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Management Accounting Section Midyear Meeting

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“Let Me Recognize You for Your Advice:" Peer Recognition Design to Reduce Feelings of Indebtedness Associated with Seeking Advice.

Sat, January 8, 8:30 to 10:00am, TBA

Abstract

This paper investigates how different peer recognition designs (i.e. peer recognition scheme or peer reward scheme) influence organizational members’ advice seeking behavior under different levels of perceived cooperative goal interdependence. Prior literature illustrates that individuals’ motivation to seek advice is influenced by perceived costs imposed on the advisor, resulting in feelings of indebtedness. Building on this stream of literature, the current study examines whether advice seeking is influenced by an opportunity for reciprocity in terms of peer recognition or a peer reward. Using a computer-based experiment, we find no evidence that the implementation of a peer recognition design increases advice seeking. This result stands in sharp contrast to anecdotal evidence stating that peer recognition designs stimulate advice interactions. Additionally, we find the effectiveness of peer recognition schemes compared with peer reward schemes on advice seeking to be dependent on the level of cooperative goal interdependence. More specifically, we show that under low levels of perceived cooperative goal interdependence, peer recognition schemes are better suited to stimulate advice seeking than peer reward schemes.

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