. Explain the following organization-wide incentive systems:
(a) The Scanlon Plan
(b) The Kaiser Plan
(a) The Scanlon Plan:
The Scanlon Plan is a type of organization-wide incentive system that was developed in the mid-20th century by Joseph Scanlon. It is designed to foster cooperation and collaboration among employees while rewarding them for their efforts in improving productivity and efficiency. The Scanlon Plan is often seen as a precursor to modern profit-sharing and gain-sharing systems.
Key Features of the Scanlon Plan:
1. Employee Involvement: The Scanlon Plan places a strong emphasis on involving employees at all levels of the organization in the decision-making process. This involvement is crucial to fostering a sense of ownership and commitment among the workforce.
2. Gain Sharing: At the heart of the Scanlon Plan is the concept of gain sharing. It involves sharing a portion of the cost savings or _____ ____ _________ _________ _______ ______ _________.
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