Balakrishnan, Ramji; Nagarajan, Nandu J.; … - In: Management Science 44 (1998) 9, pp. 1193-1204
We analyze how limited contractibility and the informational quality of audits affect inventory levels and the optimality of individual versus team-based production. We use a two-period agency model in which contractibility is limited and agents meet a fixed delivery quota each period. A costly...