Reward individual performance that exceeds agreed upon standards.

Performance above the minimum level is a discretionary matter for each team member. Most people have alternative off-the-job ways of using excess energy or talent. Channeling such excess into activity beneficial to the business requires a tailored approach for each individual.

A manager must first ensure that there is understanding of the minimum results to be achieved. Then, for performance above the minimum, forms of compensation important to the performer - or in some cases, teams of performers - must be used.

This video offers some surprising research on what motivates us and how it changes according to certain circumstances:

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