Human Resource professionals from every background and specialization - Employee Benefits, Recruiting, Performance Management, Compensations, Employee Relations, Training, etc. – play an intricate role in an organization’s success as they have become strategic partners, employee advocates and mentors in the workplace. New innovations in Human Resource Information Systems have provided workflow efficiency to each of these individual HR functions. But when it comes to a technology platform that supports a culture of daily recognition and develops employee engagement – a tool that can fit into each HR specialization - who influences and leads this decision? 

The question can be answered in two parts.  First, Recognition is everyone’s responsibility — and everyone in the organization can and should participate.  Technology platforms today help organizational leaders model the behaviors you want your employees to embrace. Leaders can further engage employees by asking them how they would like to be recognized and what motivates them to perform through survey and poll tool available through the same technology.  This key information can help the organization link their programs to the most appropriate recognition for their workforce.  

Platforms that also facilitate employees recognizing their coworkers through day-to-day non-monetary recognition create a workplace filled with accomplishment, knowing employees are appreciated and respected by their peers. 

Working together, technology can unite other departments for overall workplace motivation.  Including an organizations’ communication and marketing department to develop a plan for communicating and marketing recognition programs to employees is a thorough and efficient way to build camaraderie and a great work environment.

The next step in this two part answer does rely on Human Resources management as they are most likely responsible for the development of processes and metrics that support the achievement of the organization’s business goals (e.g. Recognition and Reward Programs).  With something as important as employee engagement, it is clear that all HR functions must work together to deliver on the organization’s human capital goals.  Relying on a single platform that can integrate all of an organization’s existing recognition programs can be a strong asset to an HR Department’s ability to accomplish more with less.  HR administrators who seek program measure and performance can find both with a technology platform that provides real-time data and reporting for recognition program evaluation and result analysis.  

In addition, comprehensive technology platforms support compensation, benefit, training, and recruiting managers in aligning desired behaviors and performance with organization’s processes to successfully attain a high performance culture that emphasizes empowerment, quality, productivity, and goal attainment. 

Who manages your organization’s employee recognition and reward programs, and are they embracing technology to maximize the impact of your programs and minimize administration?

2.)Be Transparent. Share company information and be open to employee questions will build trust in the company and unite moral values with an individual.  This creates a sense of worth for the employee that will carry over through their dedication to your mission.

3.)Encourage Innovations & Personal Growth. Be open to feedback and take action as a result of the feedback.  Employees may see a better way to perform a task, address a client issue or manage a new process. Similarly, provide opportunities for additional learning - cross training, and coaching that will support personal development and build trust and commitment.

4.)Build Teamwork by Giving Recognition.  When the goals and aspirations of the organization and of individual teams or groups are reflected in the criteria for personal recognition everyone succeeds. 

5.)Celebrate Diversity. Every day the composition of our workforce becomes more diverse, and with it brings different preferences and needs with each generation, ethnicity and gender.  Asking for and listening to your employees’ input is important to help you shape your recognition programs, and the rewards you offer.  By delivering recognition and rewards that are meaningful to each individual, you will maximize their contribution.

The English dictionary defines employee incentives as a motivating influence; an additional payment made to employees as a means of increasing production. This also suggests that when presented individually, an incentive doesn’t resonate with the employee, create an affinity towards a company, or achieve any long-term growth objectives. 

Appreciation, on the other hand, is defined as gratitude and thankful recognition. This is a key ingredient in today’s business dynamic. According to a 2011 study from the American Psychological Association, 69 percent of employees are satisfied with their jobs overall, but fewer are satisfied with the recognition practices of their employer (46 percent) or opportunities for growth (44 percent). 

There are many solutions that can favorably intertwine appreciation and incentives in the workplace. Employers have sought the use of non-monetary rewards to serve as a tangible and more frequent representation of achievement.  When combined with effective recognition, non-monetary rewards fosters memories that the employee subliminally links to their company’s appreciation of their positive behavior at work.  A study earlier this year by Jeffrey & Adomdza  presented that non-monetary rewards capture more employee attention than their monetary counterpart. The study suggests that employees think more frequently about these rewards and that increased interest results in higher performance. In other words, non-monetary awards capture an employee’s imagination, motivating them to do more. The increased motivational impact generates increased performance. 

Another key component that supports a culture of appreciation and recognition in the workplace are peer-to-peer recognition programs. Recognition from peers can be as powerful as recognition from managers, and peers are often in a better position to catch someone doing something right more frequently. 

