Internal Motivation vs. External Motivation: which is more effective?

Internal Motivation vs. External Motivation: which is more effective?

Internal motivation External motivation - the difference

Let's start with a situation that will help you immediately understand the difference: On Monday morning, you're sitting at your desk and you notice that two of your colleagues have completely different approaches to the same task. One is enthusiastic about the project, clearly enjoying the challenge and working on it for hours without being asked. The other, on the other hand, only pushes through the work because he knows he'll get a bonus - and as soon as he gets the reward, he falls back into his old ways.

This is the classic difference between intrinsic motivation and the external motivation Between. But which works best? Which ones should you develop in yourself and your team?

In this article, we take a deep dive into this important issue and share the experiences we have gained from our practices and our work together. We show how you can apply both types of motivation in your own career and why it is important to understand the difference between the two.

What is intrinsic motivation and what does it really mean?

Intrinsic motivation means that you do an activity because you find it interesting and naturally satisfying. Put simply, you do it because you like doing it.

The basics of intrinsic motivation

When we talk about intrinsic motivation, there are three main elements to consider:

• Autonomy: You decide how you do your job
• Competence: You are constantly improving your skills
• Contact: You find meaning in what you do

In our experience, leaders who have strong intrinsic motivation are more creative and innovative. We recently worked with an IT executive who switched from programming to management because he loved problem solving and working with people - not because he wanted to make more money.

Why does intrinsic motivation work well?

Intrinsic motivation can be effective because:

1. Sustainable: Not dependent on external factors
2. Encourages creativity: When you enjoy what you do, you are more creative
3. Resilient: Staying strong in difficult conditions
4. Creates a natural state of flow: Easier to get into the "zone"

In our view, the most successful career changes always happen when someone discovers what they love to do from within.

What is extrinsic motivation and what types are it?

In extrinsic motivation, a person performs an activity to achieve some external consequence, such as a reward or avoidance.

Types of external motivation

Extrinsic motivation is not the same - there are several levels:

1. External regulation

• Driven by rewards and penalties
• Example: bonus for good performance

2. Introjected regulation

• Internal pressure, but still of external origin
• Example: 'I have to do well, otherwise what will they say?'

3. Identified regulation

• You make a conscious choice because it serves a valuable purpose
• Example: 'I'm doing this because it's the way to achieve my career goal'

4. Integrated regulation

• It becomes almost an intrinsic motivation
• Example: 'This fits my value system'

When is external motivation useful?

We believe that external motivation can be particularly effective:

• To achieve short-term goals
• To perform monotonous tasks
• To give an initial boost
• To achieve concrete results

We worked with the HR manager of a multinational company, who confessed that he initially took the job because of the high salary. But later he discovered a passion for talent development and this became his main motivation.

Comparing the two motivations - they often appear together!

Internal motivation

A intrinsic motivation means that you do an activity because you find it interesting, enjoyable or satisfying in itself. In this case, the activity itself is the reward - no external incentive or pressure is needed to do it.

Features:

• Spontaneous interest - naturally attractive activity
• Internal satisfaction - the process itself is a joy
• Autonomous decision - is of your own free will
• Long-term sustainability - does not go away easily

Examples:

• A programmer codes at night because he loves solving problems
• A leader develops his team because he finds joy in growing people
• Someone learns a new language because they are excited about learning about cultures

External motivation

A external motivation where a person performs an action in order to achieve or avoid some external consequence. Here, the goal is not the activity itself, but the result or reward it achieves.

Features:

• External incentives driven - reward, recognition, avoid punishment
• Instrumental - the activity is only a means to an end
• Conditional - if there is no external motivator, the activity ceases
• Variable intensity - varies according to the strength of external factors

Examples:

• Working overtime to get a bonus
• Studying to get a good grade
• Being polite to avoid conflict
• Working mainly for the pay

An important distinction:

The two types of motivation are not mutually exclusive - they often appear together. We may start an activity from an external motivation and then over time develop an internal motivation for it, or vice versa.

How do the different types of motivation interact?

A combination of intrinsic and extrinsic motivational factors is likely to enter the pre-decision deliberation phase to guide motivated behaviour. This means that the two types of motivation are not mutually exclusive - in fact, they can work together.

The motivational continuum

Think of motivation as a continuous scale:

Internal motivation ←→ External motivation

The most effective approach is often somewhere in between. When we work with leaders in coaching, we usually find that the best performers are those who:

1. They are aware of their own intrinsic motivation
2. Used knowingly the external motivators
3. Link to the two

Practical examples of combined motivation

The case of the contractor: A startup founder was initially motivated only by financial success (external), but as he got deeper into the work, he discovered the joy of problem solving (internal). Today he is driven by both.

Career changer story: A lawyer switched to coaching because he wanted to spend more time with his family (extrinsic motivation), but also realised that he loved developing people (intrinsic motivation).

