Summary The effects of extrinsic rewards on creative performance have been controversial, and scholars have called for the examination of the boundary conditions of such effects. Drawing upon expectancy theory, we attend to both reinforcement and self‐determination pathways that reveal the informational and controlling functions of creativity‐related extrinsic rewards. We further identify the individual dispositions that moderate these two pathways. Specifically, we propose that extrinsic rewards for creativity positively predict creative performance only when employees have high creative self‐efficacy and regard such rewards as important. We likewise propose that extrinsic rewards positively affect the intrinsic motivation of employees with an internal locus of control, thus enhancing their creative performance. Results based on a sample of 181 employee–supervisor dyads largely supported these expectations. The current analysis enriches the creativity literature by combining different perspectives in a coherent framework, by demonstrating the positive effects of extrinsic rewards on intrinsic motivation, and by demonstrating that the rewards–creativity relationship varies across employees depending on their individual differences. Copyright © 2014 John Wiley & Sons, Ltd.

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Summary Previous studies have investigated the role of intrinsic motivation and extrinsic rewards in enhancing employee creativity. However, the possibility that these motivational factors affect the creativity of different types remains largely unexplored, particularly in the organizational settings. Moreover, the potential that personality traits may moderate the function of these motivational factors toward creativity is another underresearched area. By drawing on the person–situation interaction perspective, we propose that both intrinsic motivation and extrinsic rewards predict creativity but of different types. Thus, we diverge from the view that creativity is a uniform criterion domain by adopting the distinction between radical and incremental creativity. Our empirical analysis of 220 independent employee–supervisor dyads confirmed that intrinsic motivation and extrinsic rewards predict radical and incremental creativity, respectively. Moreover, the effects of intrinsic motivation on radical and incremental creativity are more positive for employees with higher learning goal orientation. By contrast, the effect of extrinsic rewards on incremental creativity is more positive for employees with higher performance goal orientation. This study offers elaborate and nuanced perspectives and insights into the role of different motivational processes in the development of different types of creativity.

Research on the effects of rewards on creativity has resulted in hundreds of empirical studies and several reviews of the reward-creativity relationship (RCR). Most reviews are retrospective in nature. They have quantitatively summarised and integrated previous research findings, but have largely overlooked the need for a theoretical framework to guide future research. The current systematic review of this literature intends to bridge this gap, based on the findings of 329 papers and book chapters. Our review summarises the theoretical developments in reward-creativity (RC) research, and classifies the literature in three distinct phases, i.e. the emergence of the cognitive perspective; behavioural rebuttal, and convergence. The paper identifies three important gaps in the existing RC literature: (1) the moderating effects of individual, group, organisational, and national-level factors; (2) the mediating role of cognitive and affective states; and (3) the lack of consideration of creativity as a multidimensional construct. Based on these gaps, the paper presents a fourfactor framework to guide future RC research. It identifies potential moderators and mediators of the RCR, and draws attention to creativity as a multidimensional construct.

PurposeThis paper draws on the conservation of resources (COR) theory to understand how organizational embeddedness develops through psychological ownership and organizational justice. The purpose of this study is to investigate the effects of three dimensions of organizational justice on organizational embeddedness and psychological ownership and the effect of psychological ownership on organizational embeddedness. The mediating role of psychological ownership between organizational justice and organizational embeddedness was also examined.Design/methodology/approachData were collected from 300 engineers in Pakistan's power sector using a three-wave quantitative survey. Partial least squares path modeling was used to analyze the data.FindingsThe results show that distributive and procedural justice results in the development of organizational embeddedness. Simultaneously, psychological ownership mediates the link between all three dimensions of organizational justice and organizational embeddedness.Practical implicationsBy highlighting the importance of organizational justice and psychological ownership, this study offers managers with two distinct strategies for enhancing their employees' organizational embeddedness.Originality/valueThere is a lack of research investigating the distinct effects of three dimensions of organizational justice on the three dimensions of organizational embeddedness. Further, research to investigate the intervening mechanisms that connect organizational justice and embeddedness is scarce. Finally, the COR theory has been utilized to explain how embeddedness works. However, it had not been utilized previously to understand the process through which embeddedness is accumulated. This study fills these gaps by examining the distinct effects of three dimensions of organizational justice on three dimensions of organizational embeddedness and examining these relationships' mediation through psychological ownership.