Every employee wants acknowledgment and recognition for doing a good job. Recognizing and rewarding your employees for top-level performance is an essential part of any business strategy. Praising your team for excelling increases morale and employee engagement.
Given the benefits of recognizing and rewarding employee performance, it’s surprising how many companies fail to adopt the strategy, and then wonder why their employees are walking out of the door.
A study by the Harvard Business Review shows that 7 out of 10 employees that report receiving recognition and rewards from managers state they’re happy with their current job. In companies that don’t recognize employee achievement, only 39% of workers reported feeling satisfied with their position.
The Key Aspects of Recognition
If managers want to start an employee recognition and rewards program, then they need to adhere to the following three key aspects of recognition.
Managers need to:
- Facilitate praise in every direction and at all levels
- Praise and recognize employee achievements frequently
- Make their recognition and praise for employees specific
- Acknowledge the actions of the employee and tie them to organizational objectives
HR leaders and managers need to take a strategic approach to recognition. Checking off a survey or celebrating with your staff on Employee Appreciation Day is not enough to drive the engagement you need from your employees.
Strategies to Improve Employee Recognition
Follow these three simple strategies to improve your employee recognition.
1. Know Your Staff
The best managers understand how their employees want recognition. By sitting down and talking to your employees, you get to understand what motivates them to succeed. What are they passionate about in life? What is satisfying to the employee?
How your reward your employees is as important as recognizing their performance. Ask your employees how they want to receive rewards.
2. Make it Timely
When your employees reach a target or goal, you need to take immediate action in praising their achievement. Waiting to recognize the achievement reduces the impact of the recognition. So make sure you take immediate action to reward your team.
Recognition also factors into modern compensation rewards in terms of a cash award, such as a bonus. Top organizations evolve compensation packages to be both creative and fluid. The traditional role of awarding bonuses on an annual or semi-annual basis is no longer relevant in the workplace.
By reviewing your compensation, recognition, and rewards strategy, managers energize their employees without extending the companies salary budget.
3. Tie Employee Recognition to Company Values
Traditionally, the majority of company recognition programs focus on acknowledging its employees. Using a culture-based strategy enables employers to showcase their employees that demonstrate organizational values while positioning them as organizational role models.
Evaluating your employee recognition and rewards program also provides an opportunity for recognizing employees for achieving other objectives and milestones, other than a big win.
Management supporting its employees in goal achievement is a critical part of the employee experience. By recognizing and rewarding your team, you set the stage for organizational success.