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Employee Rewards and Tracking Recognition Efforts

Key Performance Indicators and Recognition Efforts You Should Be Tracking
Friday, February 1, 2019

Published by: Online Rewards Employee Recognition

Employee Recognition

The need for employee rewards and workplace incentives

Everyone wants to be appreciated, valued, and recognized for their contributions. When a person performs well or beyond what was required, recognition becomes even more important. This is why employee recognition programs have proven to be an effective and important tool that all businesses should take advantage of.

When an employee is happy, their productivity increases. This leads to more stable and consistent performance from this same employee. When one employee performs well, other employees are also motivated and inspired to follow suit, building a positive company culture. These are just some of the many benefits that show a need for employee rewards in any organization.

In order to truly benefit from this recognition program, the organization must carefully and properly design the program to suit its needs. There is a requirement to understand the business objectives and the present state of the employees in order to design and implement a beneficial recognition strategy. After doing this, it is important to measure the impact: What changes actually occurred as a direct result from the program?

Employee Recognition
Source

Measuring the effects of rewards and recognition

It is important that businesses track the return on every investment made into the business, and it is no different with an employee reward program. There are several Key Performance Indicators (KPIs) that businesses can use to measure and gauge how effective their employee reward programs are. These reward and recognition KPIs can help a business understand the current standing of their employee recognition efforts and, most importantly, figure out areas for improvement.

The first thing that employers can track is the satisfaction score. Employers should strive to ensure that the overall satisfaction score of their employees is high, as this signifies how happy they are with the organization as a whole. The implementation of an employee reward program should lead to an increase in individual and overall employee satisfaction scores.

Another KPI is the attrition of employees, especially those top performers. If your key employees are leaving, then you need to rework your recognition program and figure out what your people need to be happy.

The rate of absenteeism is another rewards and recognition KPI that can be used to measure the ROI of recognition programs. If an employee is well recognized and happy with their job, it is unlikely that they will be absent from their work above average.

The productivity of the human resources department within the organization should also be measured, as you need to be sure your reward programs push and motivate your employees to produce quality work.

Lastly, you’ll want to consider your customer satisfaction metric. While this KPI may not be obvious to some in this context, it really does matter here. When employees are rewarded effectively, they will perform their tasks well, which will directly lead to happier customers. So, if your customers are happy, chances are that your employees are happy as well.

Getting started with rewards and recognition KPIs

Tracking all these KPI’s for a reward program is no small task. The business has to have a solid measurement and monitoring process in place for these KPIs to be tracked. And, they need to be measured both before and after the implementation.

The best path forward is to find the right partner to work with — finding an organization with a reputation and track record of helping businesses implement workplace incentives programs, as well as measure their returns credibly, is how you can easily implement an effective and tailored solution. If you’d like to measure the effects of your employee recognition program, Online Rewards is a fantastic choice with a solid track record of success.

Employee Recognition That Has Impact

Your Checklist to Starting an Efficient Recognition Program
Wednesday, January 16, 2019

Published by: Online Rewards Employee Recognition

Employee Recognition

It goes without saying that the human resources of a company are arguably the most important resources. This is why it is imperative that businesses continue to keep their employee happy, while improving their productivity and overall satisfaction. There are different ways businesses are approaching it these days. However, one way that has stood out over time is the use of employee recognition programs.

These programs are designed and developed to recognize employees that have stood out in an organization based on pre-set metrics. With employee recognition, people in a company are bound to feel loved and respected when they are recognized for their hard work. There is a need to understand the importance for employee recognition in a company.

Employee Recognition
Employee Recognition: Low Cost, High Impact, Gallup

Also, there are some key stakeholders that have the onus to implement these recognition programs. If they do not implement them, then the business will be lagging behind in recognizing their employees. Furthermore, it goes beyond implementing just any employee recognition program.

A company has to understand its employees, its business resources, and overall company structure before deciding on the right employee recognition program to implement. This will ensure that only impactful and effective employee recognition schemes are developed.

Employee Recognition
Why Employees Quit, Online Rewards

We will explore all of these in this post, providing businesses with all the knowledge they need in implementing good employee recognition programs.

The need for employee recognition and the role of the HR program management

There is a never-ending war for the best talents in any field. These best talents are responsible for developing novel solutions in forms of products and services that give a business its competitive advantage. Hence, it only makes sense for businesses to protect their talents, which are their most valuable assets.

When employees are recognized, productivity increases, up to 12 times more than average. There is then an inherent desire to maintain the same performance that led to the recognition. As a result, employee motivation improves and there is a quest to become recognized as well, leading to overall performance improvement. There is also a high chance of retaining employees when they are recognized as opposed to when they are not. The overall morale in the organization increases, work accidents reduce, absenteeism and stress reduces, and there is a greater service to customers, leading to more revenue for the company.

Creating an employee recognition program is becoming important amongst human resource management. In order to be relevant and up to date in the present HR management world, it is imperative that one is able to design and develop the best employee recognition schemes that benefit a company and its employees. In order for HR program management to be able to design these programs, there are two skills they must possess. We will explore these two skills in detail as well as propose checklist to developing them.

Checklist for starting an impactful employee reward and recognition program

Impactful employee recognition schemes involve two aspects. The first involves the ability to actually identify an opportunity or performance that needs to be rewarded or recognized. This is a very subtle skill that is undervalued.

In order to hone this skill and start an impactful recognition scheme, the best HR management should be able to set key and sustainable metrics that employees can work up to. They should be able to communicate expectations and goals clearly to employees so there is no confusion.

The successful management should be able to communicate how these employees tasks fit into the overall impact of the company. Given this, it is important that the metrics and objectives set for the employees are in line with the company goals.

This means that the company achieves its goals as the employees are motivated to perform more at their tasks. Such recognition goals should also be fair and flexible to every member of the organization.

One employee should not be at an advantage to meet such metrics compared to others. Finally, it is imperative that even when such metrics are not set, there are other ways to be able to detect recognizable performances.

The second skill is the design of the recognition award or benefit that is given to an employee for a job well done. This is another very tricky part of designing an employee recognition program as different employees may desire to be recognized in different ways.

The value of the compensation for the recognition should be in line with with achievement or even exceed it, but should never be less. It is also good that such employee recognition is presented in public before other members of the organization.

The frequency with which the award is given is another concern that should be considered here. Additionally, the financial cost of the award is important. It is necessary that a company should be able to afford the same recognition award for consecutive years or even improve on it.

The last, but not least:

Employee Recognition

There you have it, a comprehensive guide to creating an impactful employee recognition program. Many companies usually have a hard time starting such programs. Online Rewards is a company that helps businesses develop the most effective employee recognition program tailored to their business needs. With Online Rewards, you can be sure that your employees will get that recognition they deserve.

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