What is the best form of pay to motivate the new international purchasing team at Fresh Munchables?

Prepare for the HRM/324T Total Compensation Test with engaging flashcards and multiple-choice questions. Boost your understanding with explanations for each question and get exam-ready!

Performance-based pay is an effective strategy for motivating a new international purchasing team because it directly aligns compensation with individual and team performance outcomes. This approach encourages employees to strive for exceptional results, as their financial rewards are tied to their contributions to the organization's success.

In the context of a purchasing team, performance-based pay can drive team members to negotiate better deals, improve supplier relationships, and enhance overall efficiency, which are critical to the success of international operations. By incentivizing excellence, the company fosters a culture of accountability and high achievement, ensuring that team members are not just meeting baseline expectations but actively seeking to surpass them.

Additionally, performance-based pay can lead to a healthy competitive environment within the team, motivating members to share best practices and innovative ideas that can further benefit the organization. Overall, this payment structure promotes a proactive approach to work, making it highly suitable for a team tasked with navigating the complexities of international purchasing.

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