Benefits Of Employee Recognition

When was the last time you gave recognition to an employee or a team for a job well done? A pat on the back, or shake of the hand would make an employee feel good and satisfied with their job. Oftentimes, it is not enough, however. You need to do more to get the full benefits of employee recognition.

What Is Employee Recognition?

It is an organized plan to recognize and award employees that went beyond and above expectations. But it has to be a timely acknowledgment, and one that supports the goals and values of an organization. It doesn’t matter if acknowledgment is delivered in an informal or formal manner, as long as employee recognition leads to desired results.

That is, the right employee is recognized, and recognition will encourage others to become better, and maintain a good working relationship with colleagues. Recognition that breeds dissension must be avoided.

Why Is Employee Recognition Important?

Every human being wants to be appreciated. It is a fundamental need that, when met, encourages proper appreciation of employee recognition.

For a workplace to be outstanding, praise and recognition are essential. Every employee wants to be valued and respected for their contribution, and being recognized for their work will provide a sense of achievement.

What Are The Two Aspects Of Employee Recognition?

Identification
A good leader must maintain a receptive frame of mind, so that they can actually see, realize and identify an opportunity to praise an employee. Otherwise, they can easily pass over such opportunities to recognize someone’s effort, and ensure an increase in productivity and job satisfaction.

Action
Now that you have identified who deserves employee recognition, it’s time to do something about it. The physical act of praising and acknowledging people for their good work will keep employees engaged.

What Constitutes Strategic Employee Recognition?

Acknowledging and praising someone’s valiant effort to do a better job must be beneficial to both the organization and employees. Also, it must be done in such a way that envy and contention among employees are avoided.

For this reason, you must develop an employee recognition plan that will result in the following:

  • Retention of top talent.
  • Inspire employee engagement.
  • Drives business results that are measurable.
  • Meet the values of your organization.
  • Better people management.
  • Well-managed and unified workplace culture.

What Are The Benefits Of Employee Recognition?

1. Encourage Extra Effort
A happy and engaged employee would stick around to take a client call even when it’s past their work schedule. Actions such as these should be recognized to encourage extra effort among your staff.

This is why creation of a recognition program that highlights everyday undertakings that might have gone unnoticed would prove beneficial to the entire organization. The last thing you want is for these little efforts to be resented. Recognizing and rewarding employees that go the extra mile would have a dramatic impact to employee productivity and engagement, and on the overall improvement of a company.

2. Increased Productivity From Every Individual
When a particular behavior is recognized, the desired behavior would be done repeatedly, resulting in increased productivity. This idea is based on a classic behavioral psychology. Just make sure that the reinforced behavior supports the mission of an organization and serves as a key performance indicator.

The more work an employee accomplishes, the greater the job satisfaction and enjoyment. This means they would spend more time working instead of complaining.

3. Creates a Better Impression
Happy employees are likely to share to friends, family and other employees in different organizations how they feel about working for your company. This creates an impression that your organization is a better workplace. And even when employees don’t say it outright, their engaged emotions and attitude would be a reflection of your company. This not only aids in recruitment, but also fosters better business relationships externally.

4. Provides Useful Data For Staffing Decisions And Personnel Development
Do you need an internal position filled? You can use an employee’s record of recognition as basis to fill available positions. So it’s not only important to develop an employee recognition program, but also to keep track of it.

Although employee praise should not be the only basis for a promotion, it will help highlight abilities and contributions that might have been overlooked during the selection process.

5. Builds Employee Cohesiveness And Teamwork
The best recognition program is one that allows individual employees to recognize efforts of their colleagues at any level. The task to recognize efforts that deserve acknowledgment should not fall on the hands of the managers or leaders alone. When colleagues themselves recognize others’ efforts, teamwork is strengthened and productivity is increased.

What is the impact of this kind of recognition to an employee? It encourages them to do their best even more, because the impact of acknowledgment is manifold.

6. Aids in Recruitment
Looking for top talents to work for you? Sell to potential employees an effective and strategic recognition programs, and they would not hesitate to buy it. Who doesn’t want to feel appreciated, anyway? This also shows that you value your employees, which is something potential candidates look for in a company. After all, failure to recognize work efforts results in unhappy and disengaged personnel. So highlighting your organization’s recognition platforms could be a key differentiator, and would give talents reason to pick your company over others.

What Would It Cost To Develop An Employee Recognition Plan?

Praising and acknowledging employees doesn’t cost much, yet the returns are high. But you shouldn’t make the mistake of overspending. Take into account:

  • The amount of time spent developing and implementing recognition program.
  • The amount of time spent to give recognition and praise.
  • The cost of the items given as tokens.
  • The time and cost of teaching employees to identify and give praise.
  • The cost of introducing a new process to personnel.

The success of any organization greatly relies on the happiness level of employees. It’s not enough to give incentives, but well-deserved praise and acknowledgment must be given as well. With the right recognition program, employees will be motivated to solve problems, develop newer strategies or provide excellent customer service.