Every human being yearns for recognition from their peers. Your employees are no different. Retaining employees is an essential HR strategy – And they stay where they are rewarded, recognized, motivated and valued enough.
A Reward and Recognition system should be built on four pillars: compensation, benefits, recognition, and appreciation. It should be able to recognize employees in terms of performance and behavior. A formal reward and recognition system will play a crucial role in reducing attrition rates in your organization affecting bottom lines significantly.
Rewarding employees based on ‘merit route’ creates a positive environment. Designing reward and recognition system in such a way that one doesn’t promote a culture of favoritism is vital. A reward and recognition program should recognize top contributors in the organization and motivate each employee with a possibility of recognition.
Positive Encouragement: Boost your employee’s performance by inspiring further engagement. Getting that praise or pat on the back is more important than you think. He or she would try to match to that level again and even try to exceed your expectations, improving overall performance. This also becomes an indirect motivation for other employees.
Increased Bottom Lines: A gesture of praising or rewarding your employees at work can have a direct impact on your business bottom-lines. This leads to improved overall results that are a consequence of better individual performances.
Reduced Attrition Rates: When one is rewarded and recognized, he or she becomes more loyal towards your organization and stick around even during tough times. A right reward and recognition system would allow you to reduce your attrition rates and helping you retain best of the talents.
Build a supportive work environment: Every business has a reason attached to it. A philosophy to follow. The more your employees feel encouraged and valued, the more will they be supportive of your cause. The better reward and recognition system you have, more it would help you in building a supportive and active work environment in your organization.
Encourage ownership among employees: Do your employees have a sense of ownership? Do they feel they belong to this place? In the absence of right reward and recognition system, they would definitely not feel so. A word of recognition or an award for his/her services can be a big morale booster. An employee starts feeling a sense of belonging and ownership. This infuses a sense of positivity in the work environment.
No matter what you do, employees will come and go. But, make sure reward and recognition are an important aspect of your business strategy. As imperative aspects of any Human Resource System, your HRMS must support your strategies. Get a right HRMS for your organization with Beehive Software. For more contact them at +91-22-6699-9525