Ideas to Increase Employee Engagement

February 23, 2012

This past week I ran across this great list published in Incentive Magazine of ways to engage your employees on an everyday basis. So often there are many distractions within our organizations, whether it’s an upcoming holiday, change in leadership, etc.  What are you doing to keep your employees focused, motivated, engaged, and happy? Here are a few easy things to incorporate on a daily basis:

  1. Be Nice – Easy enough?  Employees enjoy getting welcomed each day with a hello and a smile. This feeling can last throughout the day.
  2. Be Caring – Do you know your employees – I mean really know them?  Maybe they are planning something – take the time to get to know who your employees are. 
  3. Be Mindful – When your staff is doing well, thank them for their efforts.  If employees are struggling with a task, provide assistance from where they can receive help.
  4. Be Helpful – Help employees who are requesting a change – would they benefit from a day telecommuting or a different start time?  If there are no negative effects, then allow it. 
  5. Be Courteous – If your employee is running late because of car issues, sick children, etc. – be understanding and try to postpone (if possible) any internal meetings.
  6. Be Sensitive – Are your employees comfortable at work?  Offer a fan/heater if they are hot or cold. Show your employees that you care about things that are personal to them.
  7. Be Present – If your employees have a birthday celebration, party, or other after-hours gathering, make a point to attend. 
  8. Be Happy – Life isn’t always easy and sometimes work and personal issues can sour your mood.  Put things in perspective as no one likes to work for a grump – a happy disposition will be replicated by your employees.
  9. Be Responsive – If you are approached by an employee with a work problem – help out by offering a solution.  If their ideas work or not, show appreciation for their approach.
  10. Be Grateful – Thank your team as often you can – showing appreciation will increase engagement throughout your organization.

It is amazing what a fully engaged employee can do for your organization – they can lift employee morale, increase retention, and positively impact your bottom line.  Did you know that according to aGallup study, the current cost of lost productivity due to disengaged employees alone is estimated to be more than $300 billion annually? It’s a no-brainer to incorporate some of these low and no cost ideas.  What are you doing at your organization to increase employee engagement?

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It’s Not All About the Money

January 18, 2012

For years, managers have viewed cash as a great motivator.  It was easy – your staff did something great and you paid them.  If you wanted more from your employees, you paid them more. But were you really getting what you paid for? 

Let’s be honest, all of us are motivated by money, but it is only a short-term motivator and will not provide the long-term lift organizations are hoping for. You might ask yourself, if money is not a good motivator, then what is? According to the 2009 McKinsey global survey of executives, managers, and employees (from a range of job sectors), some nonfinancial motivators are more effective than extra cash in creating and increasing employee engagement. The participants in the survey stated three non-cash motivators that are more effective than cash motivators. Those non-cash motivators are:

  1. Praise from immediate managers
  2. Leadership attention
  3. Chance to lead projects or tasks

Recognition comes in all shapes and sizes – from a simple thank you to a recipient’s choice of merchandise. But what is most important is the power it generates to inspire employees to perform above and beyond which ultimately accelerates the bottom line. 

And there couldn’t be a better time. We have large organizations that are implementing enterprise-wide recognition systems to reduce cost and promote innovation while reducing administrative burden from existing recognition tools.  Instituting a recognition system within your organization can be your gauge to supporting effective outcomes.  It also provides constant feedback, stimulates collaboration, drives engagement, increases productivity – the list goes on and on.  What is your organization doing to recognize others?

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Help Others this Holiday Season

December 16, 2011

As a company that is passionate about volunteering in our community, we are always looking for ways to help others in need.  Last week, our company created beautiful hand-made jewelry for a local battered women’s shelter; a shelter provided by 360 Communities.  

360 Communities offers more 50 services including healthy family programs, child care resources, and prevention of domestic violence.   The shelters they provide are safe-havens to large numbers of women and children who are victims of domestic violence.

Organizations everywhere are trying to make a difference. Actually, many Americans (a whopping 83%) agree that companies should accomplish their business goals while also trying to improve society and/or the environment.  This data was gathered from an online survey polling over 1,000 individuals this past October and November (http://blogs.forbes.com/csr/).

Consumers know that businesses exist to make a profit. But increasingly, consumers say they care about the social and environmental impact of a business’s operation – so much, participants of the survey stated they would change their purchasing decision. Almost 40%  said they would change their buying decisions if the organization was giving no or very little money to charity.

