and monetary pressures by grading incorrectly. So linking pay to performance and making the possible pay increases substantial leads to unethical behavior. You read about non-academic examples in this chapter (think Enron, for example), so the problem doesn't rest in any one industry. Powerful incentives can cause undesired be- haviors. Suggest ways to solve this problem, using something you know a great deal about- academic performance. Question 1: How would you design a pay-performance system that uses powerful in- centives to motivate behavior, yet keep the behavior from diverting into the unethical? Hint: You want to keep the powerful incentive effect of pay. So don't recommend eliminating incentive pay or reducing the size of the incentive component. What's left? And how do you insure ethical behavior?
and monetary pressures by grading incorrectly. So linking pay to performance and making the possible pay increases substantial leads to unethical behavior. You read about non-academic examples in this chapter (think Enron, for example), so the problem doesn't rest in any one industry. Powerful incentives can cause undesired be- haviors. Suggest ways to solve this problem, using something you know a great deal about- academic performance. Question 1: How would you design a pay-performance system that uses powerful in- centives to motivate behavior, yet keep the behavior from diverting into the unethical? Hint: You want to keep the powerful incentive effect of pay. So don't recommend eliminating incentive pay or reducing the size of the incentive component. What's left? And how do you insure ethical behavior?
Understanding Management (MindTap Course List)
10th Edition
ISBN:9781305502215
Author:Richard L. Daft, Dorothy Marcic
Publisher:Richard L. Daft, Dorothy Marcic
Chapter12: Motivating Employees
Section: Chapter Questions
Problem 2AL
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