I believe that employee recognition is a vastly underused tool in a leader’s toolkit. Recognition need not be expensive, elaborate or time-consuming—but that’s how many leaders see it. Therefore, I’ve teamed up with the recognition specialists at Baudville. They’ve agreed to pass along some great advice to the readers of The People Equation on how to use recognition (hint: it’s not just for bosses anymore!) to build employee morale, foster teamwork and achieve business results. This is the first of a three-part series on Employee Recognition. I invite you to read, enjoy and pass along to those who would benefit.
Guest Post by Cori Curtis, Certified Recognition Professional
In business these days it’s easy to become so focused on the top and bottom line that we forget about the people in the middle: employees. Your staff is the lifeblood of the organization. Without their unique talents, contributions, and efforts, you wouldn’t be in business! So how are you showing your appreciation?
Many leaders may delegate the responsibility of employee recognition to an administrative assistant or human resources, but top management needs to be actively involved and supportive of all recognition efforts. Particularly now; surveys show that 50-60% of employees are looking to change jobs.
Some organizations may downplay employee recognition as being purely about making employees feel warm and fuzzy. What they may not realize is these tools are part of a larger strategy designed to improve employee relations and ultimately business results.
If leaders want to develop a strong and successful team, they need to take employee recognition seriously. The regular practice of employee recognition has been shown to improve employee engagement and retention, saving organizations from turnover headaches and expensive recruiting campaigns.
Employee Engagement. Employee engagement is the degree to which employees are satisfied with their job, believe their work is meaningful, and are dedicated to their employer. Recognizing employees on a regular basis can have a significant impact on their level of engagement. When employees are recognized for their work, they feel better about themselves and their employer. The Gallup Organization has found that companies with higher employee engagement yield higher sales, higher productivity, and higher retention than companies with low employee engagement.
In a recent employee recognition case study , we implemented a recognition program for an organization that suffered from low employee morale, engagement, and retention. After the program had been implemented for two months, the organization experienced a 66% increase in overall satisfaction. With the simple yet strategic use of employee recognition, they were able to turn around engagement and retain valuable talent.
Employee Retention. According to the Department of Labor, lack of appreciation is the number one reason for voluntary turnover. It costs approximately 150% of the position’s annual salary to find and train a replacement. Thankfully, this expensive problem can be remedied!
Regular employee recognition can cultivate loyalty and dedication to the organization. When employees feel their contributions are appreciated and acknowledged, they are more likely to stay. Let your employees know they’re doing a great job, and they’ll strive to do even more for your organization.
Employee engagement and retention are just two of the benefits of practicing employee recognition. Organizations that focus on employee recognition also experience higher employee morale, greater teamwork, innovation, and cost savings. For more information on the return on investment in employee recognition, download Baudville’s free employee recognition white papers.
Cori Curtis is a Certified Recognition Professional (CRP) and Marketing Communications Specialist at Baudville. She speaks at industry events about the strategy and benefits of employee recognition and blogs regularly on the topic on the Baudville Blog. Baudville, the place for daily recognition, is a leading provider of employee gifts and employee awards and has a robust Recognition Resource Center with articles, ideas, and resources on employee recognition.