it is a ppt of Human resource management subject.

1. Presentation Of …Human Resource Management
Topic: Incentive
Submitted To:
Dr. Amit Dangi
(Associate professor)
Submitted By:
Sukirti Gupta{210611009}
Kanishka Upadhyay{210611022}
Rahul{210611004}

2. Incentive
Incentive is a plan or program to motivate individuals for
good performance. An incentive is most frequently built on
monetary reward (incentive pay or a monetary bonus), but
may also include a variety of non-monetary rewards or
prizes for work of an acceptable quality produced over and
above a specified quantity or standard.

3. Types Of Incentives
1} Financial or Monetary incentives
2} Non-financial or Non-monetary
incentives

4. 1} Financial Or Monetary
Incentives
These incentives are payments for improved
productivity, attendance and general
improvements in employee performance. This
type of incentives may be direct or indirect in
nature.

5. 2} Non-Financial Or Non-
Monetary Incentive
Non-financial incentives include all other influences, planned or
unplanned which stimulate exertion. Merely cash incentives
cannot help in solving the problems of industrial production.
Types of Non-Financial Or Non-Monetary:-
i. Welfare and security measures
ii. Social and sports activities
iii. Educational opportunities
iv. Suggestion schemes- participation in management
v. Meritorious service awards
vi. Sound performance appraisal
vii. Promotion policy, or more…

6. Incentive Plans
Incentive plans are methods in which employees of an
organization are kept motivated for the work that they do,
and are given incentives on reaching or accomplishing
certain organization goals. The incentive plans can be for
lower level employees, middle management and senior
management.
It usually comprises of incentives like profit sharing, project
bonuses, stock options, sales commission etc.

7. Types Of Incentive Plan

8. Individual Incentive
Plans
Under individual incentive plan, individual employee is
paid incentive on the basis of individual performance or
output. The employers are liable to pay incentives to
those employees who are producing more than the
standard output. Individual incentive plans can be either
time based or production based, which are described as
under…

9. Time-Based Plan
Halsey plan
In Halsey plan, the time wages are guaranteed even
if the output of a worker is below the standard. In
case, the worker completes the works in less than
the standard time, then he/she will be paid
according to the actual time, i.e. time-rate plus the
bonus calculated at a specified percentage of the
saved time.

10. Rowan Plan
The Rowan plan is a modification of the Halsey
plan. It also guarantees the minimum time wages
and does not penalize a slow worker. A standard
time is fixed for completion of a job and bonus is
paid to a worker on the basis of time saved. Here,
the bonus is that proportion of the wages for the
time taken which the time saved bears to the
standard time.

11. Emerson Plan
Emerson has suggested guaranteed wage payment
to all workers on time rate basis. In addition, bonus
or extra payment was suggested to those who
prove to be efficient. For determining efficiency,
standard output per unit of time or standard time
for the job is determined. Efficiency is to be
measured on the basis of comparison of actual
performance with the standard fixed.

12. Bedeaux Plan
The Bedeaux Plan is an incentive scheme in
which the standard time for the completion of
a job is fixed and the rate per hour is defined.
Each minute of the standard time is called as
point or B, such as in one hour there are 60 Bs.

13. Output-based Plans
Taylor’s Differential Piece Rate
Plan
F.W. Taylor started this method as a part of the scheme of
scientific management. The underlying principle of this
system is to reward an efficient worker and penalize the
inefficient person. In Taylor’s system, inefficient persons
have no place in his organization. The standard time was
fixed for completing a task with the help of time and
motion study. If a worker completes the task in the
standard time he is paid at higher rate and lower rate is
paid if more than the standard time is taken.

14. Gantts Task Plan
This method is named after H.L. Gantt, a class
associate of F.W. Taylor. He tried to improve
Taylor’s method of wage payment. The workers
are guaranteed minimum wages for taking
standard time or more. A person taking less
than the standard time gets time wages plus
bonus.

15. Group Incentive Plans
A group incentive plan scheme is designed to promote
effective teamwork, as the bonus is dependent on the
performance and output of the team as a whole. Under group
incentive plan, each employee is paid incentive on the basis of
collective performance of his group to which he belongs.
Within the group, each employee gets an equal share of the
incentive.

16. Priestman’s Plan
It is applied to workers who work in groups. It
provides for payment of group bonus in addition
to the ordinary time rate to the individual
workers. Thus if during a year, an enterprise is
able to reach the predetermined standard output
or exceed the previous year's output, workers
are paid increased wages in the same ratio in
which output has increased.

17. Scanlon’s Plan
The Scanlon plan is a gain sharing program which
combines leadership, total workforce education,
and widespread employee participation with a
reward system linked to organization
performance. It has been used by a variety of
public and private companies with varying
amounts of success.

18. Thankyou