Question
Organizational Behavior.
read the article and answer the questions.
No Plagiarism
Case study number three: (5 Marks Learning objectives To learn about: 1- Elements of motivation as variable-pay programs 2- Individual incentives and evaluate their applicability today. Reducing Travel Costs at Applebee's Applebee's International, whose headquarters are in Kansas City, in the US, is a large restaurant chain with roughly 2,000 restaurants in the US and 16 other countries. Among these are the Arab countries Bahrain, Jordan, Kuwait, Lebanon, Qatar, Saudi Arabia, and the United Arab Emirates. The company owns and operates 25 percent of the restaurants but the remainder are franchised. Applebee's has been growing and developing over time, opening roughly 100 new restaurants per year, and is now an international franchise. Consequently, the chain has found that its travel expenses have grown as well The Applebee strategy has challenged the regular style of 'doing things.' Instead of building large restaurants, Applebee's has focused on smaller spaces that are cheaper and faster to build- their philosophy: Faster is Better. Enter the market before the competition does and always offer customers an unforgettable adventure There is no doubt that many expenses are incurred to achieve such great success. For Applebee's, much of that was spending on travel and even though it was money well spent, the firm was interested in finding ways to contain the costs. Andrew Face Applebee's senior manager of human resources, was asked by his boss, the senior vice president of HR, to redesign Applebee's travel system. Face's job was to eliminate non-essential travel costs at the same time that he increased corporate travel benefits
Explanation / Answer
1-Applebee's program is an example of individual incentive plan because the incentive is for individual employees who fulfill the given standard can only get it.The performance of individual employee decide whether that person is entitled for incentive or not.
2-Apart from offer of domestic ticket on saving cost I will recommend Applebee to adopt international ticket if someone save more cost in this way and entitled for hotel charges and food allowance in domestic travel if saving is more.
3-It is a good program which motivate employees to save cost and in this type of program employees will give their best effort to save more cost because it is directly linked to their incentives in form of domestic air tickets which they can use for travel.