Do you have effective rewards and recognition program at your workplace? If not, this is the right time to implement it to retain your high performers and keep them engaged. This blog talks about the effective recognition processes that made a difference in other successful organizations. Employee disengagement inflicts heavy losses on companies. According to Gallup research, 52% of employees are coming to office just to mark their presence, and 17% claim that they are actively disengaged. Rewards and recognition increase the morale of the workforce and also employee engagement. A survey by SHRM shows that 68% of HR professionals say that recognition programs help in increasing the retention rate. Also, 56% percent agreed that acknowledging efforts has a positive impact on recruitment. That is because rewards and recognition strengthen the work culture that attracts the job-seeking millennials.  

The recognition program also reduces employee turnover, increases productivity, and makes employees stay committed to their work. Rewards and recognition are not the same because rewards are tangible but recognition is priceless. Despite the difference, both have a strong connection. You can recognize the efforts of an employee only through rewards. The immediate concern of employers is that they may not have the budget to organize a grand rewards and recognition event. But the rewards can be either monetary or non-monetary. You can appreciate an employee through an online social platform with a customized award or a simple thank you note or appreciating the employee in a one-on-one meeting or through ‘good job’ mails. It need not always be grand stages and Oscar-like awards. You can make it happen when you have financial stability and the right support.  

Who are eligible for appreciation?  

Earlier, it was always once-in-a-year award events, where the employers or managers choose only the persons who have increased the profitability of the company. Mostly, it is a salesperson or someone who has delivered a new product that has delivered a great market success. The employees at the back-end work go unnoticed. They are recognized only when they have years of experience in that company. With the advancement of technology and plenty of job opportunities, the criteria for recognition have been widened. As Steven Hankin of McKinsey & Company said in 1997, the war for talents has begun. Today, people who have put in their sweat seek gratification in the form of rewards and recognition. If they don’t get it, they leave the company and it increases the turnover rate eventually.  

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The war has certainly impacted the organizations and the criteria for recognition have widened. The criteria now include the following.  

1. Innovators  

2. Consistent performers  

3. Morale-builders  

4. Actions that align with organizational values  

5. Delivering excellent support to existing customers and helping in customer retention  

6. New ideas for the development of existing technology  

7. Managing new changes and strengthening the existing systems  

How often should we recognize the employees for their commitment?  

In this fast-pacing world, everyone looks for instant solutions for every human problem. Then, why should we have a time fixed for rewards and recognition? Do it instantly. For example, when a digital marketer has generated 50 leads in 10 days, given the low, immediately send him s “thankyou” or “That’s awesome”. You’ve done a great job mail or him stand and announce the accomplishment to all the coworkers, give him applause. When an employee realizes that his success is being recognized, he tends to stay loyal and put in more effort to achieve something greater than his previous record. In research, 52% of respondents agree that reward and recognition improve the workforce’s motivation.  

Here are a few suggestions for monetary rewards.  

• Learning opportunities through various training plans  
• Vacation packages  
• Bonuses  
• Gift cards or coupons   
• Tokens of gratitude like new model laptops or personalized travel facility for a particular period  

Who can Ensure the Effectiveness of the Rewards and Recognition program?  

Managers. They are the ones who are the closest to the employees and should act as a coach. Proper training should be provided to the managers so that he/she analyzes and nominates the deserving person and also appreciates them without nepotism. Managers can truly motivate the employees and reduce absenteeism by encouraging the team members and providing equal growth opportunities to everyone in the team. When a bias-free process is developed, the employees show more interest in it than ever.   

When all the above-mentioned factors are considered before building your own rewards and recognition program, your employees will be happy, satisfied, and engaged.