Get the opportunity to grow your influence by giving your products or services prime exposure with Performance Magazine.

If you are interested in advertising with Performance Magazine, leave your address below or contact us at: marketing@smartkpis.com.

Advertise with us
logo1 KPI Certified

Posts Tagged ‘Principal-Agent Problem’

What does the agency theory refer to?

FacebooktwitterlinkedinFacebooktwitterlinkedin

Agency Theory

An important issue in performance management is determining the right price to pay for a service provided by another party. The principle – agent problem arises when one party (agent) agrees to work in favor of another party (principle) in return for some incentives. In other words, the principal–agent problem or agency dilemma concerns the difficulties in motivating one party (the “agent”), to act in the best interests of another (the “principal”) rather than for his own interests.

THE KPI INSTITUTE

The KPI Institute’s 2021 Agenda is now available! |  The latest updates from The KPI Institute |  Thriving testimonials from our clients |