Managers who apply the rational actor paradigm help their firms perform better

VoxDev reports that firms “that [set] sensible targets, [provide] proper incentives, and credibly [monitor]i performance”  and “boast rigorous performance monitoring, systems geared to optimize the flow of information across and within functions, motivational short- and long-run targets, and a performance system that rewards and promotes great employees while helping underperformers to turn around or move on” “are more productive, grow at a faster pace, and are less likely to die” (Vox, Jan. 2018).