12 January, 2022
The power of customization in employee rewards
The multigenerational workforce today is dynamic, spirited, and cognizant of their merits. Constant engagement and consistent rewards are the key factors that drive motivation and commitment within these employees; ergo, why are rewards still proffered as per traditional norms, when almost every other aspect of HR has undergone transformative change? The time has come to trade the standardized employer-driven R&R programs for a fresh, personalized approach to employee benefits and rewards.
A customized corporate rewards strategy enables a multiplier effect that can drastically enhance the employee experience with respect to R&R. Platforms which provide tailor-made corporate rewards solutions are procuring phenomenal traction, as a result.
Pitfalls of standard employee reward programs
Overdue gratification: Conventional rewarding processes cash out once a year, which hardly imbibes any motivation or encouragement within employees. In-time appreciation is a requisite to ensure a successful employee R&R framework, which cannot be achieved through standard programs.
Inadequate recognition: A standard R&R structure is exceedingly biased towards consistent top performers in the workplace who bag all of the awards and recognitions. But what about the other workforce facets? Holistic motivation is plausible only when disparity is evaded and all categories of the workforce feel duly appreciated and encouraged to deliver better.
Predictable rewards: Traditional reward schemes lack the element of surprise that creates a buzz of anticipation among the workforce. When rewards come in the same form at the same time, it is impossible to intrigue and engross employees, thus losing the precursor to healthy appreciation and recognition.
The ultimate guide to customized employee rewards
Previously a relatively straightforward exercise involving the right mix of compensation and traditional benefits; employee rewards are now in the midst of transformation from strictly standardized to highly personalized, agile, and holistic. A Deloitte survey asserted that organizations whose rewards strategies were highly aligned with organizational goals were the most likely to anticipate growth of 10% or more. Needless to say, companies at the forefront of this realization are undoubtedly gaining a robust competitive advantage in the form of bolstered employee engagement and sustainable employee retention amid the Great Resignation.
Here are a few tips that can help realign your rewards framework to imbibe a personalized touch.
Instant recognition and rewards- Timing is crucial
To make the reward experience memorable, stimulating, and inspiring, timing is key. The lesser the time lag between reward delivery and the event being celebrated, the better it reinforces employee behavior. A tailor-made instant reward disbursement framework can be adopted through a digital R&R platform, where rewarding is instant, sans involvement of any third party, and can be done at the push of a button. Employees receive points and vouchers via SMS or e-mail, which can be instantly redeemed against any product or service available in the redemption catalog. Suffice to say, instantaneous rewarding is indispensable to a holistic year-round R&R strategy.
Gamify your approach- Encourage healthy competition
Gamification involves the use of game-like elements, such as points, rewards, and competitive platforms to boost employee engagement. A digital R&R platform with a point-based redemption feature allows employees to earn points for individual, group, and company achievements. As employees accrue a balance of points, they can choose from a broad selection of rewards at different point redemption levels.
Gamifying the rewards process adds zest, vibrancy, and liveliness to the experience, that manifests into healthy and mutual competition. AI-driven insights and analytical reports extracted from these platforms can also help employers learn more about how and when to best reward employees to drive motivation.
Digital corporate gifting- The freedom of choice
It should come as no surprise that employees nowadays prefer to have options rather than a blanket approach imposed by their employer. Leveraging creative approaches to accomplish synergy between your rewards strategy, organizational goals, and individual preferences is the prime requisite to wholesome employee satisfaction. The integration of tech into the corporate gifting process enables organizations to use analytics to align employees’ performance with relevant rewards. Gifting platforms can then offer a customized catalog comprising a plethora of physical products, digital vouchers, gift cards, and experiential vouchers that reflect your workforce’s demographic preferences.
By facilitating seamless and personalized gifting through instant digital reward redemption, employees are given the room to enjoy the freedom of choice, instead of being coerced to accept standard gifting options. An interest-based, holistic corporate gifting portal efficiently conveys a stronger sense of appreciation and invokes commitment.
Adopting a new-age customized plan-of-action for employee rewards can satiate the inherent need for professional appreciation, build an empowered workforce, and elevate employee morale. It is also imperative to note that apart from fostering a loyal and committed worker base, a customized employee rewards framework also helps to amplify brand reputation within the talent marketspace.
Unclear about your roadmap to building a customized employee rewards framework? Consider handing the reins over to the experts. Connect with us for an in-depth insight.