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1 – 10 of over 8000
Article
Publication date: 20 October 2022

Vishal Gupta, Shweta Mittal, P. Vigneswara Ilavarasan and Pawan Budhwar

Building on the arguments of expectancy theory and social exchange theory, the present study provides insights into the process by which pay-for-performance (PFP) impacts employee…

1217

Abstract

Purpose

Building on the arguments of expectancy theory and social exchange theory, the present study provides insights into the process by which pay-for-performance (PFP) impacts employee job performance.

Design/methodology/approach

Based on a sample size of 226 employees working in a technology company in India, the study examines the relationships between PFP, procedural justice, organizational citizenship behavior (OCB) and employee job performance. Data on perceptions of PFP and procedural justice were collected from the employees, data on OCB were collected from the supervisors and the data on employee job performance were collected from organizational appraisal records.

Findings

The study found support for the positive relationship between PFP and job performance and for the sequential mediation of the relationship between PFP and job performance via procedural justice and OCB. Further, procedural justice was found to mediate the relationship between PFP and OCB.

Research limitations/implications

The study was cross-sectional, so inferences about causality are limited.

Practical implications

The study tests the relationship between PFP and employee job performance in the Indian work context. The study shows that the existence of PFP is positively related to procedural justice which, in turn, is positively related to OCB. The study found support for the sequential mediation of PFP-job performance relationship via procedural justice and OCB.

Originality/value

The study provides an insight into the underlying process through which PFP is related to employee job performance. To the best of our knowledge, such a study is the first of its kind undertaken in an organizational context.

Details

Personnel Review, vol. 53 no. 1
Type: Research Article
ISSN: 0048-3486

Keywords

Article
Publication date: 12 December 2023

Chun Tung Thomas Kiu and Jin Hooi Chan

This study aims to investigate the factors influencing the adoption of data analytics in performance management. By examining the role of organizational and environmental…

Abstract

Purpose

This study aims to investigate the factors influencing the adoption of data analytics in performance management. By examining the role of organizational and environmental contexts, this study contributes to the existing literature by proposing a novel and detailed technology-organization-environment (TOE) model for the complex interplay between firm characteristics and the adoption of data analytics. The results offer valuable insights and practical implications for organizations seeking to leverage data analytics for effective performance management.

Design/methodology/approach

The research draws upon a data set encompassing over 21,869 companies operating across all European Union member states. A multilevel logistic regression model was developed to evaluate the influence of organizational and environmental factors on the likelihood of adopting performance analytics in organizations.

Findings

The findings indicate that the lack of awareness of the benefits of data analytics and its practical application to address specific business challenges is a significant barrier to its adoption. Organizational contexts, such as variable-pay systems, employee training, hierarchical structures and frequency of monetary rewards, also influence the adoption of data analytics.

Research limitations/implications

The study informs managers about the strategic role of data analytics capabilities in performance management for improved business intelligence and driving data culture.

Practical implications

The study helps managers understand the strategic role of data analytics capabilities in performance management, leading to improved business intelligence and fostering a data-driven culture in five key areas: structural alignment, strategic decision-making, resource allocation, performance improvement and change management.

Originality/value

The study advances the TOE theory, making it a more detailed and complete framework, particularly applicable to the adoption of performance analytics. It identifies the main factors of adoption that play a crucial role in this process.

Details

Industrial Management & Data Systems, vol. 124 no. 2
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 8 January 2024

Ahmed Bouteska, Taimur Sharif and Mohammad Zoynul Abedin

Given the serious question raised by the subprime of the 2008 global financial crisis over the rising practices of excessive rewarding of executives in the USA and European firms…

Abstract

Purpose

Given the serious question raised by the subprime of the 2008 global financial crisis over the rising practices of excessive rewarding of executives in the USA and European firms, the executive pay-performance nexus has emerged as a popular topic of debate in the contemporary corporate finance research. Conducted mostly on the Anglo-Saxon contexts, research outcomes have been inconclusive and dichotomous. Considering this backdrop, this study aims to investigate the endogenous relationship between executive compensation and risk taking in the context of the USA.

Design/methodology/approach

Using a large sample of non-financial firms from 2010 to 2020 based on panel data and two-stage least square regression. In this study, the riskier corporate decision is measured as book leverage and ratio of R&D expense to total assets. Chief executive officers’ (CEO) experience and age are used as instrumental variables, and these are expected to influence compensation incentives and, hence, affect firm riskiness indirectly. Firm size, return on assets and CEO turnover are reported to affect compensation and corporate decisions, therefore, included as control variables. Given that higher executive compensation is related to riskier corporate decision in firms, this study incorporates total wealth (i.e. accumulated equity related compensation) as an additional proxy of compensation, and this selection is justifiable by the perfect contracting notion of the agency theory.

