Does recognizing your employees for their hard work and showing appreciation really have impact? Consider these statistics:
- Happy employees improve business productivity by 31%.1
- 70% of employees indicate that motivation and morale would improve “massively” if managers said thank you more often.1
- While 71% of highly engaged organizations recognize employees for a job well done.1
Productivity is higher, turnover is lower and engagement is better in workplace cultures that make recognition a priority. Yet many employees do not feel valued and many organizations are not investing in employee recognition.
Which raises the question – why? In a nutshell it boils down to six common factors: lack of time, lack of thought, lack of know-how, focus on tasks rather than people, fear of rejection, and culture/belief systems that don’t support recognition.2
But the statistics are clear – employees perform better when they are appreciated. Keep reading to get surefire tips on fixing employee recognition issues.
- Heap Praise on Employees…
It may sound like being generous with praise is treating employees with kid gloves, but in fact, it will motivate them to work harder. The key is to do so after they have performed well and especially if they have exceeded expectations and goals.
- And Encourage Peer Recognition
Peer-to-peer recognition is nearly 36% more likely to have a positive impact on financial results than manager-only recognition.1 The strong validation element of peer-to-peer recognition gives it even more power over morale and engagement than leader-to-employee recognition. Fostering of appreciation among peers leads to higher engagement and productivity levels, better customer service and improved employee retention.
- Leverage Peer Pressure for its Benefits
While peer pressure is often thought of as having a negative connotation, if leveraged correctly, it can actually prove quite beneficial for employee recognition. When an employee is feeling lost about how to complete a project to achieve the end goal, and their peers step in to provide encouragement and share ideas with them, that employee feels supported and like their peers believe in their ability to do their job well.
- Make Employees Feel Valued
Employees who do not feel valued are twice as likely to quit. (1) Hiring their replacements is expensive and time consuming. Turnover is, to put it succinctly, bad for business. You can avoid this scenario by making your employees feel valued – whether through gifts, acts of service or words of affirmation. It takes a small amount of extra effort (and time) to let them know their contributions matter.
- Create an Employee Recognition Program
Giving employees raises when they perform well is great, but it is not always necessary, and it is not even effective in some cases. Overall it is verbal praise, gifts and acts of service that resound most with employees when it comes to recognition. Ask your employees what types of recognition they desire most and build an employee recognition and rewards program around their responses. You will quickly see the positive ramifications it will make on your organization’s productivity, employee retention rate and profitability.
- (Bonus Tip) Teach Employees and Managers How to Provide RecognitionGetting praise, being recognized, and receiving appreciation are all things that everyone – employees and managers – highly desire, especially when it’s deserved and genuine. However, the tragedy is that few people really know how to do it. One of the easiest ways is to provide managers with the tools, resources and budget to knowledge to demonstrate appreciation. Provide small gifts, thank you cards, and ideas for appreciation messages. Offer to pay for a party or outing after a project has been completed or a goal has been obtained. Create a budget for a reward such as a travel incentive for a longer-term initiative.
Less Investment Is Bad for Business
The less you invest in your employee recognition efforts, the less engaged, less connected and less motivated you will find your employees becoming. These are all major problems that can spell big time trouble for any company. When employees lose their motivation and stop performing at their highest level, customer satisfaction and revenue inevitably decrease.
Include Appreciation in your Budget
Dedicating a percentage of your company budget to an employee recognition and reward program will pay off big time with employees who are highly engaged, motivated, connected and productive. Turnover will plunge and profits will rise. In this sense, a little appreciation definitely goes a long way.
For more information about how Gavel International can help your organization through outsourced meeting planning, event and travel incentive programs, contact us.