How can you prevent competition and individualism from negatively affecting your incentive program?

Incentive programs are designed to motivate and reward employees for achieving certain goals, such as sales, productivity, quality, or customer satisfaction. However, if not implemented carefully, they can also create unhealthy competition and individualism among employees, which can undermine teamwork, cooperation, and trust. How can you prevent this from happening and ensure that your incentive program supports your organizational culture and values? Here are some tips to consider.

1 Align incentives with objectives

The first step is to make sure that your incentive program is aligned with your strategic objectives and desired behaviors. For example, if you want to foster collaboration and innovation, you should reward employees not only for their individual performance, but also for their contribution to team or cross-functional projects, their sharing of knowledge and best practices, and their involvement in continuous improvement initiatives. You should also communicate clearly how the incentives are linked to the organizational vision, mission, and values, and how they benefit the employees and the customers.

Add your perspective

Suvarna Suryawanshi

Deputy Manager HR - Building High-Performance Teams Across the South Zone with 12+ Years as a Versatile HR Professional in Operations
Report contribution
By aligning incentives with strategic objectives and desired behaviors, organizations can cultivate a culture that values collaboration, innovation, knowledge sharing, and continuous improvement. Clear communication about the connection between incentives and the organization's vision, mission, and values is crucial for ensuring that employees understand the broader impact of their contributions. Ultimately, a well-aligned incentive program contributes to the overall success of the organization by motivating employees and delivering value to both the workforce and customers.

Like

2 Balance individual and team incentives

The second step is to balance individual and team incentives, so that employees have both personal and collective goals to pursue. Individual incentives can motivate employees to excel in their own tasks and responsibilities, while team incentives can encourage them to work together and support each other. However, you should avoid setting conflicting or competing goals that pit employees against each other, or create a zero-sum game where one person's gain is another person's loss. Instead, you should create a win-win situation where everyone can benefit from the success of the team and the organization.

Add your perspective

Tom Shriver-McGrevy, SHRM-CP

Human Resources Professional | Employee Relations | Employee Engagement | Empowering Teams for Success!
Report contribution
Start by designing a structure that balances individual achievements with collaborative goals. Encourage teamwork by incorporating group incentives alongside individual rewards, fostering a culture where cooperation is valued as much as personal success. Emphasize shared objectives that necessitate collective effort, reducing the focus solely on outdoing others. Additionally, promote transparent communication about the program's objectives and how individual contributions align with overall organizational success.

Like

3 Monitor and adjust incentives

The third step is to monitor and adjust your incentive program regularly, to ensure that it is fair, transparent, and effective. You should track the results and feedback of the incentive program, and analyze how it affects the employee performance, engagement, and satisfaction. You should also review the criteria and metrics of the incentives, and make sure that they are relevant, realistic, and attainable. If you notice any signs of negative consequences, such as unethical behavior, manipulation, or resentment, you should address them promptly and make the necessary changes to your incentive program.

Add your perspective

4 Recognize and appreciate employees

The fourth step is to recognize and appreciate your employees for their achievements and efforts, not only through monetary rewards, but also through non-monetary rewards, such as praise, feedback, recognition, development opportunities, and career advancement. You should also celebrate the successes of the team and the organization, and acknowledge the contribution of each employee. By doing so, you can create a positive and supportive work environment, where employees feel valued, respected, and empowered.

Add your perspective

5 Involve and empower employees

The fifth step is to involve and empower your employees in the design and implementation of your incentive program. You should solicit their input and feedback on what motivates them, what goals they want to achieve, and what rewards they prefer. You should also give them some autonomy and flexibility in how they perform their tasks and reach their goals, as long as they adhere to the standards and expectations. By doing so, you can increase their ownership and commitment to the incentive program, and enhance their sense of purpose and satisfaction.

Add your perspective

6 Promote a growth mindset

The sixth step is to promote a growth mindset among your employees, which is the belief that they can improve their skills and abilities through effort, learning, and feedback. You should encourage them to set challenging but achievable goals, to seek feedback and coaching, to learn from their mistakes and failures, and to embrace new opportunities and challenges. You should also provide them with the resources and support they need to grow and develop. By doing so, you can foster a culture of continuous improvement, where employees are motivated by their intrinsic desire to learn and grow, rather than by external rewards or pressure.

Add your perspective

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

Add your perspective

How can you prevent competition and individualism from negatively affecting your incentive program?

1

2

3

4

5

6

7

1 Align incentives with objectives

2 Balance individual and team incentives

3 Monitor and adjust incentives

4 Recognize and appreciate employees

5 Involve and empower employees

6 Promote a growth mindset

7 Here’s what else to consider

Employee Relations

Rate this article

Thanks for your feedback

More articles on Employee Relations

More relevant reading

How can you prevent competition and individualism from negatively affecting your incentive program?

1

2

3

4

5

6

7

1 Align incentives with objectives

2 Balance individual and team incentives

3 Monitor and adjust incentives

4 Recognize and appreciate employees

5 Involve and empower employees

6 Promote a growth mindset

7 Here’s what else to consider

Employee Relations

Rate this article

Thanks for your feedback

Explore Other Skills