The Story of how the best and brightest can be ruined.
by
Aubie Pouncey
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Can your core culture be damaged by over motivation?
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Can recognition drive the wrong behaviors?
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Can incentives become counter productive?
The objective of an incentive is to incite action
within an organization using a device or mechanism that that allows the
rewarding or recognition of behaviors. This can be accomplished by offering
preferential treatment, money, privileges, promotions, verbal praise, or
complements. With that states, I suggest the answers to the questions above
are:
~ YES ~
~ YES ~
~ YES ~
I admit this topic is not the
norm when it comes to the subject of employee moral. Usually this type of
discussion involves companies that are not in tune with the pulse of their
workforce and have severe performance issues that could be further aggravated by
either non-existent or poorly functioning incentive programs.
The one thing you will not
walk away from at the conclusion is that somehow recognition is wrong, or that
employees should not be motivated, and that incentives are no longer a viable
factor in performance related issues. However, sometimes while trying to do the
right thing excessively well can actually produce the wrong results, for the
right reasons.
I believe that the greatest
management principle explains that what gets rewarded gets done. If you are not
getting the desired result within your organization, ask yourself what behaviors
are being rewarded. It’s a very simple, but very powerful question.
I’ve practiced it, trained
others on it, and believe it should represent the cornerstone in any improvement
initiative. Over past 8 years, I’ve created countless bonus structures,
incentive plans, and contests designed to drive sales performance, attendance
improvement, attrition reduction, and quality initiatives for entry-level
employees all the way up to senior managers. When I say, “I believe in
recognition, and incentive programs”, I mean it and have the experience to back
it up.
I like to think of incentives
and recognition as wonderful little gifts that are awarded to the best and
brightest for going above and beyond or for one’s voluntary willingness to
perform a potentially undesirable function in attempts to assist the
organization. Employees work for their agreed pay rate, and these gifts are
sprinkled around to promote an environment of appreciation and good will for a
job that is both appreciated and well done.
With all
this good will in the air, what seems to be the problem?
What happens in the midst of
the chaotic business environment is the context of the incentive can become
confused. Without context, the meaning and objective is no longer anchored and
becomes subject to interpretation. These suggestive interpretations can
originate from poor communication, lack of specificity, or failure to maintain
the differentiation between job expectations and an incentive or reward. In a
worse case environment, context and interpretation loss can create an informal
employee contract where performance is no longer contingent on their agreed to
wage, but rather on the existence and significance of an incentive.
To help your visualization
I’ve included both obvious and subtle situations that can result from
interpretation - context loss.
Attendance Trap…
To discourage absenteeism an
incentive bonus is put in place, as a result employees come to work and have
great attendance. Supervisors support this policy by encouraging workers to
come to work so they do not miss out on the bonus. The employees continually
receive this incentive, but then attendance improves for the organization, and
the bonus is dissolved.
Sales Slip…
An incentive program is put
in place to boost poor sales performance. If an employee meets their sales
goal, they can receive an incentive of several hundred dollars. Supervisors
encourage their reps to do well so that they can be “in the money”. This
continues for several months. Employees are now expecting this as part of their
income, but due to financial problems with the company, the incentive is
discontinued.
Supervisor Motivation…
As a super seller, an
employee’s consistent performance ensures her team is ranked among the best
within the company. The employee has an attendance issue, but is solid player
when present. The supervisor is lenient on the attendance policy, and chooses
not to hold the employee accountable for fear the employee might come to work
even less or eventually have her employment terminated due to poor attendance.
Instead the supervisor discusses the value of being at work and says that the
policy needs to be followed, but in conclusion congratulates her on her success
with sales.
Team Quality…
In this situation the
associate comes across a rough and abrasive to customers, but his aggressive
approach produces high sales numbers. The other team members are aware that his
quality is below standard. The supervisor in an attempt to recognize his
top-seller presents him with a certificate and $5 gift card in front of the team
and shakes his hand for a job well done.
Lack of
facts…
An employee has a daily issue
with taking excessive breaks. One day, the employee received kudos from a
customer for doing a great job handing a tough issue. The manager hears about
the compliment but does not know of the problem with the individual’s excessive
breaks. The manager in an attempt to recognize good performance makes a generic
statement by telling the employee they are doing a great job and to keep it up.
A manager’s error…
A supervisor is continually
recognized for strong leadership and decisive action. The manager in an attempt
to keep this supervisor motivated continues to praise her excessively at every
opportunity. The supervisor receives the employee of the month award and has
excellent team statistics. The manager placed this supervisor on a pedestal
that was unrealistic and could not be sustained. Soon the supervisor makes an
error, and the manager has to coach her for the first time.
Additional tips and areas of caution for the above situations:
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Use specific recognition,
as opposed to blanket praise.
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Keep employees grounded
by reinforcing the fact that they are paid to do a job, and anything extra
is not permanent, but rather represents a gift from the company.
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Bending the rules or
rewarding top employees with un-balanced performance can disgruntle and
suppress your entire middle population.
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Using an incentive in
place of a performance management process builds a culture that
only performs when rewarded.
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Unrealistic standards
only create a higher level for employees to fall from.
As you consider the above
scenarios and examine similar situations in your own work setting, dwell on the
importance of context, and how it applies. Focus on perception and understand
that it is reality. Remember, while trying to do the right thing, you can get
the wrong results. Above all, remember to use the greatest management principle
as your guide:
What gets rewarded gets done. If you’re not getting the result you are looking
for, ask yourself, what’s being rewarded? |
