Mission Congruence, Incentives and Autonomy: an Empirical Analysis of Child-care Facilities in Minnesota, the U.s.
Abstract: This paper provides evidence on the role of mission congruence on teachers’ pay-for-performance and delegation of decision-making decisions using a dataset of child-care facilities in Minnesota, the United States. We find the teachers’ pay-for-performance is negatively related to mission congruence. Also, we find that teachers’ autonomy is positively related to mission congruence. These results support the idea that the identity of workers plays an important role in the design of the organization. In addition, as in previous empirical studies, we found that pay-for-performance and autonomy are interrelated decisions.