Incentivization in centrally managed systems: Inconsistencies resolution

IF 6.7 2区 管理学 Q1 MANAGEMENT
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引用次数: 0

Abstract

In centrally managed systems (CMSs), the need for incentivization systems at the local management level is crucial to optimize overall performance. Three alternative incentive systems have emerged within the centralized resource allocation (CRA) framework, aiming to measure the contribution of decision-making units (DMUs) in CMSs. However, we identify inconsistencies within these approaches and present them through illustrative examples. First, existing methods may struggle to effectively distinguish between CRA-efficient and CRA-inefficient DMUs, potentially resulting in inappropriate penalties or rewards for some the DMUs. Second, they may encounter difficulty in differentiating among CRA-efficient DMUs, especially when dealing with non-extreme DMUs or masked data within the dataset. Third, these methods may lack precision in measuring the impact of non-extreme CRA-efficient DMUs on overall performance. To address these limitations, we first highlight certain misconceptions related to individual efficiency within CMSs in the existing literature. Subsequently, we establish a fundamental characterization of individual efficient DMUs by outlining necessary and sufficient conditions for categorizing a DMU as CRA-efficient. For the second and third limitations, we adopt an endogenous perspective to quantify the influence of each CRA-efficient DMU. This involves calculating the maximum potential contribution of the DMU under evaluation in constructing the projection points of other DMUs. Furthermore, we propose a new method to handle masked data well in differentiating among CRA-efficient DMUs. We show the validity and applicability of our approaches using a real dataset.

中央管理系统中的激励机制:解决不一致问题
在中央管理系统(CMS)中,地方管理层对激励制度的需求对于优化整体绩效至关重要。在集中资源分配(CRA)框架内出现了三种可供选择的激励制度,旨在衡量中央管理系统中决策单位(DMU)的贡献。然而,我们发现了这些方法中的不一致之处,并通过实例加以说明。首先,现有方法可能难以有效区分 CRA 效率高的 DMU 和 CRA 效率低的 DMU,从而可能导致对某些 DMU 进行不适当的惩罚或奖励。其次,这些方法在区分 CRA 效率高的 DMU 时可能会遇到困难,特别是在处理非极端 DMU 或数据集中的遮蔽数据时。第三,这些方法在衡量非极端 CRA 高效 DMU 对整体绩效的影响时可能缺乏精确性。为了解决这些局限性,我们首先强调了现有文献中与 CMS 内部个体效率相关的某些误解。随后,我们通过概述将 DMU 归类为 CRA 高效的必要条件和充分条件,建立了单个高效 DMU 的基本特征。对于第二和第三个限制条件,我们采用内生视角来量化每个具有 CRA 效率的 DMU 的影响。这包括计算被评估的 DMU 在构建其他 DMU 的投影点时的最大潜在贡献。此外,我们还提出了一种新方法,可在区分具有 CRA 效率的 DMU 时很好地处理遮蔽数据。我们使用真实数据集展示了我们方法的有效性和适用性。
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来源期刊
Omega-international Journal of Management Science
Omega-international Journal of Management Science 管理科学-运筹学与管理科学
CiteScore
13.80
自引率
11.60%
发文量
130
审稿时长
56 days
期刊介绍: Omega reports on developments in management, including the latest research results and applications. Original contributions and review articles describe the state of the art in specific fields or functions of management, while there are shorter critical assessments of particular management techniques. Other features of the journal are the "Memoranda" section for short communications and "Feedback", a correspondence column. Omega is both stimulating reading and an important source for practising managers, specialists in management services, operational research workers and management scientists, management consultants, academics, students and research personnel throughout the world. The material published is of high quality and relevance, written in a manner which makes it accessible to all of this wide-ranging readership. Preference will be given to papers with implications to the practice of management. Submissions of purely theoretical papers are discouraged. The review of material for publication in the journal reflects this aim.
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