Workshop Series: Kelsey Dworkis
This study investigates the effects of extrinsic motivation, as provided by a bonus threshold in a compensation plan, and intrinsic motivation that derives from narcissism on capital investment decision-making quality. Using an experiment, this study examines Millennial managers' (i.e., managers born between 1978-1995) decision-making quality under two levels of bonus threshold (high, low) and two levels of measured narcissism (high, low). Results show that a manager's level of narcissism and bonus threshold condition to which they are randomly assigned interact to result in systematically different performance levels on the capital investment task. Millennial managers higher in narcissistic characteristics outperform less narcissistic managers in a capital investment task under a low bonus threshold; however, this performance result is reversed under a high bonus threshold. Implications of MCS adaptations that can enhance decision-making of Millennial managers are discussed.
Kelsey Kay Dworkis is a PhD candidate at the Leventhal School of Accounting, Marshall School of Business at the University of Southern California, USA. Her areas of research interest include judgment and decision-making in managerial accounting, behavioral theories and management control systems. Previous experience includes financial statement auditing for publicly traded and private companies in the hospitality, real estate and insurance industries. Kelsey received the Mary Pickford Foundation Doctoral Teaching Award in 2010 and was selected as the 2011 Deloitte Foundation J. Michael Cook Doctoral Consortium Participant.