Why Employee Awards Are Important For Every Business
Understanding the importance of employee recognition awards
Regardless of the position they hold, every employee wants to feel seen. Whether it’s formal or informal, employee recognition helps everyone see that their company notices and values them.
With so many changes to the workforce and workplace in the face of the Covid-19 pandemic, employee recognition is crucial. Now more than ever, it’s important to make sure your employees don’t feel unappreciated or, worse, unnoticed.
Employees agree: an overwhelming majority (90%) say that employee service awards have a positive impact on both their experience and motivation.
It’s not just job performance that can be recognized. We found that 68 percent of managers praise customer service and half prefer to acknowledge team effort and collaboration.
If you don’t have a recognition program in place, now is the time to consider starting one. Here’s why.
Benefits of employee recognition programs and workplace awards
Sadly, employees are more often left to want for praise than they are to receive it. Just one in three U.S. workers said that they received recognition in the past week.
Without regular praise, many are left to wonder if their role in the organization matters. As much as 75 percent of the workforce says that lack of recognition makes them feel their work is not useful.
When you implement a recognition program, you’ll see positive changes immediately. These programs are low-cost yet highly impactive, and the payoff is immense.
More engaged employees
Studies show that employee recognition is the key factor in influencing employee engagement and overall organizational performance.
More importantly, regular praise and recognition play a critical role in preventing employee burnout. This occupational phenomenon leads to exhaustion, mental distance from one’s job, and reduced efficacy.
By helping employees avoid these feelings, you help them to maintain their overall well-being while improving your business. When employees are valued, their engagement levels rise, productivity increases, and they become motivated to maintain or improve good work.
Higher productivity
The key to engaged, productive employees? Employee recognition.
When recognized regularly for their accomplishments, behaviors, and efforts, employees’ productivity has the potential to increase dramatically. This type of productivity oftentimes results in higher quality work as well as fewer safety incidents (58%) and defects (40%).
Reduced absenteeism and turnover
Everyone needs (and deserves) a day off every once in a while. But when employees don’t feel recognized or appreciated, blowing off work entirely could very easily become a habit.
The less likely you are to recognize your employees, the more likely they are to play hooky or even quit. In fact, studies show that undervalued employees are twice as likely to quit in the next year.
The reality is that annual or quarterly awards aren’t enough to drive employees to remain loyal or improve their performance. By increasing these awards, you could improve quality by 28 percent and reduce absenteeism by 30 percent.
Increased sales and profit
The benefits of regular recognition and awards extend far beyond your employee’s work environment. Your customers are likely to notice a change in your employees, as well. This could lead to as much as a 10 percent improvement in the customer experience and boost sales by 20 percent.
An increase in sales means an increase in profit. By adding recognition to your employee strategy, you could increase your profitability by 21 percent.
How to create a recognition culture
Not sure how to create a recognition culture? Don’t panic. Even in a remote setting, creating one and coming up with unique employee recognition ideas is possible.
Many companies use technology-based employee recognition software such as TinyPulse, Nectar, and Fond. While these tools encourage peer-to-peer recognition, it’s up to SMB owners to start the trend.
4 ways to start a recognition culture (even in a remote setting)
- Once a week, start a team meeting by recognizing someone on the call for exceptional work done in the last week.
- Recognize three people who helped you, either privately or publicly, based on their preference.
- Make each accolade unique. It could take the form of a handwritten note, lunch out, or gift card.
- Establish regular (but non-mandatory) times for employees to connect outside of work. This can be done for fully remote workplaces, as well.
Choosing the right type of employee recognition
Narrowing down the right type of recognition for your employees doesn’t have to be a daunting task. According to a recent study, the form of recognition employees are most looking for include:
- Public recognition using an award
- Private recognition from a boss, colleague, or customer
- Good evaluations or reviews
- Promotion or increase in work responsibilities
- Satisfaction in their work
Rewarding your team with high-quality awards is an important part of doing business. At Acrylic Warehouse, we specialize in high-quality, affordable employee recognition gifts and awards, which include plaques, glass awards, and promotional products. Our dedicated team of Recognition Specialists will help you find the best awards for your unique employee service awards program.
