Incentives and Perks

Anthony Joshi-Pawlowic, Steve Roeser, Korbin Cowger

Objective
Find & measure effects of incentives on
employees
Companies use of incentives to achieve &
maintain employee productivity &
quality performance

Expectancy Theory
Assumptions:
Maximize Pleasure
Minimize Pain
Rational Behavior

Expectancy
Instrumentality
Valence

Agency Theory
Principal & Agent
Assumptions:
Maximize Output
Minimize Effort

Incentives need to be related to

Performance

Goal-Setting Theory
1.
2.
3.
4.

Acceptance of goal
Specific & measurable
Difficulty
Feedback

Financial Incentives
Stock Options
Profit Sharing
Raises & Bonuses

Health and Wellness Incentives

Employees will be rewarded for completing any of the
following health programs:
Awareness
Action-Based
Everything-but-the-kitchen-sink
Progress-based
Outcome-Based
Targeted Incentives

Educational Incentives
Tuition Reimbursement
Waiting Period
Investment in the Company

Perks
Relaxed/Positive Environment
Routine rituals
Social Activities

Amenities
Gym
Cafeterias
Day Care Centers

Positive Reinforcement
Appreciate Employees
Employee Retention
Cure for Employee Turn-over(Deming
Disease)

Concluding Thoughts
High Level of Motivation
Matching Motivation
Promote:

Performance
Morale
Engagement
Productivity
Motivation

Concluding Thoughts
Match Incentives
SAS

Obstacles of Incentives
Non-Financial

Higher Employee Engagement

Build on Foundation
Employees First