Additional Case 11.1
The HR department at Sussex Enterprises has been asked to evaluate the effectiveness of the firm's team-based incentive plan. Managers at the firm report a decline in worker performance, an increase in interpersonal conflicts, and an increase in complaints about free riding team members. In addition, the manufacturing group has been accused of producing more units than the marketing group can sell. HR at Sussex needs to determine if the current incentive plan is appropriate or should be replaced.
-Refer to Additional Case 11.1.Which of the following would be the best way to minimize free-riding at Sussex?
A) Making adjustments to the performance appraisal system
B) Requiring all team members to attend training sessions
C) Basing a portion of incentive payments on peer reviews
D) Increasing opportunities for intergroup competition

Question

Quizplus · Accepted Answer

Basing a portion of incentive payments on peer reviews would encourage team members to hold each other accountable and reduce the likelihood of free-riding. This would also address the issue of interpersonal conflicts, as team members would be motivated to work better together and provide constructive feedback to one another. Adjustments to the performance appraisal system may help to some extent, but it may not address the root cause of free-riding behavior. Requiring all team members to attend training sessions or increasing intergroup competition may not be as effective in reducing free-riding behavior as peer reviews.

Additional Case 11.1 the HR Department at Sussex Enterprises Has Been Asked to Been