Transaction Cost Analysis provides an appealing framework for examining the role of salary versus incentive compensation because it identifies a set of theoretical constructs for determining the appropriate balance between these components. However, there is no evidence on the performance impact...

The aim of this paper is to evaluate the balance of organizational components in the design of an efficient organizational architecture from an agency perspective. The results of the empirical analysis, performed in the most prominent Spanish NGDO throughout the year 2003, show the great...