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Author: | Brossy, R. Shaw, D. G. |
Title: | Using pay to implement strategy |
Journal: | Management Review
1987 : SEP, VOL. 76:9, p.44-48 |
Index terms: | PAYMENT SYSTEMS CORPORATE STRATEGY BONUS SYSTEMS |
Language: | eng |
Abstract: | How a steel manufacturer fighting for survival is examined. A wage freeze was imposed continued for two years: When it was lifted, a 5-percent merit-increase pool was introduced. Most employees viewed the increase as a giveback. Under the new program, all exempt employees were given the opportunity to increase their pay commensurate with performance. Variable pay as a percent of total pay increased substantially under the new program is exhibited. Two further cases involving business-unit strategies calling for integrating resources from all parts of the organization are presented. |
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