Irresistible

Irresistible: The Rise of Addictive Technology and the Business of Keeping Us Hooked by Adam Alter explores behavioral addiction, how it compares to substance addiction and what causes it. There’s a good mix of research and anecdotes in this book. Below is an excerpt from the book that you might find useful:

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Gamification is a powerful tool, and like all powerful tools it brings mixed blessings. On the one hand, it infuses mundane or unpleasant experiences with a measure of joy. It gives medical patients respite from pain, schoolkids relief from boredom, and gamers an excuse to donate to the needy. By merely raising the number of good outcomes in the world, gamification has value. It’s a worthwhile alternative to traditional medical care, education, and charitable giving because, in many respects, those approaches are tone-deaf to the drivers of human motivation. But Ian Bogost was also wise to illuminate the dangers of gamification. Games like FarmVille and Kim Kardashian’s Hollywood are designed to exploit human motivation for financial gain. They pit the wielder of gamification in opposition to the gamer, who becomes ensnared in the game’s irresistible net. But, as I mentioned early in this book, tech is not inherently good or bad. The same is true of gamification. Stripped of its faddish popularity and buzzwordy name, the heart of gamification is just an effective way to design experiences. Games just happen to do an excellent job of relieving pain, replacing boredom with joy, and merging fun with generosity.

 

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HBR: How Adobe Structures Feedback Conversations

Are you providing yours directs’ feedback on their performance and opportunities to develop their growth?  Are you having a conversation about expectations? Below is a blog from the Harvard Business Review by David Burkus:

How Adobe Structures Feedback Conversations

Providing employees feedback on their performance and opportunities to develop is one of a manager’s most important tasks. As important as it is, however, it can often get pushed down pretty far on the to-do list. Many leaders face a swarm of pressing deadlines; moreover, feedback conversations can be awkward. Even the preparation for such conversations can make managers feel stressed. It’s easy to fall back on the annual performance review to make sure at least one conversation happens. It’s no wonder many employees report getting no other feedback throughout the year.

But giving regular feedback on performance doesn’t have to be difficult. In fact, there are a few relatively simple formats or templates to help guide the conversation and ensure the discussion is meaningful (and hopefully more frequent than once a year).

One of the best examples I’ve noticed is at Adobe, a company that became notable recently for ditching their performance appraisals and replacing them with informal “check-in” conversations. But, as we’ll see, their framework for a check-in conversation works well for any situation where relevant and valuable feedback is the goal.

For Adobe, a good check-in centers around three elements of discussion: expectations, feedback, and growth and development. When each of these areas have been discussed, then managers and subordinates know they’ve had a meaningful conversation.

  1. Expectations refer to the setting, tracking, and reviewing of clear objectives. In addition, expectations also mean that both parties agree on roles and responsibilities for the objective, and also are aligned in how success will be defined. For Adobe, employees were expected to begin the year with a simple, one-page document outlining the year’s objectives in writing. Regular check-ins became opportunities to monitor progress toward those goals and well as review how relevant they might still be in light of recent events. Regardless of what your own team may start the year understanding, taking the time to regularly review what the goals are, how close individuals are to achieving them, and whether or not those goals need to be changed is a vital step in making sure you arrive at the end of the year (or whatever cycle goals are measured by) with everyone in agreement about how successful a period it has been.
  1. Feedback refers to ongoing, reciprocal coaching on a regular basis. Feedback is the logical next step from a discussion about expectations. Once the goals are clear, and how close to meeting them is established, feedback is how employees learn to improve performance and more quickly achieve their goals. For Adobe, it was important to emphasis the reciprocal nature of feedback. Managers were providing performance feedback but also needed to be open to receiving feedback themselves. Specifically, feedback conversations provided answers to two questions: 1) “What does this person do well that makes them effective?” and 2) “What is one thing, looking forward, they could change or do more of that would make them more effective?”
  1. Growth and Development, the final element, refers to the growth in knowledge, skills, and abilities that would help employees perform better in their current role, but also to making sure that managers understood each of their employees’ long-term goals or career growth and worked to align those goals with current objectives and opportunities. Instead of a simple “year in review” approach, inclusion of growth and development as one element of a “Check-In” ensures that the conversation is centered on future development of employees … not just arriving at a score for the previous period. A vital part of making check-ins successful was not just the forward-looking nature, but also the frequency. If you’re checking-in regularly than it’s much easier for both managers and employees so see progress.

