An equity check

An equity check

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Article ID: iaor20052008
Country: Netherlands
Volume: 157
Issue: 2
Start Page Number: 465
End Page Number: 470
Publication Date: Sep 2004
Journal: European Journal of Operational Research
Authors: ,
Keywords: programming: fractional, programming: linear
Abstract:

This article recognizes the significance of equity in managerial decisions, particularly as they relate to reward systems. While equity is not necessarily simple to understand nor always easy to achieve, it is a highly desirable outcome. Aids are proposed as means to help in the quest for determining equity in organizations. One provides a standard using mean values against which the individual reward/contribution ratio can be compared; the second is a maximin approach which utilizes a multi-attribute ratio of rewards to contributions. An illustrative example is provided. Potential managerial uses are discussed.

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