Great employers know that employee recognition is an important part of maintaining high employee motivation, not just because it creates incentive to work hard, but also because everyone likes to feel valued and appreciated.
The problem comes when employees begin to feel “entitled” to recognition, and if they don’t get the recognition they feel they deserve, may become resentful and difficult. Naturally, employees in this position rarely receive recognition.
The problem many employers face is how to make recognition seem like a reward in and of itself, while preventing their employees from ever feeling a sense of entitlement (as in, “it’s my turn for recognition, I’ve waited five months and haven’t received a thing!”).
The first thing to consider is making recognition a surprise, rather than a predictably regular event. If recognition is being used in an “employee of the month” type format then it is predictable, and employees will take note of who receives the award each month, who has received it more than once, and who has missed out on the award all together. This really can create a spirit of competition and resentment rather than one where the winner feels truly appreciated for their efforts. Some winners will even just shrug their shoulders and feel that it was just “their turn” for a reward, and not believe that it really means anything (this especially happens in organisations where the employers try to make it “fair” by awarding the prize to different employees each month in order to keep everyone happy).
When recognition comes as a surprise to the employee receiving it, they are more likely to feel as if they have truly been recognised for their hard work and effort, and as a result there is no sense of entitlement around the recognition.
What other forms of recognition quickly become entitlement? Some employers try to motivate their employees by having a weekly or monthly lunch, or even some sort of after-hours get together. Initially, these may be great for morale, but very soon employees come to expect it as a normal part of the job. If the reward were taken away, there would be resentment.
While it can be a great idea to reward the entire team for the effort they’ve been putting in, doing so on a regular basis isn’t necessarily the best way to go about it. If the team has to put in extra effort to cover an emergency situation, that’s a great time to consider some employee recognition. If the team have had a particularly good month, or good quarter, again, it’s great to provide recognition.
This is not to say that monthly, bi-weekly or weekly team building lunches (or similar) aren’t a good idea. They can provide an excellent opportunity for discussions, team building and general camaraderie amongst the employer, managers and employees, and are also something to look forward to. However, they’re not something that should be considered as recognition.
The best way of giving employees true recognition is to individualise it and make it personal for the employee (or group of employees) receiving the recognition. The timing should be randomised too, rather than once a week, or the first Friday of every month or whatever it is. Have a look at the work being done by employees, and keep note of those who put in extra effort and who go above and beyond what’s expected. If several employees have to come in and work through the night on a high severity issue, then by all means some recognition is completely justified.
Another thing to remember is that not all employee recognition needs to have the same “value”. For those who work hard with a great attitude, it may be a nice idea to provide a certificate as recognition for their work. For a group who works all weekend on a major project for a client, maybe a meal out in a nice restaurant is more appropriate recognition.
Employers also need to work out what constitutes recognition, and what goes beyond recognition and into reward. Every employee who puts in effort and does a great job deserves some form of recognition, whether it be an encouraging word now and then, or some thanks for the work they’ve done. When an employee hands in a well-written report ahead of time, ensure they get some words of thanks and appreciation. When an employee stays a little late to finish something, again, give them appropriate recognition for their time. These are simple forms of recognition, but they are also vital. Recognition doesn’t have to come in the form of a reward, as for many kind words mean more than an impersonal gift certificate. This form of recognition doesn’t need to be public, either. Some employees are more comfortable with recognition that is given in a private moment rather than announced for everyone in the team to hear.
Overall the best way to use recognition is when it is truly warranted, and when it is a surprise rather than a regular thing. Recognition doesn’t need to be a spectacular award, as sometimes verbal thanks and appreciation mean just as much, or even more, to an employee than would something more grandiose. When one person (or a group of people, or even the entire team) go above and beyond normal expectation, then there’s a good opportunity for a real reward for all those who participated. Again, it’s not something that would be “expected”, but something that really does mean something to those involved.
Great post. One thing that should be clarified (and resolves many of the problems of linking reward to performance) is the “currency” used for recognition. By their very nature, cash rewards (or bonuses) are a problem as cash quickly becomes an entitlement and is easily confused with (or subsumed by) compensation. If the goal is to recognize above and beyond efforts of employees then recognition with a different “currency” than the cash used in compensation must be applied. That’s where strategic recognition comes in — giving a different currency for recognition with clearly defined and oft-repeated reasons deserving of recognition — to ensure employees know when they are being PAID vs. being REWARDED.
I’ve found that when recognition programs devolve into an entitlement, they also often become competitive — exactly the opposite of what truly appreciative recognition should accomplish. I wrote a great deal more on this in a blog post here: http://globoforce.blogspot.com/2009/02/are-you-creating-culture-of-entitlement.html