Bart was awarded salesperson of the year and was given a cruise for two by his company. This is an example of an extrinsic reward.
Employees typically receive extrinsic rewards in the form of money or material goods, such as pay increases, bonuses, and benefits. They are extrinsic because they are separate from carrying out the actual work and are managed by individuals other than the employee. Extrinsic motivation is a potent tool for influencing behavior and rewarding staff for their efforts, commitment, and high standards of performance. Understanding extrinsic motivation as a manager or supervisor may help you use your team's behavior to maximize the outcomes of their efforts. Extrinsic benefits may be used to support or enhance intrinsic motivation. Rewards are more likely to promote internal satisfaction and intrinsic motivation if they are seen as positively informing athletes about their abilities.
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