Gainsharing plans differ from profit-sharing plans in that
A)gainsharing plans use organization-wide performance parameters.
B)gainsharing plans distribute payouts more frequently.
C)gainsharing plans make lump sum payments.
D)gainsharing plans can be attached to all types of jobs in the organization.
E)gainsharing plans discourage pursuit of broader goals of the group.

Question

Quizplus · Accepted Answer

Gainsharing plans typically distribute payouts more frequently, often monthly or quarterly, to share the gains from improved productivity directly with employees. This contrasts with profit-sharing plans, which often distribute profits annually and focus on overall organizational profitability rather than specific productivity improvements.

Gainsharing Plans Differ from Profit-Sharing Plans in That