Coupled together monetary and non-monetary Recognition and Rewards programs can have a profound impact on the business environment:

• Provides an outlet for employees to show appreciation to others and express the value of their contributions
• Gives colleagues a sense of ownership and belonging in their place of work
• Improves morale
• Circumvents budgetary limitations
• Contributes to a supportive work environment
• Capitalizes on meaningful reactions and its significance
• Increases employee motivation

The bottom line is that incentives are an effective motivating tool when used in conjunction with a comprehensive recognition strategy. A well designed and implemented recognition program includes a healthy mix of effective employee recognition, sincere appreciation and attainable rewards.

This is the question Sodexo Motivation Solutions set out to answer, with the help of Benenson Strategy Group. In-depth interviews were conducted with C-Suite executives, human resources representatives and department heads at industry-leading hospitals across the United States. The results of this comprehensive study can be found here>

Senior hospital executives surveyed confirm that recognizing and rewarding employees for exemplary behavior is critical to their hospital’s success. Consequently, most U.S. hospitals have some type of formal recognition and reward program.  Yet there is still a need for systematic and efficient implementation and monitoring of these programs

Hospital Administrators look to these programs to:

• Improve employee retention and recruitment
• Improve quality of care
• Encourage specific behaviors

Download: White Paper on Recognizing and Rewarding Hospital Employees>

IRF President Melissa Van Dyke explained that the recent survey focused on merchandise incentive budgets, the types of behaviors rewarded and the range of merchandise included. For purposes of the survey, merchandise is defined as material awards that are not travel-related, including gift cards and logoed apparel items.

“Perhaps one of the most significant finding is that apparel items (69 percent) and gift cards (66 percent) are emerging as highly-used rewards in our post-recession economy with merchandise incentive programs strongly reflecting national trends toward quality and sustainability,” Van Dyke commented.

According to the survey, 2011 appears to be the inflection point where merchandise incentive budgets have stopped declining and are moving toward a positive recovery for the industry, signaling good news from both providers of merchandise programs and their targeted participants. Nearly 75 percent of the respondents reported their 2010 sales revenues either increased or remained unchanged, 87 percent maintained their programs moving into 2011 and 92 percent are expected to sustain programs in 2012. Furthermore, respondents anticipating budgets to remain at the same level increases from 38 percent in 2011 to 46 percent in 2012.

Of those who expect 2012 programs to remain intact, only 2 percent anticipate a moderate budget decline and only 9 percent expect small budget changes. In all, only 10 percent of respondents reported that they were forced to cancel programs in 2011 and only 6 percent anticipate program cancelations in 2012.

“In light of the profound economic impact of the recession and negative media reports about incentive excesses, we found a renewed interest in more practical items that seems to reflect the post-recessionary mindset away from luxury and back toward everyday usefulness,” Van Dyke concluded.

Although full-study results will not be available until later this summer, several key findings were unveiled at the IRF’s annual Incentive Invitational held recently in Las Vegas. “We were fortunate to  have preliminary results of the study as part of our popular roundtable discussions to help attendees get a better understanding of the type and value of the awards that are being used, especially following the recession,” said Jeff Broudy, chairman of the IRF board of trustees.

“The study validates our experience and belief that the average cost of a cash award is roughly triple that of either merchandise ($206) or gift cards ($240),” according to Incentive Federation Chairman Stephen Slagle.  “The total cost of incentives is especially important in our post-recession economy, so the data points stimulated extensive discussion around the benefits of each award type,” he explained.

“Surprisingly, we found that the average travel award was higher than we expected at $3,115 with nearly 75 percent of the respondents including a business meeting or element as part of the travel package,” said Broudy.

The study also found that less than 18 percent of those who use non-cash awards determine the value of these awards based on hard data, with most opting to use intuition or observation to determine award value. IRF President Melissa Van Dyke commented that this finding presented an important issue for further exploration and education. “We also noted increased use of more than one award type and continuing growth in the use of gift cards,” she concluded.

The IRF and Incentive Federation are expecting more actionable findings when the full study is released, anticipating that it will provide additional data for incentive professionals and human resource decision-makers to adjust their organization’s overall recognition strategies to better suit a post-recession economy.

HCL and Southwest Airlines: Two Examples that Speak Volumes

“Employees First, Customers Second!”: a trend that is winning followers from India to the U.S. The logic is simple: no happy customers without happy employees. The Indian company HCL Technologies, which specializes in IT services, decided to put its employees’ satisfaction and personal development at the heart of the company’s vision. In five years, this vision has allowed the company to secure the loyalty of its employees, triple its revenues, increase productivity and customer satisfaction, and reinforce its image. Today, HCL Technologies is the leader of its sector in India.