It is so wonderful to be able to help others this holiday season.  I would like to personally thank my staff for taking the time to come together as a team. We learned how our 4 hours of effort (and fun) can brighten someone’s Christmas day. What is your organization doing to support social responsible initiatives? I would love to hear about it.

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What’s New in Sales Incentives?

September 21, 2011

So what’s new in sales incentives?  Well, actually quite a bit according to the Premium Incentive Products Magazine.  Over the past few years, many companies have become reluctant to implement lush incentive programs.  Of course, the economy reflected some of the major changes, but other factors are causing some new developments as well.

For example, many members of Gen X and Gen Y are flooding our workforces.  Because of their passion to help others, they are requesting to include socially responsible items within their incentive rewards mix.  According to a current poll by Incentive Research Foundation (IFR), more than 70% of respondents request socially responsible related awards.

Some points-based sales incentive programs also allow participants to redeem points for charitable donations.  Many Gen X or Gen Y redeemers tend to use their points for items that benefit someone or something.  Such an example is Helping Hands (link) rewards – these special gifts are manufactured by a variety of social enterprises whose sole mission is helping disadvantaged men and women learn new skills, become self-sufficient, and improve their lives.

Other trends on the horizon are using smart phones specifically to redeem rewards. This new application will enable the user to find something in a retail store, scan the barcode, and display the amount of points needed for that particular item.  This gives the participant a chance to “see” the item and, with enough points, can just click ‘buy now’ and their order is complete!

The biggest and most effective trend in sales incentives is linking an incentive with changes in behavior.  The best sales incentives programs incorporate a behavior change – many salespeople know what they need to do (sell more!), but don’t know how to get there.  For example, targeting some of your top prospects is a key behavior in the sales cycle.  This trend can have a positive effect on your entire sales force, not just your top performers! 

More and more incentive programs are also going global.  This only makes sense – if those global branches are important to the organization’s financial standing, why not motivate them to perform better as well.

What’s new with your organization’s sales incentives? I would love to hear your new ideas and trends!

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Practice = Sales Growth

June 3, 2011

Have you ever wondered if your sales force and customer service departments are saying the “right things” during client and customer interactions? At any given time, as many as 87% of your employees are not effectively delivering the key information about your brand value proposition or your products. Did you know that something as simple as consistent practice can boost their confidence and increase your bottom line?

Through concentrated practice, representatives learn what to say, how to say it, and when to say it. Your team is also more confident in delivering your brand message with ease.  Studies show those who practice consistently will be able to deliver brand messages better than those who don’t. Implementing a culture of practice within your organization can also increase your sales 51% in 90 days!

Technology (voice recognition) exists today that enables employees to practice key messages.  It saves managers time and will yield significant results.  The culture of practice has helped companies:

  • Increase Sales
  • Decrease recruitment and training costs
  • Reduce field management time and expense
  • Shorten learning curves
  • Reinforce long-term brand development

A recent study from ClemsonUniversityfound reps only deliver 10-20% of the intended message and 80% of the message is what they think is important and/or something they made up. 

Other studies show the importance of concentrated practice:

  • Before instituting a culture of practice, only 13% of your workforce were saying the right things
  • After consistent practice, 100% of your workforce hits all of the talking points

To be even more successful, many organizations are adapting the culture of practice and tying it to rewards and recognition. For example, those who are practicing for the desired minutes every week (as little as 20 minutes), would be recognized and rewarded for consistency of practice and increased sales.  This is also a great coaching tool for your managers – training effectiveness is enhanced and helps managers efficiently monitor and accelerate the implementation of new initiatives. 

Take a look at your organization’s value statement. Is your workforce consistently communicating this with confidence and passion? Would you benefit from instituting a culture of practice?

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Effective Motivating and Rewarding to Accelerate Success

May 18, 2011

These days everyone is looking for the perfect solution to ramp-up sales. The compensation package, including sales incentives, is an important key to your salespeople’s success. 

A well-designed incentive program that is implemented effectively helps an organization attract and retain the best salespeople.  It also energizes and motivates salespeople to engage in activities and behaviors that will drive high levels of desired results.  An effective incentive plan can also be a considerable source of enthusiasm and inspiration! 

