Why Work?
Years ago I worked at an agency (they actually did not like to use that term, and preferred “company” to distinguish them from they competition that they derided as “advertising agencies”) that specialized in customer loyalty and employee motivation programs. As employees we had the opportunity (actually we were required) to attend a presentation by the agency’s corporate expert in motivation. During the first part of his presentation, his overriding concept was that people only work for the rewards that they get. This principle was the premise of the agency’s business model.
During a break I approached the speaker and asked him this:
“What about people who are internally, personally driven to do exceptional work? People who work for the intrinsic reward of a job well done?”
“What is it that you do in the company,” the speaker asked me.
“I am a senior art director,” I replied.
“Oh,” he said with a shake of his head. “That explains it. You creatives are not like real people.”
I absolutely disagreed with the “expert.” People want to do excellent work.
It was very satisfying today to read the blog post of Dan Pink on this very subject. He confirmed what I thought back then, and still do. Enable the pursuit of excellence, and you will not be disappointed.
http://www.cnn.com/2010/OPINION/03/02/pink.motivation.bonuses/index.html?hpt=C2
BTW, I eventually left that company for a real agency.

Sounds like this speaker is an advocate of Theory X, while you (and the rest of the world) is more of a follower of Theory Y motivation. I didn’t think that people still thought that employees don’t have motivation, etc. How 1880s…
But this is exactly what I have observed in my own company, which is constantly solving the intrinsic problem, not the straightforward problem. We now have “corporate” types managing the company and it shows. The products are not as reliable and the “feel” is different, both employee atmosphere and user experience.
This just lays out why it happens in a very c;ear and compelling manner.
If you are making 20,000 widgets on an assembly line, money motivation works, but nobody creates on the assembly line, even though most managers think they do.