Energy Many companies that run incentive programs expect the program will be the cure all for performance.  

It isn't.  

Sometimes you run an incentive program and you get nuthin'.  It happens.  Rarely is it the fault of the audience.  Almost always it's the sponsor's fault (psst – that's you by the way.)

Here are my top 5 reasons why you don't get results regardless of motivation or the incentives offered…

Energized Incompetence

Lack of skill – if your audience don't know how to do what you want they can't do it

Energized Ignorance

Lack of knowledge of what you want – if your audience don't know what you want they can't do it

Energized Chaos

Lack of alignment – if there are ten incentives all pushing in different directions your audience can't figure out which to do first or which to do at all

Energized Greed

If the program structure is too rich for the behavior required you will get huge effort but many unintended consequences – don't give people too much incentive for something – they will do it – any way they can

Energized Stupidity

See above – improperly structured, incentives can make people do stupid things

Your job is to make sure you don't do these things.  Check your training.  Check your communication.  Check what else is going on.  Check your structure.

There are no guarantees but properly designed you can avoid these five major incentive program problems.  I'm betting you have at least one of them.

  • http://contextcommunication.com fran melmed

    energized stupidity — story of my life ;)
    all kidding aside, these five things really nail that there can be beauty in design and disaster in implementation when you fail to consider the audience, their needs, the messages they’re receiving–especially the unintended ones your design sends–the diametrically opposing initiatives, and so on.
    like it.
    f

  • http://globoforce.blogspot.com Derek Irvine, Globoforce

    Nice post, Paul, especially chaos and greed. It’s like what we say about STRATEGIC recognition — when you do it right, you align employee behaviors/actions with your objectives, but only within the context of your company values. Otherwise, you end up with an Enron situation — people certainly achieving/surpassing goals for company success, but definitely outside of the stated company value of Integrity!
    I wrote more on managing this in this post: http://globoforce.blogspot.com/2009/07/self-esteem-sabotage-and-psychic-income.html

  • http://profile.typepad.com/2of6 Paul Hebert

    Everything has to be within the bounds of culture. I’ve stated on more than one occasion that recognition establishes the boundaries – incentives determine direction within those boundaries.

  • Joe Bradshaw

    Paul,
    I work in a business that has energized ignorance as a main stumbling block to getting my incentives. How would you go about asking for more (I assume that money is the incentive most commonly)
    during a period of layoffs and job insecurity?
    Joe

  • http://profile.typepad.com/2of6 Paul Hebert

    I’m not sure I follow your question Joe. More than happy to help if you want to connect with me via email at paulhebert at i2i-align dot com

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