There are so many reasons why is makes sense to incorporate sales incentives into a salesperson’s total compensation package:

  1. Salespeople Drive the Company’s Top Line – A highly motivated salesperson will create more sales than a less motivated one. 
  2. The Output of Salespeople is Measurable – It’s easy to track, report, and reward salespeople’s metrics. 
  3. Acknowledges a Salesperson’s Success – The rewards generated from an incentive program serves as a constant reminder of their success.

Rewarding your sales staff on “activities” is an effective way to encourage and develop specific desired sales behaviors. According to a marketing research firm, it is crucial to establish a link between rewards and performance – which will provide a clear and fair relationship between expectations, achievements, rewards, and your corporate strategy.

Expectations:
Your employees must be aware of the expectations within their job. Your rewards program could be off to a bad start if the expectations are not clear.

Sales Goals:
For goals and achievements to have the greatest motivational impact, they must be measurable and visible.  The earning rules for the sales incentive program must be clearly designed and communicated.

Rewards:
Other than using a points-based system, maximize effectiveness with possible rewards such opportunities for growth and a work/life balance. 

Corporate Strategy:
Make sure you are including your organizational strategy within the rules of the program.  For example, if your company is redefining its sales process to better meet the needs of the multi-national customers, your sales incentive should reflect this initiative.

When trying to increase sales, retention, and engagement, an effectively planned and executed sales incentive can help you achieve your goals.  Is your organization including sales incentives in their total rewards package?

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What is the “Right” number of Sales Incentives?

April 11, 2011

Throughout the sales incentive and performance improvement industry, no compelling data exists regarding implementing the “right” number of incentives in any industry.  It appears that companies often don’t know how many incentives are running at any given time since the use of incentives is not always centrally administered, nor do multiple-location organizations account for programs in a way that a representative from the company can gather accurate data.

Having too many sales incentives can be equivalent to not running any at all.  The purpose of an “add on” incentive is to create focus on a particular new product, solution or skill.  If you have three or more programs running simultaneously, no one can remember how to play, when you can play, or the key metrics. 

According to research completed by The International Society for Performance Improvement, when tangible incentives are carefully selected, implemented, and monitored, they increase work performance an average of 22%.  This study identifies the criteria for successful incentive design. The key is to outline the steps needed for success, then reward along the way for good and excellent execution of the desired steps.

Many companies get “addicted” to sales contests; a study from The Complete Guide to Sales Force Incentive Compensation.  A large computer manufacturer’s sales force was known for running many sales contests – executives within the organization referred to this as “incentive plan obesity” or the tendency to overload the incentive plan by “throwing money at every problem.”  An ex-director in compensation at this organization confessed, “Our organization gave bonuses and awards for every imaginable action by the sales force.  The more complex it got, the more difficult it was to administer, and the results were not convincing.”

If an incentive is poorly designed or poorly communicated, even one incentive is TOO many. Remember, incentives are about doing something NOW. They are “in the moment and they call people to action”.  If you continue to add incentives on top of other incentives, it is hard for sales people to stay focused on what it is important.  How many sales incentives in your organization running and are they working for you?

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Recognition and Change Management

March 21, 2011

We are often faced with change in the workforce.  Some people deal with change well while others don’t. Change within an organization can come in all shapes and sizes – new management, acquisition, shift schedule, new team member, etc.  Even the smallest changes can cause a major ripple in your employees’ work life.

Effective change implementation means careful planning, communication, and facilitation.  During change, managers need to involve their workforce, not just impose it.  Change can be seen as “threatening” and can be disruptive to your organization’s ability to run efficiently. Change managed well will ensure your workforce is engaged and able to adapt.

Here are some ideas for instituting change: 

  1. Communication, Communication, Communication! – It is important to keep communication lines open during change. According to Right Management , organizations that effectively plan for and communicate change, while allowing their people to become actively involved in the change process, are taking positive action to ensure their workforce is adequately prepared and positioned to perform at higher levels.
  2. Train your Team – Senior management’s most important task during the change is to train middle management.  Middle management may have the most difficult position: they must facilitate change AND help their employees understand the reasons for the change. They must also be equipped with the knowledge and skills needed to help their employees. Training is the cornerstone for building knowledge about the change and required skills. Here’s an idea: Recognize and reward those who know the new knowledge!
  3. Positive Consequences – When dealing with change, the most effective way to deal with the change amongst your peers and employees is creating a culture of recognition. According to a survey conducted by Right Management (link), organizations that do not manage change well are four times more likely to lose talent. Early success and long-term wins during change must be recognized and celebrated – for recognition to be most effective, it needs to be personal, immediate, sincere, and specific.

