Some of what's widely believed about managing people is often right. But some is worse than worthless. We're actually better off ignoring it. Here's a fourth installment of adages and beliefs that sound like common sense, but which are actually untrue or massively misapplied. See "Wacky Words of Wisdom," Point Lookout for July 14, 2010, for Part I and links to others.
- You get what you pay for
- Many believe that for any given individual, and any desired behavior, we can structure money-based incentives that effectively elicit the behavior. That is a false belief.
- Numerous studies have demonstrated the falsity of this belief [Kamenica 2012]. Even if such an incentive program did exist, it could be effective only with accurate communication of the program to the target individuals. And we all know how unreliable communication can be.
- Punishment deters bad behavior
- This belief is the inverse of the monetary incentives idea. It holds that disincentives can deter employees from any specific undesirable behavior. It's also a false belief. Although disincentives can deter some people from some behaviors, we overestimate the effectiveness of disincentives, and we often overlook their negative side effects.
- Research has demonstrated [Eschleman 2014] the shortcomings of disincentives. Moreover, the effectiveness of disincentives in deterring others is limited by communications constraints arising from regulations designed to protect the privacy of individuals who have been disciplined or terminated.
- People make choices on the basis of rational self-interest
- This belief is at the heart of claims that incentives and disincentives are effective. The effectiveness of incentives and disincentives depends on people making rational choices after being informed of them.
- In 2002, Daniel Kahneman, an Israeli-American psychologist, was awarded the Nobel Prize in economics for foundational work he carried out jointly with Amos Tversky, who was deceased at the time of the award (the Prize is not awarded posthumously). Kahneman and Tversky demonstrated that people don't always choose rationally; indeed, in some classes of situations, they rarely choose rationally. Among other mechanisms, cognitive biases account for many of these phenomena.
- Whatever you're trying to do, teams do it best
- At every Some of what we believe is worse
than worthless. We're actually
better off ignoring it.size scale, enterprises have reorganized themselves around teams. Teams are effective for some things, but not everything, and not in every setting [Bacal 2015]. Probably the next level of sophistication about teamwork will involve knowing when not to organize as teams.
- Writing is an example. If documents can be segmented, then teams (actually groups of individuals) can write them faster and better. But when we need consistency of style and content, single authors do best. And so it is with much else that people are now trying to do in teams. Study the work you do as teams and ask "How is (or maybe, 'Is') the team structure helping?"
Are your projects always (or almost always) late and over budget? Are your project teams plagued by turnover, burnout, and high defect rates? Turn your culture around. Read 52 Tips for Leaders of Project-Oriented Organizations, filled with tips and techniques for organizational leaders. Order Now!
For more examples, see "Wacky Words of Wisdom," Point Lookout for July 14, 2010, "Wacky Words of Wisdom: II," Point Lookout for June 6, 2012, "Wacky Words of Wisdom: III," Point Lookout for July 11, 2012, "Wacky Words of Wisdom: V," Point Lookout for May 25, 2016, and "Wacky Words of Wisdom: VI," Point Lookout for November 28, 2018.
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More articles on Personal, Team, and Organizational Effectiveness:
- When Your Boss Attacks Your Self-Esteem
- Your boss's comments about your work can make your day — or break it. When you experience a comment
as negative or hurtful, you might become angry, defensive, withdrawn, or even shut down. When that happens,
you're not at your best. What can you do if your boss seems intent on making every day a misery?
- Critical Thinking and Midnight Pizza
- When we notice patterns or coincidences, we draw conclusions about things we can't or didn't directly
observe. Sometimes the conclusions are right, and sometimes not. When they're not, organizations, careers,
and people can suffer. To be right more often, we must master critical thinking.
- Figuring Out What to Do First
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unlimited problems to deal with. How do we decide which problems are important? How do we decide where
to focus our attention first?
- Holding Back: II
- Members of high-performing teams rarely hold back effort. But truly high performance is rare in teams.
Here is Part II of our exploration of mechanisms that account for team members' holding back effort
they could contribute.
- How We Waste Time: II
- We're all pretty good at wasting time. We're also fairly certain we know when we're doing it. But we're
much better at it than we know. Here's Part II of a little catalog of time wasters, emphasizing those
that are outside — or mostly outside — our awareness.
Forthcoming issues of Point Lookout
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- Three feelings are often confused with each other: embarrassment, shame, and guilt. To understand how to cope with these feelings, begin by understanding what different kinds of situations we use when we create these feelings. Available here and by RSS on December 19.
- And on December 26: Embarrassment, Shame, and Guilt at Work: Coping
- Coping effectively with feelings of embarrassment, shame, or guilt is the path to recovering a sense of balance that's the foundation of clear thinking. And thinking clearly at work is important if you want to avoid feeling embarrassment, shame, or guilt. Available here and by RSS on December 26.
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- The Power Affect: How We Express Our Personal Power
- Many people who possess real organizational power have a characteristic demeanor. It's the way they project their presence. I call this the power affect. Some people — call them power pretenders — adopt the power affect well before they attain significant organizational power. Unfortunately for their colleagues, and for their organizations, power pretenders can attain organizational power out of proportion to their merit or abilities. Understanding the power affect is therefore important for anyone who aims to attain power, or anyone who works with power pretenders. Read more about this program.