The Effect of Incentives and Leadership Styles on Creative Performance

Introduction/Main Objectives: This study investigates whether the type of incentives offered and leadership styles interact to affect creative performance. Background Problems: Creativity is highly needed by companies survive in a volatile business environment. Prior research found that management control systems style were able stimulate creativity. It still unclear which are Therefore, this proposes question, what kind can improve performance? Novelty: focuses on comparing monetary non-monetary incentives, based competition, produce most ideas, but empirical studies into context creativity limited. Furthermore, two different it sheds light fact environment differ from those used non-creative Research Methods: was conducted using 2x2 between subject experimental design with incentive treatments (tournament recognition) (directive empowering). Finding/Results: Consistent Lourenco (2016), (including tournaments) (recognition) substitutive. empowering leads greater performance than directive does. The results indicate that, condition tournament incentive, higher can. Conclusion: There no significantly difference effect study’s result consistent situational theory, certain types appropriate for environmental conditions. For improved performance, employees need be empowered because they authority freedom develop ideas. provides knowledge about impact practical how work styles.