Original Research

Current practice with regard to short-term incentive schemes for middle managers

Chrisilla Grigoiadis, Mark Bussin
SA Journal of Human Resource Management | Vol 5, No 1 | a107 | DOI: https://doi.org/10.4102/sajhrm.v5i1.107 | © 2007 Chrisilla Grigoiadis, Mark Bussin | This work is licensed under CC Attribution 4.0
Submitted: 30 November 2007 | Published: 30 November 2007

About the author(s)

Chrisilla Grigoiadis,
Mark Bussin, University of Johannesburg, South Africa

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Abstract

This study aimed to determine what the current practice is with regard to short-term incentive schemes for middle managers. This was done by means of a quantitative study through a structured research survey completed by a sample of forty-eight organisations. The design elements, performance measures and payout practices of the various schemes in use were surveyed, as well as the participants’ view on the perceived effectiveness of their short-term incentive schemes. Evidence shows that the majority of organisations have a short-term incentive scheme in place for middle managers, and that the type of scheme used in most of the organisations is a performance-related bonus scheme, introduced mainly to drive business performance and reward superior performance.

Keywords

Incentives schemes; scheme effectiveness; middle management

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