Many organizations including BRAVO have been boosting the importance of employee recognition and rewards for a long time now. However, the employee rewards industry still seems to have lesser popularity among many corporations.
What might be the reason behind this hold-back?
Well, every company has its own environment and intends different yields from the market. Therefore, it may be difficult to point out the reason for a single company’s ignorance of the employee reward system.
However, we have compiled a few common reasons that seem to be the real reason behind this stuttering of the industry.
No understanding about its significance
One of the biggest hurdles in the way of employee rewards is the lack of understanding for its significance. Many managers ignore the idea of setting up an employee reward system while considering it useless.
However, only if they knew how big a difference it can create – they would spend a considerable budget on it.
Lack of right knowledge
Another big problem in the employee reward system is the lack of the right knowledge. Managers do realize the importance of this system but don’t know the right way of doing it. Mostly, they’re caught between the decision of choosing the extrinsic rewards over intrinsic rewards.
Moreover, there’s a major misconception among managers which is; cash rewards are better than intrinsic rewards. Wrong concepts like these have also harmed the image of the employee rewards industry.
Read more here: Employee Rewards: Expectations Vs. Reality
Recognition & rewards are considered difficult to manage
This issue attributes to the laziness of management towards employee recognition and rewards. First of all, they consider it unimportant and then it becomes easier for them to snub it on account of difficulty.
However, with the right kind of knowledge and training, employee recognition can become a much easier thing to do.
They think it’s too costly
There has been a decades-long misunderstanding, which concludes employee recognition and rewards a costly expense. However, the truth is otherwise. Employee rewards and recognition is one of those investments that can make or break an organization’s existence in the market.
If you look closely, employee rewards incite productive behavior among your employees.
Therefore, if you compare the cost of loss due to less productivity and the benefits from investment (via rewards) towards increased productivity; you’ll be happy to know that employee rewards are a budget well spent.
In the end..
In the end, we can only say that the corporate world needs more awareness on the matter. The human resource devotees need to step up and spread the positive word regarding this amazing employee motivator. More so, it isn’t about the money that you’ll be spending on the rewards; instead, it is about the well being of employees at their workplace, so that they can perform their jobs better.