Financial and non-financial benefits have a major impact on employees' job motivation and their level of job satisfaction (Desenzo and Robbins, 2010; Hale, 2009; Severinson & Hammelwall, 2001). Recognition plays a major role, and it could be simply classified as appreciating and accepting their hard work. (Caligiuri et al., 2010; Nelson, 2005; University of Iowa, 2009). According to Gostick and Elton (2007), It could even be in the form of a personal note to show how important that employee is.
Figure 05: The Benefits of Employee Engagement:
Source: (Harter, 2002)
1. Higher
Employee Satisfaction: Employee satisfaction is crucial to the success of a
company. High employee satisfaction is directly related to low turnover. Therefore,
maintaining employee satisfaction should be a priority for every employer (Gregory,
2011). Ex: Sri Lanka Insurance company
has a strong leadership team and dedicated employees are dedicated to the
company’s success, and in recent years have helped drive rapid business growth (srilankainsurance.com, 2019 p52)
2. Higher
Retention and Lower Turnover: Employee turnover and increase retention
higher Productivity: Engaged, motivated workers have higher employee
satisfaction, which leads to enthusiasm in employee job role and overall
company growth in the form of higher retention and lower turnover; higher
productivity (Sundaray, 2011). Ex, according to Ceylon Tobacco Company as
competition for good people intensifies, they need to build a strong and
clearly differentiated reputation as an employer. For many people, the
attractions of a rewarding career with a major international business that
values their contribution and supports their professional learning and
development, are key factors in their decision to work for Employer (ceylontobaccocompany.com,
2020).
3. Increased
Profitability: Through suggestions, based on key factors to increase
employee engagement and productivity. The organization successfully attracted
customers and employee’s profitability (Heymann, 2015).
4.
Less Absenteeism: When employees are absent, work does not get done. The
availability of care for sick children reduces work/family conflict which, in
turn, results in less absenteeism engaged employees take less sick days—not
only because employees want to be at work (Goff, at al, 1990).
5. Increased Employee Loyalty: Maintaining the loyalty of survivors in a scaled down environment is a challenge management practitioner. Theorists suggest empowerment and rich work is the mechanism (Brian et al, 2001).
Video
07: Benefits of Employee Engagement
Source:
(The Benefits of Employee Engagement, 2019)
Video 07 describes, why does employee engagement matter? The answer is cushy. Whether you know it or not, your company’s bottom line depends on the satisfaction and happiness of your employees. Increased satisfaction and happiness always lead to better retention as well as increased productivity and profitability.
The
ways of recognition
Recognizing
or accepting of an employee’s hard word does not necessarily have to be of
monetary value. It could be a way of mentioning the individuals name is the
team meeting, huddle or even in a firm wide email. Posters, banners or even in
a notice board in the front area of the office premises would help employees
feel appreciated (Darling et al., 1997; Nelson, 2005; University of Iowa,
2009).
According
to a member of customer success team at 6Q in Australlia, (R, 2019), employees
could be recognized in many ways.
• Top
employee of the month
•
Employee recognition programs
•
Having them posted in the company’s annual calendar
•
Firm wide email/social media
• Company’s magazine or journal article
Video 8.0:
Employee Recognition
(Source: CommLab
India, 2011)
According to
below video 8.0: states that It is always great when an employer is able to
recognize an employee’s contributions. While bonuses and raises are certainly
popular and well-received, there are many other ways to show your appreciation
on their hard work. Be creative and consider options such as a catered lunch,
paid time off or an employee party. Even the gesture of personally thanking
employees for a job well done will go a long way toward keeping your team
engaged and motivated.
List of
References:
Allen R. and
Helms M. (2002). “Employee perceptions of relationships between strategy
rewards and organizational performance”, Journal of Business Strategies, Vol.
19, No. 2, pp. 115-139.
Caligiuri P.,
Lepak D. and Bonache J. (2010). Global Dimensions of Human Resources
Management: Managing the Global Workforce, Hoboken, NJ: John Wiley & Sons,
Inc.
Creative Ways to
Give Employee Recognition. (2011). [video] CommLab India.
Darling K., Arm
J. and Gatlin R. (1997). “How to effectively reward employees”, Industrial Management,
Vol. 39, No. 4, pp. 1-4. DeCenzo D. A. and Robbins S. P. (2010). Fundamentals
of Human Resource Management (10th ed.), Hoboken, NJ: John Wiley & Sons,
Inc.
DeCenzo D. A.
and Robbins S. P. (2010). Fundamentals of Human Resource Management (10th ed.),
Hoboken, NJ: John Wiley & Sons, Inc.
Gostick A. and
Elton C. (2007). The Daily Carrot Principle: 365 Ways to Enhance Your Career
and Life, New York: Simon & Schuster.
Goff, S.J.,
Mount, M.K. and Jamison, R.L., 1990. Employer supported childcare, work/family
conflict, and absenteeism: A field study. Personnel psychology, 43(4),
pp.793-809.
Gregory, K.,
2011. The importance of employee satisfaction. The Journal of the Division of
Business & Information Management, 5, pp.29-37.
Heymann, M.,
2015. Spotlight on service: Integrating workforce management with employee
engagement to optimize customer satisfaction and profitability. Global Business
and Organizational Excellence, 34(5), pp.6-12.
Keller J. M.
(1999). “Motivational systems”, in: H. D. Stolovitch & E. J. Keeps (Eds.),
Handbook of Human Performance Technology (2nd ed.), San Francisco:
Jossey-Bass/Pfeiffer, pp. 373-394.
R, H. (2019). 7
Awesome Methods for Employee Recognition. [online] The 6Q Blog. Available at:
https://inside.6q.io/7-awesome-methods-for-employee-recognition/ [Accessed 26
Sep. 2019].
Sundaray, B.K.,
2011. Employee engagement: a driver of organizational effectiveness. European
Journal of Business and Management, 3(8), pp.53-59.
University of Iowa (2009). “Reward & recognition”, available online at: http://research.uiowa.edu/pimgr/?get=reward.
