• Every six months, the team with the fewest injuries, measured by days missed because of injury, will receive a half-day off

The reward for production seems to be ok. The only problem with it may be that because it is such a big incentive, it may incentivize loggers to work too quickly, which may increase the number of injuries.

The problem with the reward for fewest injuries is that the reward is not very significant, particularly when considering that the reward is only given once every six months. This provides little incentive for the improvement of safety. Further, it is possible for loggers to get injured and miss a day anyways.

Recommendations for Loggers:

Each month, the team with the most cords per day produced will receive a one-time cash bonus that is 5 percent of their monthly salary (smaller reward).

Each quarter, the team with the fewest injuries, measured by number of injuries reported, will receive one day of paid vacation (shorter time frame, larger reward, and better measure).

Machinists:

There are a number of problems with the machinists’ reward program:

The reward for production is not appropriate because it is incentivizing the amount of cut lumber produced rather than machine hours. This is likely to cause an increase in the number of machine break-downs, which will result in fewer machine hours.

The problem with the reward for fewest injuries is that the reward is based on an individual basis rather than on a team basis.

Recommendations for Machinists:

Each week, the team with the highest number of machine hours will receive a catered meal by a local steakhouse (more proper measure).

Every quarter, the team with the fewest reported injuries receives one day of paid vacation (team reward rather than individual reward).