What are intrinsic and extrinsic motivators in performance management?

Intrinsic motivators are those that stem from an individual's internal satisfaction and fulfillment derived from performing a task. This could be anything that provides a sense of accomplishment, joy, or personal challenge that is inherent to the work itself. Individuals who are intrinsically motivated find pleasure in the work they do, which often leads to greater engagement, creativity, and commitment.

In contrast, extrinsic motivators involve external rewards that come from outside the individual. These can include monetary rewards such as bonuses, raises, promotions, or non-monetary rewards like recognition, praise, or job perks. The crucial difference lies in the source of motivation—internal versus external. While intrinsic motivators foster a deeper connection to the work, extrinsic motivators can effectively drive performance, particularly when tasks are less inherently satisfying.

This understanding of intrinsic and extrinsic motivators is critical in performance management, as it helps in designing systems that foster engagement and drive productivity. Properly leveraging both can lead to a more comprehensive approach to motivating employees, meeting both their internal desires and external needs.