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The Innovation Show
Steve Kerr - Reward Systems: Does Yours Measure Up?
Dec 11, 2024
Steve Kerr, an expert on reward systems and organizational behavior, discusses the pitfalls of flawed reward systems that can lead to irrational employee behaviors. He illustrates his points using B.F. Skinner's theories and shares a three-step process for realigning these systems to achieve desired outcomes. Kerr draws on examples from healthcare and military history to highlight how misaligned incentives affect organizational performance. He also emphasizes the need for effective measurement and the importance of open communication in leadership during transformative changes.
23:20
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Quick takeaways
- Flawed reward systems often lead to irrational employee behaviors, indicating that organizations must improve their measurement and incentives for better outcomes.
- Aligning reward systems with meaningful metrics is crucial, as misaligned incentives can produce counterproductive results, especially in fields like healthcare.
Deep dives
Blaming the Rat: Understanding Dysfunctional Behaviors
Blaming employees for undesirable behaviors parallels B.F. Skinner's concept of blaming the rat, where flawed experimental designs lead to misinterpretations of behavior. This approach emphasizes that organizations are often responsible for the dysfunctions they experience, highlighting that it is possible to address and correct these issues by improving systems rather than targeting individuals. The podcast presents an empowering perspective: since the organization plays a pivotal role in shaping behavior, leaders have the capacity to enact meaningful changes to reward systems and measurements to foster a healthier workplace dynamic. This insight reinforces that identifying and rectifying the root causes of problematic behaviors often root in the systems themselves rather than the employees.
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Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode