The Positive Impacts of Employee Incentives
When they win, you win
We’ve said it countless times, incentivizing work helps your employees and your company. When you have a rewards system in place, employees find new meaning in their work, work harder for the reward, and perform better for your company. Isn’t that ultimately what we all want? But it’s not enough to tell you how amazing employee reward systems are, if you’re unsure of the ROI or how to calculate the ROI of an employee incentive program. Let us help you out.
- Steps to take before you measure
- How to know it’s working
- Troubleshooting your rewards program
You have to know what you’re measuring
When it comes to employee reward programs, you have to know what your goal is. If you don’t know what you’re trying to accomplish, there’s no way you can determine if you’ve actually accomplished it. You can start an employee reward program for many reasons:
- Employee retention
- Employee satisfaction
- Employee engagement
- Employee productivity
- Customer experience
Once you’ve determined what you want to target with your rewards program, you have to establish a baseline. The baseline is just as important as knowing what your goal is because you won’t be able to measure anything if you don’t know where you started.
Is it working?
It’s a lot of wasted money if you’re not measuring the effectiveness of your rewards program, but thankfully, there are a few things you can look for to determine if your incentive program is working.
- Have employees stopped leaving in droves? If you’ve previously noticed you’re losing employees at a rapid pace, one way to tell your program is working is if you see that turnover rate decrease significantly. Employees won’t want to leave a company where they feel valued and appreciated.
- There’s engagement where there wasn’t before. Employees show up to work as if they’re happy to be there, rather than coming to do their time at their desk. Work is being completed better and faster, and fewer sick days are being used. Engagement should take a dramatic upturn if your rewards program is doing its job.
- Fresh ideas. If your employees are feeling the love from your rewards program, expect to see more innovative ideas at meetings. When an employee is tuned to the work and their company, they will devise better ways to get the work done more efficiently or ways to grow the company that they wouldn’t have dreamed of before.
· Results are shown in your bottom line. If employees are truly engaged, then you’ll see results in more places than their work. Rewards programs result in happier employees, and happier employees mean more satisfied customers. When you create an employee incentive program, it impacts every facet of your business, including sales!
If it’s not working, it may be an issue with how the program is approached
There are many reasons why an incentive program is underperforming, but that doesn’t mean the program won’t work. As you’d try different approaches to marketing, you may have to use different approaches to a rewards program. A few things you can check include:
- The rewards you offer. Some rewards just aren’t worth fighting for, while other rewards really make giving your all to a troublesome task worth it. Check out which rewards you’re offering and ask yourself if you’d find them motivating enough for the job they’re associated with.
- Taking a survey. Asking your employees why the program isn’t working will give you the feedback to get it running in the right direction. If you’ve cultivated a workplace of transparency where it’s easy to be honest, then your employees should be able to pinpoint where the issue is.
- Making sure they know about it. If your employees don’t know a reward or incentive program exists, then they can’t take advantage of it. To get the full effect of an employee reward system, get everyone on board with using it!
At CrewHu, we fully believe that happy employees are the best investment you can make. We make rewarding great work easy with our point-based rewards system. Employees find a reward they like, and they work toward collecting points to claim it. Work gets done better and faster while employees have fun doing so!