The Pros and Cons of Employee Incentive Programs - Deepstash
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Tips To Establish A Benign Incentives Program

Tips To Establish A Benign Incentives Program

  • Ongoing feedback from both customers and employees can help provide an indication of how well these programs are working.
  • Deal with issues directly and transparently to ensure that employees are clear about the program’s expectations and goals.

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The Cons Of Incentive Programs

The Cons Of Incentive Programs

  • May Encourage Deception: Employees may look for ways to make their performance appear to be good when it isn’t.
  • Misaligned Incentives: poorly conceived ones may incentivize risky and irresponsible behavior that undermines the mission of the company. 
  • Can Lead to Conflict: iI competitive workplaces with limited rewards, employees may engage in bad behavior to get ahead or become convinced that pursuing incentives is a zero-sum proposition and become resentful. 

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The Pros Of Incentive Programs

The Pros Of Incentive Programs

  • Increased Productivity: Rewarding the delivery of tangible results reinforces that good work will be rewarded. 
  • Strengthens Succession Pipeline: Employees often try to improve their skills in the pursuit of incentives, ultimately increasing their own efficiency. 
  • Encourages Retention: A good incentive program increases employee job satisfaction and overall loyalty to the organization. 

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"Innovation distinguishes between a leader and a follower." - Steve Jobs. Striving not to be a follower.

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