Nudge In The Right Direction: Allow Free Choices!

 Most organizations want employees to act as informed consumers in making career, health, and wealth decisions. But traditional consumerism approaches have failed because they have omitted a key element: employee engagement. Engaging your employees is pivotal to the success of any consumerism initiative. Further, in creating an environment for positive employee behavior change, you can choose approaches that deliberately drive employees to make decisions that ultimately can enhance productivity and, therefore, business results. Buck Consultants calls this point of view Consumerism 360°.


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In Nudge, by Richard Thaler and Cass Sunstein, the authors posit that it is better to use rules of thumb or choice architecture and have good defaults in explaining to someone about what the better choices may be. Don’t use bans and mandates! Gently nudge them in the best direction. Nudge is about improving decisions about health, wealth and happiness.