Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/55045
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dc.contributor.authorLevenson, Alecen_US
dc.contributor.authorZoghi, Cindyen_US
dc.contributor.authorGibbs, Michaelen_US
dc.contributor.authorBenson, Georgeen_US
dc.date.accessioned2012-01-23en_US
dc.date.accessioned2012-02-07T10:42:58Z-
dc.date.available2012-02-07T10:42:58Z-
dc.date.issued2011en_US
dc.identifier.piurn:nbn:de:101:1-20111011201-
dc.identifier.urihttp://hdl.handle.net/10419/55045-
dc.description.abstractWe study effects of a firm's attempt to optimize an existing incentive scheme to increase sales growth for direct store delivery workers. Before optimization workers reported Ratchet Effects that lowered productivity. The altered incentive plan offered higher compensation for increased sales relative to a sales growth target, and lower compensation for failing to meet the target. We gathered data on performance and attitudes at pilot and control sites before and after the change. Relative to control sites, sales growth increased in the pilot sites by two percent, a meaningful contribution to firm profits. We find no change in distortion of effort or manipulation of the performance measure. Workers did not substantially change number of hours worked, though allocation of time across tasks changed slightly. Despite increased productivity, workers continued to report Ratchet Effects after the change. We also find that an unplanned price increase midway through a fiscal year affected the extent of Ratchet Effects that year.en_US
dc.language.isoengen_US
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen_US
dc.relation.ispartofseries|aDiscussion paper series // Forschungsinstitut zur Zukunft der Arbeit |x5985en_US
dc.subject.jelM52en_US
dc.subject.jelJ33en_US
dc.subject.jelM12en_US
dc.subject.jelL81en_US
dc.subject.ddc330en_US
dc.subject.keywordincentivesen_US
dc.subject.keywordratchet effecten_US
dc.subject.stwLeistungsanreizen_US
dc.subject.stwHandelen_US
dc.subject.stwDirektmarketingen_US
dc.subject.stwKundendiensten_US
dc.subject.stwArbeitsproduktivitäten_US
dc.subject.stwUSAen_US
dc.titleOptimizing incentive plan design: A case studyen_US
dc.typeWorking Paperen_US
dc.identifier.ppn683968270en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US

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