The American airline Southwest has taken the same approach. Their motto: “Our employees first, our customers second, and our shareholders third.” The airline carrier has consistently received the lowest ratio of complaints per passengers boarded of all major U.S. carriers since September 1987 as reported by the Department of Transportation (DOT).  In addition, the company ranked fourth on Fortune’s World’s Most Admired Company list in March 2011 and topped the list of the 50 best U.S. places to work by Glassdoor.com. Southwest Airlines was also named “Favorite Domestic Airline” and was recognized as having the “Friendliest Flight Attendants and Crew” in a poll by Smarter Travel readers in this past November.

How Does this Work?
 
Every company aims for high performance. The solution these pioneering companies embrace is simple: make it so that employees want the same thing! Happy and engaged employees will spontaneously put their energy and skills to work to satisfy customers and keep the company running smoothly. They will take pleasure in their work, and thus find renewed energy.

This kind of model requires the organization to invest in concrete and durable solutions in nine conjoining levers (revealed in a recent study commissioned by Sodexo)  that encompass motivation at work.  These levers include the professional environment, working conditions, work-life balance, the role of the position and its development, the clarity of objectives, recognition, the vision of the organization, its values, and finally, the quality of interpersonal relationships.

More than a Trend—A Necessity

Contemporary challenges go far beyond the sole objective of productivity. In an environment that is growing ever more complex—globalization, increased competition, talent acquisition, etc.—the winning organizations will be those that best set themselves apart, innovate and change without compromise, and find a balance between all their stakeholders. These challenges can only be met with the help of people who are engaged, creative, and inclined to give the best of themselves — in a word, motivated.

Recognize the little things, and bigger achievements will follow.  By the little things, I mean the day-to-day appreciation of personal greetings and sincere appreciation expressed in direct and personal ways.  And don’t forget to encourage other to pass it on through day-to-day interaction.

“Few things in the world are more powerful than a positive push.  A smile. A word of optimism and hope. A ‘you can do it’ when things are tough.” – Richard M. Devos

According to 2010 statistics from the U.S. Bureau of Labor and Statistics, the average tenure among Baby Boomers at the same employer was 10 years or three times greater than the Millennials generation (ages 25 to 34) who’s retention was three years on average. If this trend continues, most members of Gen-Y (also referred to as Millennials) will never see a 10 year work anniversary and therefore are unlikely to be motivated to put in the discretionary work to attain that goal, greatly reducing the effectiveness of a Years of Service program.

The interchange between retiring Baby Boomers and Gen Y’ers in the workplace has created a ripple in organizational dynamics. Research indicates that people communicate based on their generational backgrounds and each generation has distinct attitudes, behaviors, expectations, habits and motivational buttons. Understanding what makes the members of different generations tick is instrumental in developing the most appropriate and effective motivational practices.

Innovative employers have revamped their ‘one-size-fits-all’ award programs and have converted to developing flexible and personalized recognition and reward programs, and in the process set clear and attainable goals for employees.

“A key to success is to invest in the design of a program, by defining the program goals, gathering input from employees as to what motivates them, and involving them in the process.  Every individual is unique and so is every company – with fact-based and collaborative program design, the effectiveness and outcomes of a program are greatly improved,” comments Heidi Hastings-Brien, Senior Director of Marketing at Sodexo Motivation Solutions.   The most effective recognition and reward strategies are those that are developed collaboratively with the individuals involved, given support and assistance throughout the design process, and understood as important and achievable.

Sodexo Motivation Solutions offers organizations a range of Incentives and Recognition solutions that help clients to design their motivation strategy, develop tailored management tools and manage their programs. The programs are specifically designed to reinforce organizational goals and develop an engrained culture of “daily” through increased engagement, performance, retention and loyalty.  Programs include: Spot or Daily Recognition programs, Above and Beyond, Employee of the Month/Quarter/Year, Years of Service Programs, Safety Incentive Programs, Performance Programs, Sales Incentive Programs, Channel Incentive Programs, Customer Service and Loyalty Programs. Learn More>

GAITHERSBURG, Md., June 20, 2011 – When effectively planned, implemented and measured, hospital employee recognition programs can improve the recruitment of medical professionals, increase job satisfaction and engagement, heighten quality of patient care, encourage desired behaviors and facilitate retention of valued employees. However, a new study conducted on behalf of Sodexo Motivation Solutions - one of the world’s leading providers of comprehensive incentive and recognition solutions – found there are real opportunities to improve the effectiveness of hospital recognition programs and the mechanisms for measuring the success of their programs.

