A Guide to Creating Best Employee Recognition Programs

Programs to recognize and reward employees are essential to creating a positive work environment, especially in times of crisis and uncertainty (like the COVID pandemic). 

When employees are working remotely or in social isolation, how should they be rewarded? It’s challenging to persuade executives that employee recognition has a high return on investment. 

To develop a successful employee recognition program, where do you begin? Problems like low participation or program exhaustion are preventable, but how? 

Use this article to learn how to implement a successful, long-term employee recognition program that makes employees feel appreciated and valued daily.

Understanding the Employee Recognition Programs

Previously, employee appreciation in the workplace was primarily used to motivate team members, but this is no longer the case. Here are a few common examples:

  • Monetary Incentives Programs
  • Month-to-Month Recognition Programs
  • Rewards for Years of Service
  • Programs Involving Gift Cards
  • Department or team-specific programs that give staff sweets, lunches, or modest presents as a way of saying “thank you” to a team member

Things like money and gift cards were used as incentives for employees to participate in employee recognition campaigns. Research from the Society for Human Resource Management says that organizations need to “tailor their retention and recruitment tactics around numerous parts, creating a holistic incentives program,” rather than simply rewarding employees with money.

These days, most businesses consider employee recognition and reward an essential component of fostering a positive workplace culture and increasing employee engagement. 

A formal recognition program that incorporates a points system, a social wall, and meaningful awards is typical in many firms that use employee recognition software.

Recognizing extra effort, above and beyond work, team initiatives, wellness, diversity efforts, and innovation are some examples of modern employee appreciation programs.

A comprehensive employee recognition program must include prizes for minor and significant job achievements, service anniversary awards, and corporate events that commemorate shared success in addition to other forms of acknowledgment.

What are the benefits of implementing employee recognition programs?

What’s the point of recognizing your employees? There are numerous scientifically documented ways in which employee recognition positively benefits a company’s bottom line and business success. An employee’s motivation and happiness are just two of the many benefits of employee recognition.

This article will also explain the importance of recognizing your employees:

  1. Attracting the best and brightest
  2. Involvement
  3. The retention
  4. Culture Building
  5. Innovation and productivity
  6. Achieve Inclusion
  7. Acquiring new talent

In today’s competitive workplace, attracting the best and brightest is essential. To attract and retain top-notch employees, you need a workplace culture that celebrates and rewards those who accomplish their most satisfactory job.

Job searchers worldwide were asked to select the traits they most valued in a new position from a list of 26. My boss or supervisor showing “appreciation” for my job was the most crucial factor. Finally, a high wage came in at number eight on the list of things to look for while looking for a job.

Companies and leaders seek ways to attract and retain their best employees while also enhancing organic growth and employee productivity in today’s war for talent. Businesses may be overlooking one of the most straightforward strategies in their search for fresh ideas and approaches, i.e., employee recognition.

O.C. Tanner Institute’s findings show that both employees and executives prioritize making people feel valued and appreciated in the workplace. Recognition is a must-have for job seekers and business executives looking to fill their ranks with the finest and the brightest.

1. Engagement

To keep employees engaged and motivated, it’s crucial to give them the proper recognition. Employees who feel strongly recognized by their firms are 78 percent more likely to be highly engaged than those who think poorly recognized.

According to a LinkedIn study:

  • 70% of employees would work harder if they were given more recognition for their hard work.
  • On-the-spot acknowledgment is preferred by 80 percent of Millennial employees compared to formal performance evaluations.

One in five employees strongly agreed that their managers manage performance in a way that drives them to do outstanding jobs, while the most common answer was “recognize me,” according to the survey.

How much discretionary effort an employee is willing to provide you can be measured by the amount of effort they are willing to put in. Rewarding your staff makes them feel good about what they’re doing and inspires them to perform even better.

2. Retention

Recognition has an undeniable effect on attrition and employee retention:

  • According to Gallup, more than twice as many people plan to leave their jobs in the coming year if they’re not adequately recognized.
  • Reports from Glassdoor Employers should show more appreciation to employees to keep them on the job longer, 53% of workers said.
  • Employees who are routinely rewarded for their contributions are five times more likely to stay with their employer, according to Qualtrics research.
  • Peer-to-peer recognition has been linked to a 35% reduction in employee turnover, according to researchers at Harvard’s Kennedy School of Government.

As a retention tool, effectively acknowledging years of service might be beneficial. Companies with a service award program can keep their employees for an additional 2-4 years than those who do not.

3. Culture Building

Workers at their workplaces feel recognition would be an excellent way to build better ties with their bosses. Additionally, distinction affects the six fundamental characteristics of workplace culture: purpose, opportunity, achievement, well-being as well as admiration for the leader.

Employees are more likely to follow the company’s ideals and culture if recognized for their efforts. Encourage others by recognizing those who embody your company’s core beliefs.

In addition to making workers feel valued, employee recognition fosters a workplace culture where individuals feel optimistic about their leaders, aligned to something higher, and an increased feeling of progress, accomplishment, and general well-being from their job and leadership.

