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Additional Case 11.2 Richland Manufacturing Uses an Individual-Based Pay-For-Performance Plan for Employees

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Additional Case 11.2
Richland Manufacturing uses an individual-based pay-for-performance plan for employees.
Manager input in the form of performance evaluations primarily determines individual employee rewards. Performance appraisals at Richland are used for multiple purposes including compensation, training, and work planning. Since implementing the plan, many managers have noticed that employees tend to play it safe by setting modest rather than challenging goals for themselves. Employees have also been avoiding important tasks, such as satisfying the needs of customers and keeping work areas neat. In addition, most employees express disbelief that pay and performance are actually linked. As a result, Richland is considering making modifications to the system.
The HR Director wants a system that will reward all employees based on the entire company's performance because he wants to increase employee commitment. The VP of Operations wants to reward specific productivity and quality improvements with a simply structured system that considers labor costs as well as other production expenses. The VP of Operations also believes that labor and management should work together to allocate the rewards.
-Refer to Additional Case 11.2.Most Richland managers want to use an individual-based pay-for-performance plan to reward high performers but are concerned about increasing employees' base pay permanently due to costs.Which of the following would most likely be appropriate in this case?


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Nursing Professional

A trained and licensed individual who provides care and support to patients, often in a healthcare setting.

Code of Ethics

A set of principles and standards that guide the behavior and decisions of individuals or organizations within a profession.

Do No Harm

A foundational principle in healthcare and bioethics that emphasizes the importance of not causing injury or suffering to patients.

Human Rights

The basic rights and freedoms that all individuals are entitled to, such as freedom of speech, privacy, and equality before the law.

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