Gap Between Science and Business

“There is a mismatch between what science knows and what business does”
Psychologist Dan Pink
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For “Lazy/Busy” Readers (book excepts):

  • System Model: Performance Appraisals VS. Team/Organizational Agility


    (click on image to enlarge)

    Legend (How to Read Causal Loop Diagram)
    • Variable – system elements that have effect/make influence on other system elements (other variables)
    • Causal link – arrows that connect two related variables
    • Opposite effect – “O” annotation near an arrow; suggest that effect of one variable on another variable is opposite to what could be expected
    • Delayed effect – “||” annotation that disrupts a causal link (arrow); it implies that there is a delayed effect of one variable by another variable
    • Extreme effect – one variable has an extreme (beyond normal) effect on another variable; it is represented by a thick arrow
    • Constraint – “C” annotation near arrow; implies that there is a constraint on a variable
    • Quick- Fix reaction – “QF” annotation near an arrow; action that brings about short-term, lower cost effect

    Self – Assessment: Are Your Internal Policies Consistent With Organizational Goals?
  • Does your company conduct performance evaluations/appraisals?
  • Are performance evaluations/appraisals done on individuals (IPA) or teams (TPA)?
  • What does your company stress more: individual or team delivery? What is counted more?
  • How intense/time consuming is IPA/TPA management process for HR personnel?
  • Is HR personnel of your company well informed of studies and research in the field of performance and motivation?
  • Does your company explicitly recognize/promote the concept of the ‘team, as an organizational building block’?
  • Does your company expect employees to share knowledge among each other?
  • Does your company recognize individual contribution that cannot be measured directly, based on delivery?
  • At your company, is becoming a manager (hands-off) perceived, as the main way to secure higher compensation/promotion?
  • At your company, can an employee remain, as a hands-on expert, while receiving manager-level compensation?
  • Does your company pay bonuses?
  • To what extent is your company’s overall financial performance is factored in defining bonuses?
  • For IPAs:
    • How frequently does an employee get feedback on his/her performance throughout a year?
    • How does your company collect feedback on an employee: openly or confidentially?
    • Who is in charge of evaluating individual performance (e.g. manager, peers)?
    • Is there a process in place for an employee to challenge IPA decision?
    • Can an employee challenge a decision at any point in time, or just at a year-end?
    • Is an employee required to manage his/her IPA in an internal system of record?
    • How well the role of an evaluated employee understood by an evaluator?
    • Is forced/stack-ranking (bell-shaped curve) used for a performance evaluation?
    • Is compensation increase (base salary) tied to individual performance?
    • Are bonuses paid as a lump-sum (once a year) or more frequently (throughout a year)?
    • On average, what %-ge of a total compensation represented by a bonus?
    • Does your company support the concept of “best employee of the month”?
  • For TPAs:
    • Does your company have an approach/method for how to reward teams?
    • Does your company have an approach/method for how to reward individuals, based on teams’ rewards?
    • Are bonuses tied to only individual, only team-based performance or mixed?

  • What Drives Human Performance?  Did You reflect On This Internally, Within Your Organization?


  • Extended References: White Papers & Articles:
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