040035 KU Contracts, coordination, and incentives (MA) (2024S)

This course is part of the module "Organization and Personnel I." The module establishes fundamental concepts in the analysis of organizational structures and personnel administration. It focuses on the economic perspective which is augmented by drawing on approaches from behavioral and social sciences. This particular class introduces into incentive setting to control the behavior of actors in the organization.

Human resources are key aspects to organizational success or failure. General managers are concerned with setting and implementing overall strategy. Achieving strategic objectives of the firm is only possible with an effective and efficient management of human resources. In this context, general managers have a leading role to set and implement the HR strategy. The implementation of the firm`s HR policies is best done with at least the participation of line managers in the field, rather than being left to HR specialists. Therefore we focus on the role of general (and other top-level) managers and on the wider spectrum of organizational implications in forming and implementing strategies. Related topics such as the operational details of personnel administration that concern HR specialists will be neglected. Emphasis will be put on the links between human resource practices of managers and strategic objectives of their firms. The first large part will be devoted to coordination problems within the company. The second large part will be devoted to the informational problems arising within the companies, i.e., adverse selection and moral hazard.

Attendance:
Given the limited number of available places, it is strongly recommended to attend the first introductory meeting, otherwise vacant places will be fulfilled.

Other information:
Other relevant information regarding the detailed structure of the course, office hours, suggested readings will be provided in class.