In team-based compensation plans, what is typically rewarded?

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Team-based compensation plans are designed to reward the collective efforts and successes of the group rather than focusing on individual achievements. This approach incentivizes collaboration among team members, as they are motivated to work together towards shared goals. By emphasizing collaboration and collective success, organizations can foster a more cohesive work environment where team members support one another and contribute to the overall performance of the team.

In contrast, options focusing on individual accomplishments or sales numbers emphasize individual performance, which is not aligned with the principles of team-based compensation. Additionally, rewarding team size and structure does not reflect the accomplishments and effectiveness of the team, which is why the emphasis is placed on outcomes achieved collectively.

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