The study, Recognizing And Rewarding Hospital Employees found that employee recognition and reward programs vary widely from hospital to hospital and even between departments within individual hospitals. An opportunity surfaced to address ‘homegrown’ programs, uneven participation, difficulty tracking and comparing program results, and the inability to link those results to other organizational performance indicators. 

A surprising fact from the study was the opportunity to expand the use of technology that supports recognition and reward programs.  Only a few of the hospitals interviewed - which ranged in size, specialty and location - contracted with an outside vendor to provide a technology platform that enables spot nominations, management of programs, daily recognition award tools as well as tracking measurement and reporting.

Recognizing And Rewarding Hospital Employees hones in on key opportunities available in motivation strategies and makes important recommendations on how hospital leaders can utilize a unified motivational program. The results of this study are discussed in the white paper available for download at http://www.sodexomotivation.com/landing/health_care.

Employee surveys, patient satisfaction scores and turn-over rates (while important measures in their own rights) do not offer direct validation of the effectiveness of incentives and reward programs because of the many additional factors that can influence these results.

The research offers clear suggestions how hospitals can improve their recognition programs by:

• streamlining piecemeal programs while preserving the ability to adjust programs,


• leveraging proven, robust and cost effective technology solutions,


• recognizing employees in the ways that they wish to be acknowledged to maximize impact

Sodexo is a strategic partner to hundreds of leading health care facilities in North America, providing on-site services and innovative solutions that improve the patient experience and outcomes in hospitals and other health care settings, and maximize and maintain independence and quality of life for seniors. Through the service spirit, passion and expertise of more than 65,000 employees, we help make every day a better day for millions of hospital patients, their loved ones and friends, medical and other hospital staff, retirement community residents and staff as well as those aging at home.

The Benenson Strategy Group (BSG) is a fast-paced, analytically aggressive global market research-based consultancy with offices in NYC, Washington DC, Denver, and San Diego.  BSG consultants have decades of experience developing long-term strategies and tactics for clients and campaigns in both the corporate and political realms.  BSG executes a variety of polling and research methods, including focus groups, one-on-one interviews, internet surveys and telephone polling for clients in the B2B, automotive, retail, food service, telecommunications, public policy and political space.

About Sodexo

Sodexo in North America

Sodexo, Inc. (http://www.sodexoUSA.com), leading Quality of Daily Life Solutions company in the U.S., Canada, and Mexico, delivers On Site Service Solutions in Corporate, Education, Health Care, Government, and Remote Site segments, as well as Motivation Solutions such as Esteem Pass. Sodexo, Inc., headquartered in Gaithersburg, Md., funds all administrative costs for the Sodexo Foundation (http://www.SodexoFoundation.org), an independent charitable organization that, since its founding in 1999, has made more than $15 million in grants to fight hunger in America. Visit the corporate blog at http://www.sodexoUSA.com/blog.

Sodexo, world leader in Quality of Daily Life Solutions

Quality of Life plays an important role in the progress of individuals and the performance of organizations. Based on this conviction, Sodexo acts as the strategic partner for companies and institutions that place a premium on performance and employee well-being, as it has since Pierre Bellon founded the company in 1966. Sharing the same passion for service, Sodexo’s 380,000 employees in 80 countries design, manage and deliver an unrivaled array of On-site Service Solutions and Motivation Solutions. Sodexo has created a new form of service business that contributes to the fulfillment of its employees and the economic, social and environmental development of the communities, regions and countries in which it operates.

Giving recognition is another way of saying “We value what you’ve done.” In return, the recipient can say, “I’m appreciated! I like that you noticed.”  And more than just feeling appreciated, the recipient of sincere and earned recognition is given encouragement that propels them forward for the tasks ahead and builds commitment.  The ways in which people are recognized and rewarded have significant impact on the effectiveness of recognition. For example, day-to-day recognition phrases, such as “thank you” and “good job” are most meaningful when the positive feedback immediately follows an accomplishment.  These encouraging terms can be reinforced by presenting the employee with a short personal note or with a  gift, or symbolic award presented publically to a deserving individual or team, based on your organization’s rewards structure and employee’s preferences.  Remember to be consistent when giving recognition and rewards – this will help to ensure equity in the workplace.

5 ways to build employee commitment through day-to-day recognition include:

1.       Be straightforward -  make a clear link between behavior and rewards;

2.       Be personal - specifically call out their achievements and say it face to face;

3.       Be fair – ensure goals are challenging but realistic  and measurement is consistent across the organization. Also remember to ;

4.       Be sincere – say it like you mean it;

5.       Be timely – the sooner the better.

Most managers falsely assume it has to be big and expensive to get the point across. Keep it simple!  The more an organization incorporates recognition into their culture, the more responsive employees are to the simple and sincere ways they are appreciated.

