Employee recognition is more of an art than a science. Shall it be an individual or group? Are you truly recognizing the right person or people and are you leaving anyone out? Is it merited or is it going to be perceived as favoritism? Is it for recognition that has already resulted in positive change such as increased sales, increased productivity, improved efficiencies, or helping with compliance?
If you ask an employee which they prefer, most will tell you they will take the cash. But is that what is best for your business? It’s a fascinating topic. Cash which gets merged into the other cash funds and it is forgotten where it came from pretty quickly or a gift that might be seen or used somewhat often?
Years ago a Salesperson was selling $2 million a year to the US Post Office. It was a good account and stable business. At that time, a design team worked on a concept of a new communications device. It did not then and never did generate any significant revenue for the company. That team was rewarded at an annual sales meeting and the ongoing business was taken for granted. At the time it didn’t make sense and it doesn’t now. The design team was rewarded for something that did not work and the solid performing salesperson was not rewarded!
Another firm found some creative ways to improve morale in special ways with minimal expense but the impact was unexpected and long lasting. When gas was really expensive, they gave the employee’s gasoline gift cards. Another time, after a particularly fine quarter, they brought in an ice cream truck (complete with ice cream truck music) and everyone got to select their favorites. Both creative ideas are still talked about to this day.
Money can be the most expensive way to motivate or reward. However, a gift changes the mental impact of the reward. It can clearly help us develop friendships and longer term relationships with our employees and co-workers. If you go the gift route, skip the logo-d stuff. If it’s meeting its objective, it will be remembered by the employee and their family.
If your firm has had some creative ways to recognize employees and you would like to share them, send me an email at Dick@armorassets.com. If I get enough, I will compile them and share them on LinkedIn.
The whole idea is to make sure your incentives and rewards are designed to meet your goals, plans, and objectives. The business issues come down to increasing revenue, increasing efficiencies and effectiveness, cutting or containing costs, staying in compliance, and/or Keeping Employees Happy.
Topics such as these are discussed in Armor Assets™ short, in person, interactive seminars.
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