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Fear is not a motivating factor. You might be able to get a little bit more out of someone in the short term, but you will completely erode your business and your culture in the long term. You're going to lose all your good people. You're not going to have people tell you the truth, and it becomes the tradition.

Fear is not in the habit of speaking truth; when perfect sincerity is expected, perfect freedom must be allowed; nor has anyone who is apt to be angry when he hears the truth any cause to wonder that he does not hear it.

Fear is one of the elements of nonlethal weaponry. You're going to get hurt, and you don't want to get hurt. Pepper spray hurts. You don't want to be sprayed. That's why it's a useful deterrent as a nonlethal weapon - I'm not advocating spraying people randomly.