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Leadership strategies to enhance creativity and innovation in the workplaceThomas CurranResearch Fellow in Sport, Exercise and Well-beingUniversity of Gloucestershire

1The candle problem

Carl Duncker (1945)2The candle problem

Sam Gluxberg (1962) one group norms other group incentive (top 20% $5 to $20). Incentive group took on average 3.5 minutes longer.3The candle problem

Sam Gluxberg (1962) did same effect and incentive group were far better. This is not a felling, this is not a philosophy this is a fact. Here's some more evidence.

4ResearchArley, Gneezy, Loewenstien & Mazar (2005). Federal reserve bank commissioned research.

Why is this?5More evidence: This time from the UKAn analysis of 51 separate experimental studies of financial incentives in employment relations found overwhelming evidence that these incentives may reduce an employee's natural inclination to complete a task and derive pleasure from doing so.

'We find that financial incentives may indeed reduce intrinsic motivation and diminish ethical or other reasons for complying with workplace social norms such as fairness. As a consequence, the provision of incentives can result in a negative impact on overall performance,' said Dr Bernd Irlenbusch from the LSE's Department of Management.

RewardsDull thinking

Stifle motivation

Reduce performance

This is not a felling, this is not a philosophy this is a fact.7ProblemThere is a disconnect between the evidence and the practice.

A whole new approachBuilt around intrinsic motivation

If you want compliance then try to motivate employees. If you want engagement then create the conditions in which employees can motivate themselves

Autonomy

Evidence

To wrap upRewards only work in narrow circumstances

Contingent rewards stifle creativity

Secret to high performance and engagement isn't rewards but intrinsic motivation