Which of the following is not characteristic of a compensation and reward system designed to help drive successful strategy execution?
A) Tying incentives to performance outcomes directly linked to good strategy execution and financial performance
B) Keeping the time between achieving the target performance outcome and the payment of the reward as short as possible
C) Making sure the performance targets that each individual or team is expected to achieve involve outcomes that the individual or team can personally affect
D) Generous rewards for people who turn in outstanding performances
E) A reward system that involves 50 percent nonmonetary rewards and a work environment that avoids placing pressure on managers and employees to perform at high levels

Question

Quizplus · Accepted Answer

A compensation and reward system designed to help drive successful strategy execution should involve generous rewards for outstanding performance, tie incentives to performance outcomes directly linked to good strategy execution and financial performance, keep the time between achieving the target performance outcome and the payment of the reward as short as possible and make sure the performance targets that each individual or team is expected to achieve involve outcomes that the individual or team can personally affect. A nonmonetary reward system involving 50 percent nonmonetary rewards and a work environment that avoids placing pressure on managers and employees to perform at high levels is not characteristic of such a compensation and reward system.

Which of the Following Is Not Characteristic of a Compensation