Adishwasher in a certain small restaurant can typically run 6 loads through the machine each hour. the restaurant manager offers dishwashers a double wage for each hour in which they run 10 loads of dishes or more through the machine. three months after this incentive program is begun, the restaurant’s dishwashers have never earned this incentive, and employee productivity is the same as ever.
which of the following is probably the incentive program’s most serious problem?

a. the incentive is based on subjective measures.
b. employees may think the goal is not attainable.
c. the rewards are not substantial enough to encourage effort.
d. the rewards are linked to time invested, not output.

The correct answer is (b)

Explanation:

The incentive is given to motivate employees to work more hard to achieve the company's objective. Sometimes, the company's set a goal which is unrealistic and unattainable which demotivate employees. In the above situation, the employees feel that the objective set by the employees to get incentive is unattainable, which is why employee's productivity is the same as ever.

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.