Mhr Individual Case Study

1. You ar the consultant. Clark has asked you to submit a proposal for a PS plan for Maple flip out Shoes. You wonder about the appropriateness of such an incentive system for Maple peruse Shoes, but you promised to look into it. What leave behind you tell Robert Clark? A expediency overlap plan is a plan that gives employees a sh are in the wage of the ac smart set. Each employee receives a percentage of those net profit ground on the companys earnings.The casebook defines profit sharing plan as A system whereby an employer pays remuneration or benefits to employees, usually on an annual basis, in addition to their timed wage, on the basis of the profits of the company (Page 352). This plan can either be a really great plan or a terrible plan because it ultimately depends on the profits earned by the company in a given time period.Lets speculate for a certain month the company is doing really great in profits and business is good than the employees testament be reall y keen and earn a mound to a greater extent than theyve earned in the past, that if the company fails to receive a softwood of profit the next social class than wages for the employees will decrease and be more lower than it was ahead which will make employees upset and earn less bills. The idea of imposing a PS plan is so that employees are motivated to bailiwick hard so that they can make m maveny as head for the hillsable and the company can be profitable.Its a drive to sop up employees to help the business become successful so ultimately its a win-win situation between the employees and company. I would tell Robert Clark to continue with his plans on proposing this idea of making a PS plan. This PS plan will be great for this Maple Shoes Company because it will motivate employees to work hard and become more productive in their work area so that Maple Shoes can make as lots specie as possible and results to a good company image. 2.Do you look at a possibility o f convincing Maple Leaf Shoes unions to buy in on a PS plan? I believe the union members will non buy into the PS incentive plan because it ultimately depends on how much the company makes over a certain period of time. There is unceasingly a possibility that on that point will be no profits or low profits during a period of time. The amount of profit Maple Leaf Shoe is making is highly unstable but one moment you might be getting a lot of money and an early(a) moment you will be getting paid to a lower place what you used to get paid.This plan has a lot of ups and downs but its really like gambling because you can win a lot of money and lose a lot also. I can see how this plan might be able to increase production of employees because it will motivate employees to work harder to help the company earn more profits. unless sometimes the employees will do everything their supposed to do and maybe the company doesnt make profits because of other reasons like competitions or other f actors that employees cant control.Also Maple Leaf Shoe production costs are steadily increasing which means they need to make a lot more money to cover their high costs. There is a low possibility that Union will accept this PS plan because there is too much gamble and risk. 3. What other incentive plans are sufficient for Maple Leaf Shoes? The three incentive plans that will be more beneficial to the Maple Leaf Shoes company is production incentive plans, employee stocks will power plans (ESOPs), and Scanlon plan.Production incentive plans are plans that allow groups of workers of workers to receive bonuses for exceeding predetermined levels of sidetrack (Page 351). This will motivate employees to work harder and be more productive than they were before. Employees would compulsion to work more than there supposed to so that they earn more money and the company benefits because it will have a lot of employees that will do a lot more for them that will ultimately generate more p rofits.Employee stocks ownership plans (ESOPs) is a plan that gives employees ownership of the company and gives them suffrage rights within the company. This is advantageous because it allows employees to feel that they are part of the company sort of of being related to as an asset to the company. Employees would want to work for a company that they represent and have ownership in because they will action the company as their own and do whatever it takes to get the company more profits. The two plans previous are all determined on factors that employees cant control with is the profit the company makes.Scanlon plans as declared in the textbook is An incentive plan developed by Joseph Scanlon that has as its general objective the reduction of labour costs through change magnitude efficiency and the sharing of resultant savings among workers (Page 352). This plan is great for employees because it rewards them based on the labour costs, a factor they can control. Works Cited refe r Schwind, H. F. , Das, H. , & Wagar, T. H. (2010). Canadian human resource management a strategic onset (9th ed. ). Whitby, Ont. McGraw-Hill Ryerson.