The Effects of Improshare on Productivity

Roger Kaufman ()

ILR Review, 1992, vol. 45, issue 2, 311-322

Abstract: Analyzing 112 responses to a 1988 questionnaire sent to all known users of IMPROSHARE, the author estimates the effects on productivity of this gain-sharing plan, which is being used by a growing number of companies. The data indicate that IMPROSHARE has led to significant increases in productivity. The median productivity increase was about 8% in the first year, and the cumulative productivity gains had risen to 17.5% by the third year, after which they began to level off. The mean productivity increases were even greater than the median increases and followed a similar pattern. The author finds that a sizable portion of the gains reflects reductions in defect and downtime rates, and that firm size was inversely related to productivity gains.

Date: 1992
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Persistent link: https://EconPapers.repec.org/RePEc:sae:ilrrev:v:45:y:1992:i:2:p:311-322

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