Incentives for motivating radical innovation – how to make it work?

In a special feature, SMU Professor of Organisational Behaviour & Human Resources (Education) and Academic Director, MSc (Innovation) Thomas Menkhoff spoke of the importance of designing an optimal and strategic incentives system in encouraging a robust innovation culture. Professor Menkhoff cited his research studies on knowledge sharing behaviour in knowledge-intensive contexts, and explained how managers need to appreciate the temporal distinction between the two motivational tools of incentives and rewards, so as to encourage employees to innovate. He added that innovation KPIs incorporated into a balanced innovation scorecard must leave enough room for trial and error, experimentation, exchange of ideas and learning.