Recognition Done Right – How to Build a Rewarding Employee of the Month Program

12/07/11

Everyone likes to be recognized and rewarded for a job well done, and your employees are no exception. At a time when staffing is lean and the demands on employees great, employee of the month programs are ideal for acknowledging your top performers and making them feel appreciated. Plus, studies show that smaller, more frequent awards have a greater impact on morale than large, once-a-year perks, like an annual bonus. That’s an added advantage when budgets are tight.

In addition to more smiles and a lighter mood around the water cooler, you can expect the following benefits with a well-executed employee of the month program:

Increased productivity – Valued employees are happier, harder-working employees, so singling out superior performance boosts productivity.
Better attendance – Dissatisfied employees take more sick days and call out more frequently, so making employees feel needed strengthens attendance.
Fewer accidents – When workers feel sluggish and unmotivated, they’re more like to cut corners with basic safety measures. Enhancing morale helps prevent mishaps.
Enhanced retention and loyalty – Employees who enjoy their jobs and feel appreciated have no reason to leave. Rewarding your best and brightest is a smart retention effort.

Who Deserves the Recognition?
Have you considered the qualities the winning employees should possess? This is worth serious thought because without clear selection standards, your recognition efforts may appear fleeting and arbitrary. Some solid qualifications to consider for award candidates include:

Performance
Attitude
Responsibility
Communication/leadership
Team spirit

Another approach is to reward qualities based on your company’s core values or mission. Why does your business exist? What makes it unique? How do you define success? Single out the employees whose actions tie back to your mission, so others will learn (and be inspired) by example.

Regarding the nomination and selection process, combining input from coworkers and management is best. Having only management pick candidates can lead to accusations of favoritism and doesn’t engage your workforce the way you’d like. But leaving nominations in the hands of employees in a free-for-all environment can turn it into a popularity contest.

The solution is a structured employee award nomination form that employees must use to suggest a peer, with management oversight of all the nominations received in any given month.

Recognition is a Worthy Investment

It’s a common misconception that employee of the month programs -- largely because of the awards associated with them -- are expensive. They don’t have to be, though.

You can introduce an employee of the month program with gifts that are affordable but still meaningful. Award certificates, plaques, pens and pins are some lost-cost options, as are employee perks such as time off or a reserved parking space. Don’t assume that your employees will only appreciate big-ticket awards; often times, the recognition, along with a small token of your appreciation, will mean just as much.

Last but not least, remember that an employee of the month program should be part of a company culture that treats employees with respect, encourages positive interaction between coworkers and management, and values regular, constructive feedback. Without this foundation, employees probably won’t rally around your program and may consider it a feeble attempt to enhance performance when their other needs are not being met. Make sure your program is part of a bigger, company wide initiative to support and empower your workforce.