Incentives – why they almost never work

In most organisations we engage with, the first thing that is considered whenever a behaviour change is required is an incentive scheme.  If we need better customer experience ratings, let's incentivise the front-line staff; if we need people to share knowledge, let's link that behaviour to their KPA's; and so on, and so on. The problem is that incentives almost never have the desired impact, in fact, often quite the opposite.  We often refer to Goodhart's Law: When a measure becomes [...]

By |July 7th, 2010|Categories: Complexity|Tags: , |0 Comments