team incentive-based approach
The overall team incentive-based approach was started to improve sales and ensure that they tap all the transactions in a combined effort. After one year, there was a huge difference in terms of the commission payment of the highest and the lowest paid person. The assessment and the results gathered are typical complaints by the team members on the incentive approach. The complaints from the team try to explain the vast difference in the team-based incentive approach. From the first observation, there was a lack of buy-in for some employees and ended up free riding and benefiting from the higher performers. That is likely that the more top performers were complaining about, the less input some team members put in initiating and completing sales. Further, the less performing teams complain that their regions of operations were tough and hard to make sales while there is no survey backing the claim. Also, the higher performers undermine less performance despite required to work together to achieve the expected synergy. More than a third did not feel the program was fair, thereby resulting in complaints. These results are typical complaints caused by the wrong strategy of introducing the incentive program.
Team-based incentives are supposed to improve productivity and operations of a business. The incentive program used brought several complaints and a big difference in terms of commission among team members. It is essential to incorporate goal-based rewards where goals are set, and when the team achieves the goals, they are rewarded (Berger et al., 2019). For instance, in this case, the firm can have weekly, monthly, or annual targets for each group. So the rewarding system will be determined by those who reach the goals. If all the groups achieve the preset target, all the teams receive the group. That will ensure the complaints of undermining each other will end. Further, team performance will improve since they are required to work toward a common goal.
The thought of bringing people together and working as a team was a good idea. There was a chance that it could have benefited the management and improved sales as speculated. They complain that not all people agree to this type of incentive from the start would have been addressed. Employees’ buy-in is equally essential for the success of any business operation (Kruse, 2016). The management would have ensured that they educate the sales representatives on the importance of using teamwork and the expected results. Further, the idea of bringing the team together was to ensure through synergy sales representatives could be able to make more sales since most were lost due to individual work program. Through the understanding of the goal of the program, the employees could have consulted on how these could be achieved under the team based incentive approach. It could have improved the willingness of all people to corporate and do as expected.
References
Berger, L., Guo, L., & Presslee, A. (2019, December). The Performance Effect of Goal-Based Prosocial Rewards: Does Reward Size Matter?. AAA.
Kruse, D. (2016). Does employee ownership improve performance?. IZA World of Labor.