to get the required work done in a timely manner.<\/p>\n\n\n\n

7. Consider other factors<\/h3>\n\n\n\n

When developing the incentive plan, consider other measurable factors besides direct productivity to ensure a holistic approach. Other common factors to consider include attendance, indirect labour percentage, quality, safety and turnover. A plan that focuses solely on productivity may experience issues with high indirect labor, poor quality work and increased safety violations.<\/p>\n\n\n\n

8. Communicate the program<\/h3>\n\n\n\n

Build a company communication plan that establishes the expectations of the employee and management team. Make sure to review the plan with the human resources, legal and payroll departments as they also need to understand their objectives and roles. Train the programme administrators and supervisors. Present the plan to the entire organisation prior to kick-off through meetings and company announcements.<\/p>\n\n\n\n

9. Minimize administration needs<\/h3>\n\n\n\n

Avoid having employees fill out daily production cards as the employees could \u201cwrite\u201d their own bonus payment. Utilize existing systems, such as warehouse management systems (WMS)<\/a> and time & attendance systems for data capture. Export the data to the in-house payroll system for monetary based incentive programs.<\/p>\n\n\n\n

10. Don\u2019t wait to reward<\/h3>\n\n\n\n

Reward the incentives as close to the desired behaviour change as reasonably possible. If you wait too long, the motivation for continued success will wane. Align the reward with your normal compensation schedule. Consider a separate paycheck if monetary rewards are used.<\/p>\n","protected":false},"excerpt":{"rendered":"

Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.<\/p>\n","protected":false},"author":22,"featured_media":43207,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_searchwp_excluded":"","footnotes":"","_links_to":"","_links_to_target":""},"categories":[3475],"tags":[3527,3932,3509],"class_list":["post-43206","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-labor-management-system","tag-program-management","tag-supply-chain"],"acf":[],"yoast_head":"\n10 Tips for Successful Incentive Plans - enVista<\/title>\n<meta name=\"description\" content=\"Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"10 Tips for Successful Incentive Plans - enVista\" \/>\n<meta property=\"og:description\" content=\"Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/\" \/>\n<meta property=\"og:site_name\" content=\"enVista Australia\" \/>\n<meta property=\"article:published_time\" content=\"2020-06-22T17:46:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-03-03T08:05:49+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1500\" \/>\n\t<meta property=\"og:image:height\" content=\"785\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"enVista Marketing\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enVista Marketing\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"10 Tips for Successful Incentive Plans - enVista","description":"Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/","og_locale":"en_US","og_type":"article","og_title":"10 Tips for Successful Incentive Plans - enVista","og_description":"Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.","og_url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/","og_site_name":"enVista Australia","article_published_time":"2020-06-22T17:46:00+00:00","article_modified_time":"2025-03-03T08:05:49+00:00","og_image":[{"width":1500,"height":785,"url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg","type":"image\/jpeg"}],"author":"enVista Marketing","twitter_card":"summary_large_image","twitter_misc":{"Written by":"enVista Marketing","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#article","isPartOf":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/"},"author":{"name":"enVista Marketing","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#\/schema\/person\/c938d19b1c760a4e1c353086018cb894"},"headline":"10 Tips for Successful Incentive Plans","datePublished":"2020-06-22T17:46:00+00:00","dateModified":"2025-03-03T08:05:49+00:00","mainEntityOfPage":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/"},"wordCount":640,"commentCount":0,"publisher":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#organization"},"image":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#primaryimage"},"thumbnailUrl":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg","keywords":["Labor Management System","Program Management","Supply Chain"],"articleSection":["Blog"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#respond"]}]},{"@type":"WebPage","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/","name":"10 Tips for Successful Incentive Plans - enVista","isPartOf":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#website"},"primaryImageOfPage":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#primaryimage"},"image":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#primaryimage"},"thumbnailUrl":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg","datePublished":"2020-06-22T17:46:00+00:00","dateModified":"2025-03-03T08:05:49+00:00","description":"Incentive pay programs are becoming a popular initiative to increase productivity without the need for large capital improvements.","breadcrumb":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#primaryimage","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg","contentUrl":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/06\/warehouse_worker-1.jpg","width":1500,"height":785,"caption":"A worker wearing an orange hard hat and green jacket checks inventory on a warehouse shelf while holding a tablet, standing in a large, brightly lit industrial storage area."},{"@type":"BreadcrumbList","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/2020\/06\/22\/10-tips-for-successful-incentive-plans-2\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/envistacorp.techyscouts.dev\/en-au\/"},{"@type":"ListItem","position":2,"name":"10 Tips for Successful Incentive Plans"}]},{"@type":"WebSite","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#website","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/","name":"enVista Australia","description":"Enabling Enterprise Commerce","publisher":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/envistacorp.techyscouts.dev\/en-au\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#organization","name":"enVista Australia","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#\/schema\/logo\/image\/","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/10\/enVista_Logo_White-1.png","contentUrl":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-content\/uploads\/sites\/4\/2021\/10\/enVista_Logo_White-1.png","width":348,"height":152,"caption":"enVista Australia"},"image":{"@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/envistacorp.techyscouts.dev\/en-au\/#\/schema\/person\/c938d19b1c760a4e1c353086018cb894","name":"enVista Marketing","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/908735372279b00297ea13e45a4947cdb05e2ee7244abfcfb3ea9d263679fa53?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/908735372279b00297ea13e45a4947cdb05e2ee7244abfcfb3ea9d263679fa53?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/908735372279b00297ea13e45a4947cdb05e2ee7244abfcfb3ea9d263679fa53?s=96&d=mm&r=g","caption":"enVista Marketing"},"description":"enVista was founded by supply chain and technology experts in response to market demand for skilled consulting services. Read posts by our Thought Leaders.","url":"https:\/\/envistacorp.techyscouts.dev\/en-au\/author\/envistamarketing\/"}]}},"_links":{"self":[{"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/posts\/43206","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/comments?post=43206"}],"version-history":[{"count":0,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/posts\/43206\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/media\/43207"}],"wp:attachment":[{"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/media?parent=43206"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/categories?post=43206"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/envistacorp.techyscouts.dev\/en-au\/wp-json\/wp\/v2\/tags?post=43206"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}