Kampkötter, Patrick and Sliwka, Dirk 
ORCID: 0000-0002-8026-0165
(2018).
More Dispersion, Higher Bonuses? On Differentiation in Subjective Performance Evaluations.
J. Labor Econ., 36 (2).
S. 511 - 550.
CHICAGO:
UNIV CHICAGO PRESS.
ISSN 1537-5307
Abstract
We investigate the claim that supervisors do not differentiate enough between high- and low-performing employees when evaluating performance. In a first step, this claim is illustrated in a formal model showing that rating compression reduces performance and subsequent bonus payments. The effect depends on the precision of performance information and may be reversed when cooperation is important. We then investigate panel data spanning different banks and find that stronger differentiation indeed increases subsequent bonus payments. The effect tends to be larger for larger spans of control and at higher hierarchical levels but is reversed at the lowest levels.
| Item Type: | Journal Article | ||||||||||||
| Creators: |
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| URN: | urn:nbn:de:hbz:38-191998 | ||||||||||||
| DOI: | 10.1086/694588 | ||||||||||||
| Journal or Publication Title: | J. Labor Econ. | ||||||||||||
| Volume: | 36 | ||||||||||||
| Number: | 2 | ||||||||||||
| Page Range: | S. 511 - 550 | ||||||||||||
| Date: | 2018 | ||||||||||||
| Publisher: | UNIV CHICAGO PRESS | ||||||||||||
| Place of Publication: | CHICAGO | ||||||||||||
| ISSN: | 1537-5307 | ||||||||||||
| Language: | English | ||||||||||||
| Faculty: | Faculty of Management, Economy and Social Sciences | ||||||||||||
| Divisions: | Center of Excellence C-SEB Faculty of Management, Economics and Social Sciences > Business Administration > Corporate Development > Professorship for Business Administration and Human Resources Management |
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| Subjects: | Economics | ||||||||||||
| Uncontrolled Keywords: |
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| Refereed: | Yes | ||||||||||||
| URI: | http://kups.ub.uni-koeln.de/id/eprint/19199 |
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