Paying It Forward: Why Every Business Needs An Employee Recognition Program
Updated: Aug 22, 2020
When working in an organization, everyone wants to stand out and be recognized for their performance and contribution. Businesses, big and small, ignore the impact of this because recognition programs don’t directly have a measurable ROI, Compliments if any, are hard to come by, and a culture of appreciation slowly disappears as the team begins to grow in size. Till one day a Voice of Employee survey result jolts you.
Doesn’t it feel like bosses, colleagues and even friends can dish out negative feedback so promptly and effectively? You might be doing the same! Why not also focus on the positives?
What Does A Good Employee Recognition Program Look Like?
A good employee recognition program can help boost morale and get people to talk positively about their jobs. Here are just a few reasons why you should invest in one if you haven’t already.
1. It Is Measurable! Employee satisfaction is not an intangible metric. The effect of a good recognition program can be seen in the form of increased retention, fewer days off and even better Glassdoor reviews. All of these metrics help you gauge the success of the endeavour quite effectively. As we know, less attrition means less money spent on the hiring process and training. In fact, satisfied employees are likely to recommend their workplace to other skilled peers. If your teams are asking about an employee referral program to bring their friends in, it’s a great sign that you are doing something right.
2. Engagement. That elusive little aspect- engagement- defines everything from sales to employment today. Employees who are not engaged in their jobs report poorer performance and soon look for ways to move out. However, over two-thirds of employees who received even informal recognition reported that they felt engaged with their respective companies. So, a good recognition program can be far more potent than anything else you can do to keep your employees engaged in their daily jobs.
3. A Better Culture. In small teams, it is easy to build a culture through active demonstration. As you grow bigger, it is very likely that the message gets diluted. This is why so many organizations have specific training and programs dedicated to driving home the company’s culture. But what exactly is culture? Does the company’s culture focus only outward, or does it also impact everyday interactions within and across teams? Recognition is one aspect that needs to come from the individual. What better way to demonstrate it than to start at the very top? A good reward and recognition program can help you do just that.
Stay tuned to our next blog on designing a good reward and recognition program for your organisation.