Introduction
Nokia Company grew up as a small company in Finland with very limited resources and moved swiftly to claim the largest share of worlds market in telecommunication, moving from network infrastructures to handsets and software applications.
Incentive is both non-financial and financial reward that makes somebody partake a course of action and also choose between alternatives. There three main types of incentives. These are financial incentives, moral incentives and coercive incentives. Nokia Company offers its employees various incentives under its incentives program. These include both short term incentive programs such as individual, team, project and program incentives. It also offers the Nokia connecting people bonus which all enable the company to be in competitive.
Discussion
Nokia has different types of incentives. These include incentives offered to new customers, incentives offered when penetrating a new market and also incentives offered to upgrade performance. Nokia also offers incentives to cater for the competitive performance and consumer demonstration incentives in their store’s outlets. The employee incentives include reward programs which encompass bonuses to recognize the performance based on individual, team and company results. Nokia introduced changes to its employee incentive program in the last half of 2007 due to employee complaints. The employees are rewarded with joint equity plans which are usually pegged on the performance of the employee and company in general. These include stock options and performance shares which are both linked to company’s performance. The Nokia employees who participated in the Nokia Connecting people Bonus plan in 2007 were handsomely rewarded in partial pay.those not covered by the plan benefited in 2007 through a new plan formed to cater for factory employees and stores employees not previously covered.
The customer incentives include two levels. At the expert level, the channel partners seeking to gain higher expertise in Nokia technology tracks which are mobility, voice and security is offered. This basically involves designing, integrating, implementing, supporting both simple, moderate and complex mobility solutions to customers. At authorized level, the channel partners who want to achieve moderate expertise in the above technology fields of mobility, voice and security are offered. The basic model focuses on designing, integrating, implementing and supporting security and offering mobility solutions. These are basically the new customer incentives and the new market incentives which are offered to its customers and partners.
Conclusion
Nokia also offers incentives through its social responsibility programs. The recycling ability of Nokia products is said to be 65 to 80 percent. Nokia coordinates with its customers to bring back all obsolete mobile phones for recycling. This enables benefits to accrue to consumers, environment and producers. Nokia also cooperates with those working in Nokia care centers to take back unwanted devices. Nokia has various “experience centers” which do not sell anything but serves as experience centers for customers to learn more about phones and how to use them. Nokia dealers who perform well are also rewarded with holiday incentives by the Nokia Company. Nokia Company has also participated in various social responsibilities such as in sponsoring sports and games, building of schools and other infrastructures. All these have put Nokia in forefront when competing with the other companies.
References
Incentives offered by Nokia Company: 2008. Web.
Nokia Employee incentives: 2008. Web.
Incentives in Nokia Company: 2008. Web.