Published by:
Harvard Business Publishing
Length: 4 pages
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Abstract
When companies adjust strategies, set new goals, or implement change initiatives, a domino effect often ensues. New priorities for the company result in new priorities for divisions, departments, and individuals. Managers assume new positions or take on additional responsibilities. Teams are reconfigured. People come, people go. But through all this organizational shifting, one critical facet of managing people is often ignored: compensation. Indeed, companies implementing even the most sweeping of change programs often neglect to address the way people are paid. The result can be that while employees are being directed toward one end, they are being inadvertently motivated to engage in counterproductive behaviors. Learn why any corporation implementing a new initiative should use the occasion to take a close look at its reward structure and the behavior it motivates.
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Abstract
When companies adjust strategies, set new goals, or implement change initiatives, a domino effect often ensues. New priorities for the company result in new priorities for divisions, departments, and individuals. Managers assume new positions or take on additional responsibilities. Teams are reconfigured. People come, people go. But through all this organizational shifting, one critical facet of managing people is often ignored: compensation. Indeed, companies implementing even the most sweeping of change programs often neglect to address the way people are paid. The result can be that while employees are being directed toward one end, they are being inadvertently motivated to engage in counterproductive behaviors. Learn why any corporation implementing a new initiative should use the occasion to take a close look at its reward structure and the behavior it motivates.