MAN 648: Incentives and Performance

In this course, we study performance management and analyze the link between incentives and individual’s performance in organizations. Based on the performance management process, the course covers performance measurement and monitoring, key performance management tools, and implementation of performance management systems targeted at employees in organizations. Furthermore, the course investigates the role of incentives in organizations, both theoretically and empirically from a psychological and economic perspective.

Learning outcomes
By the end of the module, students:

  • will be able to select and implement appropriate performance measures,
  • are familiar with formal performance appraisals,
  • understand the link between pay and performance,
  • are able to analyze the effectiveness of incentives both theoretically and empirically, and
  • are able to design performance management systems.

Necessary prerequisites

Recommended prerequisites
MAN 645 or MAN 647

Forms of teaching and learningContact hoursIndependent study time
Lecture2 SWS8 SWS
Exercise class2 SWS5 SWS
ECTS credits6
Graded yes
Form of assessmentWritten exam (60 min)
Restricted admissionyes
Further information
Performing lecturer
Torsten Biemann
Prof. Dr. Torsten Biemann
Prof. Dr. Torsten Biemann
Frequency of offeringSpring semester
Duration of module 1 semester
Range of applicationM.Sc. MMM, M.Sc. WiPäd, M.Sc. VWL, M.Sc. Wirt. Inf.
Preliminary course work
Program-specific Competency GoalsCG 1
LiteratureScientific papers
Course outline1. Introduction
2.1 Approaches to incentives
2.2 Field experiments
2.3 Meta-analyses
3.1 Components of performance management (PM)
3.2 Total compensation
3.3 Variable pay
4.1 PM in context & PM process
Performance appraisals
4.3 PM systems & strategic planning
4.4 Effectiveness of PM