The prevalence of naïfs suggests (not surprisingly) that one important function of a good manager is to set up systems that impose costs and restrictions on employees whenever temptation could stand in the way of wise long-term decisions. Such systems—such as deferring a subset of employee income into a pension plan or restricting access to certain websites at work—make commitment devices unnecessary because the right incentives already exist. “Good” commitments are already being imposed on employees by a third party.
