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Rewards and behavior

Interesting approach to rewards and behavior at Pret A Manger:

How does any company encourage teamwork? At Pret A Manger, executives say, the answer is to hire, pay and promote based on — believe it or not — qualities like cheerfulness.

There is a certain “Survivor” element to all of this. New hires are sent to a Pret A Manger shop for a six-hour day, and then the employees there vote whether to keep them or not. Ninety percent of prospects get a thumbs-up. Those who are voted out are sent home with £35 ($57), no hard feelings.

The crucial factor is gaining support from existing employees. Those workers have skin in the game: bonuses are awarded based on the performance of an entire team, not individuals. Pret workers know that a bad hire could cost them money.

…Pret reinforces the teamwork concept in other ways. When employees are promoted or pass training milestones, they receive at least £50 in vouchers, a payment that Pret calls a “shooting star.” But, instead of keeping the bonus, the employees must give the money to colleagues, people who have helped them along the way.

There are other rewards. Every quarter, the top 10 percent of stores, as ranked by mystery-shopper scores, receive about £30 per employee for a party. The top executives at Pret get 60 “Wow” cards, with scratch-off rewards like £10 or an iPod, to hand out each year to employees who strike them as particularly good. Pret has all-staff parties twice a year, and managers get a monthly budget of £100 or so to spend on drinks or outings for their workers.

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