Automating manual reward systems

The introduction of Personal Computers has enabled Industrial Engineers to automate many aspects of their responsibilities, thus becoming significantly more productive. One aspect which clearly benefits from automation is the creation, implementation, and periodic maintenance of Pay-for-Performance Reward Systems. However, selecting the correct software package is not easy. Industrial Engineers currently have a variety of fully automated software packages to choose from which can range from $2,000 – $100,000. The initial cost alone may make it difficult to Justify for a small plant. Furthermore, if you have a variety of reward systems (Gainsharing - Small Group - One for One) finding a single program to handle all of them may be impossible.

This was a problem Norton Company faced five years ago. We are a fortune 500 company with manufacturing plants located throughout the world, using a variety of reward systems. To remain cost competitive in all aspects of our business, we had to find a way to reduce the on-going maintenance costs of our incentive systems.

Investigating alternatives uncovered a low cost, flexible solution to our problem. The use of off-the-shelf spreadsheet and data base software enabled us to fully automate all aspects of our reward systems.