The modern-day approach to business is changing dramatically. Today, companies invest a great deal of money in making sure that their employees remain motivated for the job. Money is not the only thing that plays a role in motivating employees anymore.

Nowadays, employees need recognition and rewards for the dedication and devotion that they show to their employers. According to Maslow’s Hierarchy of Needs, once an employee knows that their basic needs are filled, they will start looking for self-actualization.

The best way to do that is by investing in employee recognition programs. Recognition is perhaps the most important thing that will help you keep your employees motivated. Let’s talk a bit about them.

What Are Recognition Awards?

Employee recognition awards are basically titles that are given out by an organization to motivate them and keep them engaged in the company. The frequency usually varies depending on the nature of your organization.

In some companies, awards are given out at the end of each quarter, whereas other companies give them out annually. The important thing to note here is that you must always give these awards at a major event.

If you are simply handing out these awards while employees sit at their desks, it’s really not going to make them feel very “recognized.” Instead, you should host an awards ceremony, invite all of your employees, and award them up on stage.

Types of Programs

There are a variety of different kinds of awards programs that you can choose from. For instance, you can give out an award for the “Best Attendance,” “Employee of the Month,” or “Highest Sales.” It all depends on your organization.

It is important that you work closely with your HR department to come up with a suitable list of awards and titles that will ultimately help you create a better experience for your employees.

Even the simplest of things, like just patting an employee on the back and saying “good job!” is a great way to show your employees that you acknowledge their efforts.

Now, here are some of the major benefits that you get for instituting employee recognition programs.

A Sense of Gratification

One of the biggest benefits that you get for creating a recognition program is that it gives your employees a sense of belonging at the place. It shows that their efforts are valued, and it gives them a feeling of gratification.

At the end of the day, humans thrive on gratification. It is the thing that keeps us going and the one thing that we strive toward. When you show appreciation to your employees on a consistent basis, they will be willing to do better at work.

It helps ensure that each employee works at the best of their capabilities and their motivation remains high. This will help your company grow at a much faster rate.

Improved Company Culture

The culture in your company plays an important role in maintaining morale within the organization. It is also one of the most important ingredients for business success. The culture within the organization basically includes the ideologies, the perspective, and the overall direction of the business.

By making sure that employees are rewarded for their efforts, you will create a culture where employees know that their hard work won’t go in vain. It shows that they are valued for their services and their efforts are recognized.

Improved Morale

This ultimately affects the morale within the company. The rates of employee burnout increase dramatically in companies where they don’t get any recognition. That’s because employees don’t feel like giving their 100% when they know they aren’t acknowledged for it.

They will start their jobs with high morale and continue doing their job with lots of motivation. However, with the passage of time, their performance will decrease as well. With time, you will notice their productivity hitting an all-time low.

However, when you start to appreciate your employees and recognize their efforts, it makes them feel valued for their efforts. Absenteeism is going to take a dip and you will notice a reduction in your company’s overall attrition rate as well.

Retain Your Best Employees

The best employees in your company are obviously going to demand more input from you. Remember, in most cases, an employee doesn’t leave the company; they simply leave their boss. It is an old adage that holds true even today.

The modern workforce wants to feel valued, and by instituting an employee recognition scheme and holding awards on a consistent basis, you are going to ensure that your best employees not only stay at the company, but they continue giving their best shot.

These are the people who help bring the money in. These are also the people who don’t just need money; they need recognition for their efforts. If you acknowledge even their tiniest of achievements, you are always giving your employees a reason to do better.

Improve Relationships in the Workplace

When synergy builds up in your company, you will realize that achieving the most difficult goals is much easier. The benefits of teamwork have been talked about time and again, and it’s important that you focus on building bridges and improving relationships in the workplace.

By appreciating your employees at any chance you get, you will simply strengthen the bond between the employer and the employees. This also promotes peer-to-peer recognition, especially if you hold a nomination or ask your employees to vote on who should get the awards.

These are just some of the many reasons why you should consider establishing a recognition program for your employees. The benefits are endless, and it’s a worthwhile investment for a great cause.