Dear Friends,
Rewards and recognition are the two programs that help organizations engage their employees to a larger extent, increase productivity, bonding, and retain them. However, these are two different practices and should not be mixed with each other. Without these two programs, it is difficult for organizations to create a competitive advantage. Reward programs are related to competitive compensation packages, incentive schemes, and profit-sharing in a transparent manner, while recognition programs relate to activities that satisfy the psychological needs of appreciation. These programs help build the culture and climate of appreciation in organizations. Recognition practices normally carry intrinsic value to employees and do not demonstrate monetary attachment.
Why do rewards and recognition practices not deliver desired results in terms of employee engagement, motivation, and retention? The answer is simple. In most organizations, these practices are not developed keeping in mind the culture of the organization and the mindset of employees. They are often just copied from other organizations without much deliberation on specific self-needs. Research has also identified that successful rewards and recognition practices are those designed after understanding the different segments of employees and their psychological needs. Practices with higher frequency, increased inclusiveness, and an inbuilt self-correcting mechanism are capable of creating a difference. With a wider distribution of rewards and appreciation at all levels, a sense of equity and justice with genuineness, these practices can bring about robust employee performance and engagement.
These practices also need to be reviewed at regular intervals to consider the changing profile and psychological needs of employees. However, programs like "Employee of the Month" and long-service awards still exist in many organizations. Such programs serve as "hygiene factors" and do not add much value to employee engagement and motivation, except for organizations at the starting level in this direction.
These practices fall flat when overshadowed by a sense of rituals. What is needed is the personalization of recognition practices, requiring an investment of time and energy from managers who steer the programs. Many organizations overlook this element. Organizations where HR personnel responsible for such programs get involved with both mind and heart are bound to strengthen and touch the emotional chord with increased levels of psychological and social bonding with employees.
Organizations should ensure that such practices are meaningful with greater variety and parameters for recognition, with more opportunities in place. Recognition activities should not be at pre-decided fixed intervals but should be done immediately at the moment something extraordinary happens. Recognition should not only be concentrated on end results of performance but also on sincere efforts.
This discussion on rewards and recognition brings diverse shades of programs with an in-depth analysis of causes and concerns by recognized management professionals that will compel you to revisit your existing rewards and recognition practices and fine-tune them according to changing needs.
If you like it, let us know. If not, well, let us know that too.
Happy Reading!
Regards,
Anil Kaushik,
Business Manager - HR Magazine
B-138, Ambedkar Nagar, Alwar - 301001 (Raj.) India
Mobile: 09785585134, 08302173422
Landline: 01446550134
Business Manager :: HR Magazine
From India, Delhi
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182Rewards and recognition are the two programs that help organizations engage their employees to a larger extent, increase productivity, bonding, and retain them. However, these are two different practices and should not be mixed with each other. Without these two programs, it is difficult for organizations to create a competitive advantage. Reward programs are related to competitive compensation packages, incentive schemes, and profit-sharing in a transparent manner, while recognition programs relate to activities that satisfy the psychological needs of appreciation. These programs help build the culture and climate of appreciation in organizations. Recognition practices normally carry intrinsic value to employees and do not demonstrate monetary attachment.
Why do rewards and recognition practices not deliver desired results in terms of employee engagement, motivation, and retention? The answer is simple. In most organizations, these practices are not developed keeping in mind the culture of the organization and the mindset of employees. They are often just copied from other organizations without much deliberation on specific self-needs. Research has also identified that successful rewards and recognition practices are those designed after understanding the different segments of employees and their psychological needs. Practices with higher frequency, increased inclusiveness, and an inbuilt self-correcting mechanism are capable of creating a difference. With a wider distribution of rewards and appreciation at all levels, a sense of equity and justice with genuineness, these practices can bring about robust employee performance and engagement.
These practices also need to be reviewed at regular intervals to consider the changing profile and psychological needs of employees. However, programs like "Employee of the Month" and long-service awards still exist in many organizations. Such programs serve as "hygiene factors" and do not add much value to employee engagement and motivation, except for organizations at the starting level in this direction.
These practices fall flat when overshadowed by a sense of rituals. What is needed is the personalization of recognition practices, requiring an investment of time and energy from managers who steer the programs. Many organizations overlook this element. Organizations where HR personnel responsible for such programs get involved with both mind and heart are bound to strengthen and touch the emotional chord with increased levels of psychological and social bonding with employees.
Organizations should ensure that such practices are meaningful with greater variety and parameters for recognition, with more opportunities in place. Recognition activities should not be at pre-decided fixed intervals but should be done immediately at the moment something extraordinary happens. Recognition should not only be concentrated on end results of performance but also on sincere efforts.
This discussion on rewards and recognition brings diverse shades of programs with an in-depth analysis of causes and concerns by recognized management professionals that will compel you to revisit your existing rewards and recognition practices and fine-tune them according to changing needs.
If you like it, let us know. If not, well, let us know that too.
Happy Reading!
Regards,
Anil Kaushik,
Business Manager - HR Magazine
B-138, Ambedkar Nagar, Alwar - 301001 (Raj.) India
Mobile: 09785585134, 08302173422
Landline: 01446550134
Business Manager :: HR Magazine
From India, Delhi
Acknowledge(0)Amend(0)
Dear Mr. Anil,
Thanks for your great sharing. I totally agree with you.
"Why rewards and recognition practices do not deliver desired results in terms of employee engagement, motivation, and retention? The answer is simple. In most organizations, these practices are not developed keeping in mind the culture of the organization and the mindset of employees. They are just started by copying from some other organization without deliberating much on specific self-needs."
It's a very common mistake made by HR persons. Modern HR professionals must have a marketing mindset to walk in employees' and candidates' shoes.
Related reading: How Well Are You Doing Values-Based Employee Recognition Program?
Hope to see more insight from you.
From Vietnam, Hanoi
Acknowledge(0)Amend(0)
Thanks for your great sharing. I totally agree with you.
"Why rewards and recognition practices do not deliver desired results in terms of employee engagement, motivation, and retention? The answer is simple. In most organizations, these practices are not developed keeping in mind the culture of the organization and the mindset of employees. They are just started by copying from some other organization without deliberating much on specific self-needs."
It's a very common mistake made by HR persons. Modern HR professionals must have a marketing mindset to walk in employees' and candidates' shoes.
Related reading: How Well Are You Doing Values-Based Employee Recognition Program?
Hope to see more insight from you.
From Vietnam, Hanoi
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