How do you reward corporate entrepreneurship and intrapreneurship?

1 Align rewards with goals

One of the first steps to rewarding corporate entrepreneurship and intrapreneurship is to align the reward system with the strategic goals and objectives of the organization. This means that the rewards should reflect the desired outcomes and behaviors that support the innovation process, such as creativity, experimentation, risk-taking, collaboration, and customer orientation. For example, some organizations use a balanced scorecard approach that measures and rewards performance across four dimensions: financial, customer, internal, and learning and growth. Other organizations use a combination of financial and non-financial rewards, such as stock options, bonuses, recognition, feedback, autonomy, and career development opportunities.

2 Customize rewards to individuals and teams

Another important aspect of rewarding corporate entrepreneurship and intrapreneurship is to customize the rewards to the preferences and needs of the individuals and teams involved. This means that the rewards should take into account the different motivations, personalities, and skills of the employees, as well as the different stages, challenges, and risks of the innovation process. For example, some employees may be more motivated by intrinsic rewards, such as learning, growth, and autonomy, while others may be more motivated by extrinsic rewards, such as money, recognition, and status. Similarly, some teams may need more support, guidance, and feedback, while others may need more freedom, flexibility, and autonomy.

4 Foster a culture of innovation

A final essential practice for rewarding corporate entrepreneurship and intrapreneurship is to foster a culture of innovation that supports and celebrates the innovation process and its outcomes. This means that the organization should create a positive and safe environment that encourages and enables employees and teams to pursue new ideas, experiment with different solutions, learn from failures, collaborate with others, and share their insights and feedback. For example, some organizations use a recognition program that showcases and rewards the best innovation projects and teams, as well as the lessons learned and best practices. Other organizations use a communication strategy that promotes and disseminates the innovation stories and successes across the organization and beyond.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?