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We study a field experiment at a large technology company. Employees were encouraged to submit ideas on process and product improvements. The company randomly assigned nineteen teams into treatment and control groups. Treatment team employees received rewards if their ideas were approved. Nothing changed for control team employees. Our main finding is that rewards substantially increased the quality of ideas. Rewards increased participation in the suggestion system but decreased ideas per participating employee, with no net effect on the quantity of ideas. Broader participation persisted after the reward was discontinued, suggesting habituation. We find no evidence for motivational crowding out.
HB Economic Theory, O32, 330, incentives, ddc:330, M52, J24, intrinsic motivation, creativity, innovation, incentives, innovation, C93, field experiment, rewards, innovation, rewards, creativity, field experiment, intrinsic motivation, creativity, jel: jel:C93, jel: jel:J24, jel: jel:M52, jel: jel:O32
HB Economic Theory, O32, 330, incentives, ddc:330, M52, J24, intrinsic motivation, creativity, innovation, incentives, innovation, C93, field experiment, rewards, innovation, rewards, creativity, field experiment, intrinsic motivation, creativity, jel: jel:C93, jel: jel:J24, jel: jel:M52, jel: jel:O32
citations This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically). | 25 | |
popularity This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network. | Top 10% | |
influence This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically). | Average | |
impulse This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network. | Average |