Let them
eat cake! Or how about breakfast at Tiffany's? Or lunch with the President?
Recognizing employee
achievements is not new. In the past, however, recognition focused
on service and retirement. Today, recognition programs are as varied
and diverse as our employees.
How about an advertisement
in the local newspaper naming and thanking your employees for their
contributions? Or providing a donation in the employee's name to the
charity of their choice? What would you say to house-cleaning services
for six months?
At a time when businesses
are being pressed to maximize every payroll dollar and when customers
and shareholders are being emphasized, it is critical not to overlook
the important contributions of employees. And recognition programs
are a cost-effective, high-impact way of saying thank you in public
-- they show the company does notice and it cares.
Recognition awards
are used by many of our clients to:
- Create role models and heroes
by publicizing super-achievers -- team and individual.
- Express appreciation for
employee contributions.
- Reinforce important company
values -- existing and desired.
- Celebrate and publicize
company and individual successes.
- Have fun!
While cash compensation
approaches can also address these objectives, money is not the only,
or even in some cases, the best way to go. One of the most consistent
findings in our studies is that cash compensation, while important,
is often overshadowed by relationships with co-workers, opportunities
for growth, challenging job assignments, the company's top reputation
and feeling valued and appreciated.
Here are a few highlights
of innovative, creative recognition programs used by our clients:
-
"Caught in
the Act of Caring"
Patient care workers receive special awards for outstanding and/or
innovative patient service in a hospital.
-
"Guaranteed
Services"
A fund is set up to guarantee customers outstanding service. If
customers feel they don't get it, they are reimbursed for services
rendered directly from the fund. At the end of the period, all
dollars remaining in the fund are raffled to employees.
-
Safety Awards
Drivers receive cash and plaques quarterly for the best safety
records at an Oscar-like awards banquet.
-
"Cost Busters"
Employee teams research and suggest ideas for saving money. If
the idea is implemented, the team members become part of the "Cost
Busters Club" and large posters of the team are prominently displayed
throughout the company.
Other examples include:
- Have the President or manager
of choice do the recipient's job for a day!
- Provide a week off with
pay.
- Have the President or senior
manager write a letter of appreciation for the employee's achievements.
- Create special, very public
awards for those who are usually behind the scenes or on different
shifts.
- Provide tickets and childcare
arrangements to sports, music or cultural events.
- Arrange for a month's tutoring
for employee's child.
- Have your boss attend a
meeting where you acknowledge employees' accomplishments.
- Establish and name an award
after an exceptional employee.
While recognition
programs like these and others can be real winners, our experience
suggests it is not always as easy as it looks. If you are considering
recognition programs for your organization, keep in mind a few principles:
-
Make sure
the program is compatible with your culture and values.
Employee of the Month is disastrous in a company that emphasizes
teamwork.
-
Define the
selection criteria up front.
Make sure everyone understands the connection between achievements
and rewards, and the criteria used to determine them.
-
Keep the
selection process clean.
Favoritism and politicking are instant credibility killers.
-
Employee
involvement can promote fairness and excitement.
Never establish quotas.
-
Required
notes of commendation each month and required monthly winners
destroy the spontaneous impact of awards.
Too many recognition programs dilute the performance message.
-
Recognize
and reward publicly.
Make sure recipients get lots of open, well-publicized attention.
Not to do so defeats much of the program's purpose.
-
Change the programs
frequently to keep them fresh.
The same program, the same winners, the same awards get old fast.
Be aware these programs have short life cycles (6 to 12 months).
-
Do not use recognition
programs to mask an inadequate compensation program.
These awards cannot make up for noncompetitive salaries.