Giving employees some form of reward for a job well done is an essential part of remaining a competitive and meritocratic organisation. But for decades our understanding of the role of extrinsic reward in motivation – and, especially, how it works alongside intrinsic rewards (the psychological benefits employees gain from making a meaningful contribution to their workplace) – has been patchy.

We now know, thanks to the work of organisational psychologists, that cash – including bonuses and long term incentive plans – is a spectacularly poor way to motivate, providing at best a temporary and illusory uplift to performance. But what does work, and what is the evidence behind our assumptions on the relationship between extrinsic reward and motivation?

Read this People Management Insight report, in partnership with Virgin Incentives, to explore what really motivates your workforce.