RT Journal Article T1 Up for review: unravelling the link between formal evaluations and performance-based rewards A1 Bonet, Rocio A1 Eriksson, Tor A1 Ortega, Jaime AB We study whether organizations that reward individual performance should give autonomy or should control how managers evaluate their subordinates. The normal way to establish control is to formalize the evaluations, so that managers cannot choose when and how to evaluate. We argue that organizations face a trade-off because formalization helps reduce biases but also introduces rigidities. Using linked employer-employee data, we study the link between formal performance appraisals and firm financial performance. PB Wiley SN 0019-8676 YR 2019 FD 2019-01-01 LK https://hdl.handle.net/10016/34816 UL https://hdl.handle.net/10016/34816 LA eng NO Jaime Ortega acknowledges financial support from the Spanish Ministry of Economics, Industry and Competitiveness (grants ECO2012-33308 and ECO2015-269615-R). Rocio Bonet acknowledges financial support from the European Commission grant WSCA-Grant Agreement No. 239217-7FP-People-IRG. DS e-Archivo RD 1 sept. 2024