Findings

The results of this study show a significant positive and increasing nexus among compensation and riskier corporate decisions. Besides, the compensation level proxied through the percentage of each form of compensation in total compensation is very important as greater equity and greater salary diminishes risk taking.

Practical implications

The outcomes of this study have useful implications for firm stakeholders and policymakers.

Originality/value

The level of pay measured by the percentage of each type of compensation in total compensation is of utmost importance as it can increase or decrease risk taking in corporate decisions.

Details

Corporate Governance: The International Journal of Business in Society, vol. 24 no. 4
Type: Research Article
ISSN: 1472-0701

Keywords

Article
Publication date: 28 August 2023

Shuchi Srinivasan and Ankur Sarin

Frontline workers (FLWs) constitute a critical part of the implementation cadre within public policies, serving a significant role in the last-mile delivery of public goods and…

Abstract

Purpose

Frontline workers (FLWs) constitute a critical part of the implementation cadre within public policies, serving a significant role in the last-mile delivery of public goods and services. FLWs under public programs in low and middle-income countries like India are offered different compensation structures that range from full-time salaries, piece rate honorariums, contractual engagements, to no remuneration. Whilst the rationale for offering different compensations vary, are certain structures more successful in encouraging FLWs to perform a prosocial task? Further, can certain structures encourage FLWs to perform beyond the incentivized policy mandate?

Design/methodology/approach

Investigating workers' prosocial effort within policy implementation, the authors conducted a randomized lab-in-the-field inquiry with 344 Anganwadi-based workers (workers under the nutrition policy) in western India. These FLWs were engaged to perform a novel real-effort task that was tied to different incentive structures and their performance was adjudged based on measurable quantity, effort and quality parameters.

Findings

Results demonstrate that uncompensated workers invest the greatest amount of effort whilst compromising on task quality, and vice-versa for subjects receiving pay-for-performance compensation. Programs must account for policy focus when offering compensations: volunteer engagement may be counterproductive for quality focus and to the adherence to ancillary task mandates like nature/quality of beneficiary interaction. On the other hand, the distribution of products (like health goods) can rely on volunteer effort.

Originality/value

The study brings together various compensation schemes operating at the field level, under one study using an LFE methodology within the context of policy implementation in India.

Details

International Journal of Public Sector Management, vol. 36 no. 6/7
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 9 August 2023

Davllyn Santos Oliveira dos Anjos, Magda Duarte dos Anjos Scherer, Juliana Leal Ribeiro Cantalino and Everton Nunes da Silva

In 2011, Brazil introduced a national pay-for-performance (P4P) scheme called the National Program for Improving Primary Health Care Access and Quality (PMAQ), rolled out over…

Abstract

Purpose

In 2011, Brazil introduced a national pay-for-performance (P4P) scheme called the National Program for Improving Primary Health Care Access and Quality (PMAQ), rolled out over three cycles and reaching more than 5,000 municipalities and 40,000 family health teams (FHTs). There is little evidence on how the PMAQ was implemented locally and whether this variation in implementation affects performance, particularly, in terms of work process indicators. This study compared different cases of municipal-level PMAQ implementation (bonuses paid or not to FHTs) over the last two program cycles to analyze the quality of the work processes, actions and services of FHTs.

Design/methodology/approach

This was a cross-sectional analytical study using secondary data from an external evaluation of the Brazilian PMAQ. In total, 27,500 FHTs participated in the evaluation. They were divided into four clusters based on whether or not municipalities paid bonuses to workers during cycles 2 and 3 of the program (2013–2019). Variables regarding work processes, actions and services were classified as “Quality Assurance – QA” or “Continued Quality Improvement – CQI”, and an individual score was assigned based on the average score of each variable.

Findings

The four clusters displayed an increase in overall QA and CQI scores between the two program cycles; though this increase was small between the set of primary health care teams that received bonuses and those that did not.

Originality/value

This paper contributes to bridging the gap in the scientific literature for evaluative studies on the relationship between direct payment for performance to health professionals and better quality actions and services in low and middle-income countries.

