Organizational Differences in Managerial Compensation and Financial Performance

The present study has two general purposes. First, based on the compensation strategy literature, we examine the extent to which organizations facing similar conditions make different managerial compensation decisions regarding base pay, bonus pay, and eligibility for long-term incentives. Second, working from expectancy and agency theory perspectives, we explore the consequences of these decisions for subsequent firm performance as measured by return on assets. Using longitudinal data on approximately 16,000 top and middle level managers and 200 organizations, significant between-organization differences in compensation decisions are found. The smallest organization effects are on the level of base pay. The largest organization effects are on bonus levels and eligibility for long-term incentives. In other words, our results suggest that organizations tend to distinguish themselves through decisions about pay contingency or variability rather than through decisions about the level of base pay. To study consequences, residualized measures (adjusted for employee and job factors) of organization pay level and pay mix are used. Pay level is not associated with organization financial performance. On the other hand, greater contingency of pay in the form of bonuses and long-term incentives is associated with better financial performance

Salaries, Salary Growth, and Promotions of Men and Women in a Large, Private Firm

[Excerpt] Salaries, promotions, and salary growth of men and women in a large, diversified firm were examined for the years 1980 through 1986. Consistent with other studies, men\u27s average salary was higher than women\u27s average salary. However, statistical adjustment for gender differences in-education, tenure, time at level, experience, and job level substantially reduced the salary advantage of men over women. Although the average salary of men was higher than that of women in 1980 and 1986, women actually received greater numbers of promotions, as well as larger percentage salary increases between 1980 and 1986. One reason for women\u27s salary growth advantage was the higher average performance ratings of women between 1980 and 1986. One important reason for women\u27s promotion advantage was their greater likelihood of being in (lower) job levels where promotion opportunities were greatest

Employee Compensation: Research and Practice

[Excerpt] An organization has the potential to remain viable only so long as its members choose to participate and engage in necessary role behaviors (March & Simon, 1958; Katz & Kahn, 1966). To elicit these contributions, an organization must provide inducements that are of value to its members. This exchange or transaction process is at the core of the employment relationship and can be viewed as a type of contract, explicit or implicit, that imposes reciprocal obligations on the parties (Barnard, 1936; Simon, 1951; Williamson, 1975; Rousseau, 1990). At the heart of that exchange are decisions by employers and employees regarding compensation

Decay of protons and neutrons induced by acceleration

We investigate the decay of accelerated protons and neutrons. Calculations are carried out in the inertial and coaccelerated frames. Particle interpretation of these processes are quite different in each frame but the decay rates are verified to agree in both cases. For sake of simplicity our calculations are performed in a two-dimensional spacetime since our conclusions are not conceptually affected by this.Comment: 18 pages (REVTEX), 3 figure

Search for semiclassical-gravity effects in relativistic stars

We discuss the possible influence of gravity in the neutronization process, $p^+ e^- \to n \nu_e$, which is particularly important as a cooling mechanism of neutron stars. Our approach is semiclassical in the sense that leptonic fields are quantized on a classical background spacetime, while neutrons and protons are treated as excited and unexcited nucleon states, respectively. We expect gravity to have some influence wherever the energy content carried by the in-state is barely above the neutron mass. In this case the emitted neutrinos would be soft enough to have a wavelength of the same order as the space curvature radius.Comment: 10 pages (REVTEX

Near-Rational Wage and Price Setting and the Long-Run Phillips Curve

macroeconomics, Near-Rational Wage, Price Setting, Long-Run Phillips Curve

The Effective Use of Multimedia Distance Learning Technology: The Role of Technology Self-Efficacy, Attitudes, Reliability, Use and Distance in a Global Multimedia Distance Learning Classroom

According to the 1999 ASTD State of the Industry Report, the use of multimedia distance learning (MDL) technology for training delivery has increased substantially over the past few years. However, few empirical studies have been conducted that rigorously examine the factors that determine the effectiveness of MDL courses. In this study, we examine participants’ technology self-efficacy and attitudes toward technology (measured before/after training), and perceptions of technology reliability, effective use, and distance (measured after training) as antecedents to ratings of training effectiveness (general effectiveness, specific effectiveness, learning effectiveness; measured after training) in an international HRM course. In a sample of 52 participants from four countries we hypothesize that technology self-efficacy will affect participants’ attitudes toward technology; attitudes toward technology will affect participants’ perceptions of training effectiveness. In addition, we hypothesize that technology reliability and effective use will affect participants’ perceptions of classroom distance; distance perceptions will affect participants’ perceptions of training effectiveness. Finally, we hypothesize that both technology attitudes and distance perceptions will be related to participants’ perceptions of training effectiveness controlling for technology self-efficacy, reliability, and effective use. The results indicate that attitudes toward technology completely/partially mediated the relationship between technology self-efficacy and the three measures of effectiveness. Distance perceptions completely/partially mediated the relationship between technology reliability and effectiveness. Effective technology use was not significantly related to effectiveness. Finally, attitudes toward technology and distance perceptions explained a significant or marginally significant amount of variance in the effectiveness measures after controlling for technology self-efficacy, reliability, and effective use