5 Ways to Create an Employee Rewards Program that Drive Results
While it has been widely proven that the most creative office perks can positively impact a company’s retention, culture, and productivity, expert opinions still vary as to whether some quirky and impressive loyalty programs are pointless and motivate employees the wrong way.
That being said, some tech start-up companies in the Philippines are becoming appealing to the younger generation of workers because of the interesting office perks they offer. Payroll Hero, for instance, offers its programmers what it calls “adventure engineering,” defined as “an unusual and exciting experience or activity built around a flexible work schedule.”
Other start-ups like Four Eyes encourages its staff to stay fit with gym subsidies; meanwhile, the social enterprise Habi Footwear counters the cultural mindset of Filipinos to spend their paychecks on “good time” with a savings program for employees. Moreover, the global classified ads OLX provides its employees with a list of smartphones and tablets, where staffers get to choose whichever they prefer.
Perks that Work for Filipinos
Decades of research shows that people perform best when they enjoy what they do, find a sense of purpose in the impact of their work, and see themselves growing with the company in the long run.
Motivators are proven to be powerful—accounting for 28 percent increase in sales revenue from front line sales employees. For rewards programs to boost productivity and overall performance, companies have to study and tap into their workers’ direct motives which aren’t exactly fulfilled by arcade rooms or a great snack bar.
In fact, there’s a study confirming that Filipinos are more motivated intrinsically than extrinsically. They are more driven when their jobs help them hone their skill sets.
Presented, however, with tangible incentives for employees, cash is a top motivator followed by travel, awards, celebrations, and food. In general, Filipinos believe that a good employee rewards program should be performance-based and measured and delivered on a team basis.
Every company needs a strategic employee rewards program that addresses four areas including compensation, benefits, recognition, and appreciation. Sometimes companies get lost in their mission to create impressive office perks.
What starts out as a well-intentioned initiative quickly fizzles out when designed or in line with the realistic reasons for rewarding employees—leaving the company wondering what went wrong.
5 Ways to Tie Office Perks to Results
Although some perks such as free lunches help manage the emotional pressure of employees, staving off performance fatigue isn’t enough to reboot performance. Perks can be a powerful force for creativity and collaboration if they increase the play, purpose, and potential employees in their work.
Be more deliberate in the design and combination of the perks you offer employees and you’ll discover an increase in their performance. Here are five ways to create an employee rewards program that drives results.
Plan with a Solid Strategy
Build a realistic strategy and use clearly defined metrics that are aligned with the company’s overarching goals.
Employees need to understand that their performance directly affects the organization’s mission. Ensure that everyone is on the same page and aware that they are working toward something bigger than themselves. Instead of the usual Mission and Vision statements printed on the employee handbook people rarely read, team leads should explain the role of the staff in the success of the business. Your recognition efforts will yield positive results if employees see that their roles have meaning within the company.
Motivate with Relevant Rewards
Don’t waste time and money investing on perks that aren’t meaningful to employees. Know what they want and would appreciate in their lives. Instead of giving away the same Sodexho vouchers, give perks related to their hobbies and interests. Further, take note that millennial employees have different wants and needs than the more seasoned and experienced baby boomers.
Offer Perks that Mutually Blaze a Trail Forward
Invest in your people and aim to improve the whole person. Help your employees achieve their future goals by preparing them for the next level in their career.
For example, if your senior managers are looking to practice their leadership skills, connect them with local organizations—in the business community or otherwise—where they can serve on a board. Also, offer scholarship programs for millennials who seek further studies by helping them pay for their tuition fees. Workshops, seminars and conventions are good alternatives.
Ask for Continuous Feedback
Consistently gather information, learn from feedback, and make necessary changes to improve you program.
Foster a workplace environment of open communication. Ensure that there is someone in the HR department that the staff can approach regarding work-related issues. Employees are more likely to open up to co-workers rather than their bosses, so it’s important that they have a person they can honestly communicate with, without the fear of losing their job. Also, instead of just the usual surveys before and after implementing a program, provide an online portal where employees can freely send in their suggestions and comments anytime.
Develop Measurable Results
Determine the right metrics and measure them consistently through web-based reports, dashboard, analysis, and survey results. You can also use a point-based system for rewarding excellence. This way you can also keep track of the performance of your employees. You can automate this process through an online rewards program.
With a well-thought-out and reasonable employee rewards program, your company can boost employee engagement and productivity. You should be able to reap the rewards of higher retention, lower recruiting costs, extensive customer base, and productivity.