Tips for successful staff incentive Programs
1. Set Goals
Goals could include:
Staff retention it costs a lot to recruit and train staff and if you can retain good performers by offering a little extra than the opposition you can reduce cost in this area and improve results,
Acknowledgement of good work - everyone loves to be acknowledged for a job well done and most employers don't do it frequently enough. An incentive programme can provide a structure to ensure this occurs frequently,
Increased sales - every company wants to increase their turnover, while at the same time supporting existing customers.
Increased Performance - The use of an incentive programme can sharpen performance in targeted aspects such as obtaining and following up referrals, follow-up calls to existing clients, prospecting, product knowledge, efficiency, increased sales per contact, customer satisfaction
Productivity improvement - the use of incentives to encourage staff to reach and exceed productivity targets can be very effective.
2. Target key performance areas
Target different aspects of the way the job is done on a cyclical basis so that all performance areas progress.
3. Use points not dollars
Cash incentives have a limited impact on performance. Unless structured well, extra payments are seen as part of the salary package rather than a special extra reward based on high achievement. It is surprising, but people do not tend to translate points to dollars, points simply become a highly valued commodity.
4. Support value accumulation
The figure you can afford to spend on this activity each month may be constrained by your budget or margins, but improvements in outputs should be flowing through to increasing profitability. A better strategy than trying to find a cheap reward each month is to allow staff to accumulate points to achieve their preferred reward. This can be done by issuing points award certificates, point vouchers or through use of wall charts. For larger businesses all reporting can be done through a website accessible only to staff. In order to get some enthusiasm for the programme going, you may want to reward specific individuals for one off performance each month so that excitement is created around the programme and people don't simply perceive a hard grind of say 12 months before they receive a reward. Ideally people who are performing well should receive something tangible every 2 -3 months to maintain enthusiasm. This can also be done in the form of a bonus point at which a reward is achieved, but points can continue to accumulate.
5. Individual reward selection
Different people are motivated by different things and have varying needs and wants. An obvious statement, but it is common for organisers of reward schemes to base rewards on their own perceptions and situation. Allowing people to choose their own rewards is the most powerful of motivations.
6. Select an incentive supplier
You can spend a lot of time locating and setting up rewards for your programme or you can work with the convenience and support provided by erewards. erewards programmes provide a broad range of rewards all of which have been checked out for quality and are guaranteed. erewards staff will listen to your ideas to gain a clear understanding of what you are trying to achieve, survey your staff if required and customise a programme that will work towards your goals. The rewards provided through a partnership with erewards are purchased at the same cost as you could obtain from the supplier direct and you have the convenience of a one stop shop. The erewards selection incorporates not only a wide range of relaxing and challenging experiences, but also a wide variety of merchandise.
7. Stress relievers
Your top performers will be working under some stress to achieve great outcomes. It is ideal to reward these people with active or relaxing experiences that will reduce stress and that take account of personal circumstances and desires.
8. Reward Families
For top performers who have families, there is often an impact on the family caused by the time requirements to achieve at a high level. Rewards that allow families quality time together will build the loyalty of the family to the business and help to offset some of the resentment caused by a demanding job.
Once you have a programme in place, you must honour your commitment to the programme even when times might be a little tough. If you do not, the programme could work against achieving the goals you originally intended for it. This means making sure reward presentation events are scheduled and rewards are obtained and presented in a timely manner. It also means allocating a budget line for this expense so that you are prepared to cope with the cost even when seasonal or other fluctuations occur in the profitability of the business.
If staff lose interest in the programme, you need to rejig it or stop it. You won't know if this point has been reached without regular feedback from your staff. Build a feedback system and cycle into your structure for the programme.
Before you embark on a staff incentive programme or if you find your current programme is not achieving what you intended, give erewards a call and take advantage of the free consultation service. Our consultation will investigate the needs of your business and provide a comprehensive solution that fits your circumstances. Use the contact form to give us your contact details so we can organise a time to get together with you. You can call us on 0800 200 204 or click here to email us.