 “People want to learn new things, to feel they’ve made a contribution – that they are doing worthwhile work. Few people are motivated only by money.” – Frances Hesselbein

Yet, despite the strategic importance executives place on employee recognition, a recent Sodexo study, Recognizing and Rewarding Hospital Employees, found an opportunity to enhance the methodology regarding the creation and management of recognition programs.

The question then is, are your recognition programs really achieving the goals you set forth – increased patient and employee satisfaction, higher retention, reduced employee injury, or otherwise? 

Consider this: Many hospitals do not have a cohesive structure for departmentally-based employee recognition programs, instead letting each department decide what works best for them in order to improve unit cohesion and to encourage specific behaviors.

Reality: Some department heads are more thorough in the execution of these programs than others, leading to an uneven distribution of rewards across the hospital – creating an adverse effect on employee morale in its wake.

This diversified approach has its benefits, but more often fosters confusion among managers who are not clear which types of recognition to use at which times. Moreover, deserving employees may harbor feelings of animosity if their peers are rewarded and they are unacknowledged.

Is there a Solution?  Hospital executives interviewed in the study expressed interest in streamlining their varied programs into a larger, inclusive system that enables autonomy to remain at the department and direct-supervisor level. This consolidated approach is invaluable toward creating a balanced system that is aligned with the hospital’s objectives and communicates precise program goals to all employees –those giving recognition as well as the recipients.  As hospital administrators approach moving to a unified program management platform for recognition and rewards, they realize the true benefit of reducing complexity is greater hospital-wide program awareness, ability to track key metrics, tracking, organizational efficiency, and positive qualitative and quantitative results.

See more on the benefits of reducing complexity in recognition and reward programs in this white paper: Recognizing And Rewarding Hospital Employees

Unprepared organizations are seeing their top talent leave, not because of salaries or bonuses, but because of lack of recognition.  A recent article by Tali Arbel provided insight on this trend and on how organizations can keep top talent.  According to the article, organizations must “go personal and communicate.” Harry Osle, a principal in consultancy for the Hackett Group Inc. stated in the article, that employees, “will be more hesitant to make a jump if they feel like they’re part of a family, an organization that’s investing in them.”

Suggestions on how to keep top talent engaged include:

• Communicate organizational goals and provide employees the opportunity to be actively involved in achieving them.
• Provide training and teach employees new skills that can be utilized in their roles to help achieve company goals.
• Recognize employees for their contributions, large and small, on a regular basis.
• Create mentor and coaching opportunities to allow employees to learn from the experiences of leadership.
• Focus on employee well-being and implement programs that encourage a healthy work-life balance.
• Create open lines of communication between leadership and employees through town hall meetings or open forums; provide employees the opportunity to present their ideas and have them heard.

By implementing programs and practices connecting employees and leadership to an organization’s goals and mission, businesses will stand a better chance of keeping their top talent even when new career opportunities present themselves.

Read Tali Arbel’s article, “How To Keep Your Best Employees On Board”

During one of my recent morning jogs — it’s amazing the thinking that comes up during those — this question popped up: “Is recognition an art or a science?” Obviously this relates to our current focus at Sodexo Motivation Solutions on developing solutions to support organizations in their reward and recognition needs.    

I was puzzled myself. The business side of me wants it to be a science, so that we can try to master and provide such expertise to our clients. The other side of me, though, hopes it is an art: it is not easy to recognize properly, but when it is done well, what an impact it can achieve. Still, there is no unique recipe to it… So, if it is a science, it has to be an art also.

The dictionary provided some more insights. Science comes from the Latin for “knowledge” applied in a systematic practice. And art is “the process or product of deliberately arranging elements in a way that appeals to the senses or emotions.”

I was quite pleased, then, with my compromise answer to the question: it is both. But that felt too easy. The next day I challenged our whole Motivation Solutions team with the question. The tally of answers was eloquent: we are very accommodating! Out of the 17 people who responded, 13 felt that is both an art and a science; and the other four felt it is more an art.

Some words stood out from the responses.

For recognition as art—Implementing a “culture of recognition is an art”; it “feeds the needs of the soul” and “its meaning is unique to the recipient”; While “there is no unique formula that works every time on everyone,” “good managers know instinctively” how to recognize.

For recognition as science: “true recognition should be based more on fact than emotion,” and “be comprehensive and consistent”; it “fulfills our human need for validation,” and targets how we “respond to positive recognition.”

This may sum it all: it requires “balance.”

In closing, I’d like hereby to “recognize” our team for all their excellent input, and I welcome your comments!