HR managers wishing to motivate their employees are faced with the question of using intrinsic or extrinsic motivation. Intrinsic motivation is not related to external rewards, such as money, but instead involves an interest or the mere enjoyment of an activity. Extrinsic motivation is the opposite and is driven by external rewards or pressures, such as a raise, bonus, or demotion.

“Clearly, people are different in what motivates them and what they seek from their organization or work,” says Ogbodu Randolph, HR Trainer/Course Administrator at Kebusman Management Consult. “So it is the duty of management to identify what works for each employee, because while some seek financial rewards (such as pay), others seek recognition, or strive for personal development and career enhancement, self-actualization, or social rewards.”

Amin Palizban, CEO & Founder of 7Geese, discusses the advantages and disadvantages of both intrinsic and extrinsic forms of motivation on the company blog. “Goal setting, getting employees motivated to achieve objectives, and recognizing them for their achievement is a proven method that pushes business forward and is one of the best examples of extrinsic motivation in a company,” he writes. 7Geese is a socially-integrated application which uses OKR (Objective and Key Results) to allow employees to track their own progress without the use of performance reviews.

Palizban states that when external rewards are used without intrinsic motivation, HR managers are forced to measure achievements and results, without acknowledging what was put into the job, such as hard work, long hours, or collaboration. He stresses that this may result in only top performers being motivated and “create a lone-wolf mentality where everyone is in it for themselves without helping or collaborating with others.”

Kate Cornelius, marketing and community associate at OpenSesame, does not believe that extrinsic motivation works, stating that it can diminish performance, crush creativity, extinguish intrinsic motivating factors, encourage shortcuts, and foster short-term thinking. She cites a Swedish study which showed that women donated blood at a significantly lower rate when offered payment. “The selfish reward ‘tainted’ the altruistic desire,” says Cornelius. Even when used as a negative consequence, extrinsic motivation appears to fail. In Israel, a childcare facility found that late pickups increased when a fine was put in place, according to Cornelius.

However, intrinsic motivation without extrinsic motivation is not easy to achieve, according to Palizban. He states that employees are more likely to be intrinsically motivated if the company has a supportive culture, if they have clear and compelling objectives, and if the employee is a good fit for the position. “It’s the rush they get when they perform the task and the internal satisfaction they get when they get the job done,” he says.

Randolph agrees that the company must maintain a structured approach to aligning people with organizational goals. “Every organization needs to ensure that its people understand the strategy, see how they fit in, and know what the organization expects of them,” he states.

Photo Credit: nist6dh

HR managers wishing to motivate their employees are faced with the question of using intrinsic or extrinsic motivation. Intrinsic motivation is not related to external rewards, such as money, but instead involves an interest or the mere enjoyment of an activity. Extrinsic motivation is the opposite and is driven by external rewards or pressures, such as a raise, bonus, or demotion.

“Clearly, people are different in what motivates them and what they seek from their organization or work,” says Ogbodu Randolph, HR Trainer/Course Administrator at Kebusman Management Consult. “So it is the duty of management to identify what works for each employee, because while some seek financial rewards (such as pay), others seek recognition, or strive for personal development and career enhancement, self-actualization, or social rewards.”

Amin Palizban, CEO & Founder of 7Geese, discusses the advantages and disadvantages of both intrinsic and extrinsic forms of motivation on the company blog. “Goal setting, getting employees motivated to achieve objectives, and recognizing them for their achievement is a proven method that pushes business forward and is one of the best examples of extrinsic motivation in a company,” he writes. 7Geese is a socially-integrated application which uses OKR (Objective and Key Results) to allow employees to track their own progress without the use of performance reviews.

Palizban states that when external rewards are used without intrinsic motivation, HR managers are forced to measure achievements and results, without acknowledging what was put into the job, such as hard work, long hours, or collaboration. He stresses that this may result in only top performers being motivated and “create a lone-wolf mentality where everyone is in it for themselves without helping or collaborating with others.”

Kate Cornelius, marketing and community associate at OpenSesame, does not believe that extrinsic motivation works, stating that it can diminish performance, crush creativity, extinguish intrinsic motivating factors, encourage shortcuts, and foster short-term thinking. She cites a Swedish study which showed that women donated blood at a significantly lower rate when offered payment. “The selfish reward ‘tainted’ the altruistic desire,” says Cornelius. Even when used as a negative consequence, extrinsic motivation appears to fail. In Israel, a childcare facility found that late pickups increased when a fine was put in place, according to Cornelius.

However, intrinsic motivation without extrinsic motivation is not easy to achieve, according to Palizban. He states that employees are more likely to be intrinsically motivated if the company has a supportive culture, if they have clear and compelling objectives, and if the employee is a good fit for the position. “It’s the rush they get when they perform the task and the internal satisfaction they get when they get the job done,” he says.

Randolph agrees that the company must maintain a structured approach to aligning people with organizational goals. “Every organization needs to ensure that its people understand the strategy, see how they fit in, and know what the organization expects of them,” he states.

Photo Credit: nist6dh