And that final piece might be the key to why check-ins work so well. Researchers Teresa Amabile of Harvard Business School and Steve Kramer conducted a multi-year tracking study in which hundreds of knowledge workers were asked to keep a daily diary of activities, emotions, and motivation levels. When they analyzed the results, the pair found that progress was the most important motivator across the board. “On days when workers have the sense they’re making headway in their jobs, or when they receive support that helps them overcome obstacles, their emotions are most positive and their drive to succeed is at its peak,” they wrote of their findings. “On days when they feel they are spinning their wheels or encountering roadblocks to meaningful accomplishment, their moods and motivation are lowest.” Surprisingly, however, in a separate study of 600 managers, Amabile and Kramer found that managers tended to assume progress was the least potent motivator — citing things like recognition and incentives as stronger motivators.

Looking at the three-elements of a meaningful check-in, it’s easy to see why the system would be more motivating and performance enhancing than the norm. While most performance appraisal systems are backward looking, assigning what is essentially a grade to past performance and spending only minimal time focused on the future, this format centers around highlighting the progress made and the skills and abilities needed to make further progress. Both are mechanisms to provide feedback, but one appears far more motivating.

 

Perhaps most importantly, the beauty of a check-in conversation is that it doesn’t automatically mean abandoning all of the other mechanisms required by your organization. Well-intentioned managers can start holding check-ins with or without an overhaul to the performance management system being used. At its core, it’s a helpful tool for having a more meaningful conversation… and using it regularly might even make the annual performance review discussion more meaningful as well. If you’re looking for a way to provide more meaningful feedback and better develop the people on your team, talking about these three things (expectations, feedback, growth and development) is a great start.

HBR: The Cost of Continuously Checking Email

Are you multitasking? What do you do to stay focused on one task? Below is a blog from the Harvard Business Review by Ron Friedman :

The Cost of Continuously Checking Email

Suppose each time you ran low on an item in your kitchen—olive oil, bananas, napkins—your instinctive response was to drop everything and race to the store. How much time would you lose? How much money would you squander on gas? What would happen to your productivity?

We all recognize the inefficiency of this approach. And yet surprisingly, we often work in ways that are equally wasteful.

The reason we keep a shopping list and try to keep supermarket trips to a minimum is that it’s easy to see the cost of driving to the store every time we crave a bag of potato chips. What is less obvious to us, however, is the cognitive price we pay each time we drop everything and switch activities to satisfy a mental craving.

Shifting our attention from one task to another, as we do when we’re monitoring email while trying to read a report or craft a presentation, disrupts our concentration and saps our focus. Each time we return to our initial task, we use up valuable cognitive resources reorienting ourselves. And all those transitional costs add up. Research shows that when we are deeply engrossed in an activity, even minor distractions can have a profound effect. According to a University of California-Irvine study, regaining our initial momentum following an interruption can take, on average, upwards of 20 minutes.

Multitasking, as many studies have shown, is a myth. A more accurate account of what happens when we tell ourselves we’re multitasking is that we’re rapidly switching between activities, degrading our clarity and depleting our mental energy. And the consequences can be surprisingly serious . An experiment conducted at the University of London found that we lose as many as 10 IQ points when we allow our work to be interrupted by seemingly benign distractions like emails and text messages.

The trouble, of course, is that multitasking is enjoyable. It’s fun to indulge your curiosity. Who knows what that next email, tweet or text message holds in store? Finding out provides immediate gratification. In contrast, resisting distraction and staying on-task requires discipline and mental effort.

And yet each time we shift our focus, it’s as if we’re taking a trip to the store. Creativity expert Todd Henry calls it a “task-shifting penalty.” We pay a mental tax that diminishes our ability to produce high-level work.

So what are we to do?

One tactic is to change our environment to move temptation further away: shut down your email program or silence your phone.  It’s a lot easier to stay on task when you’re not continuously fending off mental cravings. This approach doesn’t require going off the grid for a full day. Even as little as 30 minutes can have a major impact on your productivity.

