According to research by economists, sociologists, and psychologists, for challenging cognitive tasks, large rewards means worse performance. So all of those GIANT bonuses going to workers on Wall Street are not necessary for the health of our economy, they may actually be hurting it.
Or so Dan Pink argues in this 11-minute illustrated lecture from Cognitive Media:
Choice quote: “When the profit motive gets unmoored from the purpose motive, bad things happen.”
* Hyperbole!
Lisa Wade, PhD is an Associate Professor at Tulane University. She is the author of American Hookup, a book about college sexual culture; a textbook about gender; and a forthcoming introductory text: Terrible Magnificent Sociology. You can follow her on Twitter and Instagram.
Comments 10
karma — August 7, 2010
My husband and I discovered this video just recently. It is really enjoyable to watch and really makes you think about what motivates a person. Denmark is the country I have been looking to recently they have an economy similar to what Dan Pink talks at the end of the video. I wonder what the US would look like if employers and governments took this different approach. Thanks for posting this I love your blog.
jake — August 8, 2010
Wow fantastic video. Basically this video is arguing for more of a socialistic workplace. For those who live in America, that does not mean communistic, where the state controls everything, because that would not make people more creative. Socialism would be similar to libertarianism. The employer would not be treating its employees like slaves, or enemies, but rather trying to help them be as creative as possible through autonomy. But, of course this doesn't work if shareholders and corporate CEO's are focused on the excel spread sheet models. Job security is also key. Try going to a country like Japan and notice how kind the employees are, that is partly a function of their security. It is hard to be creative if your constantly worried about getting fired. It is also important to note that not only have part time software developers created better products than Microsoft, but the original technology itself, from bio-tech, to the internet, etc.. was developed in Universities where the profit motive is almost entirely absent. In other words turning that technology over to the private sector has led to less innovation, rather than more.
MaggieDanger — August 8, 2010
Great video, great food for thought. The speaker was very clear when discussing reasons why mental and emotional fulfillment, rather than monetary gain, spurs creativity and innovation, but I wonder why a big promised reward not only doesn't INCREASE innovation, but actually DECREASES innovation? The video didn't do much to address possible reasons for this. Any ideas? I was wondering if it had anything to do with intimidation--a giant sum of promised money, which is a capitalist society's idea of "the ultimate goal," may bring out insecurity in a worker who doesn't think s/he can live up to the standard implied by that kind of money. A small or moderate sum of money, on the other hand, may seem like a reasonable goal to shoot for. I don't know...
James Devaney — August 16, 2010
Excellent
Mohin — December 7, 2024
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