  This paper introduces a model of a stylized organization that is comprised of
several departments that autonomously allocate tasks. To do so, the departments
either take short-sighted decisions that immediately maximize their utility or
take long-sighted decisions that aim at minimizing the interdependencies
between tasks. The organization guides the departments' behavior by either an
individualistic, a balanced, or an altruistic linear incentive scheme. Even if
tasks are perfectly decomposable, altruistic incentive schemes are preferred
over individualistic incentive schemes since they substantially increase the
organization's performance. Interestingly, if altruistic incentive schemes are
effective, short-sighted decisions appear favorable since they do not only
increase performance in the short run but also result in significantly higher
performances in the long run.