The alternative, which most of us consider the norm, is the cognitive equivalent of dieting in a pastry shop. We can all muster the willpower to resist the temptations, but doing so comes with considerable costs to our limited supply of willpower.

Another worthwhile approach is to cluster similar activities together, keeping ramp-up time to a minimum. Instead of scattering phone calls, meetings, administrative work, and emails throughout your day, try grouping related tasks so that there are fewer transitions. Read reports, memos and articles one after another. Schedule meetings back-to-back. Keep a list of administrative tasks and do them all in a single weekly session. If possible, try limiting email to 2 or 3 predetermined times—for example 8:30, 12:00 and 4:30—instead of responding to them the moment they arrive.

In some jobs, multitasking is unavoidable. Some of us truly do need to stay connected to our clients, colleagues, and managers. Here, it’s worth noting that limiting disruptions is not an all or nothing proposition. Even small changes can make a big difference.

Remember: it’s up to you to protect your cognitive resources. The more you do to minimize task-switching over the course of the day, the more mental bandwidth you’ll have for activities that actually matter.

 

HBR: Good Leaders Are Good Learners

Are you setting learning goals? Is your company helping you identify your learning opportunities? Below is a blog from the Harvard Business Review by Susan J. Ashford, Peter Heslin, Lauren Keating:

Good Leaders Are Good Learners

Although organizations spend more than $24 billion annually on leadership development, many leaders who have attended leadership programs struggle to implement what they’ve learned. It’s not because the programs are bad but because leadership is best learned from experience.

Still, simply being an experienced leader doesn’t elevate a person’s skills. Like most of us, leaders often go through their experiences somewhat mindlessly, accomplishing tasks but learning little about themselves and their impact.

Our research on leadership development shows that leaders who are in learning mode develop stronger leadership skills than their peers.

Building on Susan Ashford and Scott DeRue’s mindful engagement experiential learning cycle, we found that leaders who exhibit a growth mindset diligently work through each of the following three phases of the experiential learning cycle.

First, leaders set challenging learning goals in the form of “I need to learn how to…” For some leaders, the goal might be to become more persuasive or to be more approachable. With a goal in mind, leaders can identify opportunities to make progress toward it. These could include a new project, an international assignment, a job rotation, or simply striving to approach routine encounters in a fundamentally different way.

Next, they find ways to deliberately experiment with alternative strategies. A leader interested in increasing their persuasiveness, for example, might experiment with sitting in a different place or speaking first or last in a critical meeting. Creating and capitalizing on learning opportunities can be bolstered by having a coach or peer provide feedback and act as a sounding board.

Finally, leaders who are in learning mode conduct fearless after-action reviews, determined to glean useful insights from the results of their experimentation. Candidly reflecting on what went well, what did not go so well, and what might work better in future are essential though often neglected initiatives for learning from experience and discerning what to focus on learning next. Understanding these principles is important for organizations not just because it means that leadership development doesn’t have to be expensive, but also because it means that leadership skills can be systematically learned and practiced.

How can leaders enter learning mode? Leaders can construe setbacks as meaning they have not yet developed the required capabilities, rather than them being just not cut out for the task at hand. They can also avoid the trap of constantly seeking out places and tasks to highlight their strengths, as well as feedback that affirms their innate talents and self-esteem. Simply asking themselves, “Am I in learning mode right now?” can be a powerful cue to wholeheartedly focus, or refocus, on their leadership development, as well as their leadership performance, and thereby truly learn from their experiences.

How can organizations help leaders enter and remain in learning mode? Organizational leaders can help rising leaders focus more on being progressively better than they were in the past, rather than on constantly benchmarking themselves against others. They can model construing mistakes as potential learning opportunities rather than as indicators of leadership inadequacy. In hiring and promotion, organizational leaders might give priority to those most likely to grow and develop in a role. Finally, they might conduct an audit of fixed mindset cues in their organization — such as the use of psychometric testing to select the most “innately qualified” high-potential leaders; forced ranking performance appraisals; and winner-take-all reward systems — and tweak them to focus more on developing than diagnosing leadership capabilities.

The bottom line is that by supporting leaders being in learning mode, organizations can develop the capabilities that leaders need to anticipate, respond to, and continually learn from the stream of emerging challenges to organizational prosperity.