Details

International Journal of Public Sector Management, vol. 36 no. 6/7
Type: Research Article
ISSN: 0951-3558

Keywords

Article
Publication date: 3 July 2023

James L. Sullivan, David Novak, Eric Hernandez and Nick Van Den Berg

This paper introduces a novel quality measure, the percent-within-distribution, or PWD, for acceptance and payment in a quality control/quality assurance (QC/QA) performance…

Abstract

Purpose

This paper introduces a novel quality measure, the percent-within-distribution, or PWD, for acceptance and payment in a quality control/quality assurance (QC/QA) performance specification (PS).

Design/methodology/approach

The new quality measure takes any sample size or distribution and uses a Bayesian updating process to re-estimate parameters of a design distribution as sample observations are fed through the algorithm. This methodology can be employed in a wide range of applications, but the authors demonstrate the use of the measure for a QC/QA PS with upper and lower bounds on 28-day compressive strength of in-place concrete for bridge decks.

Findings

The authors demonstrate the use of this new quality measure to illustrate how it addresses the shortcomings of the percent-within-limits (PWL), which is the current industry standard quality measure. The authors then use the PWD to develop initial pay factors through simulation regimes. The PWD is shown to function better than the PWL with realistic sample lots simulated to represent a variety of industry responses to a new QC/QA PS.

Originality/value

The analytical contribution of this work is the introduction of the new quality measure. However, the practical and managerial contributions of this work are of equal significance.

Details

International Journal of Quality & Reliability Management, vol. 41 no. 2
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 2 January 2024

Kenta Ikeuchi, Kyoji Fukao and Cristiano Perugini

The authors' work aims to identify the employer-specific drivers of the college (or university) wage gap, which has been identified as one of the major determinants of the…

Abstract

Purpose

The authors' work aims to identify the employer-specific drivers of the college (or university) wage gap, which has been identified as one of the major determinants of the dynamics of overall wage and income inequality in the past decades. The authors focus on three employer-level features that can be associated with asymmetries in the employment relation orientation adopted for college and non-college-educated employees: (1) size, (2) the share of standard employment and (3) the pervasiveness of incentive pay schemes.

Design/methodology/approach

The authors' establishment-level analysis (data from the Basic Survey on Wage Structure (BSWS), 2005–2018) focusses on Japan, an economy characterised by many unique economic and institutional features relevant to the aims of the authors' analysis. The authors use an adjusted measure of firm-specific college wage premium, which is not biased by confounding individual and establishment-level factors and reflects unobservable characteristics of employees that determine the payment of a premium. The authors' empirical methods account for the complexity of the relationships they investigate, and the authors test their baseline outcomes with econometric approaches (propensity score methods) able to address crucial identification issues related to endogeneity and reverse causality.

Findings

The authors' findings indicate that larger establishment size, a larger share of regular workers and more pervasive implementation of IPSs for college workers tend to increase the college wage gap once all observable workers, job and establishment characteristics are controlled for. This evidence corroborates the authors' hypotheses that a larger establishment size, a higher share of regular workers and a more developed set-up of performance pay schemes for college workers are associated with a better capacity of employers to attract and keep highly educated employees with unobservable characteristics that justify a wage premium above average market levels. The authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.

Originality/value

The authors' contribution to the existing knowledge is threefold. First, the authors combine the economics and management/organisation literature to develop new insights that underpin the authors' testable empirical hypotheses. This enables the authors to shed light on employer-level drivers of wage differentials (size, workforce composition, implementation of performance-pay schemes) related to many structural, institutional and strategic dimensions. The second contribution lies in the authors' measure of the “adjusted” college wage gap, which is calculated on the component of individual wages that differs between observationally identical workers in the same establishment. As such, the metric captures unobservable workers' characteristics that can generate a wage premium/penalty. Third, the authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

Article
Publication date: 14 July 2022

Chaturong Napathorn

This paper aims to examine two types of age-related human resources (HR) practices, i.e. age-specific and age-inclusive HR practices and firm-level (meso-level) factors that…

Abstract

Purpose

This paper aims to examine two types of age-related human resources (HR) practices, i.e. age-specific and age-inclusive HR practices and firm-level (meso-level) factors that foster or hinder the implementation of these two types of practices.

Design/methodology/approach

Based on a cross-case analysis of four firms across industries in Thailand, a developing country, the empirical evidence draws on semi-structured interviews with the top managers, HR managers and aging employees of four firms; field visits; nonparticipant observations; and a review of archival documents and Web-based reports and resources.

