There is a $46 billion market for recognition. While this number might imply that employee recognition programs can be quite costly, the most effective aspect of a employee recognition strategy may actually be the cheapest.
Are you recognizing the right way?
The State of Employee Recognition, a study done by Bersin & Associates, found the most important elements of an employee recognition program are the ability to receive specific feedback and give recognition easily. If you are a manager, you are probably already doing this because it is easy, effective, and relatively cheap. Here’s the thing though: you may have a lot of room for improvement.
The same study found that 80% of senior leaders believe employees are recognized at least on a monthly basis, whereas only 40% of managers and 22% of individual employees report that their peers are recognized that often.
Democratize Employee Recognition Programs
The reason for this disparity in perceived recognition is unclear. But at the end of the day, it’s the employee’s perception that matters when it comes to employee recognition programs. Telling someone they did a good job goes a long way, and costs almost nothing. So, should senior leaders and managers say, Well done, more often?
Well, yes. But they should also encourage employees to do the same for their peers.
The 2012 SHRM/Globoforce Employee Recognition Survey showed that 41% of companies that use peer-to-peer recognition have seen marked positive increases in customer satisfaction’an indicator for engaged employees. The same study found that peer-to-peer recognition is 35.7% more like to positively impact financial results than recognition from managers alone.
Putting Recognition into Action
Employees on WeSpire’s platform solicit feedback in the form of sharing their completed actions, whether that is finding a LEED certified building or volunteering their skills online. Co-workers are then able to give feedback and encouragement in a comfortable and friendly manner.
The Bersin & Associates study also found that the top reason employees do not recognize each other is because there are no established employee recognition programs. Fortunately, the study goes on to say many companies are responding to this need by leveraging social technologies that enable employees to give and receive positive feedback with others in the network.
Key Takeaways for your Employee Recognition Programs
- Peer-to-peer feedback is a proven way to satisfy employee’s appetite for recognition.
- Photos are most effective in soliciting feedback.
- The main barrier is simply that there is no established way for this feedback to take place.
Companies can better recognize their employees by facilitating these conversations using persuasive technology–like the WeSpire platform–to achieve their employee and customer satisfaction goals. Many of our customers are doing just this, and saving money in the process.
Interested in learning more about how you can use WeSpire’s employee engagement platform to support employee recognition programs in your organization and drive measurable, positive impact? Request a demo below!