Psychologist Ron Friedman studies "superteams," a small group of high-performing individuals that consistently outperform their peers. One of their secrets? They reward innovation.
His favorite example is 3M, the company behind Post-its and Scotch tape. Their "30% Rule" says a division only earns its bonus if at least 30% of revenue comes from products launched in the last four years. This pushes teams to innovate, even when business is strong.
Friedman also points to rewarding intelligent failure as a key part of the equation.
He argues that a measured risk that doesn't pan out should be rewarded just as much as one that succeeds. If everything's going perfectly, your organization could be falling behind.
Read more about superteams: https://s.hbr.org/4aYTWSM