"Tangible incentives dramatically increase work performance. No CEO in the world can afford to ignore this compelling finding. Incentive programs may be the single most important performance-improvement tool available to executives today".
Mike Hadlow, President of the SITE Foundation

A comprehensive study on the relationship between incentives, motivation and performance in the workplace, was recently completed by the SITE (Society of Incentive & Travel Executives) Foundation. In our challenging economy, the outcomes of this landmark analysis are especially pertinent, since companies are working overtime to improve (or at least maintain) productivity, performance and profitability. Below are some of the SITE Foundation's conclusions based on their study.

Long-term incentives are more powerful than short term incentives. And our i-gifts™ programs reward, validate, and reinforce over a long period of time. That's why they build confidence, loyalty and productivity.

Incentive programs have an equal, positive impact on both quality and quantity goals.

We call this 'unanimous' : 92% of workers surveyed indicated that they achieved their goals because of incentives!

Incentive programs aimed at individuals increased performance by 27%.

Incentives help to create an encouraging and upbeat work environment, which greatly influences commitment to projects and tasks. It goes without saying that mood impacts motivation and performance.

This study proves that team-based incentives are the most effective. And we recommend that you reward each member of the team as an individual for best results.

Programs aimed at teams increase performance by an astonishing 45%.

Most (57%) corporations that were surveyed reported that objectives were met or surpassed when they employed incentive programs. And 92% indicated that objectives were surpassed, met or at least partially met.

There is strong evidence that organizations using incentive programs are able to hire and retain higher quality workers. These effects are even greater in larger organizations.

Incentive programs structured with employee input work best.

While even poorly designed incentive programs improve performance, proper analysis of the performance issue, the design and implementation of the incentive program are key to success.

About The SITE Foundation Study

The SITE (Society of Incentive & Travel Executives) report included the most comprehensive and intensive review of published research ever undertaken, making it a definitive authority on the link between incentives, motivation and performance. The research team conducted the study over a one-year period using both primary and secondary research that included:

• Reviewing all English language research literature on incentives (1960-2000) published in peer-reviewed journals. Of the 600 studies reviewed, 45 passed rigorous screening.
  
  
• Determining trends in numerous studies using "meta analysis" - a statistical process whereby researchers summarize results of different experiments conducted by different researchers over time.
  
  
• Surveying a large sample of U.S. organizations using incentive systems.

The study, "Incentives, Motivation and Workplace Performance: Research and Best Practices", was funded by the SITE Foundation and sponsored by the International Society of Performance Improvement (ISPI). Dr. Harold Stolovitch, who led the research team as the project director, is emeritus professor of instructional and performance technology at the Universite de Montreal and a clinical professor of Human Performance at Work at the University of Southern California. He is a past president of ISPI and former editor of the Performance Improvement Journal. Other members of the research team include Dr. Richard Clark, professor of education and technology at the University of Southern California, and Dr. Steven Condly.

About The SITE Foundation

The SITE Foundation was established in 1986 to fund global research into the use and application of incentive programs to achieve business objectives and improve performance. The Foundation is a non-profit, independent research organization affiliated with the Society of Incentive & Travel Executives, a worldwide professional association of 2,000 members in 68 countries representing the needs of the incentive planner.