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To help eliminate bias and discrimination as part of incentive programs, organizations must:
Cost-Based Transfer Pricing
A transfer pricing method where the price of goods transferred between departments or subsidiaries is based on the cost of production.
Goal-Congruence Problems
Issues that arise when the objectives of individual members or groups within an organization do not align with the overall goals of the organization, potentially leading to inefficiency or conflict.
Optimal Decisions
The best possible choices made after assessing all available information, resources, and alternatives, aiming to achieve the maximum benefit or efficiency.
Performance Reports
Performance reports are documents that review the progress and outcomes of activities or operations, evaluating performance against specified benchmarks or objectives.
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