Document Type

Report

Key Takeaways

• Individual pay for performance can incentivize the most experienced managers to take on more projects than they should. • Misallocation of human capital results in less opportunity for some managers, and prevents firms from assigning the most capable and available managers to projects. • A more optimal workload is achieved when top managers’ pay is based on the firm’s financial outcomes.

Publication Date

2017

Disciplines

Business

Copyright

© 2017, University of South Carolina

Included in

Business Commons

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