Designing Incentive Plans That Work

Knowing your audience is the first small step towards motivating your employees. Do you have a young, go-getter kind of staff that just needs a few words of encouragement every once in a while to keep spirits and sales high? Is your staff older and heard every motivational speech in your repertoire? Will a hundred extra dollars at the end of the year remind your workers how much your appreciate them? Would your staff really prefer stock options to cash?

Designing incentive plans can be tricky, but as long as you do your research and know what your employees would respond well to, the process is easy when you work with the trained staff at Longnecker & Associates. We can help you understand all you available options when working with incentives. Whether you staff prefers simples cash bonuses or extensive deferment plans to keep a steady income in the future, our staff will help you determine exactly how to plan.

Either extreme in the employee spectrum can respond positively to pay for performance incentive plans. We will help you establish objectives for your employees and appropriate bonuses to coordinate. You staff needs to have reasonable goals placed before them. You cannot expect to motivate them with lofty goals that they do not ever expect to reach. We will work with you to decide on attainable goals for your staff that will continue to motivate them to work harder. After agreeing on objectives, we can discuss equal bonuses. Again, if your staff members do not think the bonuses are worthwhile, they will work any harder to achieve them. Our expertise will help you decide if cash bonuses are appropriate for employees, or if equity alternatives are closer to what your staff is looking for.

Possible Equity Alternatives

The high ranking executives of any company probably do not have the same needs or financial desires as the average rank and file workers. These more powerful individuals usually agree that they do not need more cash to go with their salary. This just leads to higher taxes. Instead executives want better non-cash bonuses like equity alternatives and stock options. Before starting any incentive program, do your research to find out what will motivate different staff members. When you are ready to start designing incentive plans, meet with one of the incentive experts at Longnecker & Associates. We will help establish the perfect balance of attainable goals and preferred bonus options.