Compensation and Intrinsic Motivation in Nonprofit and For-Profit Organizations

Compensation in Nonprofit Organizations

Although the nonprofit sector is enormous, we know little about how workers there are compensated. This may be due, in part, to the fact that the literature is scattered across many fields including Human Resources Management, Accounting, Economics, Finance, Organizational Behavior, Political Science, and Sociology. The paper aims to synthesize the research on nonprofits from an economics point...

Wage equity and employee motivation in nonprofit and for-profit organizations

In this paper, I argue that because nonprofit organizations rely disproportionately on intrinsically motivated employees, they provide a particularly interesting context for examining the relationship between wage dispersion and employee motivation. If certain hypotheses put forth in the literature on psychology and employee motivation are correct, then wage dispersion should be less apparent i...

Executive compensation in nonprofit health care organizations: who's in charge?

Do Nonprofit and For-profit Organizations Respond Differently to Incentives? Behavior in the Mixed Hospice Industry

Strong selection incentives exist in many institutionally-mixed industries. We examine such an industry, hospices, where there are strong financial incentives due to the Medicare pricing system, to maximize patients’ expected lengths of stay. We investigate the responses of for-profit and nonprofit organizations to these incentives, using a unique dataset consisting of all urban Medicare admiss...

Strategic management and performance differences: nonprofit versus for-profit health organizations.

Despite mixed and contradictory findings, for-profits (FPs) and nonprofits (NPs) are assumed to be similar health services organizations (HSOs). In this study, a fifteen-item scale assessing HSOs' strategic management capacity was developed and tested using fifty-seven FP and twenty NP organizations. Then, using item response theory, the items were hierarchically profiled to produce two strateg...