BlogTags - Behavioural economics

28 September, 2022

Gamification: How to Match your Organizational Goals to an Employee’s Personal Goals

As human beings, we enjoy the excitement and sheer gratification that comes from playing games- be it board games with family or virtual contests with colleagues. The idea of participating in a competition where it’s possible for us to win stimulates us more than simply going through a mundane office workday. This knowledge can be leveraged by HR leaders to implement elements of gamification in their total rewards program and engagement strategy. Gamification of both the recognitions process and the sales incentives process ensures higher adoptability of the platforms by employees and greater employee motivation levels. Gamification in behavioral economics has been used across…

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17 September, 2021

Using Positive Reinforcement to Boost Organizational Values

Positive reinforcement is a time-tested behavior modification technique that has been known to promote desirable behavior, especially among young adults and learners. It is based on the concept of operant conditioning in psychology- which dictates that behavior is influenced by the external consequences to one’s actions. In other words, rewards or punishments determine whether or not one is going to perform an action. This simple concept is the reason why children complete their homework, for example (to prevent a note from the teacher) or perform well in exams (to get a treat of their choice from parents). While the former…

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25 August, 2020

Create an Effective Employee Rewards Program Using the Halo Effect

The term ‘Halo Effect’ was first coined by a psychologist named Edward Thorndike in 1920. However, it was later popularized by neuroscientists and psychologists, striving to understand the hidden cognitive phenomenon influencing the behavior of the modern man. The Halo Effect occurs when one or more past experiences with an individual, place or entity are used to create the current overall perception, resulting in a sort of halo around everything associated with the subject. Nobel Laureate Kahneman draws this concept back to the ‘associative machine’: a system of the intuitive (or subconscious) brain used to form impressions about someone or…

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23 July, 2020

How Emotional Stamps Influence Employee Engagement & Retention

In the previous introductory blog, we had discussed the significance of Behavioral Economics in creating a scientific framework for employee engagement, total rewards and recognition frameworks. Multiple psychological factors are at play when employees think and behave in a certain way in the workplace. We need to harness this knowledge to encourage better performance and improve levels of employee engagement. In this blog post, we will talk about a specific cognitive phenomenon- Emotional Stamps and their significance in creating the right kind of employee rewards program to attain greater ROI. To understand this better, let’s first talk about how human…

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