The Effect of Monetary Incentives on Individual and Organizational Performance in an Italian Public Institution

Gian Carlo Cainarca, Francesco Delfino and Linda Ponta
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Gian Carlo Cainarca: Department of Mechanical, Energy, Management and Transportation Engineering, University of Genoa, Via Opera Pia 15, 16145 Genoa, Italy
Francesco Delfino: Department of Mechanical, Energy, Management and Transportation Engineering, University of Genoa, Via Opera Pia 15, 16145 Genoa, Italy
Linda Ponta: LIUC, Cattaneo University, Corso G. Matteotti 22, 21053 Castellanza (VA), Italy

Administrative Sciences, 2019, vol. 9, issue 3, 1-19

Abstract: This paper addresses the role of monetary incentives with regard to the performance of employees and organizations. The distribution of monetary incentives among employees in public administration has been investigated. Specifically, the traditional approach of bureaucracy that pays a premium to each employee, based on the position held, is compared with a merit approach which tends to recognize and reward individual contributions. A task advice centrality indicator and a value index have been defined and used to study the performance of employees. The results show a modification of individual behaviors, in line with the theoretical foundations and predictions formulated.

Keywords: monetary incentives; organization; public administration; networks (search for similar items in EconPapers)
JEL-codes: L M M0 M1 M10 M11 M12 M14 M15 M16 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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