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May 29, 2012


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So, we've come full circle back to the original position?

Performance pay is great for the kind of things it is good for, but in a modern economy, those things are not the majority of value creation...

Howard Clark

The problem is that there is much more evidence to show that actually performance rewards and incentives actually get LESS of what you want (for example the work of Alfie Kohn on rewards or Dan Pink on motivation).

More pertinently look at the systems view which sees the majority of performance being down to the design of the system, rather than individuals working harder. It breaks down to roughly 95% system and 5% people.

Look at this video of a leader in a sales system really listening to calls coming into a call centre. She discovers how people answer calls is down to the design of the system.


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