4. Invention and Success

When it comes to motivating employees to be more creative and productive, nothing beats public recognition. More than three-quarters of employees who receive strong credit are more likely to be proactive innovators and develop twice as many new ideas every month. 

These people are more than twice as likely to be highly innovative and to be working at a capacity of at least 80%. Sales, customer service, patient happiness, and even quality indicators have been shown to improve due to increasing employee recognition in the business world.

5. Aim for Inclusion

When employees are recognized, they feel appreciated for their unique talents and efforts. However, if done correctly, acknowledgment can help employees feel like they are part of the team and valued as part of your business. 

Twenty-three percent of employees feel a sense of belonging when publicly recognized at work, but 31 percent of employees would look for a new job if they were alienated from the workplace.

As long as the company has years of a service program that honors and recognizes employee accomplishments over time, it can help workers feel like they belong and fit in better. When employees are recognized for their years of service, their impact grows even more robust. 

Leaders who frequently and personally acknowledge their employees’ above-and-and-beyond efforts help foster a sense of belonging and inclusion within their teams and the organization. 

At work, employees require a feeling of being seen and heard. Companies can message that everyone is valued and appreciated by using recognition as a low-cost, everyday practice.

Recognizing Your Employees: Best Practices

Employee appreciation ideas? There are a few essential best practices to follow when recognizing employees to make sure the award means something to the recipient. Regardless of the method you use, make sure that the recognition you provide is:

1. Authentic and sincere

There is no need to feel like you are “checking the box” or making a transaction.

2. Inclusionary

Regardless of their position, title, department, tenure, etc., all employees should give and receive acknowledgment equally. Each member of the organization should be recognized for their hard work, and the criteria for recognition should be clearly defined and equitable.

3. Specific

In this section, please describe what the individual performed, the results of their work, why it went above and beyond expectations, how it influenced the team and organization, and how it made a difference. Generic compliments such as, “I heard you did a good job” remove the significance of praise.

4.Timely

Recognize good work as soon as you see it. The impact is lessened if recognition is delayed.

5. Frequent

A weekly thank-you or compliment should be given to each employee. Someone will not feel appreciated if they receive praise only once or twice a year. But only 3 out of 10 workers say they’ve received recognition or acknowledgment in the last seven days, which is a dismal statistic.

6. Having a Sense of Direction

Your organization’s mission should be the driving force behind the recognition you provide to it. What was it about the job of that individual that had such an impact on the business? What is the benefit to the mission of your organization?

7. Exhibited in Person

Rather than being left on a desk or sent to a recipient’s inbox without a personal note, thoughtful gifts should be delivered in person. Organize your thoughts ahead of time and enlist the help of your colleagues. If you’re unable to make it in person, virtual recognition may be an option. 

A well-executed virtual appreciation program can have the same impact as a physical one. Are you stumped as to how to recognize employees virtually meaningfully?

  • Set up a time solely for expressing gratitude.
  • Invite team members, leaders, and peers to participate and talk at the same time. 
  • Make use of an upbeat and joyous Zoom backdrop.
  • Celebrate in various innovative ways, from sending delicacies to their office or home to inviting them to share tales and photos with their loved ones.

8. Public

Employees want their accomplishments to be known by their coworkers and superiors alike, which is why public acknowledgment is so crucial. 

In addition to showcasing the employee’s work in front of others, public presentations can motivate those watching. It helps your employees recognize the behaviors and actions rewarded in your workplace, encouraging them to perform more.

Recognizing Employees amid a Pandemic: Here Are Some Ideas

The importance of acknowledgment is magnified during difficult times or times of crisis. 

Rewarding employees for their hard work can help them cope with the uncertainty of an impending epidemic or social upheaval, as well as natural disasters or economic hardships. 

Recognition can make people feel connected and give them a sense of purpose when the rest of the world seems unclear.

The 2020 pandemic found that 103 percent of employees felt supported by the organization, and 59 percent trusted their leaders if they had been honored in the past seven days.

When working from home, 64 percent of employees think that recognition and gratitude are significantly more vital.

As a result, many companies reduce their recognition in times of crisis to save money. Seventeen percent of service award programs and 20 percent of performance recognition programs were discontinued during the Covid-19 epidemic.

