The impact of financial and nonfinancial incentives on business-unit outcomes over time.
Unlike previous behavior management research, this study used a quasi-experimental, control group design to examine the impact of financial and nonfinancial incentives on business-unit (21 stores in a fast-food franchise corporation) outcomes (profit, customer service, and employee turnover) over time. The results showed that both types of incentives had a significant impact on all measured outcomes. The financial incentive initially had a greater effect on all 3 outcomes, but over time, the financial and nonfinancial incentives had an equally significant impact except in terms of employee turnover.
Peterson
Suzanne J
SJ
Department of Management, Richard T. Farmer School of Business, Miami University, USA. suzanne.peterson@asu.edu
Luthans
Fred
F
D000293:Adolescent; D000328:Adult; D004467:Economics; D017598:Efficiency, Organizational; D005260:Female; D019649:Food Industry; D006801:Humans; D008297:Male; D008875:Middle Aged; D009042:Motivation; D010563:Personnel Turnover; D013997:Time Factors