Most research linking compensation to strategy relies on agency theory economics and focuses on executive pay. We instead focus on the strategic compensation of non-executive employees, arguing that while agency theory provides a useful framework for analyzing compensation, it fails to consider...

Abstract: This paper investigates the impact of a corporate wellness program on worker productivity using a panel of objective health and productivity data from 111 workers in five laundry plants. Although almost 90% of companies use wellness programs, existing research has focused on cost...

This paper uses data from an attendance award program implemented at one of five industrial laundry plants to show the complex costs of corporate awards previously ignored in the literature. We show that although the attendance award had direct, positive effects on employees who had previously...

This paper investigates whether an employee's perception of customer wealth affects their likelihood of engaging in illegal behavior. We propose that envy and empathy lead employees to discriminate in illicitly helping customers based on customer wealth. We test for this hypothesis in the...

Three laboratory studies investigate the hypothesis that the presence of wealth may influence people's propensity to engage in unethical behavior. In the experiments, participants are given the opportunity to cheat by overstating their performance or by stealing money. In each study, one group...

This paper investigates the pricing distortions that arise from the use of a common non-linear incentive scheme at a leading enterprise software vendor. The empirical results demonstrate that salespeople are adept at gaming the timing of deal closure to take advantage of the vendor's...

Research has shown that goal-based incentive systems lead to cheating. However, goal-based systems contain many distinct components, including the assignment of the target, justification of the target through information such as social comparisons, and monetary rewards for meeting the target....