Rotten to the Core: The Story of How the Best and Brightest can be Ruined

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

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Rotten to the Core: The Story of How the Best and Brightest can be Ruined