TM - June 2008 - (Page 33) to assess whether performance has been good or bad,” Macias said. “[But] there’s been a higher penetration of nonprofits going this direction because they’re getting more sophisticated about how they measure individuals’ performance.” According to a recent survey of 449 nonprofits by Total Compensation Solutions (TCS), approximately 42 percent offered incentive plans in 2007. Martha Glantz, senior director for TCS, said more nonprofits are moving in this direction to be more competitive with for-profits. But successful incentive solutions require a strategic plan that looks forward and trickles concrete objectives down to employees. Further, the organization must identify specific employee objectives and what the organization will do to help them meet those objectives. But when a nonprofit’s mission is an abstract goal, how can it measure each employee’s effectiveness? This is where nonprofits can take a cue from the for-profit sector, Macias said. The Gordon and Betty Moore Foundation aligned its operating model to its mission more than seven years ago. “We struggled to create a road map that will give us indicators for how effective we are,” Macias said. “We created what we call ‘measures of success,’ seven- to 10-year business models that have very specific goals under each of our fundamental programmatic themes. Once you have those indicators and those measures in place, you can roll those down to individuals. Then individuals have a road map for what they need to do from year to year in order to be successful.” At the individual level, the foundation uses SMART criteria (specific, measurable, attainable, realistic and timely) to write objectives that are set and communicated at the beginning of each year and then assessed at year’s end. The individual’s assessment is then combined with the foundation’s overall assessment to determine the incentive award for each of the foundation’s 79 employees. “If we reached a point where we felt that our compensation strategy was not meeting our needs, we would absolutely make more changes,” Macias said. “So far we’ve been fortunate, and we’ve been able to attract the talent we need with the policies that we have.” The Decline of Health Benefits Just as it happened in the for-profit sector, more and more nonprofits are moving away from 100 percent employer-paid health insurance as costs continue to rise. In the past, there was an implicit bargain between nonprofit employers and employees: The latter knew they wouldn’t get a hefty salary, but they could rely on a long-term career, a healthy retirement fund and fully paid medical benefits. That isn’t available anymore. “In order to attract top talent, nonprofit organizations are starting to get really creative about how they manage their benefits and compensation, and try to do so in a way that is more aligned with the goals of the organization than it ever has been,” Macias said. In the TCS survey, only 28 percent of the nonprofits surveyed offered 100 percent employer-paid medical insurance in 2007. Of those that did not offer full-paid medical insurance, employers paid an average of 83.2 percent of the premium, and the employees paid an average of 16.8 percent. The Gordon and Betty Moore Foundation is one of the few nonprofits left picking up the tab for its employees’ health benefits. The foundation manages costs by changing vendors and brokers without changing employees’ core benefits. http://thetrainingassociates.com/
Table of Contents Feed for the Digital Edition of TM - June 2008 TM - June 2008 Editor’s Letter Contents Human Performance Leading Edge Foundations The New Components of Compliance Candid Culture: Embracing Employee Complaints Transitioning to a New Era: C&B at Nonprofits Three Ways to Build Successful Manager-Employee Relationships Implementing Successful Learning Programs The Succession Fix Fifth Third Bank: Putting People First Zaxby’s: Making Employees’ Jobs as Palatable as Its Menu Workforce Readiness: Preparing Personnel to Meet Business Goals Kelley Blue Book: Writing the Book on Performance Management Advertisers’ Index Editorial Resources Full Potential TM - June 2008 TM - June 2008 - (Page Intro) TM - June 2008 - TM - June 2008 (Page Cover1) TM - June 2008 - TM - June 2008 (Page Cover2) TM - June 2008 - TM - June 2008 (Page 3) TM - June 2008 - Editor’s Letter (Page 4) TM - June 2008 - Editor’s Letter (Page 5) TM - June 2008 - Editor’s Letter (Page 6) TM - June 2008 - Editor’s Letter (Page 7) TM - June 2008 - Editor’s Letter (Page 8) TM - June 2008 - Contents (Page 9) TM - June 2008 - Contents (Page 10) TM - June 2008 - Contents (Page 11) TM - June 2008 - Human Performance (Page 12) TM - June 2008 - Human Performance (Page 13) TM - June 2008 - Leading Edge (Page 14) TM - June 2008 - Leading Edge (Page 15) TM - June 2008 - Foundations (Page 16) TM - June 2008 - Foundations (Page 17) TM - June 2008 - The New Components of Compliance (Page 18) TM - June 2008 - The New Components of Compliance (Page 19) TM - June 2008 - The New Components of Compliance (Page 20) TM - June 2008 - The New Components of Compliance (Page 21) TM - June 2008 - The New Components of Compliance (Page 22) TM - June 2008 - The New Components of Compliance (Page 23) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 24) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 25) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 26) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 27) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 28) TM - June 2008 - Candid Culture: Embracing Employee Complaints (Page 29) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 30) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 31) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 32) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 33) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 34) TM - June 2008 - Transitioning to a New Era: C&B at Nonprofits (Page 35) TM - June 2008 - Three Ways to Build Successful Manager-Employee Relationships (Page 36) TM - June 2008 - Three Ways to Build Successful Manager-Employee Relationships (Page 37) TM - June 2008 - Three Ways to Build Successful Manager-Employee Relationships (Page 38) TM - June 2008 - Three Ways to Build Successful Manager-Employee Relationships (Page 39) TM - June 2008 - Implementing Successful Learning Programs (Page 40) TM - June 2008 - Implementing Successful Learning Programs (Page 41) TM - June 2008 - The Succession Fix (Page 42) TM - June 2008 - The Succession Fix (Page 43) TM - June 2008 - The Succession Fix (Page 44) TM - June 2008 - The Succession Fix (Page 45) TM - June 2008 - The Succession Fix (Page 46) TM - June 2008 - The Succession Fix (Page 47) TM - June 2008 - The Succession Fix (Page 48) TM - June 2008 - The Succession Fix (Page 49) TM - June 2008 - Fifth Third Bank: Putting People First (Page 50) TM - June 2008 - Fifth Third Bank: Putting People First (Page 51) TM - June 2008 - Zaxby’s: Making Employees’ Jobs as Palatable as Its Menu (Page 52) TM - June 2008 - Zaxby’s: Making Employees’ Jobs as Palatable as Its Menu (Page 53) TM - June 2008 - Zaxby’s: Making Employees’ Jobs as Palatable as Its Menu (Page 54) TM - June 2008 - Zaxby’s: Making Employees’ Jobs as Palatable as Its Menu (Page 55) TM - June 2008 - Workforce Readiness: Preparing Personnel to Meet Business Goals (Page 56) TM - June 2008 - Workforce Readiness: Preparing Personnel to Meet Business Goals (Page 57) TM - June 2008 - Workforce Readiness: Preparing Personnel to Meet Business Goals (Page 58) TM - June 2008 - Workforce Readiness: Preparing Personnel to Meet Business Goals (Page 59) TM - June 2008 - Kelley Blue Book: Writing the Book on Performance Management (Page 60) TM - June 2008 - Kelley Blue Book: Writing the Book on Performance Management (Page 61) TM - June 2008 - Kelley Blue Book: Writing the Book on Performance Management (Page 62) TM - June 2008 - Kelley Blue Book: Writing the Book on Performance Management (Page 63) TM - June 2008 - Kelley Blue Book: Writing the Book on Performance Management (Page 64) TM - June 2008 - Editorial Resources (Page 65) TM - June 2008 - Full Potential (Page 66) TM - June 2008 - Full Potential (Page Cover3) TM - June 2008 - Full Potential (Page Cover4)
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