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The connection between intrinsic motivation and your employee engagement strategy

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The connection between intrinsic motivation and your employee engagement strategy

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To meet the ever-changing demands of today’s business world, and to drive real employee engagement, companies need to foster intrinsic motivation – engaging in behaviors because they're personally rewarding, not for some external reward. Why? Extrinsic incentives are great to promote initial action but they don't encourage ongoing positive behavior change.

To meet the ever-changing demands of today’s business world, and to drive real employee engagement, companies need to foster intrinsic motivation – engaging in behaviors because they're personally rewarding, not for some external reward. Why? Extrinsic incentives are great to promote initial action but they don't encourage ongoing positive behavior change.

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The connection between intrinsic motivation and your employee engagement strategy

  1. 1. | © 2016 Limeade1 THE POWER OF INTRINSIC MOTIVATION
  2. 2. | © 2016 Limeade2 ABOUT OUR SPEAKERS Dr. Laura Hamill Managing Director of Limeade Institute and Chief People Officer Dr. Toni Best Chief Human Performance Officer at ADURO
  3. 3. | © 2016 Limeade3 | © 2016 Limeade3 TODAY’S AGENDA • Intrinsic vs. extrinsic • Why intrinsic motivation matters • Intrinsic motivation and employee engagement • Application • Q&A
  4. 4. | © 2016 Limeade4 WHY DO WE DO WHAT WE DO?
  5. 5. | © 2016 Limeade5 WHAT IS MOTIVATION? How do you get your child to brush her teeth?
  6. 6. | © 2016 Limeade6 INTRINSIC VS. EXTRINSIC MOTIVATION: WHY WE DO WHAT WE DO Because of the interest and enjoyment in the task itself Ryan & Deci, 2000 Intrinsic Extrinsic Because of the outcome that will result by doing the task • Enjoyment • Purpose • Growth • Curiosity • Passion • Self-expression • Fun • Promotions • Pay raises • Bonuses • Benefits • Prizes • Winning • Perks
  7. 7. | © 2016 Limeade7 | © 2016 Limeade7 INTRINSIC MOTIVATION IS POWERFUL When a task is intrinsically motivating, people: • Keep an open mind • Persist autonomously • Adopt mastery goals that guide task completion • Foster ownership • Flow Amabile, 2010 Csikszentmihalyi, 1975
  8. 8. | © 2016 Limeade8 | © 2016 Limeade8 INTRINSIC MOTIVATION IS RELATED TO… • Performance • Work effort and creativity • Employee knowledge sharing • Retention • Higher job satisfaction Cerasoli, Nicklin, & Ford, 2014 De Jesus et al., 2013; Dysvik, 2013; Lin, 2007 Thomas, 2009
  9. 9. | © 2016 Limeade9 Monetary rewards can harm intrinsic motivation • Over-justification effect: idea that offering external rewards for an internally rewarding behavior can lead to a reduction in intrinsic motivation (I did it because I got paid, not because I wanted to do it…) Monetary rewards can work when… • Getting people to try something new • Helping drive compliance USING MONETARY REWARDS
  10. 10. | © 2016 Limeade10 PAIN AVOIDANCE • Humans innately avoid pain • Avoiding pain can be a strong motivator, but can create negative sentiment • People will do just enough to satisfy the requirement, not much else
  11. 11. | © 2016 Limeade11 SCIENCE & PRACTICE DISCONNECT If intrinsic motivation is so powerful, why are most people practices built around extrinsic motivation?
  12. 12. | © 2016 Limeade12 SCIENCE & PRACTICE DISCONNECT Extrinsic rewards may have been more effective in earlier eras when: • Work was more routine • Patriarchal models were more trusted • Compliance was more important In our ever-changing environment that requires more creativity and innovation, a focus on extrinsic motivation is not enough… Pink, 2009
  13. 13. | © 2016 Limeade13 INTRINSIC MOTIVATION & EMPLOYEE ENGAGEMENT
