Analyzing the Effects of a Performance Pay Plan on Manager Performance in an Accounting Firm
Description:
This study examined the effect of a score card¬-based performance pay plan in a professional services firm. The plan was implemented in response to a decreasing trend in productivity and a desire for a formal incentive compensation plan. Performance of manager and senior manager accountants were analyzed across two departments over a five year period. A definitive account of the effects of the intervention is limited by the case-¬study design, but the data does suggest that the performance pay plans used did not adversely affect performances. Design limitations of the plan and future research are also discussed.
Date:
May 2007
Creator:
McDaniel, Sarah Curran
Partner:
UNT Libraries