Equivalence between Separate and Synthesized EVM Based Incentive Contracts in Project Management*

摘要

Focusing on the scarcity of formal analysis on the principal-agent relationships in project management, this paper builds two principal-agent models accordingly under a separate and synthesized EVM based incentive contracts, defines the equivalence between these two forms of contracts in terms of the induced optimal efforts that the agent exert, and finally finds out the sufficient and necessary conditions for that equivalence. These conditions highlights that environment-dependent adjustments of project performance- synthesizing weights are needed to keep the equivalence between these two forms of contracts.