  14. 14. | © 2016 Limeade14 WHAT IS EMPLOYEE ENGAGEMENT? • A deep connection and sense of purpose at work that creates extra energy and commitment • Engagement benefits the employee and employer • When engaged, employees are intrinsically motivated
  15. 15. | © 2016 Limeade15 INTRINSIC REWARDS THAT DRIVE EMPLOYEE ENGAGEMENT • Meaning • Choice • Competence • Progress Thomas, 2009
  16. 16. | © 2016 Limeade16 Engagement matters Companies with high employee engagement: More profitable (Aon Hewitt, 2009) 78% more profitable and 40% more productive Fewer safety incidents (SHRM, 2006) 5x Less likely to have safety incident Higher growth (Hay Group, 2010) ENGAGED WORKFORCES MEAN BETTER RESULTS Stock price growth 2.5x that of peers
  17. 17. | © 2016 Limeade17 ADURO + Dr. Toni Best
  18. 18. | © 2016 Limeade18 DESIGNING AN INTRINSIC-DRIVEN PROGRAM Goal: Happy, high-performing and productive workforce Task: Both a challenge and opportunity to help get to positive change
  19. 19. | © 2016 Limeade19 CREATE AWARENESS • Provide resources to help employees become aware of their current state of well-being – This isn’t a one-time thing – New learnings can drive further engagement Shelley 1972
  20. 20. | © 2016 Limeade20 CHANGE PRACTICE IGNITE ENGAGE DISCOVER ADURO Research, in collaboration with work from Fogg, B.J. "A Behavior Model for Persuasive Design," and Duhigg, Charles “The Power of Habits.” Transformative Habit Change Model TRANSFORMATIVE HABIT CHANGE
  21. 21. | © 2016 Limeade21 How important is sleep to you? 1 2 3 4 5 CHANGE PRACTICE IGNITE ENGAGE DISCOVER ADURO Research, in collaboration with work from Fogg, B.J. "A Behavior Model for Persuasive Design," and Duhigg, Charles “The Power of Habits.” HABIT CHANGE IN ACTION
  22. 22. | © 2016 Limeade22 STAGES OF CHANGE 1. Precontemplation 2. Contemplation 3. Preparation 4. Action 5. Maintenance 6. Relapse
  23. 23. | © 2016 Limeade23 PERSONALIZATION say a personalized, customized approach is needed in a well-being program 75% feel there are cultural barriers preventing engagement and lack of company support 53% • Make it meaningful and relevant to the individual • Meet them where they are • Build trust • Treat them like assets rather than a bundle of risks • Focus on the whole-person McManamy 2018
  24. 24. | © 2016 Limeade24 49% 28% 20% 3% INSPIRING YOUR TOTAL POPULATION Health & Fitness Money & Prosperity Growth & Development Contribution & Sustainability selected something other than Health & Fitness51% 35K respondents
  25. 25. | © 2016 Limeade25 HUMAN MOMENT Human to human is important — it can’t be fully replaced by technology • Guides intention to create change • Inspires new thinking • Explores new opportunities for intrinsic motivation
  26. 26. | © 2016 Limeade26 CASE STUDY: PORT OF SEATTLE
  27. 27. | © 2016 Limeade27 If they’re engaged as an employee, they’re working harder and more effectively here for the organization... It should be about the employee and what’s good for them. DAVE SOLKE Interim Executive Director “
  28. 28. | © 2016 Limeade28 Honestly, when I am volunteering and doing what I do in the community, it gives me energy to go to work. It gives me energy to carry on in life, period. EARL PARKER Facilities & Maintenance Manager WHAT MOTIVATES THE EMPLOYEE? “
  29. 29. | © 2016 Limeade29 It creates a sense of community as well as allows employees to be heard, and when an employees voice is heard, they transform. It’s so exciting to see. MANETTE MOSES Director of Health & Safety HELP EMPLOYEES SHAPE THEIR PROGRAM “
  30. 30. | © 2016 Limeade30 HOW CAN WE MOVE AWAY FROM RELYING SO HEAVILY ON EXTRINSIC REWARDS?
  31. 31. | © 2016 Limeade31 WHEN STARTING A NEW PROGRAM ...do not rely heavily on financial rewards
  32. 32. | © 2016 Limeade32 WHEN TRANSITIONING AN EXISTING PROGRAM 1. Step down approach: Make sure to communicate and explain why — in a personalized way. 2. Start to use more inspiring rewards & fewer traditional financial rewards
