Now more than ever, employees need to be appreciated for the work they do, particularly as organisations strive for long-term success following the pandemic. A compelling study conducted by Deloitte revealed that employee engagement, productivity and performance are 14% higher in organisations with a dedicated recognition and reward scheme than for those without.
In our recent survey, we reached out to HR professionals and senior leaders nationwide to get their take on the current role of recognition and reward in their organisation and how they are utilising technology to support their programmes as part of the employee experience.
Here are the highlights…
55% of respondents said their organisation had a dedicated recognition programme – whilst it’s great to see so many employers harnessing the power of recognition, those that don’t could be missing out.
According to Psychology Today organisations that invest in ongoing recognition, coaching and feedback can see revenues increase by 26%, staff turnover decrease by 31%, customer satisfaction improve by 54% and shareholder return increase by 22%.
62% of respondents said that anyone in their organisation could provide recognition to their colleagues. This kind of peer-to-peer recognition is proven to be a powerful tool with Harvard Business Review research showing for every 10% increase in people being recognised by their peers, there was a 3% increase in retention and a 2% increase in engagement.
In a study from the Incentive Research Foundation, 79% of employees ranked peer-to-peer recognition as one of their most preferred methods of receiving recognition and made 90% of staff more satisfied with their work.
Not only is social recognition proven to build a happier, more engaged and higher performing workforce, it also helps to drive reciprocation and creates a culture of gratitude and recognition.
62% of organisations said that recognition was provided whenever someone did something worth recognising.
Regular recognition can have a powerful impact on employee engagement - Gallup suggests that employees in a healthy recognition culture should receive positive feedback at least every seven days, and employee engagement can increase by as much as 35% if recognition is given daily.
Only 40% of organisations are linking recognition to their company values, despite the fact that 86% of HR professionals say that values-based recognition programmes make their employees happier.
Tying recognition to values and goals ensures they are effectively communicated and understood, leading to a more engaged workforce who understand the purpose of their work.
Only 10% of organisations allow employees to choose their own reward, even though research shows that one size doesn’t fit all. A 2019 trends report by Deloitte highlighted that while employees are looking for personalised rewards to meet their needs, most organisations are guessing at what their people want and value, so could be missing a trick!
It’s clear that many organisations have some form of employee recognition and reward in place, however, they may be missing out on some of the key benefits provided by elements such as linking recognition to company values and allowing employees to choose their own rewards.
An effective recognition programme is the simplest way to improve morale and employee engagement, and whilst it might seem overwhelming to implement such a system, employee recognition software can make it simple.
Discover how our social employee recognition software, Access Applause, can help your organisation harness the power of ‘thank you’. You can also learn more about the role of reward and recognition as part of the employee experience in our new HR guide.
