The conventional incentive rewards the individual…usually with something monetary. Like so many things, incentives have evolved and become more complicated than a simple financial incentive.
Not everyone is money motivated. A personal example: As long as I am earning what I need, money is not a motivator for me. I am, instead, motivated by discovery and results. I am energized when I am able to find better ways to achieve better results. When the results happen I want to do it again. Nothing else works for me. Some people say I am motivated by helping people. I am always pleased when I can do that but improvement in their lives is my measuring stick. I want to be the catalyst that helps them “ratchet up”
Millenials have been under scrutiny regarding what might possibly motivate them. It turns out it is simpler but counterintuitive. Their motivation comes from alignment with their values and their values are heavily invested in the social side of life.
This Harvard Business Review post speaks to the transformation of incentive from individual to team. It makes sense to me.
I agree that there are incentives that can be as effective or even more effective that the conventional “there will be a little something extra in your pay envelope this week.”
At one company I worked at I was given a weeks vacation cabin in the mountains for instance or a week in New Orleans ( I picked the cabin) an spending money as a reward for being one of the top sales people.
At another job we had gym memberships.
But all in all the biggest thing I ever enjoyed is when I was a member of a real team. Our manager held meetings that included input and usually positive feed back from all of the team. The owner would frequently attend. Training would take place, problems discussed, new approaches where review and successes celebrated. While this did not last forever as management changed as did ownership of the company and the team building exercises where discontinued and many began leaving for other jobs.
In my opinion to feel valued and truly appreciated is one one of the biggest incentives.