Employee Recognition Matters in the Workplace More Than You Might Think

Recognition and appreciation are fundamental human needs. These are also the primary drivers of employee motivation at the workplace. We all realize how amazing it feels to be recognized and appreciated for our work. Yet, studies suggest that only 39 percent of employees[1] receive any recognition at all!

The lack of employee recognition can weigh heavily on how an organization performs as a whole, and can also influence the rate of employees quitting. But when you have an effective and active employee motivation management programme, your organization can expect a 31 percent reduction[2] in voluntary turnover rates as well as a 29 percent dip in employee frustration levels. When your employees feel valued and realize they are not invisible to the company, they automatically feel more motivated to accomplish common goals.

And this is especially significant in today’s times when remote working has become mainstream; employees can easily feel disengaged and that their contributions are going unnoticed. Reports say that globally, employee engagement rates have dipped to 20 percent in 2020[3].

Up to 85 percent of employees say that they feel disengaged, which hints at a negative perception about their employing organizations. Now, this is a serious and expensive problem, which can be tackled systematically using technology. As such more and more companies are investing in employee engagement software today.

Why Is Employee Recognition Critical for Your Organization?

Customer experience (CX) can be a game-changer for any organization. In this era of abundant options, as customer expectations keep evolving, the need to deliver impeccable CX every time is essential to keep your customers from churning.

If you think, all means of boosting customer satisfaction start with your employees. So, happy employees mean happy customers. Effective employee motivation management is essential to improve productivity when it comes to resolving customer complaints, developing the best quality of products, and even predicting possible customer concerns.

Employee appreciation is the key to employee engagement. And aided with the right use of employee engagement software, companies can aim for better engagement levels which can hike their profitability by almost 21 percent[4].

Incidentally, employee engagement is popularly used by HR teams due to its deep impact on business outcomes. As per studies, 59 percent of highly engaged employees say that they can put in their best efforts, which is evident of the positive psychological impact brought about by employee recognition.

How to Curate an Effective Employee Motivation Programme?

Employee recognition has a natural connection to overall improvements in company loyalty, productivity, and engagement levels. However, you must ascertain the following vital things to ensure the success of your employee motivation management programme:

  • Be sincere – Generic or group recognitions with words of appreciation must be steered clear of. Although your intentions are noble, they are ineffective in serving the purpose, and can most likely come across as insincere. Insincere emails or appreciation can demotivate employees more easily and are worse than no recognition. So choose the right words and take the time to draft a proper appreciation message.
  • Add a personal touch – Employee recognition or appreciation should be made personal. This is undoubtedly the best way to make your employees feel genuinely valued. The fact that you notice and value their individual contributions matters the most to them and makes them happy.
  • How you recognize them matters a lot – Simply appreciating or recognizing their efforts is not enough; how you recognize your employees is equally crucial. Make sure to offer recognition in a way they prefer to be recognized. There is no one-size-fits-all concept here – you need to tailor your methods to suit the preferences of each employee. Such small gestures can actually produce amazing outcomes.
  • Recognize both achievements and efforts – Don’t just focus on employee achievements. Recognizing employees for their efforts also matters a lot. Those who willingly volunteer for different projects frequently, or those who proactively participate in completing projects deserve equal appreciation like your star achievers. Not recognizing their efforts can make them feel frustrated and force them to quit your organization too.

Final Words

Toxic company culture reflects clearly on employees. And for customer-facing organizations, it can easily spill over during customer interactions, thereby creating a widespread negative impression. An effective employee motivation management programme helps protect brand value and reputation, as well as all other aspects of your business.

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