Prosocial Bonuses Increase Employee Satisfaction and Team Performance

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Prosocial Bonuses Increase Employee Satisfaction and Team Performance

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Title: Prosocial Bonuses Increase Employee Satisfaction and Team Performance
Author: Anik, Lalin; Aknin, Lara B.; Norton, Michael Irwin; Dunn, Elizabeth W.; Quoidbach, Jordi

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Citation: Anik, Lalin, Lara B. Aknin, Michael I. Norton, Elizabeth W. Dunn, and Jordi Quoidbach. "Prosocial Bonuses Increase Employee Satisfaction and Team Performance." Harvard Business School Working Paper, No. 13–095, May 2013.
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Abstract: In two field studies, we explore the impact of providing employees and teammates with prosocial bonuses, a novel type of bonus spent on others rather than on oneself. In Experiment 1, we show that prosocial bonuses in the form of donations to charity lead to happier and more satisfied employees at an Australian bank. In Experiment 2, we show that prosocial bonuses in the form of expenditures on teammates lead to better performance in both pharmaceutical sales teams in Belgium and sports teams in Canada. These results suggest that a minor adjustment to employee bonuses – shifting the focus from the self to others – can produce measurable benefits for employees and organizations.
Terms of Use: This article is made available under the terms and conditions applicable to Open Access Policy Articles, as set forth at http://nrs.harvard.edu/urn-3:HUL.InstRepos:dash.current.terms-of-use#OAP
Citable link to this page: http://nrs.harvard.edu/urn-3:HUL.InstRepos:10646420
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