The effect of performance based incentive plans [IC manufacturing]

This report describes a method to simultaneously achieve and maintain production and quality goals through performance based incentive plans. Historically, at Texas Instruments´ DMOS IV wafer fab, the focus on one metric resulted in a loss of another. Achievement or failure to achieve fab goals had no noticeable impact on production specialists. Throughout this time, incentive plans were tried, but their metrics were complicated and not easily recognized by direct labor because they were outside of their immediate line of sight. By modifying, improving, and evolving our incentive program to meet business goals, DMOS IV experienced seven record output quarters over 2 years while improving in all other industry established metrics