If the company decides to pay the sales team an EXTRA bonus due to excellent performance. How would you divided it among your team?

c- Based on achievement

The purpose giving incentive/extra bonus should be well protected:

Seniority recognized for, equal consideration for achievements at the same time Team morale should not be dampened.  Recognitions in any form should enable to maintain the diplomatic relations as well as a healthy competition spirit and the seniority should be recognized.  Because the conditions prevailed during the initial years may differ from the current situations and I believe monitory consideration as to achievements alone cannot do justice to all.

If I happened to be the decision maker, The total extra bonus declared will be divided in the following order:

>>>>Equally :  50% of the EXTRA BONUS

>>Based on seniority: 25% of EXTRA BONUS (IN THE PROPORTION OF NO.OF COMPLETED YEARS OF SERVICE)

>>Based on personal achievements:   Balance25% (in the proportion of Sales Turnover achieved by each)

******The payment will be made along with the calculation slip.

My option is: D.      Others

BASED ON PERSONAL ACHIEVEMENTS

Extra Bonus is an Incentive for High Performers : We as a commercial organization should treat this as a Prize And Appreciation given to the deserving candidate . It doesnt matter how good / big is the prize but a person shall always remember the distinction between many hims & hers . It helps to choose a leader at a later stage -who would become a team leader - if he / she does not get in pride - after the achievement . So, this recognition is a stepping stone types of his/ her career.

Seniority usually leads to higher achievement. Achievement has been already rewarded as personal bonus, but this is an extra reward that can be seen as a team bonus

Of course high-achievers contributed more in the good results that made the management become satisfied. But they have been already rewarded with a personal bonus which was higher than that of the low-achievers.

Usually, management pay an extra bonus for the good team result, so it is a TEAM reward that should be divided equally (answer A). 

Another possibility is to evaluate employees upon their contribution in the team (not in the results), and divide the extra bonus accordingly. This is needed to encourage teamwork and prevent negative jealousy. 

C is the answer

Answer:

Bonus has to paid on the basis of Debtors turn over ratio. So ,it is coming under Option D.

Regards,

Joshi Mathew

CIA #1036906

'C' For me is the correct answer

Directly proportionate to their personal achievements / contributions.

C

I would go for option C- Based on personal achievements

Within each group bonus, leave room for people with more responsibility to earn a larger share of the employee group’s total reward. You can make this allocation yourself, or leave it up to the group itself.