Incentive Compensation and Employee Ownership [Perfect Paperback]

Corey Rosen et al. (Author), Scott S. Rodrick (Editor)

Book Description

Publication Date: November 15, 2006

In today's competitive business environment, more and more companies use incentive compensation to "communicate goals in the most effective way possible--by putting a bounty on them," as Jack Stack writes in chapter 3 of this book. However, such programs often fail to improve performance if the company does not design them properly, customize them for the company's particular situation, and effectively communicate them to employees. This book explains how to avoid these pitfalls. Using a variety of real-life examples, it describes how companies can use incentive plans, ranging from cash bonuses to stock options and other equity incentives, to motivate employees to achieve higher productivity while rewarding them for their efforts. The first part of the book is a series of essays on incentives and how to use them, while the second part provides case studies from companies that have put these plans into practice. This book relates incentive plans to employee ownership (i.e., ownership of company stock by employees) in two ways. First, the incentive plan itself may use stock, in which case it frequently takes the form of a stock plan, such as a restricted stock plan, discussed in chapter 5. Second, the short-term rewards of incentive compensation can fill a gap left by a longer-term benefit such as an employee stock ownership plan (ESOP), as chapter 2 explains. The sixth edition has been revised to clarify the technical material and bring it up to date, to fine-tune the chapter on cash incentives, and to add a new case study and remove an old one.

Editorial Reviews

From the Publisher

In today’s competitive business environment, more and more companies use incentive compensation to "communicate goals in the most effective way possible—by putting a bounty on them," as Jack Stack writes in chapter 3 of this book. However, such programs often fail to improve performance if the company does not design them properly, customize them for the company’s particular situation, and effectively communicate them to employees.

This book explains how to avoid these pitfalls. Using a variety of real-life examples, it describes how companies can use incentive plans, ranging from cash bonuses to stock options and other equity incentives, to motivate employees to achieve higher productivity while rewarding them for their efforts. The first part of the book is a series of essays on incentives and how to use them, while the second part provides case studies from companies that have put these plans into practice. Special attention is paid to the needs of companies in today’s business environment.

This book relates incentive plans to employee ownership (i.e., ownership of company stock by employees) in two ways. First, the incentive plan itself may use stock, in which case it frequently takes the form of a stock plan, such as a restricted stock plan, discussed in chapter 5. Second, the short-term rewards of incentive compensation can fill a gap left by a longer-term benefit such as an employee stock ownership plan (ESOP), as chapter 2 explains. --This text refers to an out of print or unavailable edition of this title.

From the Back Cover

In today's competitive business environment, more and more companies use incentive compensation to "communicate goals in the most effective way possible--by putting a bounty on them," as Jack Stack writes in chapter 3 of this book. However, such programs often fail to improve performance if the company does not design them properly, customize them for the company's particular situation, and effectively communicate them to employees.

This book explains how to avoid these pitfalls. Using a variety of real-life examples, it describes how companies can use incentive plans--ranging from cash bonuses to stock options and other equity incentives--to motivate employees to achieve higher productivity while rewarding them for their efforts. The first part of the book is a series of essays on incentives and how to use them, while the second part provides case studies from companies that have put these plans into practice. Special attention is paid to the needs of growing companies that use options and similar incentives.

This book relates incentive plans to employee ownership (i.e., ownership of company stock by employees) in two ways. First, the incentive plan itself may use stock, in which case it frequently takes the form of a stock option plan, such as performance-based options, which chapter 5 discusses. Second, the short-term rewards of incentive compensation can fill a gap left by a longer-term benefit such as an employee stock ownership plan (ESOP), as chapter 2 explains. --This text refers to the Paperback edition.

See all Editorial Reviews

Product Details

• Perfect Paperback: 230 pages
• Publisher: National Center for Employee Ownership; 6 edition (November 15, 2006)
• Language: English
• ISBN-10: 193292423X
• ISBN-13: 978-1932924237
• Product Dimensions: 8.9 x 5.9 x 0.7 inches
• Shipping Weight: 9.6 ounces (View shipping rates and policies)
• Amazon Best Sellers Rank: #2,266,323 in Books (See Top 100 in Books)