During a time of crisis, here are some options for an employee recognition program:

  1. Change the way you speak. Make recognition something that you do yourself rather than something that you have to do for your boss. Recognizing people in times of crisis should be about appreciating what they have to offer and expressing gratitude for what they provide.
  2. Involve your coworkers. In times of uncertainty, people want to feel linked to their company, colleagues, and something that matters. Your company’s goal, individual successes and achievements, and the group as a whole can all be tied together through the use of acknowledgment. Stress, solitude, and uncertainty are exacerbated when employees aren’t recognized for their hard work, leading to feelings of insignificance.
  3. Look for the unsung heroes. It’s imperative to show gratitude to those who labor hard behind the scenes when the going gets rough. It would be best if you made it a point to identify these individuals and lavish them with attention and affection.
  4. Recognize those who deserve it. In the same way that receiving acknowledgment positively impacts the recipient, giving praise can also positively affect the giver. Your leaders and staff should be encouraged to show gratitude whenever they observe exceptional work being done, even if they are working with others.
  5. Gratitude is a powerful antidote. When things are going wrong, it’s easy to lament the situation and fret about the future. News of layoffs, financial difficulties, and personal difficulties can be a heavyweight to carry. So don’t forget to point up the positive aspects of your business. In the face of adversity, expressing gratitude can help a team build resilience and focus on the future.
  6. Ensure that your customers have a positive experience. Occasionally, a simple email of gratitude suffices, but not when things get tough. Please spend a few moments creating unique ways to express gratitude and appreciation that are caring and meaningful to the people who receive them. Keep in touch, send care packages, and be sure to tell your preference whenever possible.
  7. Recognize not only achievements but also effort. Getting things done can be more challenging when times are tough. However, this does not negate that employees are working harder and putting in more effort than usual. You may wish to alter what you’ve noticed. Show your appreciation for the extra effort your staff is making to preserve efficiency or overcome difficulties instead of focusing on results and metrics.
  8. Recognition amid a crisis may appear a little different than usual. The way you recognize people may need to change. Even a significant chemical and related products manufacturer like BASF, for example, shifted the focus of its awards to include the extra work its employees made during the pandemic. 

In a time of crisis, it is essential to remember the following:

  • Adopting a positive outlook or boosting the spirits of colleagues.
  • Effective use of collaborative tools to maintain team cohesion.
  • Assisting team members in ensuring their safety.
  • Having the ability to think beyond the box.
  • Maintaining a healthy work-life balance while taking care of family responsibilities.
  • The unsung people who make achievement possible by working in the background.

To show their appreciation for all of their hard work in assisting their workers in making the transition to working remotely, Puget Sound Energy’s IT department received an extra round of praise. Additionally, they sent out emails to leaders pushing them to use recognition in unique ways, whether to increase morale, strengthen relationships, or celebrate critical successes for the firm like operating compliance, for example.

Examples of Rewards Given to Employees in Appreciation

You might ask what to give as a token of appreciation for a job well done. While cash and gift cards can be suitable in some situations, they are not ideal for showing appreciation for every achievement. It’s challenging to deliver cash in a public setting, and it’s easy to lose track of how much money you’ve given out. While gift cards can be personalized for on-the-spot accolades, they aren’t significant enough for long-term achievements or years of service. For several reasons, it is best to have a selection of awards at your disposal (and to choose from).

Do not forget to include both cash and non-cash prizes in your submissions. Using an ecard to express gratitude, congratulate someone, or commemorate a significant life event can be a thoughtful and cost-effective choice.

The following are some examples of employee recognition awards given in acknowledgment of exceptional performance:

  • Electronic greeting cards
  • A thank you speech
  • The thoughtfulness of a personal note of gratitude
  • Communication via electronic mail
  • To eat out: Lunch/dinner
  • Points in a point-based reward system
  • Awards such as gift cards, food, or personal goods might be given at the moment.
  • Awards for merchandise
  • Tickets to concerts and other events, as well as travel
  • Giving back to the community is a great way to give back to the community.
  • Symbolic awards
  • Cash prizes

The following are some ideas for thank-you gifts for long-term employees:

  • A handwritten note from the CEO or a senior leader congratulating the team
  • Peer and leader endorsements are included in a personalized brochure.
  • Employees’ years of service should be commemorated with a meaningful award.
  • High-end jewelry, electronics, upmarket home accessories, and the latest leisure/sports products are just a few examples of items that might be given as awards.
  • A special occasion or dinner out

This is just one of many ways to show your employees how much they mean to you by awarding them with a service award.

When it comes to employee recognition programs, don’t be afraid to think outside of the box. The most important thing to keep in mind is to personalize and authenticate the award and honor presentation. 

Conclusion: Ensuring the Success of the Employee Recognition Program

  1. Maintain a strong sense of leadership. Executives need to be reminded of the value of appreciation and the importance of their support and dedication to receive the most money and resources, position recognition as a company culture effort and not merely an HR tool.
  2. Recognize your employees in meaningful ways that are simple to implement. An organization’s recognition program may be underutilized if the awards and presentations aren’t relevant or straightforward to use.
  3. Set it and forget it isn’t a good strategy. Make sure your solutions don’t go stale by updating them frequently. Keep the program’s influence at the forefront of people’s minds through regular updates and reminders. Managers should be taught how to appreciate their employees properly. Peer recognition should be encouraged. Use recognition champions: employees and executives who have been specially trained to keep the thrill and energy of recognition going strong.

Creating a workplace culture where employees feel appreciated, motivated, and thrive is possible when rewarding their hard work and dedication.

That’s a wrap!

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