Performance Incentive and Enterprise Cost Management

Enterprise Risk Management and the Cost of Capital

Enterprise Risk Management (ERM) is a process that manages all risks in an integrated, holistic fashion by controlling and coordinating offsetting risks across the enterprise. This research investigates whether the adoption of the ERM approach affects firms’ cost of equity capital. We restrict our analysis to the U.S. insurance industry to control for unobservable differences in business models...

A Methodology for Enterprise Performance Management

This paper presents a methodology for the strategic management of enterprise performance. The methodology uses and integrates tools and methods for performance management found in literature and practice. The paper first presents an introduction to performance management systems and their requirements. It then reviews approaches to performance management. The paper concludes with a description ...

Incentive Problems in Performance-Based Online Advertising Pricing: Cost per Click vs. Cost per Action

T multibillion-dollar online advertising industry continues to debate whether to use the cost per click (CPC) or cost per action (CPA) pricing model as an industry standard. This paper applies the economic framework of incentive contracts to study how these pricing models can lead to risk sharing between the publisher and the advertiser and incentivize them to make efforts that improve the perf...

Incentive Contracts and Performance Measurement

Word Ambiguity and Search: Implications for Enterprise Performance Management

The proliferation of unstructured data is a growing threat to effective enterprise performance management. Enterprise search is a tool to help organizations more effectively manage this documentbased information. The success of full-text enterprise search is limited by ambiguity in word meanings, which can result in many documents returned which are not relevant to the searcher. While early wor...