Based upon this information and your knowledge of various contingency pay systems, how would you recommend that Altenergy LLC structure a contingency pay plan for these new consultants?
the case is that jack , ed, and tom all former employees of Accenture and have just started their own energy consulting company caled Altenergy. for the past six months. jack , tom and ed have been the only consultants in the company. they have now picked up enough business that they want to add five new consultants in order to have three different consulting teams. because altenergy LLC has such a unique niche in the consulting market and is a recent start up . jack , tom and Ed fel that it is necessary that they hire consultant with experience with dealing with alternative energy sources, with connections to a variety of alternative energy companies, and sales experience since these new consultants will be responsible for finding and obtaining new clients. from their past experience, it is not enough to hire consultants,with this kind of experience. but also to retain them. they feel that they will be able to recruit and retain consultants if they implement a proper contingency pay plan
Please explain why you gave the recommendation that you did and why you didn’t recommend the other contingency pay systems possible. As a way to get started on this statements below, consider the statements bellow of the Plans Recommended for Various Strategic Business Objectives
the statements for the Strategic Business Objective CP Plan are:
1-Employee development Skill-based pay
2-Customer Service Competency-based pay, Gain Sharing
3-Productivity: Individual Piece rate, Sales commissions Teamwork Team sales commissions, Gain sharing,
4- Productivity: Group Gain sharing,Group incentives,
5- Tea,work team sales commissions , gain sharing, Competency-based pay , executive pay
6- Overall profit Executive pay, Profit or stock sharing