What is it about?
Assesses the degree to which using pay for performance helps or hinders intrinsic motivation and creativity (and performance).
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Why is it important?
Pay for performance has often been viewed as harmful to intrinsic motivation and creativity. However, based on accumulating theory and evidence, that view has changed.
Perspectives
There are many things that can go wrong in using pay for performance. But, not using pay for performance probably carries more risks. For most organizations, the question is how to design pay for performance to minimize the risks and maximize its positive effects.
Professor Barry Gerhart
University of Wisconsin-Madison
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This page is a summary of: Pay, Intrinsic Motivation, Extrinsic Motivation, Performance, and Creativity in the Workplace: Revisiting Long-Held Beliefs, Annual Review of Organizational Psychology and Organizational Behavior, April 2015, Annual Reviews,
DOI: 10.1146/annurev-orgpsych-032414-111418.
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