Which type of motivation is more effective in different situations?

Effectiveness depends to a large extent on the context. Let's see when which works best:

For tasks requiring creativity

Winner: intrinsic motivation

Research shows that highly engaged teams are 17% more productive. This is particularly true in areas where:

• Innovation is needed
• Long-term commitment needed
• Complex problem solving is the challenge
• Autonomous decision-making expected

For routine tasks

Winner: external motivation

External motivation can be more effective when:

• Well-defined, repetitive tasks
• Short-term goals to be achieved
• Quick results are needed
• The task requires no creativity

For team building

Winner: combined approach

In CoachLab's experience, the best teams combine the two approaches:

• Internal motivation: Shared values, insight into the bigger picture
• External motivation: Clear goals, recognition, career opportunities

How can you develop your inner motivation?

1. Discover your values

Before you do anything, let's be clear: what's really important to you? Make a list of your core values and see how they fit in with your current job.

Practical exercise: Every day Write down three things you enjoyed about your work that day. After a week, you'll see a clear pattern.

2. Seek autonomy

Autonomy is one of the strongest internal motivators. Try:

• Gain more decision-making power
• Developing your own methods
• To create more flexible working hours
• Managing projects independently

3. Develop your competence

Nothing motivates us more than when we feel we are getting better at something:

• Learn new skills: Regularly
• Ask for feedback: Constructive criticism
• Take on challenges: Outside the comfort zone
• Measure results: With objective indicators

4. Find a connection

Understand how your work fits into the bigger picture:

• How do you help your team?
• What impact does your work have on others?
• How do you contribute to the goals of the organisation?

A connecting exercise: talk to people who use the results of your work. You'll see how much more motivated you'll be.

How can you use external motivation effectively?

1. Set clear goals

Extrinsic motivation works best when:

• Concrete: "I will increase sales by 20%" vs. "I will work better"
• Measurable: Can be expressed in numbers
• Available at: Realistic but challenging
• Relevant: Fits the big goals
• Time-bound: There is a deadline

2. Use a variety of rewards

Don't just rely on financial incentives:

Material rewards:

• Bonus, salary increase
• Cafeteria benefits
• Technological tools

Non-material rewards:

• Recognition, awards
• Career opportunities
• Flexible working
• Training opportunities

3. Apply the principle of gradualism

Don't give the biggest reward straight away - build up a gradual system:

1. Smaller targets → Smaller rewards
2. Medium targets → Medium rewards
3. Big goals → Big rewards

In our experience, this keeps you motivated in the long term.

4. Time your rewards right

Instant rewards: for quick feedback Deferred bonuses: for long-term commitment Unexpected rewards: to maintain motivation

When should you combine the two approaches?

During a career change

When changing careers, both motivations can be useful:

Initial stage: External motivation dominates

• Ensure your livelihood
• Get quick wins
• Build up routines

Development stage: Internal motivation is strengthened

• Discover what you love
• Improve your skills
• Build relationships

Mastery section: Combined motivation

• Optimise revenue (external)
• Enjoy the process (internal)

In a leadership role

As a leader, you need to understand both types:

For team motivation:

• Know the motivational type of each team member
• Use mixed incentives
• Regularly assess and adapt

For your own development:

• Balance internal and external motivation
• Don't neglect any of them
• Keep learning and growing

What mistakes should you avoid when it comes to motivation?

1. A "one size fits all" approach

Error: You use the same motivational approach with everyone.

Solution: Every person is different. Ask what motivates them and personalise your approach.

2. Excessive external motivation

Error: Relying only on external incentives.

Solution: Gradually build in internal motivating factors. It is more sustainable in the long run.

3. Neglecting intrinsic motivation

Error: You think that people will automatically be motivated.

Solution: Actively work on developing intrinsic motivation - values, autonomy, competence.

4. Ignoring the context

Error: You are not taking into account the situation and the personality.

Solution: Adapt! A creative job has a different motivation than an administrative job.

How can you measure the effectiveness of motivation?

Objective indicators

Performance indicators:

• Increase productivity
• Quality improvement
• Meeting deadlines
• Number of innovative ideas

Behavioural indicators:

• Reduction in absenteeism
• Willingness to work overtime
• Number of initiatives
• Search for feedback

Subjective indicators

Satisfaction level:

• Job satisfaction
• Stress level
• Work-life balance
• Stability of future plans

Level of commitment:

• Loyalty to the organisation
• Career plans
• Desire to evolve
• Identification with the team

Practical measurement methods

1. Weekly self-assessment: Scale from 1 to 10 in all areas
2. Monthly coaching conversations: Depth feedback
3. Quarterly performance assessment: Objective and subjective measurement combined
4. Annual career planning: Long-term motivational trends

What is the role of coaching in motivation development?

