ANSWERED on Fri 20 Nov 2009 - 8:20 am UTC by czh
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Asked by mearshm on Tue 17 Nov 2009 - 5:22 pm UTC:
czh, I need to get background information on the types of formal (if you stumble on any informal practices, please include) reward systems that public or private sector organizations use to reward, recognize, and spur on good leaders - especially reward practices/procedures for supervisors and managers. Are there any interesting best practices out there? Thank you so much, Mike
Request for clarification by Researcher czh on Wed 18 Nov 2009 - 11:57 pm UTC:
Hi Mike, I'm tied up today and early tomorrow. I will have an answer for you Thursday afternoon. Please let me know if you need the information sooner. In that case another researcher can handle your question. Thanks. Clara aka ~ czh ~
Answer by Researcher czh on Fri 20 Nov 2009 - 8:20 am UTC:
Hello Mike, This turned out to be a much tougher research project than I expected. Surprisingly, there is little in the current business, HR or organizational management literature or press about rewarding and recognizing supervisors, managers or leaders. Many companies, industries, organizations, associations, magazines and government entities give yearly awards to leaders who compete, leaders who are recognized by their peers, leaders who meet the selection criteria of the award giving entity. One of the most prestigious is The MacArthur Fellows Prize, the so-called Genius Awards, grant $500,000 to each recipient, no strings attached. I could gather dozens of examples of such prizes if that is what you’re looking for. I found that there are lots of resources (articles, white papers, case studies and training programs) for how organizations and managers should go about developing and implementing effective incentive programs for "employees." Of course, managers and supervisors are employees too, but this segment of the literature concentrates on advising managers on how to reward their subordinates while saying very little about rewards and recognition for the managers. I also found quite a lot of information about executive and CEO compensation. This topic frequently encompassed discussions of pay and incentive systems. I provided a few articles from this segment but I didn’t think this was the main focus of your question. I also found some white papers and scholarly articles on managerial rewards theories. I’ve included a sampling of these as well. Since I couldn’t find much on reward and recognition programs or systems strictly for managers and leaders, I collected a selection of resources that describe the rewards, recognition and award programs offered by a variety of companies. I hope that the information I’ve collected will be useful. Please ask for clarification if I missed the mark. You might also post additional questions that define your field of inquiry more specifically. I always enjoy working with you. Wishing you well. Clara aka ~ czh ~ -------------------------------------------------------------------------- REWARD, RECOGNITION, INCENTIVE PROGRAMS FOR LEADERS, MANAGERS, SUPERVISORS -------------------------------------------------------------------------- http://views.washingtonpost.com/leadership/panelists/2009/10/do-awards-help-leaders.html Poll: Do Awards Help Leaders? 77 votes (fun and a bit snarky) === http://dtod.wordpress.com/2008/04/26/equity-sharing-as-a-way-to-reach-goals/ Equity sharing as a way to provide incentives for managers to reach goals. === http://xnet.kp.org/permanentejournal/winter01/HSchamp.html Clinician Champions and Leaders for Electronic Medical Record Innovations Supporting Champions For champions to be effective, they must feel empowered and supported. Among their needs is current, accurate information, which includes data about the overall plan, project status, near-term developments, and active problem areas. ... Change agents also need to feel appreciated and adequately compensated for taking both the lead and the risk. Such compensation might include paid administrative time and other perquisites such as sponsored travel or meeting attendance, books, journals, software, or electronic equipment. Opportunities to relate formally and informally ith sponsors and with other project leaders may also be rewarding. This is an interesting article about how a major HMO is approaching finding leaders and champions to drive the implementation of new computer systems and how to encourage and reward them. --------------------------------------------------- BEST PRACTICES FOR REWARDS, INCENTIVES, RECOGNITION --------------------------------------------------- http://www.ascentgroup.com/research/sum_rrp.html Rewards & Recognition Best Practices An extract from Reward & Recognition Program Profiles & Best Practices 2008, a research report published by the Ascent Group, Inc. You can request a free copy of the white paper. The full report is $300+ depending on method of delivery (online, CD or print) === http://www.managesmarter.com/msg/content_display/incentive/e3i9a7a67698d1308f8488690157e74f77a Reward & Recognition Program Profiles & Best Practices 2008: Engaging the Frontline === http://www.leapfroggroup.org/media/file/IncentivesRewards_Primer.8.15.06.pdf Incentives and Rewards Best Practices Primer: Lessons Learned from Early Pilots July 2006 This is a 40 page report derived from 13 Incentive & Rewards (I&R) pilot programs in the health care industry examining the design, implementation and evaluation of performance. It includes several case studies. The programs address organizational, not individual, incentives and rewards. === http://www.disa.unitn.it/Quaderni/Pdf/0047.pdf The Effective Design of Managerial Incentive Systems: Combining Theoretical Principles and Practical Trade-offs This is a 33 page academic paper that provides a review of theories and includes lots of bibliographical information in the field of managerial incentive systems. --------------------------------------------------- ORGANIZATIONAL INCENTIVES, REWARDS, AWARDS PROGRAMS --------------------------------------------------- http://hrweb.mit.edu/rewards/reward-programs MIT Rewards & Recognition Program MIT’s Three-Part Program Recognition is most effective when it takes place on a regular basis and in a variety of different ways. It is also important that recognition activities be aligned with the culture of the workplace. To this end, MIT provides three different opportunities for acknowledging co-workers and peers and has given each area considerable freedom to customize their own activities. -- The Appreciation Awards -- The Infinite Mile Awards -- The MIT Excellence Awards MIT’s 3-tiered reward program invites everyone to participate in the nomination process. === http://www.dhrm.virginia.gov/resources/emprechnbk.pdf State of Virginia Employee Award and Recognition Program Reference Book === http://www.da.ks.gov/ps/subject/award/earprefgd.htm State of Kansas Employee Award and Recognition Program Reference Book These very detailed guides gives directions to all state agencies on how to develop award and recognition programs. The lengthy bibliographies and resource links sections might be of special interest. === http://www.cahps.ahrq.gov/QIGuide/content/areyouready/RecognizeSuccess.aspx Recognizing and Rewarding Success The pursuit of better performance benefits greatly from positive incentives, whether at the organizational level or the individual level. Rewards can be financial or non-financial, but what matters is that they are directly linked to either the effort to improve or, ideally, the actual improvement. This article reviews current and emerging practices in health care organizations. === http://www.hrmreport.com/article/Your-number-one-asset/ Your Number One Asset This is an article about the wide variety of reward and incentive programs offered by Valero, a company frequently listed on "best companies to work for" lists. === http://www.training-classes.com/programs/02/56/25691_designing_a_performance_based_rewards_system_-_hr_management.php#pagetop Designing a Performance Based Rewards System - HR Management Certificate Program Provided by Meirc Training and Consulting Expected Outcomes: Determine the right kind of performance based rewards system for their organization, including identifying and assessing the merits of the various rewards options. Design the system including all related documentation. Coordinate the implementation of the agreed performance based rewards system and manage its ongoing operations. === http://www3.best-in-class.com/bestp/domrep.nsf/Content/207A6942AAB3926985256FBD00705655!OpenDocument Rewards & Recognition Programs - Comprehensive Benchmark Study Study Overview Reward & recognition programs are a good way to maintain a loyal and productive workforce and to improve performance. However, if poorly executed, they can yield little results. This research identifies benchmarks for rewards and recognition programs used by 131 organizations and is segmented between corporate and public/non-profit organizations. Companies can use this study to structure, organize, manage, evaluate and improve their rewards and recognition programs. === http://papers.ssrn.com/sol3/papers.cfm?abstract_id=408820 Executive Compensation, Political Economy, and Managerial Control: The Transformation of Managerial Incentive Structures and Ideology, 1950-2000 Ernie Englander George Washington University - Department of Strategic Management & Public Policy Allen Kaufman University of New Hampshire - Department of Management January 2003 -- George Washington University SMPP Working Paper No. 03-01 === http://papers.ssrn.com/sol3/results.cfm?RequestTimeout=50000000 Social Science Research Network SSRN Abstract Database Search Results Abstracts with title, content or keywords containing "executive compensation" === http://papers.ssrn.com/sol3/results.cfm?RequestTimeout=50000000 Abstracts with title, content or keywords containing "rewards" or "incentives" === http://planetnow.com/ http://planetnow.com/metaPage/lib/090529.html Employee Benefits, Compensation & Pension Law Abstracts Pamela J. Perun, Editor Policy Director, Aspen Institute - Initiative On Financial Security http://planetnow.com/p/57.html Executive Compensation === http://www3.interscience.wiley.com/journal/118917738/abstract Value of Multinationality: Internalization, Managerial Self-interest, and Managerial Compensation ABSTRACT In this paper, we examine the impact of managerial self-interest on the value of multinationality. Since agency theory also suggests that a divergence between the interests of managers and shareholders can be aligned by effective managerial incentive, we also examine the effect of managerial compensation on the value of multinationality.
Answer clarification by Researcher czh on Sat 21 Nov 2009 - 4:31 am UTC:
Mike, I'm glad the material I found will be useful. I'm continually amazed that some areas of organizational development are very sparsely researched. Some topics have hundreds of articles and resources -- how to set up employee reward and recognition systems in this case. Other topics seem to fall through the cracks -- like how to motivate supervisors and managers in the middle management ranks. Lots of information is available about rank and file employees and executives. Middle managers are mostly mentioned for what they should do for their employees not for what upper or executive management should do for them. I continue to enjoy the topics you're interested in. All the best. Clara aka ~ czh ~
Comment by mearshm on Sat 21 Nov 2009 - 2:23 pm UTC:
Hi Clara, You made an insightful find here about middle managers - that forgotten yet hated group in organizations. People below and above blame them as the "concrete barrier" to change but my surveys and modeling show the issue in hierarchical organizations is the entire management chain from top to bottom. Add to that in-box myopia, and the surge in impersonal and one-way communications over the last ten years and you wonder how organizations function at all. As you point out, leaving the middle managers cut off, cut out, and isolated only adds to the problem. Do you ever do any writing on this stuff? Mike
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Comment by mearshm on Thu 19 Nov 2009 - 12:57 am UTC: