Topic: Incentive Systems and Proactive Work Behavior: The Moderating Effects of Task Uncertainty
Presenter：Bernard Wong-On-Wing, Professor of Accounting, Washington State University
Time: March 13, 2010（Friday）3:00—4:30PM
Venue: Room 501, Jiageng Bld 2
Chair：Zhe Shen, assistant professor in finance, IFAS
Abstract：
In this study, we examine how performance evaluation basis (behaviors vs. outcomes) and incentive intensity influence employees‟ proactive work behaviors such as innovating, and acquiring new knowledge and skills. Investigating the behavioral effects of these two features of incentive systems is important considering recent trends which show that firms are increasingly using performance-contingent pays and outcome-based incentives for lower level employees. Similarly, the study of proactive work behaviors is important because despite their necessity in today‟s fast-changing business environment, such behaviors are by and large unexplored in the incentive literature.
Based on the Self-Determination Theory (Ryan and Deci 2000) of motivation, we propose that performance evaluation basis and incentive intensity each interacts with task uncertainty to influence employees‟ autonomous motivation. This in turn impacts employee proactive work behavior.
We conducted a survey among 309 employees from various companies in Hong Kong. Results of multi-group Structural Equation Modeling analyses suggest that: (1) behavior- (vs. outcome-) based performance evaluation had a positive effect on autonomous motivation and proactive work behavior when task uncertainty level was high, but a negative effect when task uncertainty level was low; (2) incentive intensity had a greater positive effect on autonomous motivation when task uncertainty level was high than when it was low; and (3) employees‟ autonomous motivation had a positive effect on proactive work behavior. The findings have implications for both theory and practice.
Presenter Introduction：
Prof. Wong got his Ph. D. in Accounting, MBA and BD in Accounting from Arizona State University, Idaho State University and Concordia University respectively.
Download：paper