In the movie, Raiders of the Lost Ark, Indiana Jones is surreptitiously listening to the Nazis decipher the writing on a medallion identifying the location of the Ark of the Covenant (Chest the Hebrews used to carry the Ten Commandments) when he excitedly decried: “They’re digging in the wrong place!” If you’ve paid attention to any of the research on human behavior released only during the last few years, you might say the same thing about today’s organizational leadership: they’re digging in the wrong place.
Reward Me – I’ll Work Harder
One of the more interesting breakthroughs arose from studies conducted some 40 years ago by Edward Deci at Carnegie Mellon. He proved the typical reward approach to motivation, that is, do this and you’ll get that, only works for tasks that don’t require thinking or creativity, like routine assembly work. Dan Pink wrote about this research in his must-read book, “Drive.” Much of our society has relied extensively on extrinsic rewards like cash and gifts to motivate people. Deci’s studies confirmed almost the opposite. “When money is used as an external reward for some activities, the subjects lose intrinsic interest for the activity,” he wrote. The rewards provide a short-term boost, like a can of Red Bull, but the effects quickly fade; even worse, reduce a person’s longer-term motivation to continue the activity.
Although Deci’s work continued over many years, his discoveries stayed within a small academic community. It’s been reported that academic articles in journals are read, on average, by only six people. Pink, in 2009, brought Deci’s thinking to the masses. Not that this thinking didn’t get Deci in trouble 40 years ago from other scientists and business leaders. Imagine implying rewards could have a negative effect. But today, the proof is just too compelling: businesses, governments, nonprofits and institutions continue to operate from assumptions about human potential and individual performance that are outdated. Extrinsic rewards might be nice to receive, but they’re not effective motivators.
Surprising Benefits
Long Island businesses suffered plenty in 2008 with sales for many practically disappearing. A good many organizations assumed a back to basics approach, that is, don’t do and don’t spend unless absolutely necessary. But instead of merely cutting, one manufacturer in Farmingdale also employed a positive-leadership approach. This president gathered all employees and spoke honestly about the poor economic conditions and discussed potential options. The employees obviously favored avoiding layoffs and opted instead to try a four-day workweek to cut expenses. The president told me as the year progressed how proud and surprised he was that his people not only made this change enthusiastically, but pitched in like he’d never expected. He said they accomplished everything as if a normal workweek. With the economy now picking up, he tells how well positioned the company is to seize each new opportunity.
This real-life example demonstrates the power of intrinsic motivation, brought about by being valued, having a say, feeling appreciated, and being challenged. From hundreds of scientific studies we now know the significant bottom-line-payback from positive leadership – because it creates positive emotions. When leaders intentionally create positive emotions, it benefits them, as leaders, as well as their employees. Done regularly, organizations benefit from an upward spiral of positive, valuable and important outcomes. For one, positive emotions make people think faster, more broadly, and more accurately. This has been proven across all professions, including accountants, lawyers, and doctors. Today, knowing how to create positive emotions must be a fundamental requirement of leadership.
Beginning in 2011, all leaders should proactively incorporate positive-leadership activities which will enable them to more-effectively motivate people to perform beyond traditional expectations. Here are three simple possibilities. One major caveat – all actions must be deliberate and intentional. While some gifted leaders may do these things without thinking, it’s not good enough. When not performed in a deliberate and intentional way, the leader doesn’t receive the full benefit:
Create happiness. The most-important thing a leader can do. Ask any person, from CEO to apprentice, what they’d like for their child’s future and the most-often heard outcome is “happiness.” We all want it! Keep it simple. One idea – make it a point everyday to show appreciation. Not to everyone everyday. Maybe an employee, vendor, partner, friend, or client. After just a few weeks, the benefits speak loudly.
Show employees meaning. How and why is what employees do important? Allow people to connect their values at work. We all crave personal meaning – the ability to feel what we do matters; to know we’re really making a contribution, to feel important. Find ways to make work meaningful.
Enable mastery. People approach work in three ways. A job, where the paycheck is the reward. A career, where the paycheck is also vital, but there’s a desire to learn and advance. And for some, it’s a calling, where satisfaction and joy come from the work itself. These people want to master what they do because it leads to fulfillment. Never hold people back from self-mastery.
It’s 2011 and plenty to be happy about. We’ve come a long way. Back in his day Henry Ford griped, “Why is it every time I ask for a pair of hands, they come with a brain attached?”
We know differently today that business success depends directly on human behavior. Doesn’t it make sense that a leader’s first priority should be to know human behavior?
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