Incentive Compensation for Contractors - Audience Question: Keep Why Top Of Mind?

Incentive programs can be as seemingly small and informal as a handshake from a manager for a job well done up to very large cash compensation.

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Contributors Sue Weiler-Doke David Brown

What is important is that these programs work together to reinforce your culture, behaviors, and daily actions that lead to great outcomes. Remember that success in every role and for the team as a whole is a combination of skills, behaviors, and leading activities. These will result in achieving your objectives and all must be kept top-of-mind.

There are a few key techniques for keeping these top-of-mind:

  • Frequently celebrate wins, both small and large. Do this publicly and privately.
  • Share the outcomes but also link it back to the behaviors, skills, and daily actions that lead to the outcome.
  • Troubleshoot misses objectively to the root cause(s) so everyone can learn.
  • Where applicable, help people quantify how their actions impact the bonus pool as a whole. For example, if they negotiate another $1,000 in savings on a buy-out, then that impacts the bonus pool by $____.
  • Put up visible indicators that change regularly on job sites, trailers, office walls, hardhats, safety vests, etc. Keep it fresh and make it relevant

In this video series, Courtney Stearns, Sue Weiler-Doke, and David Brown discuss the most common questions we get from contractors about incentive programs, including a bunch of great questions from the audience.

This is Part 19 of a 20-Part Series


Topics Covered in the Series Include:

  • Union vs Open
  • Succession
  • Types of Programs
  • Risks
  • Culture

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Incentive Programs for Contractors
Every successful and profitably growing contractor we work with has a comprehensive and integrated set of incentive programs in place at all levels of the organization. These programs reinforce the daily actions and behaviors that make them successful. ...

Incentive Programs for Contractors
Every successful and profitably growing contractor we work with has a comprehensive and integrated set of incentive programs in place at all levels of the organization. These programs reinforce the daily actions and behaviors that make them successful. ...

Profitability and Predictability
Contractors who are consistently improving their scoreboard, including profitable growth, focus on making the behaviors and actions that LEAD to profitability consistent habits.
What Must Be True...
Asking the right strategic questions will ensure profitable growth in all economic conditions. Daily operational management is about adapting to what is currently true. Effective executive leadership creatively bridges the gap between the two.
Root Cause Analysis to Behavior Level
Contracting businesses and projects always have problems. What’s important is that a team develops the skills and routine habit for continuously improving. When troubleshooting a problem it’s important to do Root Cause Analysis (RCA) down to behaviors.