  33. 33. | © 2016 Limeade33 “INSPIRING” REWARD EXAMPLES • Recognition/praise (e.g., e-mail signature, trophy or symbol specific to the organization, well-being hall of fame) • Time with leaders (lunch, shadowing) • Donations to a charity of choice • Customer visits • Paid time off • Team-level rewards that map onto organizational business goals • Team-level training on a valuable topic • Team-building activities or team-building events
  34. 34. | © 2016 Limeade34 BALANCING INTRINSIC & EXTRINSIC MOTIVATION Instead of thinking of intrinsic and extrinsic motivation as antagonistic to each other (or the need to choose one or the other), consider them together and in certain situations: INTRINSIC • Quality • Creativity • Complexity • Requires personal investment EXTRINSIC • Quantity • Highly repetitive • Simple • Inherently less enjoyable work Cerasoli et al., 2014
  35. 35. | © 2016 Limeade35 3 KEY TAKE-AWAYS FOCUS ON THE WHY PERSONALIZE THE EXPERIENCE SUPPORT THE JOUNREY
  36. 36. | © 2016 Limeade36 Limeade Limeade is an employee engagement company that inspires commitment by elevating culture. Limeade technology creates an immersive experience focused on the whole person, the whole company and the whole ecosystem with integrated well-being, engagement, social recognition and aggregation software. ADURO ADURO is the Human Performance company empowering individuals, organizations and communities to be great at anything. Our habit-changing experiences are designed to fit your company culture, while starting with each individual’s personal journey. One habit at a time, we help people discover their own path toward a healthy, high-performing life. Those changes transform interests into outcomes, deepening engagement and invigorating your company culture. Q&A
  37. 37. | © 2016 Limeade37 THANK YOU!
  38. 38. | © 2016 Limeade38 REFERENCES • Amabile, T. M. (1993). Motivational synergy: Toward new conceptualizations of intrinsic and extrinsic motivation in the workplace. Human Resource Management Review, 3(3), 185. • Ryan R. M., & Deci, E. L. (2000). Intrinsic and extrinsic motivations: Classic definitions and new directions. Contemporary Educational Psychology, 25, 54-67. doi: 10.1006/ceps.1999.1020 • Pink, D. (2009, Jul.) The puzzle of motivation. TedTalk. Retrieved from • http://www.ted.com/talks/dan_pink_on_motivation#t-560035 • Amabile, T. M. (2010). What really motivates workers. Harvard Business Review. Retrieved from https://hbr.org/2010/01/the-hbr-list-breakthrough-ideas-for-2010 • Cerasoli, C. P., Nicklin, J. M., & Ford, M. T. (2014, February 3). Intrinsic motivation and extrinsic incentives jointly predict performance: A 40-year meta-analysis. Psychological Bulletin. Advance online publication. http://dx.doi.org/10.1037/a0035661 • Csikszentmihalyi, M. (1975). Beyond Boredom and Anxiety. San Francisco: Jossey-Bass. Dysvik, A. B. (2013). Intrinsic and extrinsic motivation as predictors of work effort: The moderating role • of achievement goals. British Journal of Social Psychology, 52(3), 412-430. de Jesus, S. S. (2013). Intrinsic motivation and creativity related to product: A meta-analysis of the • studies published between 1990–2010. Creativity Research Journal, 25(1), 80-84. Lin, H. F. (2007). Effects of extrinsic and intrinsic motivation on employee knowledge sharing intentions. • Journal of Information Science, 1, 1-15. doi: 10.1177/0165551506068174 Promberger, M., & Marteau, T. M. (2013). When do financial incentives reduce intrinsic motivation? • Comparing behaviors studied in psychological and economic literatures. Health Psychology, • 32(9), 950-957. doi:10.1037/a0032727 Utman, C. H. (1997). Performance effects of motivational state: A meta-analysis. Personality and Social • Psychology Review, 1(2), 170-182. doi:10.1207/s15327957pspr0102_4 • Thomas, K. (2009, Nov/Dec). The four intrinsic rewards that drive employee engagement. Ivey Business Journal. Retrieved from http://iveybusinessjournal.com/publication/the-four-intrinsic-rewards-that- drive-employee-engagement/

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