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Incentives in Public and Nonprofit Organizations

In: Strategy for Public and Nonprofit Organizations

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  • Sandro Cabral

    (Insper Institute of Education and Research)

Abstract

This chapter focuses on the internal organization and addresses a central point for achieving strategic objectives in public and nonprofit organizations: the structure of incentives. Drawing from the organizational economics literature, the chapter provides readers with insights into the potential and limitations of pay-for-performance schemes in motivating individuals and groups to exert superior efforts, leading to enhanced performance and public value creation. It also discusses implicit incentives arising from relational contracts.

Suggested Citation

  • Sandro Cabral, 2024. "Incentives in Public and Nonprofit Organizations," Springer Books, in: Strategy for Public and Nonprofit Organizations, chapter 0, pages 73-106, Springer.
  • Handle: RePEc:spr:sprchp:978-3-031-64969-1_4
    DOI: 10.1007/978-3-031-64969-1_4
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