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For many, employee recognition is a distant expectation of receiving a plaque or certificate at some milestone in their career, typically associated with longevity within an organization.   According to Josh Bersin, a contributor for Forbes Magazine, 87% of recognition programs focus on tenure (New research unlocks the secret of employee recognition, n.d.).   He also found that the remaining 13% of organizations whose programs focused on accomplishments other than tenure experienced a 31% lower voluntary turnover rate (New research unlocks the secret of employee recognition, n.d.).  These are organizations that focused on specific results and behavior.

SAS is an example of a company whose recognition program has led to their continued success.  They have been ranked on FORTUNE’s 100 Best Companies to Work For® a number of times.  They have taken the opportunity to honor the achievements of employees.  They also encourage peer recognition which gives employees the opportunity to “sing the praises” of their co-workers.  This is often more validating than those which may come from management.  Although they do have service awards, they are complemented by a host of additional programs which are specific to job duties and tasks (Best practices from best companies, part 3 of 3: employee recognition, n.d.).

Kim Harrision, Consultant, Author, and Principal at Cutting Edge PR has identified a number of benefits and cost impacts associated with employee recognition (Employee recognition: why employee recognition is so important, n.d.).   She has stated that this behavior is essential to any organization which wants to be seen and known as an outstanding workplace.  She also stresses the importance of an employer’s commitment to be mindful of the work around them and to not overlook the trip for the destination.   That is, there are people doing “good work” who may not be the ones who ultimately deliver the final results.  She suggests that organizations with a focus on recognizing employees will experience the following benefits (Employee Recognition: Why employee recognition is so important, n.d.):

• Increased individual productivity
• Greater employee satisfaction and enjoyment of work.
• Direct performance feedback for individuals and teams.
• Higher loyalty and satisfaction scores from customers.
• Teamwork between employees is enhanced.
• Retention of quality employees increases.
• Better safety records and fewer accidents on the job.
• Lower negative effects such as absenteeism and stress.

I have worked with many vendors and contract organizations and have seen a number of recognition programs.  Many of these have had a significant impact on the employee’s morale and sense of belonging.  One that has been most notable in the day and age of social media, is the recognition of employees on platforms such as Facebook and LinkedIn.  Maslow’s esteem level is satisfied when the accomplishments of employees are shared in a way that is not only seen within the organization, but also by those employees’ friends, peers, and even family.  Another program that I have seen which nourishes the same human desire is newsletters, via email, distributed to an organization’s client base.  This not only strengthens the employee, but also enhances the confidence of the client as to the qualifications of the employee.

As a matter of fact, studies have shown that a lack of recognition constitutes the second-largest risk factor for psychological anguish in the workplace.  Without it, employees are more likely to be less participative, less committed, and overall less productive in their job duties (Brun, 2008).  Much of the impact of recognition symbolically builds bridges between the employee, their employer, and ultimately their perceived value in the organization.  Noticeably, the value and anticipated results of recognition is exponentially more evident based upon the authenticity and personalization of its nature.

There is not enough that can be said concerning the importance of employee recognition. No other singular program can have a more positive impact on: employee satisfaction and performance, the organization’s cultural dynamics, team building and solidification, customer satisfaction, organizational psychodynamics, the organization’s reputation to prospective employees, as well as the organization’s bottom line.

References:

Best practices from best companies, part 3 of 3: employee recognition. (n.d.). Retrieved July 30, 2016, from http://www.greatplacetowork.com/events-and-insights/blogs-and-news/766-best-practices-from-the-2012-best-companies-part-3-of-3-employee-recognition#sthash.olMoSDwO.N6Fgy9B0.dpbs

Brun, J., & Dugas, N. (2008). An analysis of employee recognition: Perspectives on human resources practices. International Journal Of Human Resource Management, 19(4), 716-730. doi:10.1080/09585190801953723

Employee recognition: Why employee recognition is so important. (n.d.). Retrieved July 30, 2016, from http://www.cuttingedgepr.com/articles/emprecog_so_important.asp

New research unlocks the secret of employee recognition. (n.d.). Retrieved July 30, 2016, from http://www.forbes.com/sites/joshbersin/2012/06/13/new-research-unlocks-the-secret-of-employee-recognition/2/#4c20154493fa