Impact of Introducing the Scanlon Plan on Employees

What will be the greatest impact of introducing the Scanlon Plan on the employees?

A) Skill level
B) Autonomy
C) Job design
D) Pay
E) Working hours

Final answer:

The Scanlon Plan is likely to have the greatest impact on the employees' pay through profit-sharing based on performance.

Answer:

The Scanlon Plan is an incentive system that focuses on improving employee productivity and efficiency, while also increasing employee engagement and satisfaction. The plan is designed to provide employees with a share of the company's profits based on their individual and collective performance. Therefore, the greatest impact of the Scanlon Plan on the employees is likely to be on their pay, as they have the potential to earn more through the plan.

The Scanlon Plan, if introduced by the owner of Acme Manufacturing Company, will bring significant changes to how employees are compensated. By implementing profit-sharing mechanisms tied to performance, employees will have the opportunity to earn more based on their individual and team achievements.

While the Scanlon Plan focuses on pay incentives, it does not directly influence the employees' skill level, autonomy, job design, or working hours. However, by encouraging employees to work towards common goals and perform at their best, it can indirectly lead to improvements in these areas over time.

Overall, the Scanlon Plan is a strategic way to align employee efforts with company objectives, fostering a culture of collaboration, motivation, and continuous improvement. It can enhance employee morale and drive organizational success by rewarding employees for their contributions to the company's performance.

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