16 June, 2023
The Power of Rewards and Recognition: Driving Success in Companies
The Value of Employee Recognition
Recognizing employees is an ongoing activity. In contrast to earlier times when organizations implied that recognition was a must during the appraisal period, organizations now take it upon themselves to ensure that employees are made aware of their importance to the organization and receive recognition for their efforts. Employee appreciation is an essential part of corporate culture throughout the year and probably always will be because happy employees stay longer and more productive.
- According to a recent study by economists at the University of Warwick, productivity increased by 12% when people were happy, compared to 10% less output when they were sad.
- Unsurprisingly, nearly 90% of employees said they trusted their managers more after receiving praise or appreciation from them within the previous month. Only 48% of employees who did not receive praise said they trusted their managers.
- According to a Forbes Report, 69% of those surveyed believed that their managers had a greater impact on their mental health than their relationships. This outweighed the influence of their doctor (51%), therapist (41%), or both (41%).
Without employee Recognition-
Better work is fueled by recognition. Employees are not motivated to arrive at work with creative ideas or a zeal to do better when they do not receive adequate recognition. An employee who is physically present at their desk may not be motivated mentally to perform to their highest potential, or in another situation, they may not be there at all, which leads to additional leaves and eventually attrition. These issues are more preventable if they are recognized. Appreciating or recognizing an employee’s presence, in turn, increases their presence!
With Employee Recognition-
Driving Recognition with Engagement:
Employee engagement is also a result of employee recognition. According to Quantum Workplace research, employees are 2.7 times more likely to be highly engaged when they believe management would recognize them. According to Deloitte, receiving recognition is strongly associated with raising employee engagement, which in turn raises productivity. In fact, organizations with recognition programs outperform those without them in terms of employee engagement, productivity, and performance by 14%.
In conclusion, to drive effective employee recognition, companies should prioritize creating a culture that values and celebrates their employees’ contributions. Regularly acknowledging and appreciating employees’ efforts can go a long way in boosting morale, engagement, and productivity. By harnessing the power of rewards and recognition, companies can create an environment where employees thrive and contribute to the organization’s success. Boost your employee recognition and appreciation game with us and watch your organization’s culture bloom. Connect with us!