Findings

This paper proposes that age-specific HR practices primarily include those HR practices under the regulation HR bundle and some HR practices under the maintenance and recovery HR bundles. Additionally, the factors fostering the implementation of age-specific HR practices in firms include group corporate culture, nonunionism within the workplace, paternalistic leaders, a focus on the development of internal labor markets within firms and the need for tacit knowledge transfer from aging employees to younger-generation employees, whereas the factors hindering the implementation of age-specific HR practices in firms include age biases within firms. Moreover, age-inclusive HR practices primarily include HR practices under the development HR bundle and some HR practices under the maintenance and recovery HR bundles. Additionally, the factors fostering the implementation of age-inclusive HR practices in firms include the procedural justice climate, the transition from a family ownership structure to a professional ownership structure and result-/output-based corporate culture, whereas the factors hindering the implementation of age-inclusive HR practices in firms include experience-/seniority-based corporate culture. In fact, some of the meso-level factors that foster or hinder the implementation of age-specific and age-inclusive HR practices tend to be influenced by the national institutional and cultural contexts of the developing country where firms that implement such HR practices are located.

Originality/value

This paper aims to fill the research gap by examining both age-specific and age-inclusive HR practices. Additionally, this paper analyzes the factors fostering or hindering the implementation of these two dimensions of age-related HR practices across firms by using a case study of firms in Thailand, a developing country. To date, most studies in this area have focused on one of these dimensions, while comparisons between different HR dimensions are rather scarce. Finally, this paper contributes to the prior literature on strategic HR and comparative institutional perspective on HR strategies and practices as proposed by Batt and Banerjee (2012) and Batt and Hermans (2012) that future research should go beyond the meso-level (organizational) context. In this regard, some of the factors that foster or hinder the implementation of age-specific and age-inclusive HR practices tend to be influenced by the national institutional and cultural contexts of the developing country of Thailand.

Details

International Journal of Organizational Analysis, vol. 31 no. 7
Type: Research Article
ISSN: 1934-8835

Keywords

Book part
Publication date: 12 February 2024

Lerato Aghimien, Clinton Ohis Aigbavboa and Douglas Aghimien

This book aimed to conceptualise a construction workforce management model suitable for effectively managing workers in construction organisations. To this end, this chapter…

Abstract

This book aimed to conceptualise a construction workforce management model suitable for effectively managing workers in construction organisations. To this end, this chapter presents the conceptualised model, which consists of seven workforce management practices with their respective measurement variables. Drawing from existing theories, models, and practices, the chapter concludes that a construction organisation that will attain its strategic objectives in the current fourth industrial revolution era must be willing to promote effective recruitment and selection, compensation and benefits, performance management and appraisal, employee involvement and empowerment, training and development, as well as improving workers emotional intelligence and handling external environment pressure. These practices can promote proactiveness, participation, and improved skills and can lead to effective commitment, better quality, and flexibility within the organisation.

Details

Construction Workforce Management in the Fourth Industrial Revolution Era
Type: Book
ISBN: 978-1-83797-019-3

Keywords

Article
Publication date: 24 January 2023

Trang Hoang, John Bell, Pham Hung Hiep and Chad W. Autry

This paper explores how firms develop and mature sustainable supply chains (SSCs) in developing nations (DNs). The primitive resources, infrastructures and understanding of SSCs…

Abstract

Purpose

This paper explores how firms develop and mature sustainable supply chains (SSCs) in developing nations (DNs). The primitive resources, infrastructures and understanding of SSCs in DNs often hinder both the ability of SSCs to mature and their effectiveness in delivering environmental, social and economic goals. The purpose of this paper is to address these issues.

Design/methodology/approach

Through the supply chain life cycle (SCLC) lens, the authors analyzed an embedded case study of a Vietnamese end-to-end food supply chain (using 32 semi-structured interviews and archival data) and interviewed senior leadership of three other food companies in early 2019. A post hoc study including five reinterviews in the same Vietnamese case company's supply chain also further validated the study in 2021.

Findings

The authors’ analyses reveal that changes in DN stakeholders' behaviors can quickly move firms' SSCs along the SCLC closer toward a mature stage, in which firms and their network stakeholders can create more sustainable value. They also identify strategies for firms to consider when developing their SSCs to activate these behavioral changes.

Originality/value

While many authors discuss SSCs' benefits for the environment and society, few assess how firms can design and operate SSCs effectively given the limited resources, infrastructures and SSC knowledge in DNs. This paper offers a compelling framework focusing on engaging various DNs' stakeholders to understand the life cycle of SSCs in less developed countries, in order to accelerate DNs' firms through early development toward a more SSC.

Details

The International Journal of Logistics Management, vol. 35 no. 1
Type: Research Article
ISSN: 0957-4093

Keywords

1 – 10 of over 8000