When setting performance measures for incentive systems, we can say that the best measures are those that
A)are quantitative, simple to understand, and show a clear relationship to improved performance.
B)are qualitative, flexible, and create competition between employees.
C)allow employers to "ratchet up" standards and base rewards on qualitative standards.
D)reduce administrative costs, determine rewards based only on quantity, and reward only exceptional employees.

Question

Quizplus · Accepted Answer

Quantitative measures are more objective and easier to understand than qualitative measures, and they provide a clear connection between performance and rewards. Simple measures are also easier to communicate and track, and they help ensure that employees understand what is expected of them. Finally, a clear relationship between improved performance and rewards helps motivate employees to improve their performance.

When Setting Performance Measures for Incentive Systems, We Can Say