Wednesday, January 18, 2012
One hell of a disconect.
Daniel Pink on the surprising science of motivation - YouTube
"There is a disconnect between what science knows and business does" This is the phrase that stuck with me after watching this. I'm going to summarize it, but seriously, go and watch this.
So we're all aware of the disparity between the incomes of executives and workers. In many of the cases that come to light, the rewards are just ... insane. The common sense rationale that is used to justify these excessive rewards is that greater rewards inspire better performance and thus greater prosperity for the company. Which makes you wonder why CEO's can receive millions when their companies are losing billions.
That aside, in this TED talk, Daniel Pink presents research from the Federal reserve and the London School of Economics that shows that contingent monetary rewards, for intellectual (as opposed to mechanical) tasks actually decreases performance. As he says "There is a disconnect between what science knows and business does" . And it's a huge disconnect, the high salaries being blatantly damaging to our economies as well as our well being as a society.
It pretty much removes any defense of stupidly high salaries there could possibly be. They just can't be justified.
It's finding out cool shit like this about how we work that would seriously tempt me to have a crack at some of the softer sciences.