Brokers: 5 Reasons Motivating with Money Won’t Work
Spending time trying to identify what motivates real estate agents and then finding meaningful ways to do those things might not be the easiest strategy, but it is one that is consistently more successful than money, explains Anne, who holds a master’s degree in organizational communication. “While we all love a good gift card, why do organizations continue to spend countless dollars trying to motivate and engage their staff with monetary incentives if we know it doesn’t work,” she asks.
Here are just a few of the reasons money doesn’t work:
1. All people are already motivated – by something: You can’t make someone motivated. Sure, you can threaten them or offer incentives, but then what? Do you keep threatening and incentivizing? At some point, you have to make good on the threats, provide additional incentives, and even at their best these strategies only work 20-25% of the time.
2. You can’t motivate people: All you can do is provide an environment where you can tap into what already motivates them. Is it praise, recognition, serving a greater purpose, becoming a subject matter expert or something entirely different? A motivator will not motivate if it isn’t important to the individual.
3. Money can’t buy engagement: It is estimated that only 13% of employees worldwide are engaged at work. Employee engagement comes from feeling valued and appreciated, knowing your opinion matters, and being clear on what contribution you make to the overall success of the organization. Driving employee engagement is most critical at the immediate supervisor level because an employee’s relationship with their supervisor dictates job satisfaction more than any other factor.
4. Money might not be able to make better leaders, but leadership development can: If the manager relationship is so critical to an employees’ success, why aren’t more organizations investing in leadership development instead of Starbucks gift cards? Investing in the right leadership development program for your managers and high potentials can provide a significantly higher ROI.
5. Common sense isn’t always common practice: Let’s face it, it’s not rocket science. If demonstrating appreciation, developing team members, and ensuring employees are clear about their roles and responsibilities improves productivity, morale and engagement, why aren’t we spending more time and money doing that? Because sometimes it’s just easier to give a $25 gift card. Creating a motivational climate takes time, effort and energy. Knowing it works doesn’t translate into taking the time to make it happen. It has to be a deliberate effort.
“I’m not suggesting that money should never be used as a motivator,” Anne says. “Some people thrive on bonuses and incentives – but not everyone does.” The next time you have a one-on-one with an agent, ask him or her what motivates him or her, she suggests. “At the very least, ask them what demotivates them and stop doing it.”
About Anne: Anne Grady is an author, corporate leadership consultant and expert in personal and organizational transformation. With humor, passion and straight talk, she grew her business as a nationally recognized speaker and consultant while raising her severely mentally ill son. Anne shares lessons she has learned in her new book, 52 Strategies for Life, Love and Work.
For more information, see www.AnneGradyGroup.com.
This article originally appeared in REAL Trends and is being reprinted with permission of REAL Trends. Copyright 2015.
Tags: advice, broker, management, motivating, real estate brokerage, real estate teams, tips