Behavioral Economics in the workplace

Today we had some very important clients in the building, and in the time honoured way we were encouraged to be in early to create the impression of a busy, thriving agency (which is just what we are, but it's possibly to tell at 9am on a Tuesday). So yesterday the note went round asking what time we thought we would all be able get in for the following morning. The options were as follows:

(a) Usual time (ie before 9.30am)
(b) Early (before 8.45am)
(c) Early with FREE breakfast thrown in
(d) On holiday / out

Guess what the most popular option was? Option (c) certainly looks like a whole lot better than option (b), and probably better than option (a) too once other factors are taken into account. I doubt this would have happened were it not for the lesser value option (b) being on the menu. So not only did we have the agency humming by 9am, it was full of genuinely happy, contented people. Let's hope it runs off on the client!

You can read more more about this other behavioral economic theories at the excellent Dan Ariely's blog. Or you could simply read Predictably Irrational. Business books are often high on theory and low on practicality, but when you can see things brought to life by your own workforce,you know you must be on to something. I'm off for breakfast.