3.) Apart from the new plan that was introduced, design a performance measurement reward system that would encapsulate a rather "more balanced" approach in awarding of bonuses. The stats show that the plan had been effective in producing desired effects. As per the results, it can be seen that sales returns have been reduced, patent applications have been increased, the scrap and rework costs have been decreased and the customer satisfaction has increased. However, the On-time deliveries have increased in surgical instruments division, but not in the ultrasound diagnostic equipment division. This has resulted in the bonuses to be paid increase in the other half of the year. The new plan seems very effective. As it is, the performance factors included in the new plan have been proved to be a successful strategy. This is in the sense as incremental bonuses would be appreciated by managers, acting as a motivator in boosting morale and also the fact that this strategy is not expensive to adapt. Reviewing the new plan I would recommend that the factors that should not be applied to both