The Power of Employee Recognition
- Abuzar Talibov
- Apr 4, 2023
- 3 min read
Updated: Oct 29, 2023
Recently, I came across a report related to the importance of employee recognition. The report analyzed how crucial it is for the success of teams and companies in general. In this post, let's approach from an employee perspective and explore the mistakes we make that lead to lower employee satisfaction, trust, and performance.
What is Employee Recognition and why it's important?
Let's first discuss what is actually employee recognition. Based on the clarification from Gallup and Workhuman, employee recognition is defined as the level of acknowledging and rewarding employees for their efforts and contributions to the organization.
Simply say, the more employees are recognized within the company the more they feel positive and act in favour of the organisation. From the employee perspective, that means having purpose and meaning at work, opportunities to develop, and a good relationship with the manager/organisation.
The research analysed possessing a proper employee recognition system in any company in the U.S., which is having an average of 10,000 employees, can achieve a 9% increase in employee productivity and save up to 16.1$ million in costs annually.
Principles of Employee Recognition
The technique of employee recognition can be set by the companies individually based on a variety of factors, but it shouldn't be limited to the word "nice job" or "thank you".
Mainly there are four key principles of setting employee recognition:
1. Frequency - how frequently do we recognise and appreciate employees?
It's just like a plant needs regular watering to grow and thrive, employees need regular recognition to stay engaged and motivated.
2. Timeliness - when do we show the recognition, on time or delayed?
We can understand it as if a runner crosses the finish line, it's important to congratulate them immediately. If you wait too long to congratulate them, the moment may lose its impact and meaning.
3. Specificity - does it base on a specific event or behaviour?
This is just like giving a personalized gift, specific recognition shows that you care about the employee and have taken the time to understand and appreciate their unique contributions.
4. Authencity - how can we ensure that the recognition is genuine and sincere?
Like a heartfelt compliment, authentic recognition shows that you care about the employee and value their contributions.
Basically managers or supervisors are responsible for setting the employee recognition program together with other stakeholders and eventually communicating it to the employees according to the guideline. Based on research it seems that managers or supervisors barely nominate coworkers to provide recognition to their colleagues.
Workhuman analysed that, based on the above given 4 principles if the employees receive recognition from their peers compared to their supervisors (!), they are more prone to stay in the company and more engaged in their work.
Qualtrics - an Americal experience management organisation states that recognition programs should be visible, so instead of sending a "thank you" email, or saying it verbally, these kudos should be publicly shared. On the other hand, asking from time to time employees in one-to-one communication, or even via team survey, what motivates them or what makes them feel stressed, builds a feeling of recognition for the employees.
Conclusion
From the employee's perspective, it's crucial to be appreciated for their efforts in the company they are working for. But it's the task of the organisation to find the best way and technique to make their employees feel appreciated and cooperate with the company. Employees can be recognised too frequently, which might be overwhelming or too little which might lead to disappointment. Or it can be less personalized which might not be anyhow beneficial, or too late which might frustrate coworkers. On top of initiating an efficient recognition program, it's important for the supervisors first to understand the personality, culture and current situation of the employees.