HBR: Are Sales Incentives Becoming Obsolete?

What sales incentives are you using in your lumberyard? Are your outside salespeople making an impact on their customers? Below is a blog from the Harvard Business Review by Andris A. Zoltners, Sally E. Lorimer, PK Sinha:

Are Sales Incentives Becoming Obsolete?

To motivate, manage, and reward B2B salespeople, many companies use sales incentive plans that link large commissions or bonuses to individual results metrics, such as territory quota achievement. As digital channels continue to reduce and redefine salespeople’s role in customer buying, these traditional sales incentive plans are becoming less effective at driving sales outcomes.

The right sales incentive plan creates a double win. Salespeople win because they are rewarded for their hard work and good performance. The company wins through a better-motivated sales team that produces short-term results and is more likely to achieve company goals.

For a sales incentive plan to produce this double win, there are two necessary conditions:

  • Salespeople must have a large impact on sales results by focusing on activities that add value and directly influence customer buying decisions.
  • The company must have the ability to measure individual results by separating out each salesperson’s contribution and determining how much an individual’s actions affect the outcome.

Today’s multichannel world increasingly challenges both of these conditions.

Before the proliferation of digital information and buying channels, buyers usually relied on field salespeople’s help and expertise when purchasing. Salespeople “owned” relationships with customers, and had considerable impact on purchase decisions. This made it easy to measure individual sales results. In many cases, incentives linked to sales performance were an effective way to motivate and reward individual salespeople.

Today digital channels make buyers more informed, connected, and socially influenced. Buyers no longer view salespeople as their primary connection to companies they want to do business with. For simple product purchases such as office supplies, many buyers are self-sufficient. They get information online and purchase through websites supported by inside sales and service. Field salespeople no longer have impact on buying decisions. The first necessary condition is no longer true.

For complex solution purchases such as customized manufacturing equipment, buyers usually rely on a combination of digital channels and salespeople. The internet allows buyers to easily gather preliminary information about solution alternatives. But when solutions are complex and expensive, digital channels are usually not enough. Buyers want to collaborate with salespeople to reduce uncertainty. Often, they want input from multiple salespeople and technical specialists from the solution provider, in addition to help from digital channels. Salespeople have impact on purchase decisions. But because that impact is shared with multiple sales roles and digital channels, the company’s ability to measure impact and attribute it to a specific salesperson is limited. The second necessary condition is no longer true.

More and more selling situations today are failing to meet one or both necessary conditions for traditional sales incentives to work. Multiple influences on buying reduce individual salespeople’s impact and the ability to measure it. This blurs the connection between individual effort, results, and incentive pay in the minds of salespeople. Incentives become fuzzy and are no longer effective at rewarding and motivating individuals.

New Sales Management and Culture

Companies can no longer rely on large, individual, short-term sales incentives as a primary means of managing salespeople. Instead, they must change their sales compensation plans while emphasizing other ways to direct salespeople and shape sales culture.

Sales leaders must change compensation plans to look more like management bonus plans, designed to encourage people to work together to make the company and its customers more competitive and prosperous in the long run. Changes include:

  • Changing the metrics for determining incentive pay. Instead of short-term individual results (for example, quarterly territory sales), the metrics that determine pay should reflect annual company and team performance, along with individual effort contributing to team results (for example, going above and beyond to meet with key decision makers or to engage product specialists to help customers).
  • Shifting the pay mix more toward salary. Companies should also provide a smaller (but still reasonable) incentive opportunity for salespeople.

In addition to changing sales compensation, sales leaders and managers must take a more active role in managing salespeople. This involves changes such as:

  • Deploying new sales team structures. They must work alongside other channels (internet, inside sales) to meet customer needs.
  • Hiring salespeople with new capabilities. In addition to having solution sales skills, they should be comfortable using digital communication (email, video calls, social media) with customers, appreciate the value of analytics for enhancing the sales process, and be able to orchestrate customer buying across multiple channels.
  • Using performance management, coaching, training, and sales data and tools. Guide salespeople instead of relying on incentives as a primary means of controlling sales activity.
  • Establishing a new sales culture. It should be focused on teamwork and customer success.

Incentives are embedded in the culture of many sales forces, and changing that culture may be difficult. Yet change is necessary for companies to affect sales force behavior and drive results in today’s multichannel sales environment.

