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Globisys senior management wants to use an incentive plan that will allow all Globisys employees to benefit from the plan's payout. This means they should be looking at enterprise incentive plans. True or False

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Final answer:

The statement is true as Globisys management's intention to allow all employees to benefit from the plan's payout aligns with the concept of an enterprise incentive plan. This plan seeks to improve productivity and overall company performance by ensuring shared benefits among all employees.

Step-by-step explanation:

The statement is true; when senior management at Globisys expresses a desire to use an incentive plan that benefits all employees, they are indeed referring to an enterprise incentive plan. This type of plan aims to align the interests of the employees with those of the company as a whole, often through shared benefits based on company performance. Utilizing an enterprise incentive plan can encourage productivity and company loyalty, ensuring that when the company does well financially, all employees receive a share of the profits accordingly.

In the context provided, if the wage has risen to $24 an hour and the company is responding by investing in more machinery, the company may use an enterprise incentive plan to maintain employee morale and productivity by allowing employees to benefit from the increased capital investment and efficiency gained through having fewer, but more productive and well-equipped, workers.

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