After reading and studying this chapter, you should be able to do the following:

12.1 Describe the motivating potential of pay and other rewards.

12.2 Identify the prevailing theories of motivation and goal setting.

12.3 Explain how pay can be used strategically to motivate desired behavior.

12.4 Describe common individual and group pay-for-performance programs.

12.5 Assess common challenges and opportunities of pay-forperformance programs.