A REAL STAKE IN

CUSTOMERS
BY:- CHAITANYA
ANIRUDH AND VIVEK
THE BIG QUESTION ????
 HOW CAN WE IMPROVE THE JOB
PERFORMANCE OF OUR EMPLOYEES???????
SUMMARY
 Nancy Kramer , heading the Resource Interactive
,the marketing agency found an innovative way to
motivate her 140 employees.
 She introduced a new employee benefit called
REEF(Resource Employee Equity Fund).
 The fund holds one share of stock per employee for
each of resources publicly traded client.
THE LINE OF SIGHT
 This strategy is planned to generate awareness among
employees about How should they go out of the way to
know the pressure of clients.
 Since it’s inception the fund has done slightly better
than the standard & poor ‘s 500 stock index which has
returned just 0.3%. But There is more to benefit than
money. The company has a strong value system and
the employees strive together to make it a more
profitable affair even in times of financial crux.
INTRINSIC OR EXTRINSIC
REWARD
 REEF benefit provided by the company is extrinsic
as well as intrinsic in nature.
 Money was not the only factor that made
employees put that extra bit. It was a strong sense
of living up to the value system of the company as
well as getting the feeling of accomplishment by
making company a profitable venture because the
happiness of client meant increase in the value of
share held by them.
A POSITIVE REINFORCEMENT PROGRAM

 REEF is an effective positive reinforcement

program. It’s an effective management strategy
which has made employees more committed
towards their work by offering them incentives and
perks. As the employee’s them self vest in a share
of the client so it become utmost important for
them to provide their client’s with quality services
this will in return appreciate their value of stock.
THE EFFECTIVENESS
 In terms of Thomas’s 4 building blocks we feel that
the strategy applied by Nancy Kramer comes under
leading for progress.
 The qualities that we observed in the company
were a collaborative climate, setting up the
performance milestones, access to customers and
measurement of improvement.
PERSONAL OPINION
 Although introducing REEF has been a success but
in my personal opinion the perks and incentives
provided by the company should be more direct and
structured.
 REEF inception has intelligently tied employees to
work towards the satisfaction of the clients. But me
being a hard working employee would want the
benefit’s to be more obvious than being subtle and I
should be able to avail it within a reasonable time
rather than to wait for it.