Incentive Systems
Incentive Systems
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Incentive systems do more than determine pay. They shape what employees pay attention to, how managers use judgement, how goals are negotiated, and whether people experience the organization as fair. Jasmijn Bol's research examines how organizations can design incentive systems that motivate performance while accounting for uncertainty, trust, discretion, bias, and unintended consequences.
This research section is organized around six questions about how incentive systems operate in practice.
When should managers use discretion?
Objective performance measures are often incomplete. Managerial discretion can help organizations account for uncertainty and restore fairness, but it can also weaken incentives or introduce new bias.
Why do performance evaluations become biased?
Performance evaluations are shaped by information problems, relationship pressures, and concerns about employee reactions. This research examines why ratings become inflated, compressed, or inconsistent.
How do targets shape trust and motivation?
Targets define success, but they also affect how employees share information and whether they trust the organization. This research examines target setting, target revisions, ratcheting, and trust.
Are promotions really incentives?
Promotions reward more than past performance. They also shape how employees signal readiness for future responsibility, status, and decision rights.
How can contests motivate creativity?
Contests can motivate employees to generate new ideas, but their design affects participation, collaboration, and risk-taking.
How do incentive systems spread through organizations?
New incentive systems are adopted through experimentation, learning, and social influence. This research examines how incentive practices diffuse across organizational units.
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