Compensation expert Ann Bares, who recently presented a Workforce Management webcast, "Making Compensation Work in 2010 and Beyond," answers some of the key questions she didn’t get a chance to address during the event. Here are her answers on questions including how to get leadership involved in revamping a compensation program and aligning compensation with company performance.
Commentary: Merit pay can't succeed when the short-term interests of individuals (such as managers protecting the interests of their direct reports) are at odds with the long-term interests of the group (such as an organization striving for real performance differentiation). But what if those managers were held accountable for their merit-pay choices?
Commentary: If there’s one thing I’ve learned in many years of designing, implementing, reviewing and—yes— fixing incentive plans, it’s this: Incentives can be a powerful force for the positive, but they also have the potential to be ineffective and even damaging when carelessly thrown at ill-defined problems.