During any type of change in your organization, remember to communicate, train your troops, and recognize those exhibiting the new behaviors.  Recognition is a necessary component of change management in order to cement and reinforce the change in your organization. As a result, your workforce will be engaged, motivated, and happy!

The great news is change doesn’t have to be seen as a negative – if your organization will be undergoing a change, do you have your plan in place?  Remember to recognize individual throughout your change implementation.

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Gift Cards: Are they really an Award?

February 28, 2011

Many of my clients say their employees would like to see gift cards in their reward selection. But are gift cards truly rewarding?  Countless studies regarding cash and non-cash rewards show non-cash rewards get the greatest results. Gift cards are considered equivalent to cash because of the face value and are much less effective than rewarding with tangible, merchandise-based awards.

Many organizations look at gift cards as the ultimate flexible reward – a participant can choose what they want from a local retailer.  But if you look closer at what this person is using their gift card for, it might surprise you.  Many of those who select gift cards are using them for household items such as groceries, diapers, etc.  Are these “disposable” items really a memorable award?

A tangible expression of thanks can be an excellent way to encourage increased performance, promote company values, and boost retention. Here is some data that supports why tangible rewards are more powerful: 

  • Tangible Rewards are Visible – Tangible rewards have trophy value; share your success with co-workers, friends, etc. 
  • Gift Cards are Spent on Necessity – Participants who receive a gift card typically use it for everyday items and rarely on a special purchase, event, or experience.
  • Don’t Remember? – After 30 days of receiving a cash reward or gift cards, a participant will not recall what it was used for.
  • Increased Loyalty – Tangible rewards reinforce association with the sponsor company and increase loyalty. 

A study conducted by the Incentive Research Foundation shows that tangible incentives increase work performance by an average of 22%.  When looking at cash or gift card-based programs, tangible award programs outperform those by an average ratio of 3:1.

When is comes to actual rewards, respondents to an Incentive Federation survey indicated merchandise and travel incentives are more compelling than cash. Merchandise transcends its roll as a reward and becomes a trophy to be “displayed.”  How this item was earned is shared with co-workers, family members, and friends.  You definitely earned your bragging rights!

Take a look at your organization’s reward mix.  Are you using the “right” rewards? And of course, remember to recognize those who go above and beyond!

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Reward Employees on a Budget

January 31, 2011

Everyone enjoys a pat on the back for a job well done.  Especially if it includes some type of reward! However, many businesses today face the dilemma of wanting to recognize employees but have a very limited budget to do so.  Engaging and rewarding employees doesn’t have to break the bank! 

A list of creative and easy-to-implement ideas was created by a variety of professionals in a range of industries.  They were asked “What are your best practices to recognize others without breaking the bank?” If your corporate goal for 2011 is to incorporate a culture of recognition and to run lean and mean, here are a couple ideas to get things started in the right direction: 

  1. Flex those Hours – Give deserving employees the ability to flex their hours.  This can range from allowing an employee to telecommute one day a week to the flexibility to start earlier and leave earlier in exchange for high performance. This perk offers the most gain with the least pain. 
  2. Handwritten Note – Hand out personal, heart-thought notes from the top-dog to the top-performers.  It is amazing the lasting power of this low-cost idea!
  3. Help them Connect – Introduce a star employee to someone in senior management or a key supplier.  This low-cost idea will make their day or even their career.
  4. Award a Free Pass – Reward an employee with a pass for a day off.  Everyone can use a day off!
  5. Make it Fun! – This is by far the most important – make it fun and your employees will play, which in turn will boast morale, increase production, and make your organization a fun place that people want to be.

A study conducted by Accountemps found that frequent recognition was named as the number one requested non-monetary compensation by full and part-time employees, with regular comp coming in at No. 2. It is so important to reward someone for a job well done. Recognition creates a positive environment that fosters improved performance. It is the fuel that inspires and energizes others to work smarter and harder, supports behavior change, catapults training initiatives, and increases productivity.

The great news is, you don’t need to break the bank and your bottom line will flourish. Today, I challenge you to recognize someone – make it fun and memorable!

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