Designing Wage Contracts in Multi-Goal Organizations
Economic theory has long suggested the use of monetary incentives to motivate workers. In practice, however, public bureaucracies and nonprofit organizations are driven by a broader mission that often involves multiple operational goals, not all of which may translate equally well into measurable indicators. The authors worked with the largest partner of a prominent development organization in Pakistan called the Pakistan Poverty Alleviation Fund (PPAF) and its largest partner National Rural Support Program (NRSP) who share the same mission of reducing poverty. The study was conducted in all thirty five branch offices located in fifteen districts across Sindh, Punjab, and Khyber Pakhtunkhwa provinces, where NRSP was active. These results indicate that both production and cost complementarities are empirically relevant. Finally, the results suggest that financial incentives that crowd out intrinsic motivation can also affect performance by undermining the willingness of motivated employees to work in teams.
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Format: | Brief biblioteca |
Language: | English |
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World Bank, Washington, DC
2018-01
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Subjects: | WAGES, POVERTY REDUCTION, PAY-FOR-PERFORMANCE, COMMUNITY ORGANIZATIONS, MICROCREDIT, SOCIAL BONUS, MICROFINANCE, |
Online Access: | http://documents.worldbank.org/curated/en/114591516872389902/Designing-wage-contracts-in-multi-goal-organizations https://hdl.handle.net/10986/29294 |
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dig-okr-10986292942024-08-07T19:30:11Z Designing Wage Contracts in Multi-Goal Organizations Shrestha, Slesh A. Giné, Xavier Mansuri, Ghazala WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE Economic theory has long suggested the use of monetary incentives to motivate workers. In practice, however, public bureaucracies and nonprofit organizations are driven by a broader mission that often involves multiple operational goals, not all of which may translate equally well into measurable indicators. The authors worked with the largest partner of a prominent development organization in Pakistan called the Pakistan Poverty Alleviation Fund (PPAF) and its largest partner National Rural Support Program (NRSP) who share the same mission of reducing poverty. The study was conducted in all thirty five branch offices located in fifteen districts across Sindh, Punjab, and Khyber Pakhtunkhwa provinces, where NRSP was active. These results indicate that both production and cost complementarities are empirically relevant. Finally, the results suggest that financial incentives that crowd out intrinsic motivation can also affect performance by undermining the willingness of motivated employees to work in teams. 2018-01-31T22:08:32Z 2018-01-31T22:08:32Z 2018-01 Brief Fiche Resumen http://documents.worldbank.org/curated/en/114591516872389902/Designing-wage-contracts-in-multi-goal-organizations https://hdl.handle.net/10986/29294 English Finance & PSD Impact;No. 46 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank application/pdf text/plain World Bank, Washington, DC |
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WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE |
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WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE Shrestha, Slesh A. Giné, Xavier Mansuri, Ghazala Designing Wage Contracts in Multi-Goal Organizations |
description |
Economic theory has long suggested the
use of monetary incentives to motivate workers. In practice,
however, public bureaucracies and nonprofit organizations
are driven by a broader mission that often involves multiple
operational goals, not all of which may translate equally
well into measurable indicators. The authors worked with the
largest partner of a prominent development organization in
Pakistan called the Pakistan Poverty Alleviation Fund (PPAF)
and its largest partner National Rural Support Program
(NRSP) who share the same mission of reducing poverty. The
study was conducted in all thirty five branch offices
located in fifteen districts across Sindh, Punjab, and
Khyber Pakhtunkhwa provinces, where NRSP was active. These
results indicate that both production and cost
complementarities are empirically relevant. Finally, the
results suggest that financial incentives that crowd out
intrinsic motivation can also affect performance by
undermining the willingness of motivated employees to work
in teams. |
format |
Brief |
topic_facet |
WAGES POVERTY REDUCTION PAY-FOR-PERFORMANCE COMMUNITY ORGANIZATIONS MICROCREDIT SOCIAL BONUS MICROFINANCE |
author |
Shrestha, Slesh A. Giné, Xavier Mansuri, Ghazala |
author_facet |
Shrestha, Slesh A. Giné, Xavier Mansuri, Ghazala |
author_sort |
Shrestha, Slesh A. |
title |
Designing Wage Contracts in Multi-Goal Organizations |
title_short |
Designing Wage Contracts in Multi-Goal Organizations |
title_full |
Designing Wage Contracts in Multi-Goal Organizations |
title_fullStr |
Designing Wage Contracts in Multi-Goal Organizations |
title_full_unstemmed |
Designing Wage Contracts in Multi-Goal Organizations |
title_sort |
designing wage contracts in multi-goal organizations |
publisher |
World Bank, Washington, DC |
publishDate |
2018-01 |
url |
http://documents.worldbank.org/curated/en/114591516872389902/Designing-wage-contracts-in-multi-goal-organizations https://hdl.handle.net/10986/29294 |
work_keys_str_mv |
AT shresthaslesha designingwagecontractsinmultigoalorganizations AT ginexavier designingwagecontractsinmultigoalorganizations AT mansurighazala designingwagecontractsinmultigoalorganizations |
_version_ |
1807159185861771264 |