Evaluate profit-related pay as a monetary method of motivation.


	Evaluate profit-related pay as a monetary method of motivation.
	Advantages makes employees feel part of the company - motivation higher have more loyalty towards company puts less stress on employees make employees think more carefully about how to improve profit of organisation + make them feel less resistant to change - bridges gap between employee + employer promotes well-being of employee - if they have good personal life then their performance better at work	Disadvantages not linked to individual performance - may not motivate bonus can vary from year to year salaries of individual employees go up equally in smaller companies the drastic fluctuations in earnings of company's employees may affect personal earning of employer focus of employee may be profit rather than quality
	Evaluation

makes employees feel part of the company - motivation higher
have more loyalty towards company
puts less stress on employees
make employees think more carefully about how to improve profit of organisation + make them feel less resistant to change - bridges gap between employee + employer
promotes well-being of employee - if they have good personal life then their performance better at work

not linked to individual performance - may not motivate
bonus can vary from year to year
salaries of individual employees go up equally
in smaller companies the drastic fluctuations in earnings of company's employees may affect personal earning of employer
focus of employee may be profit rather than quality

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