New research indicates that workers adapt their competitive strategies for promotion or salary increases depending on their organisation’s performance compared to competitors. Academics delved into the overtaking manoeuvres of motorcycle riders in MotoGP from 2004 to 2020, examining how their approach was influenced by their team’s competitive landscape and available resources. The study, led by Professor Hans Frankort from Bayes Business School, City, University of London, observed how often riders attempted to overtake both teammates (internal overtakes) and riders from rival teams (external overtakes).

Professor Frankort, in his insightful analysis, draws a parallel between sports, particularly motorsports, and various industries like consultancy and financial services. He underscores how these industries mirror the competitiveness seen in MotoGP. The published paper in the Academy of Management Journal unveils a fascinating aspect of this competitiveness-riders adjusting their overtaking strategies in response to their team’s competitive circumstances and the resources of rival teams.

The research emphasised that employees typically compete to enhance their organisational standing, often resorting to actions like poaching clients or disrupting colleagues’ work. However, ambitious workers adapt these behaviours based on their organisation’s performance. If the company shows potential to outperform rivals, employees may focus on actions that contribute to that success, such as client poaching. Conversely, during times of threat, like losing market share, internal conflicts may be viewed negatively, prompting employees to direct their competitive efforts externally.

The study indicated employers could influence employee behaviour by highlighting threats from smaller competitors or opportunities against larger rivals. Furthermore, contractual arrangements with the team also influenced riders’ overtaking behaviour. Like agency workers in MotoGP, replacement riders tended to attempt more overtakes against teammates when the team was thriving and against all riders when the team was struggling. This behaviour could be interpreted as replacement riders trying to showcase their abilities in hopes of securing a permanent contract.

The paper concludes with significant implications for both employers and employees. It highlights how riders whose contracts were not being renewed exhibited distinct behaviour on the track, challenging teammates more aggressively but showing less inclination to overtake riders from other teams. This behaviour, which suggests a sense of detachment or dissatisfaction with the team, could serve as a warning sign for employers. These findings offer valuable insights into how employees on different contract types navigate competitive environments, providing a roadmap for organisations to manage and leverage competitive dynamics.

More information: Patrick Hallila et al, Revving Up or Backing Down? Cross-Level Effects of Firm-Level Tournaments on Employees’ Competitive Actions, Academy of Management Journal. DOI: 10.5465/amj.2022.0946

Journal information: Academy of Management Journal Provided by City, University of London