In 1998, Mountain Lumber Company implemented a performance measurement and incentive plans for all employees of the company. Details of the plan by department managers and employees nonmanager are presented, and the students are asked to review and evaluate the plan with regard to the company’s strategy. The case exposes students to evaluate critical success factors and developing performance measures for the successful implementation of corporate strategy and performance measures for linking monetary incentive … Read more »

In 1998, Mountain Lumber Company implemented a performance measurement and incentive plans for all employees of the company. Details of the plan by department managers and employees nonmanager are presented, and the students are asked to review and evaluate the plan with regard to the company’s strategy. The case exposes students to evaluate critical success factors and developing performance measures for the successful implementation of corporate strategy and performance measures for linking monetary incentives, identify possible unintended consequences of performance measurement systems and the development of control mechanisms compensate discourage this behavior.
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Luann J. Lynch
Source: Darden School of Business
19 pages.
Publication Date: Jan 28, 2000. Prod #: UV1694-PDF-ENG
Mountain Lumber Company HBR case solution

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