Reward Systems

The Power of Reward Systems

There are problems in the business world—for example, computer viruses—that people would pay a great deal to solve but for which no one has a solution. There are other problems—like providing top-quality health care to all employees—whose solutions are well known but so expensive that most organizations can’t afford to solve them. There are also problems—like putting out the monthly payroll—whose solutions are well known and affordable; but because they’re well known and affordable, everyone is doing them well, so there’s no competitive advantage in doing them well. And then there are reward systems. The basic principles behind a successful reward system are as well known as putting out the monthly payroll, and doing ...