In his latest podcast, Aubrey Daniels discusses the reality that salary and hourly pay produces the lowest performance, and instead companies, at the very least, need to build in contingencies of reinforcement.
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The modern organization wastes more time and money in the way people are compensated than it wastes in any other area of the business. Salary and hourly pay is pay for showing up, not for performing. Raises are forever. Bonuses are only loosely contingent on performance. Even profit sharing and pay-for-performance plans are poorly designed to create the best performance.
New YouTube video where Richard Warner and I discuss. www.youtube.com/aubreydaniels
