Yes only when engagement flattens.
And yes! It’s that time of the year again. Mid-year reviews. Progress reports. Quick resets.
But here’s one thing OD pros often forget: “Your incentive system needs a recalibration too!”
While salary talks get more attention, incentive programs quietly shape everyday behavior. If they’re off—even slightly—they can kill momentum, confuse priorities, or reward the wrong things.
Let’s fix that. Let’s make mid-year incentive reviews a habit.
Rethink Rewards Regularly
1. Refocus People on the Right Goals
Plans change. Markets shift. Make sure incentives still point teams in the right direction.
2. Adjust for What’s Really Happening
If the business is booming—or struggling—your reward system should reflect that. Keep it relevant.
3. Fire Up Motivation
Outdated rewards? They don’t excite anyone. Keep incentives fresh to keep energy high.
4. Boost Continuous Growth
Make feedback real-time. Use incentives to nudge the behavior and results you want—now, not later.
5. Stay Fair and Clear
Fairness builds trust. Reviews help remove bias and fix unclear or outdated rules.
6. Stay Ahead of the Curve
Are your rewards still competitive? Do they reflect what employees value today? Check and adjust.
Recalibrating Rewards: What to Check
Run through this simple list:
- Are rewards still tied to current goals?
- Do employees understand how to earn them?
- Are they fair and inclusive?
- Are they actually driving the right behaviors?
- Do they match what competitors offer?
- Are they financially sustainable?
- What are employees saying about them?
- Are they easy to adjust when things change?
- Are they clearly communicated?
- Do they support your performance management system?
- Do they fit your culture?
- Is there a good mix of cash and non-cash rewards?
- How about the effects of AI?
Common Traps
Steer clear of these traps:
- Incentives that push the wrong priorities
- Goals that are unclear or unrealistic
- Programs that are too complex
- Rewards seen as unfair
- Ignoring teamwork in favor of solo wins
- Rewards that can’t adjust to change
- Confusing or poor communication
- Encouraging bad behavior to hit targets
- Not tracking or tweaking the system
- Leaving employees out of the conversation
- Forgetting the budget
- Uneven rollout across teams
OD Action: Make It a Habit!
Push for a twice-a-year reward review. Work with HR, managers, and employees to update what matters.
It’s not just about bonuses or perks. It’s about shaping culture, driving performance, and keeping people aligned.
Incentives drive action. Make sure they’re working for you—not against you.
NOTES
1. Basic ODPN Courses
In-person from 8am-5pm in the Meralco Power Tech, Ortigas on the dates mentioned.
Diagnosing Organizations, Dr Joy Teng-Calleja, PhD, RPsy, June 17
Designing Effective OD Interventions, Dr Melissa Reyes, PhD, August 20
Process Observation and Analysis, Dr Josephine Perez, PhD, RPsy, September 18
2. RESERVE A SEAT NOW! The ODPN’s ODLab25: Force for GoOD will be held late July 31 to Aug 1 in Martian Hotel, Zamboanga City. Get the Brochure and Register here or message or call ODPN Secretariate 0925.553.2342.
3. Forthcoming Ed Canela’s AI Seminar Series
3.1. AI for Teachers and Educators on June 5, 6, and 7, 2025 (8:00 to 12:00 NN Zoom), SAIDI Graduate School of Organizational Development and Planning. Contact: Ms Cynthia Cruz AT cecruz@SA
3.2. Basic AI: Efficiency with Responsibility (AI for Book Publishing): 3 Cohorts (by invites only) May 21 (2 cohorts) and May 22.
3. 3. Aid4Business (for MSMEs) Institute for Small Scale Industries University of the Philippines (UP ISSI) 14 to 16, October 2025. Register here.