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Awards at work

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  • Susanne Neckermann
  • Reto Cueni
  • Bruno S. Frey

Abstract

Awards�widespread in the corporate sector and elsewhere�are motivators that derive their value from non-pecuniary concerns such as status and self-image. Quasi-experimental panel data from the call center of a large international bank allow us to estimate the causal impact on effort when receiving an award. The performance of winners proves to be significantly higher than that of comparable nonrecipients after the award has been presented. This increase in work effort is sizeable and robust. We investigate the various theories that could explain the change in behavior. We find that image concerns most likely drive the effect.

Suggested Citation

  • Susanne Neckermann & Reto Cueni & Bruno S. Frey, 2010. "Awards at work," IEW - Working Papers 411, Institute for Empirical Research in Economics - University of Zurich.
  • Handle: RePEc:zur:iewwpx:411
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    1. repec:kap:expeco:v:20:y:2017:i:2:d:10.1007_s10683-016-9485-0 is not listed on IDEAS
    2. Ashraf, Nava & Bandiera, Oriana & Jack, Kelsey, 2012. "No margin, no mission? A Field Experiment on Incentives for Pro-Social Tasks," CEPR Discussion Papers 8834, C.E.P.R. Discussion Papers.
    3. Benno Torgler & Marco Piatti, 2011. "A Century of American Economic Review," Working Papers 2011.27, Fondazione Eni Enrico Mattei.
    4. Ho Fai Chan & Bruno S. Frey & Jana Gallus & Benno Torgler, 2013. "Does the John Bates Clark Medal boost subsequent productivity and citation success?," ECON - Working Papers 111, Department of Economics - University of Zurich.
    5. Neckermann, Susanne & Yang, Xiaolan, 2017. "Understanding the (unexpected) consequences of unexpected recognition," Journal of Economic Behavior & Organization, Elsevier, vol. 135(C), pages 131-142.
    6. repec:spr:scient:v:112:y:2017:i:3:d:10.1007_s11192-017-2429-4 is not listed on IDEAS
    7. Chan, Ho Fai & Frey, Bruno S. & Gallus, Jana & Torgler, Benno, 2014. "Academic honors and performance," Labour Economics, Elsevier, vol. 31(C), pages 188-204.

    More about this item

    Keywords

    Awards; motivation; non-monetary compensation; insider econometrics;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • J33 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Compensation Packages; Payment Methods
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects

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