Amplifying Motivation In a Creative Team

“The Influence of Intrinsic Motivation and Synergistic Extrinsic Motivators on Creativity and Innovation”

Carmen Fischer, Charlotte P. Malycha and Ernestine Schafmann (2019)


What are the researchers interested in?

In an innovative-driven organization, creative ideas and novel impulses from their employees are increasingly valued. Motivation guides the direction and provides consistency, a substantial factor for the viability of an organization. To this end, researchers got to work and found that motivation has two different types that leads to not only higher engagement but creativity and innovation as well.

  • Intrinsic motivation: Characterized by strong personal investment and engagement without external rewards (self-efficacy, passion). 

  • Extrinsic motivation: Characterized by strong investment and engagement due to obvious external rewards (pay, praise, fame).

Intrinsic motivation

Throughout the last few decades, intrinsic motivation has dominated the literature of enhancing positive behaviour in the workforce. Such positive behaviours, include creativity and innovation. However, not all jobs are inherently interesting enough to work without getting paid. Thus, the researchers argue that to enhance creativity and innovation, extrinsic motivators must also be considered. External motivators will play a synergistic role in the interplay with intrinsic motivation to enhance creativity and innovative performance.

There are three basic psychological needs that need to be met for intrinsic motivation to emerge.

1.     Need for Competence – satisfaction of the effectiveness of ones’ own work

2.     Need for Relatedness – providing a feeling of belongingness, supported by cooperation and team work

3.     Need for Autonomy – representing ones engagement and power over one’s own actions and work.

In the context of creativity and innovation, previous studies have underlined a strong relationship between intrinsic motivation and creativity. Therefore, intrinsic motivation on creative and innovative performance has widely been found to have a significant effect. The study aimed to replicate and confirm this relationship and made the following prediction:

  • Intrinsic motivation has a significant positive effect on the creative and innovative performance of knowledge

Extrinsic motivation

It is common for extrinsic motivation to be overlooked in motivation and performance. Past research has often supported the negative impact on intrinsic motivation and performance that extrinsic motivation has. In human capital management, rewards and compensation are the most common form of extrinsic motivators in the workplace. Researchers have distinguished between two main types of extrinsic rewards.

  • Transactional rewards - tangible rewards and refers to any type of financial compensation (e.g. increase pay, bonus, training/certification)

  • Relational rewards - intangible rewards that go beyond financial compensation. Includes praise, recognition, and performance feedback.

The current study argues that there should be an effect where both transactional rewards and relational rewards will moderate the relationship between intrinsically motivated workers and their creativity as well as innovative performance positively. The following prediction was made:

  • Transactional rewards/Relational rewards moderate the relationship between intrinsically motivated knowledge workers and their creative as well as innovative performance positively. (type of reward will increase the positive relationship between intrinsically motivated people and their creativity output)

What method did they use?

Data was collected through an online self-assessment. This was sent via e-mail to knowledge workers of a global business consulting firm stationed in Germany, Austria and Switzerland. Variables were defined and measured as such:

Rating each item from 1-4 ( 1 = Never/Almost never true of me; 2 = Sometimes true of me; 3 = Often true of me; 4 = Always/Almost always true of me)

Motivation

  • “I want my work to provide me with opportunities for increasing my knowledge and skills.”

  • “I prefer work I know I can do well over work that stretches my abilities.”

Creativity & Innovation

  • “I actively think about improvements for the work of direct colleagues.”

  • “I generate ideas to improve or renew services we provide.”

Rewards and Recognition (is it likely for me to receive … in my current company?)

  • Monetary rewards for good creative ideas

  • Symbolic public recognition for good creative ideas

  • Individual praise and recognition from my manager for good creative ideas

What did they end up finding?

Findings demonstrated a positive interaction effect (considering 3 variables) of relational rewards and intrinsic motivation on creativity/innovation performance. In addition to the significant effect, the main effects (only considering two variables at a time) between the dependent variable and each of the independent variables: intrinsic motivation, relational and transactional rewards showed significant positive results.

Relational rewards tend to initiate noticeable stimuli, enough to be recognized by consultants. Studies show without these noticeable stimuli, no creative or innovative action would follow (Gerrif and Zimbardo, 2016).

Below are three factors that have been shown to increase feelings of competence through evaluation and confirmation of one’s abilities, increases autonomous motivation, and better performance.

 
 

Why does this matter for organizations?

Human capital management, especially in the compensation department has to carefully analyze the needs of their employees as well as the needs of their business to create an effective reward system. In particular, the need to be innovative and produce novel ideas. Research has shown that relational rewards, can help organizations to enhance the creative performance of their workers. Research on both intrinsic motivation and extrinsic motivation could profoundly benefit the compensation and rewards department of multiple organizations. Motivation is also seen as “the heart of organizational behaviour”(Gagné, 2014), an appreciation for employees work when it does not directly lead to economic value should still be done. Research shows that, motivation can be bred when understanding human needs (competence, autonomy, relatedness).


References

Fischer, C., Malycha, C. P., & Schafmann, E. (2019). The influence of intrinsic motivation and synergistic extrinsic motivators on creativity and innovation. Frontiers in psychology, 10, 137.

Gagné, M. (ed.) (2014). Oxford Library of Psychology: The Oxford Handbook of Work Engagement, (Motivation), and Self-Determination Theory. Oxford: Oxford University Press.

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