Original Page: https://hbr.org/2017/08/are-sales-incentives-becoming-obsolete

 

HBR: Don’t Persuade Customers — Just Change Their Behavior 

“If you are a company, you might think it would be easy to sell this person a solution to their problem. However, it’s not as easy as that – there are deeply ingrained habits here that won’t just go away.” What are you doing to motivate the consumer to change their behavior?  Below is a blog from the Harvard Business Review by Art Markman:

Don’t Persuade Customers — Just Change Their Behavior 

Most businesses underestimate how hard it is to change people’s behavior.  There is an assumption built into most marketing and advertising campaigns that if a business can just get your attention, give you a crucial piece of information about their brand, tell you about new features, or associate their brand with warm and fuzzy emotions, that they will be able to convince you to buy.

On the basis of this assumption, most marketing departments focus too much on persuasion.  Each interaction with a potential customer is designed to change their beliefs and preferences.  Once the customer is convinced of the superiority of a product, they will naturally make a purchase. And once they’ve made a purchase, then that should lead to repeat purchases in the future.

This all seems quite intuitive until you stop thinking about customers as an abstract mass and start thinking about them as individuals.  In fact, start by thinking about your own behavior.  How easy is it for you to change?

Consider your own daily obsession with email and multitasking.  Chances are, you check your email several times an hour.  Every time you notice that the badge with the number of new emails has gotten larger, you click over to your browser, and suddenly you are checking your emails again.  This happens even when you would be better off focusing your efforts on an important report you are supposed to be reading or a document you should be writing.  You may recognize that multitasking is bad and that email is distracting, but that knowledge alone does not make it easy to change your behavior.

If you are a company, you might think it would be easy to sell this person a solution to their problem. However, it’s not as easy as that – there are deeply ingrained habits here that won’t just go away.

Let’s go through some of what is required to create different habits.  The point is to recognize how much work goes into changing behavior.

First, you have to optimize your goals. Many people err in behaviors like email by focusing on negative goals.  That is, they want to stop checking their email so often.  The problem with these negative goals is that you cannot develop a habit to avoid an action.  You can only learn a new habit when you actually do something.

For marketers, this means focusing on how to get consumers to interact with products rather than just thinking about them.  As an example, our local Sunday newspaper often comes in a bag with a sample product attached that encourages potential consumers to engage with products.

Second, you need a plan that includes specific days and times when you will perform a behavior.  For example, many people find that they work most effectively first thing in the morning, yet they come to work and immediately open up their email program and spend their first productive hour answering emails (many of which could have waited until later).  So, put together a plan to triage email first thing in the morning and answer the five most important emails and leave the rest until later in the day.

Now that many people have calendar apps that govern their lives, it gets easier to put things on people’s schedule to keep them engaged with a business.  For example, services from hair salons to dentists can schedule appointments and send an email that links to Outlook and Google calendars.

Third, you need to be prepared for temptation. Old behaviors lurk in the shadows waiting to return. If you have an important document to read, and you know that you will be tempted to check your email, find a conference room in the building and use that as a home base away from your computer to get your reading done.

To keep customers from falling back into the “bad habit” of stopping off at the drugstore for oops-we-ran-out-of-it products like laundry detergent or diapers, Amazon makes it easy to schedule regular shipments right to your home. You never need to stop at the drugstore again – or even to remember to check how much laundry detergent is left in the bottle.

Fourth, you need to manage your environment.  Make the desired behaviors easy and the undesired ones hard.  If you want to avoid multitasking, then remove as many of the invitations to multitask from your IT environment.  Close programs (like Skype) that have an IM window.  Only open your email program at times of the day when you are willing to check email.  Shut off push notifications on your phone when you have an important task to complete.

Marketers need to work with their designers to come up with packaging that encourages consumers to put the product into their environment. As I discuss in my book Smart Change, Procter & Gamble helped increase sales of the air refresher Febreze by redesigning a bottle that originally looked like a window cleaner bottle (and cried out to be stored in a cabinet beneath the sink) to one that was rounded and decorative (and could easily be left out on a counter in a visible spot).

Finally, you need to engage with people. Many people feel pressure to accomplish important goals alone, but there is no shame in getting help from others.  Find productive people within your organization and seek them out as mentors to help you develop new habits.

