Incentives – Do They Work?

The Path to Leadership The Path To Leadership
7 minutes
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Transcript

You're passionate about what you do. And this comes over in the way you walk, act and talk. But you need to get this over to your team so that they feel the same way. You can't expect all the members of your team to be as passionate as you are. After all, you're the leader. Some of them are there just to make money to as little as possible and to go home to the wife and kids.

So how do you do this? How do you pass along your enthusiasm? One method of motivation is to use incentives. This could be money, or other things to the advantage of the team member. However, incentives tend not to get the team working to their best advantage. In fact, some studies show incentives can make a team less productive.

This is best illustrated by something called the candle experiment, which is an experiment designed to test creativity. Specifically, it is designed to test the ability to overcome a cognitive bias called functional fixedness. Essentially, functional fixedness causes us to get stuck in one way of thinking, usually, about a tool or a practical task. Hear, we tend to fixate on one way of doing something to the point where we can no longer think of any other solutions or any other context. For example, if someone gave you a hammer, and asked you to open a window, perhaps you would smash the glass because you're used to us Seeing the hammer to hit things is a secondary thought to try and use a hammer as a lever to pry the window open. It requires an extra level of creativity to see the hammer as a tool that could be used in a variety of ways.

To test this ability, the candle experiment presents participants with a box of tacks and the candle and then asks them to attach the candle to the wall so that it can burn. Most people will try to attack the candle to the wall and it continually falls off. But the solution is in fact to fix the box to the wall with one or the tanks. And then this time the candle inside it. This requires participants to think outside that box and to think of the box as a part of the experiment and the resource One way you can do this is by using the psychological experiment, breaking down all the items you have into their constituent parts and materials. You don't have a candle, you have a candle, wax, and string.

For example, a box of tax is not just tax. It's also a box of cardboard and the tax are made of metal. The interesting thing about this study is that if we offer an incentive, so that the first person to find the solution gets a reward, performance goes down. This kind of makes sense because if we focus on the too motivated, we fail to step back and see all the possibilities. The other problem with incentives is it tends to stop us working as a team Let's take a look at the example of the military. In the military, one soldier would give up his life for his team members.

He is rewarded for having this mentality, and the group or the team as a whole benefits for the business, we're often encouraged to sacrifice others for our own betterment. If we're in sales, we would happily take sales from a partner. Rewarding individuals often gives them a good reason to step on someone else. So if you can't pay your staff to work harder, what can you do? You can give them ownership, autonomy, and understanding. In other words, let them take credit for what they do, and put their name of it.

Give them the freedom to do things their own way. Give them the understanding, so they know why they are doing it. The first part is important. It gives the team a sense of pride in the work that they're doing. If they feel that they own the project that they own the work, then completing the work to their satisfaction will be their own reward. give someone a project and let them put their mark on it.

And they can use this as a way to prove their skills is also something to add to their CV. And it's a challenge. For example, let someone create their own sections on your website with their name on it, and it becomes something they will be proud of, and they can show their friends and family and they will work harder on it because it is theirs. And finally, you need to make sure your team understands the wall. of what you do. Once the team understands why and believes in what they do, then you can stop micromanaging and leave them to do the tasks that you gave them.

The important thing is that the team member knows that you trust them to overcome the little problem and to reach the goal that you gave them. Remember, the leader must always be responsible for his team members decisions, and stick with them and protect them. This is the mark of a good leader. It's up to them. And team members can do their best work when they own the goal. And they can work out exactly how to reach that goal.

It gives them confidence and also stops you from micromanaging. But remember, you always are responsible for their decisions. This gives them the confidence to make the decisions without thinking fear that they may be punished from above.

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