New evidence on the effectiveness of bonus payments in creative, analytical jobs

 

A few years ago a NY hedge fund boss asked me a strange question. I thought it strange because I believe he knew in advance how I would answer, and how he would respond to my answer. And both of us knew that nothing either he or I said would make a blind bit of difference to how hedge fund bosses ran their businesses. The question was: What do you think of individual performance bonuses? Continue reading

Advertisements

Why some teams are effective and others are not

effective-teams.png

Can you think of an example of an effective working group? I can: a disaster rescue and recovery team. These are groups of men and women who, in the aftermath of a catastrophe, work to rescue the victims and to prevent subsequent loss of life. They are composed of specialists, like engineers, medics, electricians, and dog handlers. In the case of major disasters, such teams are brought in from several different countries. Some of them might never have worked together before. Yet the operation runs effectively. If teamwork is possible in such a diverse group, under intense time and performance pressure, in inhospitable working conditions, and among people who might not even have met before, why can it sometimes seem so difficult in the typical corporate environment?

Continue reading