The “positive peer pressure” technique is frequently used in service companies and organizations like Weight Watchers and Alcoholics Anonymous, but can be used by any business that’s trying to encourage repeat visits. For instance, a fitness center might offer a few free or discounted personal training sessions to new members to help them get in the habit of working out – and making them less likely to quit.

None of these factors works by itself.  You need to create a comprehensive plan to change your behavior.  Otherwise, the constant temptations to multitask will sap your productivity despite your best intentions.

This same set of principles applies for marketers.  No matter how motivated consumers may be to try your product or service, or how unhappy they may be with their current situation, if you do not focus on a comprehensive plan for changing their behavior, then you are unlikely to have a significant influence on them.

Your business will not succeed just by trying to change attitudes and preferences.  You will succeed by helping people to develop goals, create plans, overcome temptations, manage their environment and engage with others.  You will influence your customers only when you give them as much support as you would need to change your own behavior.

GT: 5 Things a Great Leader Would Never Do

The author talks about outsourced employees but I think you could use these for any employee. Are you doing any of these things? Below is a blog from the Growthink by Dave Lavinsky:

5 Things a Great Leader Would Never Do

Great leaders delegate. They get other people to do the work for them. They focus on vision and strategy, and getting their people to perform at their highest possible level. And when their people perform, the company executes on the strategy and achieves its vision.

While much about leadership has been written over the years, much of it has changed. Because many of the old rules and strategies, such as the “it’s my way or the highway,” strategy no longer apply. People are different today than they were even a decade ago. We have different needs and thinking, and nurturing your team to get them to perform is more complex.

In fact, when it comes to outsourced employees, leadership is even more complex. Because when you can’t look your employee in the eye, it’s hard to tell if they’re bought into your strategies and goals, and if they will perform to your standards.

What makes this so more important is that any good HR strategy nowadays includes outsourcing. Because outsourcing certain roles allows your company to achieve great progress at a significantly lower expense, and without increasing your fixed costs which decreases flexibility.

This being said, the following are five things a great leader would never do when managing their outsourced employees.

1. Rely exclusively on email. Email is generally the easiest way to communicate with outsourced employees, particularly if they live in different time zones. However, email is rarely the most effective communications method, particularly when you want to motivate people. Rather, make sure that occasionally you also use telephone calls and video calls using services such as Skype. By seeing your employee, and having them see you, you can gauge and influence their levels of engagement and excitement.

2. Give vague directions. If someone’s seen you do something several times, and then you ask them to do it, they might do a good job. But if someone’s never seen you do something, particularly when they don’t work in your office, they’ll generally fail wildly. Unless, that is, you give them precise directions. When you outsource a task, be sure to document precisely what you want done and why. This will guide the employee and set expectations for them to meet.

3. Wait to see finished work. When you outsource a project to someone, don’t wait until the end to judge their work. Rather, check in periodically. Ideally, break the work into pieces. For example, if an outsourced employee is responsible for creating a video, natural pieces or project stages might include: 1) writing the video script, 2) sketching or finding the images to be included in the video, 3) creating a video draft, 4) finalizing the video. If you wait to see the final video, you inevitably will be disappointed. Rather, check in after each stage and provide feedback. The end result will be infinitely better.

4. Fail to set deadlines. Employees, particularly outsourced employees who don’t see you, need deadlines. If not, they’ll generally take way too long to complete a task. When employees work in your office, they should have deadlines too; but, because you see these employees, if there is a deadline, you’ll simply remember to tell them. You don’t have this luxury with virtual employees, so make sure they know the deadline for each of their projects.

5. Fail to give time expectations. Even when you set a deadline, you still must set time expectations, particularly if you are paying your outsourced employee on an hourly basis. While two people can both complete a project in a week, for example, you’re clearly paying a ton more if one worked ten hours per day and the other two. So, at the beginning of each project, have the employee give you an estimate of the work hours, and have them check in periodically to let you know if their estimate is on track or not.

When you outsource properly, you can dramatically grow your company at a fraction of the cost as your competitors. But, make sure you avoid these leadership mistakes; when you do, you can effectively manage your outsourced workforce to get the most benefit from this key HR strategy.