Reference no: EM132748345

The marketing department at Fresh Munchables is having trouble meeting deadlines because several employees are vying for their own creative ideas to take center stage rather than listening to the ideas of others. This competitive atmosphere undermines the complex and interdependent nature of their work. Further, it is essential that the team learns how to work together efficiently because no one member of the team has all the knowledge and skills necessary to carry out an entire coordinated marketing campaign on their own. Management has decided to provide an incentive to help the marketing employees develop a sense of teamwork.

Problem 1: Which type of performance-based pay would best help the marketing department?

Option 1: Stock options, because employees will be motivated to perform well in order to raise the stock price in the future

Option 2: Team-based bonuses, because they require employees to develop team-oriented behaviors and ensure that the whole team performs well in order to receive the bonus

Option 3: Profit-sharing, because rewards based on pay grades will remind the department that upper-level employees should take the lead on creative projects

Option 4: Commissions, because they will provide a strong incentive for employees to do their best work and maximize the reach of their marketing efforts