By Dawn McCooey
Fitting Rewards
Sometimes, it’s the little perks; the thank you note, the coffee card, the keys to the boss’s car for a day, which inspire goodwill and sustain positive feelings about work. Finding small ways to reward staff and promote goodwill takes a careful effort on the part of an owner or manager, but it doesn’t always take barrels of money. Sharing the booty is not the same as setting pay standards (those great attraction factors for your business). Sharing the booty may involve surprise gestures: random acts of kindness and increased public recognition. Rewards and celebrations are synonymous with success.
You’ll remember from previous weeks -Captain Greg Sager, literally a captain and also owner of Sager’s Home Living, a high-end furniture and décor storein Victoria, BC. This employer has set the bar for rewarding and recognizing deserving employees and he has a unique perspective on celebrating. In just one example, a particularly hard-working employee had just purchased a new home. On moving day, Greg and another employee loaded a van with new furniture and delivered it to the new home. Here was a young man with a brand new mortgage. Can you even imagine the reaction?
He once took an employee who had just purchased a sailboat into a marine supply store, and helped her to select the best binoculars, charts, and handheld VHF radio. Then he insisted on paying for them.
Greg Sager smiled broadly as he told me, “I think that employers have the opportunity to shock someone in a positive way. It’s an art form. I love doing that. I’m always looking for an opportunity to do it.”
Well, if those examples aren’t enough to shock you, there are more. At Sager’s store, sales employees are included in a profit-sharing program, all staff are offered a full-year gym membership to encourage healthy living, and smokers are offered $1000 cash if they quit (and stay quit) smoking. Greg Sager could write the book on rewarding and recognizing employees. Doesn’t it make you want to work there, just reading this? Well, the line to work at his furniture store starts on the right–-but you might have to wait awhile: his employees’ average length of time with the company is twenty years!
The First Rule of Rewards is to Link Them to Work.
“When I get a lot of calls from customers who have mentioned the excellent and professional work of the delivery drivers, I find ways to reward them.” Captain Sager explained. “And it’s the little perks too–-take someone out to lunch or dinner, or invite them to be a part of the buying process.”
Just like recognition, in order for rewards to be effective tools, they need to be monitored and managed. The obvious rewards like pay and benefit packages were not included here, as they are seen more as attraction factors for business. Rewards are more linked to employee retention, not merely attraction strategies.
The Second Rule of Rewards is to Tie Them to Performance.
Rewards need to be measured against performance standards. When your crew is clear about what is expected, and when they are clear that they have achieved those milestones, or key indicators of success this is the time to implement rewards.
The Third Rule of Rewards is Don’t Wait for the Big Breakthroughs to Reward Staff.
It’s the small successes and the individual or team improvements that warrant rewards, not just the breakthroughs or when targets are blown out of the water. Sometimes, it’s when a team is struggling that they most need rewards. Investigate, get out your magnifying glass and find out what is working.
The Fourth Rule of Rewards is to Align Rewards With Company Values.
If you’re a blue company who takes social responsibility to heart, and all of your rewards are 100% employee-centered, it may send the wrong message. In this case you might want to consider a supporting a volunteer rewards program. Rewards are also a part of your brand, so ensure alignment with what it is you are representing to ensure consistent branding.
The Fifth Rule of Rewards, be Creative and Have Fun.
Rewards that fit with the culture of your organization can be as creative or unique as your team. Develop a budget and time resources available, then invite your key stakeholders to help choose some rewards that would be fitting for your particular crew. Be creative with ideas, and encourage staff feedback on any rewards program you implement.
Next week I’ll include a list of 50 Reward Examples for your Staff!
-Dawn McCooey, Author of the Bestselling, “Keeping Good Employees On Board”
http://www.amazon.com/Keeping-Good-Employees-Board-Strategies/dp/1600376541/ref=sr_1_1?ie=UTF8&s=books&qid=1265048073&sr=1-1