Executive coaching and motivation

In leadership coaching, we often see leaders lose motivation. This usually happens when:

• Too much external pressure on them
• They lose touch with their inner values
• They don't see the point of their work
• On the verge of burnout

Coaching approach:

1. Value alignment: What is really important?
2. Target hierarchy: Which goal serves the greater purpose?
3. Energy management: Where does the energy come from?
4. Action planning: Specific steps to be taken

Career coaching and motivational change

During a career change, many people struggle to find motivation:

Typical questions:

• "I don't know what I really care about"
• "I'm afraid of making the wrong decision"
• "How can I reconcile my passion with the need to earn money?"

Coaching process:

1. Discovery: What motivates you from within?
2. Reality check: What are the external barriers?
3. Search options: How to combine?
4. Action: Small steps, big change

Life coaching and contributing to a complete life vision

In life coaching, we see that motivation at work is closely linked to other areas of our lives:

A holistic approach:

• Family: How does it support or hinder work?
• Health: How much energy do you have?
• Contacts: Who are you surrounded by?
• Personal development: Where are you on your journey?

Specific strategies for different career levels

For beginning professionals

Developing intrinsic motivation:

• Discover what you love about your job
• Ask for a variety of tasks
• Find mentors
• Join professional communities

Using external motivation:

• Set short-term goals
• Reward yourself for small successes
• Ask for regular feedback
• Build your career plan

For middle managers

Creating a balance:

• Delegate tasks you don't like
• Focus on areas where you can grow
• Use the team's success as your own motivation
• Develop your leadership skills

Motivating the team:

• Know the motivations of each team member
• Take a mixed approach
• Give regular feedback
• Create opportunities for development

For senior managers

Strategic approach:

• Link personal values to corporate goals
• Build sustainable motivation systems
• Be a role model
• Invest in your own development

Shaping organisational culture:

• Create an environment where both motivational types can thrive
• Measure and evaluate regularly
• Adapt to change
• Build a long-term perspective

Motivation in 2025: new trends and challenges

Impact of hybrid working

Home office and hybrid working bring new challenges:

In terms of intrinsic motivation:

• Less direct social contact
• More autonomy, but less control
• Disruptive effects of the home environment

In terms of external motivation:

• More difficult to measure performance
• Less immediate recognition
• The need for modified reward systems

Generational differences

Motivations of Generation Z:

• The importance of purpose and values
• Need for quick feedback
• Flexibility and work-life balance
• Technological integration

Millennials:

• Career development and growth
• Social impact
• Personal branding
• Financial stability

Generation X and baby boomers:

• Security and stability
• Recognition and respect
• Possibility of transferring experience
• Preparing for retirement

The role of technology

AI and automation:

• Routine tasks disappear
• Focus on creative and strategic work
• The need for continuous learning
• Developing new competences

Digital devices:

• Gamification possibilities
• Real-time feedback
• Personalised development plans
• Virtual coaching and mentoring

The role of technology more

The digital revolution is fundamentally changing the way we think about motivation and engagement in the workplace. With artificial intelligence and automation, routine tasks are gradually disappearing, while jobs that require creative and strategic thinking are coming to the fore. This brings new challenges for leaders: how to keep their teams driven in an environment where change is the only constant?

Modern technology tools provide opportunities for gamification, real-time feedback and personalised development plans, while virtual coaching and mentoring make professional support even more widely available. However, it is important to remember that these tools are only effective if they are backed up by real human connection and value creation.

Summary: Finding the optimal motivational mix

Research carried out in recent decades and coaching our experience clearly shows that there is no universal answer to the question of whether intrinsic or extrinsic motivation is more effective. The key to success lies in finding the right combination.

Key lessons learned

Benefits of intrinsic motivation:

• Sustainable in the long term
• Leading to more creative and innovative solutions
• Results in greater job satisfaction
• Less dependent on external conditions

Benefits of external motivation:

• Get fast results
• Works well to achieve specific goals
• Helps you to carry out routine tasks
• Provides clear guidance

The most effective approach:

1. Start by building internal motivation - this will be your solid foundation
2. Use external motivators consciously - they provide the impetus and control
3. Regularly assess and adjust - what works today may not work tomorrow
4. Adapt to the context - different situations require different approaches

Practical next steps

If you want to develop your motivation more seriously, start with these steps:

1. Carry out a motivation audit: Assess your current situation
2. Identify areas for improvement: Where is the greatest potential?
3. Set up a trial period: Try new approaches
4. Get help: Coaching or through mentoring

Finally, a thought based on 25 years of leadership experience: the most successful people are not those who are perfectly motivated at all times, but those who have learned to manage the waves of motivation. It's a skill anyone can master - it just takes patience and practice.

Motivation is not a switch that can be turned on and off. Rather, it is a garden that needs to be tended. And as every gardener knows: the best results come from a combination of the right soil, water, sunlight and patience.

Frequently asked questions