MG477 Half Unit
The Power of Incentives in Organisations
This information is for the 2025/26 session.
Course Convenor
Dr Bethania Mendes De Brito Antunes
Availability
This course is available on the CEMS Exchange, Global MSc in Management, Global MSc in Management (CEMS MIM), Global MSc in Management (MBA Exchange), MBA Exchange, MSc in Human Resources and Organisations (Human Resource Management/CIPD), MSc in Human Resources and Organisations (International Employment Relations/CIPD) and MSc in Human Resources and Organisations (Organisational Behaviour). This course is available with permission as an outside option to students on other programmes where regulations permit. This course uses controlled access as part of the course selection process.
How to apply:
Places on oversubscribed courses will be allocated via a random ballot process with priority given to students with the course in their Programme Regulations, followed by other Department of Management students, then students from elsewhere in the school. Providing you apply before the Department deadline of 10am on Monday 29 September 2025, the time you applied will not be taken into account. Please be aware that places on high demand courses cannot be guaranteed. By submitting an application, students are confirming that they meet any pre-requisites specified. Providing an additional written statement will not aid a student’s chances of being accepted onto a course, and statements are not read.
For further information and updates on course availability during Week 1, please see the Department of Management Electives Moodle page.
Deadline for application:
Please apply by 10am on Monday 29 September 2025 with your first course choices. No allocations are made before this date and time.
For queries contact:
Please view the Department of Management Electives page for contact emails.
This course may be capped/subject to controlled access. For further information about the course's availability, please see the MG Elective Course Selection Moodle page (https://moodle.lse.ac.uk/course/view.php?id=3840).
Course content
Incentives are a powerful driver of human behaviour within organisations. This interdisciplinary course delves into the realm of behavioural economics, a fusion of economics and psychology, to unveil the intricate dynamics behind individual decision-making. By understanding incentives, monetary and non-monetary, students gain insights into why and how individuals behave within organisational contexts. Through a rich exploration of theoretical frameworks and practical activities, students learn to design and manage incentive systems that tap into employees' underlying motivations, fostering value creation and organisational goals. This course offers valuable insights for students with diverse career aspirations. Moreover, for aspiring leaders, entrepreneurs and managers seeking to optimise and drive organisational success, the principles covered in this course are universally applicable across industries.
Course Objectives:
1. Introduce students to the interdisciplinary field of behavioural economics and its relevance in understanding organisational behaviour.
2. Explore theoretical frameworks and tools for designing and managing effective incentive systems.
3. Analyse the impact of incentive systems on employee motivation, attraction, promotion, and retention within organisations.
4. Provide students with the analytical skills to align reward strategy with business objectives.
Teaching
15 hours of seminars and 15 hours of lectures in the Winter Term.
This course has a reading week in Week 6 of Winter Term.
Students are expected to prepare for, and contribute to, the seminars. Seminars will include group work, preparing and giving presentations, case analyses, small group discussions, and self-assessment exercises.
In its Ethics Code, LSE upholds a commitment to intellectual freedom. This means we will protect the freedom of expression of our students and staff and the right to engage in healthy debate in the classroom.
Formative assessment
Group presentation. All groups will have the opportunity to meet with their class teacher in week 7 to discuss their presentations and to be given verbal feedback.
Indicative reading
Students are expected to read widely in the appropriate journals; a detailed reading list will be provided at the start of the course.
Course textbooks:
Jones, E., and Perkins, S. (2020) Reward Management, Alternatives, Consequences and Contexts. CIPD, London (earlier editions are acceptable);
Pepper, A. (2015) The Economic Psychology of Incentives. Palgrave Macmillan;
Pepper, S. (2006) Senior Executive Reward – Key Models and Practices. Gower Publishing;
White, G and Druker, J (2008) Reward Management – a Critical Text. Second edition. Routledge.
Assessment
Presentation (50%)
Course participation (10%)
Report (40%)
The individual report (40%) will be based on the presentation.
For detailed assessment information, including all deadlines and timings, please see the relevant course Moodle page. Assessment timings will be available at the start of each term.
Key facts
Department: Management
Course Study Period: Winter Term
Unit value: Half unit
FHEQ Level: Level 7
CEFR Level: Null
Total students 2024/25: 32
Average class size 2024/25: 16
Controlled access 2024/25: YesCourse selection videos
Some departments have produced short videos to introduce their courses. Please refer to the course selection videos index page for further information.
Personal development skills
- Application of numeracy skills
- Commercial awareness