Benefiting at work from Brain Based Insights

According to Roland Piquepaille… Californian researchers suggested that “receiving a reward or avoiding a punishment have the same effects... on our brains.” Piquepaille added…” In other words, the same areas of our brains are stimulated when we win a game or when we avoid to lose one. In fact, for our brain, both things are similar: it has to achieve a goal.”

My question is … “How do carrots and sticks work in the brain and in business and are they really the same? Very interesting post and thanks Roland for raising the issue of “sameness” here when it applies to effects on our brains. While I do not see carrots and sticks as similar in how they alter either the brain or business over time... I agree they might both get similar short term results. A fascinating concept – and one that raises questions about how we treat ourselves and others in brain based business.

It make me wonder if somebody told customer service departments and cranky managers about this sameness possibility…  maybe that’s why we see more sticks coming out lately… where carrots once seemed to work brilliantly. In spite of what you may read from a person needing to wield a stick … when it comes to the brain … carrots work and sticks stop innovation in its tracks. Why?

The brain leaps to carrots in the form of curiosity… competition … puzzles and problems .. when these are presented in safe but at the same time challenging settings. The “carrot” process raises serotonin… a hormone that takes business deals and visionary leadership to the next level.

In contrast… the human brain tends to shut down under threats… abuse… unfair competition… or a cranky manager’s unrealistic demands. The “stick” process raises cortisol … a hormone that reduces a person’s capability to create deals that work or to lead others to the next level.

If “sameness” here means you can get instant profit the same from “carrots and sticks”  such as those obtained from sweat shops or forced labor – then sticks work fine. On the other hand… if “sameness” means you will get long term profitability… retain customers and win the vote from employees who give their best… nothing could be more different from sticks… than carrots.

It's likely a good idea to look closer at how  carrots and sticks really work in the brain and in business  before you hire any more cranky managers. What do you think?