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Performance Measurement, Evaluation, and Incentives

Both managers and academics have expressed dissatisfaction with performance measurement, evaluation, and incentive systems now in use. This colloquium volume contains ten papers that present the best of contemporary field research on these issues. It emphasizes middle management, unlike other studies to date which have focused exclusively on CEOs. A central revelation is the need for evaluation and incentive systems to be dynamic. The book also shows how firms are learning new systems from other firms across international borders.

CHAPTER L Performance Measurement and Appraisal: Motivating Managers to
Identify and Reward Performance Kevin J. Murphy Introduction HE key to any
successful incentive compensation program is the system that defines
performance ...