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Pay for Performance Plans Can Boost Bottom Line Distribution Group

Pay for Performance Plans Can Boost Bottom Line Distribution Group

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some organizations house the responsibility for performance management design work within the compensation department while others house the responsibility within the organizational development group this reflects the unique role of performance management systems to improve organizational performance well rewarding individual efforts there are two key components of the compensation related side of managing pay for performance systems designing a merit increase matrix and overseen salary management the bottom line is pay for performance should do a few things first it should reinforce desired behaviors next it should be attractive to recruit good employees pay for performance should also make sure the good employees stay and pay for performance should build further knowledge and skills while also motivating employees to perform well basically paper for performance does three things it attracts retains and motivates top talent compensation experts estimate that every dollar spent on pay

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