"Principal-agent" problem

The Arpex boatbuilding project is somewhat stalled at the moment. I have been indicating my worries on this blog lately, and ... well... now we're stalled. Under the circumstances that the project was experiencing this was inevitable. It is the old, old, "Principal-agent" problem. I studied the theory in University. Now the reality is smacking me in the face.

In this very case I'm the Principal. My boatbuilder is the agent. ... Usually I'm on the other side of the table...

To those not familiar with this problem, which is known well in economics theory, I have copied a short description below.

I knew I would find this problem at some point of the project. The best way to avoid it, is to find out what moves the agent, and find ways of supplying the agent with this motivation. From early on I have tried to find out what makes my boatbuilder tick. Money is allways the first candidate. But I found out that this is not entirely the case. Unfortunately, I have not yet found out what is. To make matters more difficult, it is possible that he thinks that it is money - but in reality it is not. That's the worst case scenario.

But, fact is, that we will have to discuss the matter to come out of the stall. And it shouldn't take too long. Because, like aviators know well; you might stall, but you need to get out of stall quickly. Because if you don't, you hit the bottom. And then your dead. Well, ... figuratively speaking. But bad enough for the project. And I'm not keen on letting this happen.

Principal-agent Problem

Whenever an individual (the principal) has another person (the agent) perform a service on her behalf and cannot fully observe the agent's actions, a ‘principal-agent problem’ arises. The underlying assumption is that the agent's interests may differ from those of the principal. In economics, the classical example is the potential conflict of interest between ownership and management, but any delegation of authority gives rise to this quandary.
(Text from "Answers.com")

In political science and economics, the principal-agent problem or agency dilemma treats the difficulties that arise under conditions of incomplete and asymmetric information when a principal hires an agent. Various mechanisms may be used to try to align the interests of the agent with those of the principal, such as piece rates/commissions, profit sharing, efficiency wages, performance measurement (including financial statements), the agent posting a bond, or fear of firing.
(from "Wikipedia")