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題名 How Changes in Compensation Plans Affect Employee Performance, Recruitment, and Retention—An Empirical Study of A Car Dealership
作者 Chow.C.;K. Haddad;G. Singh;吳安妮
Ho, Joanna L.Y. ; Wu, Anne ; Lee, Ling-Chu
貢獻者 會計系
關鍵詞 compensation scheme;incentive effect;selection effects and performance
日期 2009
上傳時間 18-Feb-2014 14:55:20 (UTC+8)
摘要 This study reports that changes in compensation from performance-sensitive (commission-based) to less performance-sensitive (base salary plus commission) schemes hurt employee performance but do not impair the company`s. We analyzed performance data for 4,392 employees and 87 branches of a major Taiwanese car dealership over 56 months to test how the switch in compensation plan affects individual and firm performance. We find that individual sales productivity, especially that of high-performance salespersons, decreased once the compensation plan changed. Consistent with the predictions of selection effects, our results indicate that the less performance-sensitive plan retained fewer high-performance salespersons and recruited more low-performance sales staff. Contrary to the prediction based on incentive and selection effects, our findings show an increase, not decrease, in the branch performance during this period. This is because the company took various actions (e.g., promote more credit sales, push sales of accessories) to mitigate the loss due to lower employee productivity.
關聯 Contemporary Accounting Research, 26(1)
資料類型 article
DOI http://dx.doi.org/10.2139/ssrn.1290646
dc.contributor 會計系en_US
dc.creator (作者) Chow.C.;K. Haddad;G. Singh;吳安妮en_US
dc.creator (作者) Ho, Joanna L.Y. ; Wu, Anne ; Lee, Ling-Chu-
dc.date (日期) 2009en_US
dc.date.accessioned 18-Feb-2014 14:55:20 (UTC+8)-
dc.date.available 18-Feb-2014 14:55:20 (UTC+8)-
dc.date.issued (上傳時間) 18-Feb-2014 14:55:20 (UTC+8)-
dc.identifier.uri (URI) http://nccur.lib.nccu.edu.tw/handle/140.119/63937-
dc.description.abstract (摘要) This study reports that changes in compensation from performance-sensitive (commission-based) to less performance-sensitive (base salary plus commission) schemes hurt employee performance but do not impair the company`s. We analyzed performance data for 4,392 employees and 87 branches of a major Taiwanese car dealership over 56 months to test how the switch in compensation plan affects individual and firm performance. We find that individual sales productivity, especially that of high-performance salespersons, decreased once the compensation plan changed. Consistent with the predictions of selection effects, our results indicate that the less performance-sensitive plan retained fewer high-performance salespersons and recruited more low-performance sales staff. Contrary to the prediction based on incentive and selection effects, our findings show an increase, not decrease, in the branch performance during this period. This is because the company took various actions (e.g., promote more credit sales, push sales of accessories) to mitigate the loss due to lower employee productivity.-
dc.format.extent 313153 bytes-
dc.format.mimetype application/pdf-
dc.language.iso en_US-
dc.relation (關聯) Contemporary Accounting Research, 26(1)en_US
dc.subject (關鍵詞) compensation scheme;incentive effect;selection effects and performanceen_US
dc.title (題名) How Changes in Compensation Plans Affect Employee Performance, Recruitment, and Retention—An Empirical Study of A Car Dealershipen_US
dc.type (資料類型) articleen
dc.identifier.doi (DOI) 10.2139/ssrn.1290646-
dc.doi.uri (DOI) http://dx.doi.org/10.2139/ssrn.1290646-