Development Lunch: Sandra Polania-Reyes, Kellogg

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Location: 3060F Jenkins Nanovic Hall

paper...Social innovation and teamwork within organizations: Lab-in-the-Field Evidence on Cooperation and group recognition

This economic laboratory experiment in the field tests the effect of recognition on cooperation within teams in organizations in the context of a “communicative and pedagogical” intervention.

 

Employees at a private organization participated in an online public goods game before and after the intervention and showed behavioral differences between group and private recognition and control. Using a difference-in-difference approach to estimate the effect of the intervention on the cooperative response to non-monetary incentives, there is an improvement in individual response to private recognition but, strikingly, a decline in the response to group recognition.

 

Recognition can be effective even if it has no impact on the employee’s income or career opportunities. However, social innovation interventions may crowd out the beneficial effect of non-monetary incentives on cooperation.