Chapter 24 - Can Reward Systems Influence the Creative Individual?

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This chapter examines the role that rewards play in stimulating creativity. One begins by discussing the role of reward systems in existing models of creativity in organizations. The use of reward systems to stimulate creativity is a complex and equivocal topic. Although most managers in today's organizations ostensibly rely upon reward systems to drive creative performance, there is a paucity of empirical evidence of widespread success in using reward systems for this purpose. A number of empirical studies demonstrate that rewards can have both positive and negative influences on both developing and facilitating creative performance. Real-world case studies and other qualitative, anecdotal, organizational examples provide us with a clearer view of the value of developing creativity through reward systems. Studies of the most creatively successful organizations exhibit a definite avoidance of traditional reward systems. Rather than focusing on linking rewards to positive outcomes, these organizations use the indirect strategy of creating an environment in which creativity can flourish.

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