Corporate Incentive Programs for Employees: Build a Culture of Much-Needed Recognition and High-Level Performance
Your team of employees are the heart of your organization. By inspiring and motivating them to value individual excellence and team performance, you increase the productivity, morale, and overall value of your company. By fostering a culture in which good performance is rewarded by both verbal affirmation from peers and managers, you can create a company with longer employee retention, increased team performance, and better employee relations with one another.
So, how can you successfully maneuver your company into such a position?
Why would your company want an Employee Incentives Program?
According to a recent study, employee incentive programs work wonders at creating a company culture that is focused on high-level performance, innovation, and success. A company that is comprised of these kinds of dedicated employees experiences low voluntary turnover rates and tends to outperform their peers.
1. Recognition of Results Builds Culture
Recognition within a workplace is a huge incentive. Employees feel valued and motivated when their efforts and contributions are noticed and appreciated. While oftentimes these sources of appreciation come in the form of company-wide emails recognizing a promotion, a goal reached, or another type of job-well-done, employers can do even more to motivate their employees to a higher-level of performance.
At the end of the day, what executives want is to build a team of passionate employees who are excited to work hard for a company that treats them exceptionally well. This kind of culture generates a contagiously excellence-focused environment that is evident to executives, managers, employees — and especially to new hires.
2. Lower Voluntary Turnover Rates
Employees that feel appreciated and recognized for their hard work are far less likely to become dissatisfied with their role and seek new opportunities – unless those opportunities are within your company, of course. Businesses that are lucky enough to have employees that are able to devote multiple years or even an entire career to a company, enjoy a security and knowledge base that is more difficult to achieve when replacements keep walking into your various company positions.
Training and recruiting eats a lot of company time and money. By recognizing your employees, you not only increase the morale and performance, you decrease the turnover rate, and all those expenses that come along with it.
3. Companies Tend to Outperform their Peers
Employee recognition strategies have also been attributed to a higher level of business performance as a whole. Companies that have established and rewarding employee incentive programs regularly outperform their peers and competitors.
Organizations that consistently thank their employees, whether through verbal recognition in private, public recognition, or by offering corporate incentive programs, tend to build better and more profitable businesses across the board. Employees will genuinely enjoy working for their company and feel like their contributions are recognized. This allows them to push themselves beyond their comfort zones, inciting a boost in employee morale and a more efficient level of business operation.
What is a successful employee incentive program?
A successful employee incentive or reward program is defined by the Incentive Research Foundation as, “A motivational tool to enhance productivity or achieve business objectives in which participants earn the reward based on a specific level of achievement set forth by management.”
Here are some things to keep in mind when building a successful corporate incentive program:
Be sure reward criteria (including the earning and selection process) is clearly tied to the business objectives.
Program information and participant progress is communicated clearly and consistently. Build up of anticipation throughout the year is important for employee motivation to achieve goals and objectives.
Reward design should bring excitement and added motivation to employees, so offer a desirable destination and exciting activities.
Company executives and managers need to continually reinforce the company’s commitment to the incentive program.
Detailed records proving productivity of the earners and how their contributions to the company has affected financial performance should be up-to-date and available for all participants to view.
Don’t underestimate the power of rewarding your hard-working employees. After all, what kind of culture do you want to foster in your business? Do you want your employees to feel appreciated instead of ignored? Engaged instead of bored?
It’s up to you. Contact us to discuss how you can inspire your employees through an exciting incentive program tailored to your business and your budget.