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Compact case
Supplement
-
Reference no. 9-914-050
Published by: Harvard Business Publishing
Originally published in: 2017
Version: 6 January 2017
Revision date: 19-May-2017

Abstract

This case is about a compensation change at an automotive service company in the Middle East. The case allows investigation and analysis of many issues related to compensation design and human resource management, and even change management. The focus of the case is all the ways in which bad incentive design leads to dysfunctional behavior. In particular, a crucial issue is whether individual incentives are best or whether team incentives are best, and why. In the B and C cases, the case rolls out in sequence as more and more information is revealed to students so the unfolding of events keeps students interested and engaged in how to solve the various problems that arise, including a near mutiny.
Locations:
Industry:
Size:
50-500 million
Other setting(s):
2006-2007

About

Abstract

This case is about a compensation change at an automotive service company in the Middle East. The case allows investigation and analysis of many issues related to compensation design and human resource management, and even change management. The focus of the case is all the ways in which bad incentive design leads to dysfunctional behavior. In particular, a crucial issue is whether individual incentives are best or whether team incentives are best, and why. In the B and C cases, the case rolls out in sequence as more and more information is revealed to students so the unfolding of events keeps students interested and engaged in how to solve the various problems that arise, including a near mutiny.

Settings

Locations:
Industry:
Size:
50-500 million
Other setting(s):
2006-2007

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