U.S. firms and organizations often use sales contests and tournaments to help increase sales, generate ideas, and boost morale among sales teams. Managers may be unaware of the fact that the tournament design is a key element that will influence the overall success of the tournament.

Key findings within the report:

  • Overall, groups of individuals with similar ability outperform groups with varied ability.
  • When larger but infrequent rewards (for example, yearly) are provided, groups of individuals with similar ability outperformed groups of individuals with varied ability.
  • When smaller but frequent rewards (for example, monthly or quarterly) are provided, there is no performance difference between groups of similar or varied-ability individuals.
Download Report

About the Authors

Lee Kersting , Ph.D.
Lee Kersting, Ph.D., is an assistant professor of accounting at Northern Kentucky University, where he teaches financial, managerial, and cost accounting. He can be reached at kerstingl1@nku.edu.
Robert Marley , CPA, Ph.D.
Robert Marley, CPA, Ph.D., is the associate director of the Center for Ethics and an assistant professor at the University of Tampa’s Sykes College of Business. He has a background in public accounting, consulting, and entrepreneurship. He can be reached via email at rmarley@ut.edu.
Mark Mellon , CPA, Ph.D.
Mark Mellon, CPA, Ph.D., is an assistant professor of accounting at the University of South Florida, where he teaches cost accounting. His research focuses on judgment and decision making that occurs in either an accounting or auditing context. He can be reached at mellon@usf.edu.
Show More

More Insights