This paper quantifies the effect of an increase in temperature and precipitation on the average output per worker in the Colombian manufacturing industry. In order to approach this issue rigorously, a methodology is developed with a theoretical model and an empirical estimation. The estimation...

In recent decades, many firms offered more discretion to their employees, often increasing the productivity of effort but also leaving more opportunities for shirking. These “high-performance work systems” are difficult to understand in terms of standard moral hazard models. We show...

The design of jobs is defined and its different implications. These aspects must be taken into consideration when applied to new automated systems, once it can occur workers in-adaptations to certain type of activity and tasks. Other concepts that emerge from this are the mental workload,...

We address the question how much authority a principal should delegate to a manager with conflicting interests and uncertain ability in a context in which the manager has both compensationbased and reputational incentives. The optimal level of authority balances the value of the manager’s...

We study the effect of product market volatility on a firm’s choice between multiskilling and specialization. We construct a theoretical model that captures the tradeoff between multiskilling (which gives greater flexibility to reassign workers in production) and specialization (which provides...

Promoting the innovative potential of employees is a main challenge for HR professionals. Previous studies already stressed the role of job design for employee innovativeness. Building on the work of Karasek & Theorell (1990), we focus on the relation between job design, work engagement and...

In this paper, a principal’s decision between delegating two tasks or handling one of the two tasks herself is analyzed. We assume that the principal uses both, formal contracts and informal agreements sustained by the value of future relationships (relational contracts) as incentive...

We examine the problem of designing performance contracts with multiple agents when principals must compete for quality teams from a heterogeneous pool of agents. The trade-off principals face between good recruiting and good team performance provides micro foundations for agents to form stable...

We divide the managerial decision making according to the number of decision making subjects, into individual and group one. The group decision making occurs, when the group members participate in the decision selection of the potential alternatives. Compared to the individual decision making,...