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Short-term incentives refer to benefits or compensations receivable over a short period of doing business transactions which could be less than a year. These benefits usually take the form of cash or stock which are offered to employees on annual basis especially due to accomplishment of set goals and objectives in-order to boost their morale.Nevertheless, their implication on an organization is on short-term profitability which may not be consistent with the going concern concept on the business strategies. Long-term incentives on the other hand refer to benefits receivable over a long period especially for more than a year, and may take the form of holding stock options by the stakeholders. These long-term incentives usually have an extended trend of profitability owing to the fact that they are geared towards accomplishment of long-term objectives that are probably in line with business strategies as well as the going concern concept of the firm,(Degraff,2010)

Most stakeholders forming the circle of an organization have different motives and interests in those organizations. In most instances, shareholders will have an interest of getting value for their money in a firm as well as the investors who may have directed huge and numerous investments in an organization. Employees will be concerned with their respective jobs in ensuring maintenance of job security with continued and consistent payment of their dues. Customers will be concerned about the continued supply of quality products and services by the firm, (Briens, 2009). This usually provides the basis of looking upon a certain firm and establishing the stakeholders with most interests in a firm which in most cases this aspect tend to be complementary of each other though the shareholders will gain more since they are considered as the owners of a business and any profits will be attributable to the first before the other stakeholders.

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Strategic measures and approaches can be developed to enhance respondences to e-mail requests regarding various human resource aspects like wage increases, employee and customer turnover. This could be facilitated by installation of systems software that are capable of handling effective human resource aspects and employing competent personnel to handle the issue of human resource that constitutes a major part of any organization. This approach is geared towards ensuring that employee interests are taken into consideration, a way that is aimed towards motivation and thus reduces any instances of separations and upholding employee retention in an organization to enhance and increase profitability to greater lengths.

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