In a survey done with 300 of the top CEOs in the world, almost seventy percent identified employee retention as a core problem affecting businesses. For a business, the loss of a committed and high-performing employee is a serious problem.
Many are unaware of the fact that it is the company that invests in the employee picking up skills, growing professionally, learning new things, and contributing to the company.
The loss of such an employee and his or her transfer to another firm means that they are going to reap the benefits of the employee’s productivity. Most organizations never want employees that are great assets to leave.
In this article, we look at how employee awards and recognition programs can help in boosting retention rates in companies.
List of Ways Employee Award Programs helps Improve Retention Rates in Businesses
Makes Employees feel the Desired Part of an Organization-
Many of the leading HRs have pointed out that simple things like custom trophies can make a great difference in making employees feel special. In addition to industry par salaries, perks, and a good working environment, awards can ensure that employees do not leave.
It is common human nature to feel valued, appreciated, and wanted in any kind of setting, be it personal or professional. Companies that have established employee recognition programs boast better retention rates than those that do not.
Gives Rise to Better Performance and Productivity-
Who wins these awards? They are won by overachievers and high-performing individuals across different verticals. This acts as a confidence booster and conveys the belief that the management and company appreciate all the hard work that the employee is putting in.
In more ways than one, this eggs on the employees to perform even better to earn more appreciation. This is a kind of positive reinforcement that kicks of positive company culture among the employees as they start vying for the top honors.
Creates a Positive Competitive Environment in the Organization-
The employee that has won the award wants to win it again. The one that missed out narrowly is encouraged to get his or her name on the trophy next year. What this has the effect of doing is creating a positive working environment and fosters healthy competition.
Employees benefit from this immensely. Companies too can use the employee awards and recognition to drive spirited performance and pitch teams against one another. This leads to more work, better results, and higher outputs.
Leads to more Initiative Taking and Responsibility-
Companies succeed only when employees start achieving over and above their actual job descriptions. This is what leads to growth, and creates a future where employees become the real drivers of organizations and companies.
This leads to the identification of new areas of opportunities, opens up avenues for innovation and other possibilities. Responsible and driven employees can lead future product innovation and development and set up newer verticals within the organization.
Sets up a Bond and Attachment with the Business Organization-
You might think that something as simple as employee awards and recognition cannot help establish connections between employees and organizations. However, it is important to think again. Experts state data and numbers in their support to back up this claim. Retention Rates in Businesses
Employees that have been part of companies that have a robust award and recognition culture state that this is definitely something that guides their decision of staying with or leaving the company. In other words, yes it does help set up a connection and a bond. Retention Rates in Businesses
The Bottom Line
Higher efficiency, better productivity, and greater outputs. If done right, employee awards and recognition programs can have a great impact on employees. There is a reason why most organizations and HRs swear by them. If you want to find out more about creating employee awards and recognition programs mention your questions in the comments below.