4 Best Practices for Pay-For-Performance Models

If you’re really serious about using a pay-per-performance model, to motivate your workers, try these 4 best practices to get you on the right track!

Dedicate Team Leads

Starting a pay-per-performance model takes change management. So to be super successful, you need to assign leaders: at least one in the office and one in the field. The office manager will manage the system. This means making sure each job has a ProPay, time is tracked correctly and getting bonuses approved.  These are critical for the team to start feeling success early and often.

The field manager will be the one verbally communicating budgets and setting goals with the workers, often while they are at the job site. While each worker can see their bonus potential through the app, it is powerful for the field manager to talk with the crew about the goal they want to set and keep the team moving towards that target.

Have a Communication Plan and add a Contest

Each company communicates a little differently. Some have weekly huddles, some have daily meetings. Whatever the case may be for you, introduce ProPay into your weekly meetings, as a formal part of your communications agenda. This continues to reiterate budgets, quality standards, bonus goals, etc to the workers and illustrates that you are interested in their success.  We also like contests, especially early on.  Have a prize for the worker or crew who earn the highest bonuses or saves the most hours.  Get creative here!

Make Adjustments When Needed

When you implement a bonus structure, based on project success, everything that might decrease productivity or quality becomes more clear to everyone. So be prepared for questions.

One example might be backfilling worker schedules, because they are finishing at a faster rate. If they don’t have more jobs to start, after they finish one, that might be a problem. You may also realize certain team members aren’t cutting it and need to be replaced. If you have material delivery issues, be prepared for the team to bring it up, as it now impacts their money.

Remember that pay-per-performance models always work, if done right. If it is not, look into deeper cultural issues in your company that need to be resolved.

Make It Fun!

The more fulfilling the work is, the greater team engagement and employee retention will be. We encourage you to use Protiv as a foundation to create a work atmosphere based on respect, appreciation, and maybe a little friendly competition (see contest idea above).

However, when you decide to gamify the job incentives, make sure you know and understand your people and what’s valuable to them. For example, some people are going to be really gung-ho about being on a leaderboard, some people are not. Some folks like time off as much as extra money. There are different ways to motivate, so ask your team about what’s most valuable to them and build from there.

We’re so happy you’ve chosen to try Protiv’s pay-per-performance model. As always, reach out to us at onboarding@protiv.com if you need any help along the way!