System & Soul #064: Simple Incentive Plans, Better Engagement with Tom Bouwer and Alex Freytag
9 snips
Nov 3, 2020 
In this engaging discussion, Alex Freytag and Tom Bouwer, both Certified EOS Implementers and co-authors of 'Profit Works,' dive into the art of crafting effective incentive plans. They reveal common pitfalls businesses face and stress the importance of simplicity and clarity in these plans. The duo emphasizes the link between financial literacy and employee engagement, advocating for transparency and measurable performance indicators. Listeners learn how gamified systems and supportive cultures can boost motivation and align individual performance with company goals.
AI Snips
Chapters
Books
Transcript
Episode notes
Effective Incentive Plans
- Believe that incentive plans should be self-funded and change behavior.
- Consider both extrinsic and intrinsic employee value to maintain motivation.
Disconnect Between Work and Profit
- A weak link often exists between daily tasks and profit, causing disconnection from incentive plans.
- This can lead to entitlement and a lack of behavioral change, hindering company growth.
Teaching Financial Literacy
- Teach employees financial literacy using simple terms, avoiding complex accounting jargon.
- Relate business finances to household budgeting to make it relatable and easier to understand.
