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Date Submitted: 10/26/2015 12:55 PM

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Current situation

The current crisis Situation analysis The old incentive scheme is not working properly anymore

The employees do not trust it and do not see the point in participating in it

The employees stopped taking interest in the company

The company is completely depending on the goodwill of the employees

Scanlon needs to be adapted to the current situation or replaced by a more suitable incentive scheme Problem identification Maslow's point of view

None of the pyramids layers are completely fulfilled

ERG's point of view

The order of the layers is not important

Alternative Ideas

Is money the right motivator? Theoretical survey relevant to the situation Evaluation of the alternatives Suggested solution Conclusion Thank you for your attention! Situation analysis What is Scanlon incentive plan? 

Team work and the bonuses

Why Scanlon was chosen and adopted?

The Downturn

The employees’ reaction to Scanlon plan

The employees choice Continue to apply Scanlon plan without any modifications (not to change anything in the company)

Modificate Scanlon plan and adjust it to current conditions

Introduce a new motivation system The Goal-Setting plan

What is Locke’s Goal-Setting theory?

Bent and Hayley should organise team building seminars and encourage unofficial meetings In order to achieve mutual benefits within organization and seek for constant financial gain, organizations should work on employees motivation

The theoretical part of the paper revealed that the whole Scanlons system was flawed and it was just a matter of time till it would stop working

Our solution for Engstrom is to apply a new “Locke’s Goal-setting” incentive scheme