Training Magazine - July 2008 - (Page 33)

“Building relationships, and that human element of recognition and tangible reward, are key to giving people a reason to stick around.” THE ESSENTIAL DIFFERENCE Although the terms often are used interchangeably, recognition, rewards, and incentives are very different. Recognition and incentives overlap at reward, but recognizing past performance is different from offering an incentive for future performance. A reward, obviously, is something pleasant employees receive when they do something good. An incentive is a reward that is guaranteed before the fact, while recognition acknowledges what happened after the fact. Incentives are predictable, and employees know what they can do to earn them. Recognition, on the other hand, is not a given; it can happen at any time. “The value of recognition is psychic rather than financial, although the reward may be financial,” says Stotz. “But an incentive, which is a straightforward ‘if you do this, you will get that’ proposition, tends to have more material value than psychic.” The relationship implied by each is also different. “Recognition is more relationship-based than incentives,” Saunderson says. “It’s less tangible and monetary and more personal. People often get locked into thinking about incentives and rewards, and they miss out on the face-to-face aspect of recognition.” But both incentives and recognition are necessary. THE ROLE OF MANAGEMENT Without managers and leadership on board at all levels, recognition won’t happen in the way it’s supposed to. This area is where training can make the most difference in whether recognition boosts both employees’ morale and the company’s bottom line. But while much manager training includes information about what they should do in their role in practical terms, most of what they learn about soft situations tends to be negative.“They’re taught it’s inappropriate to make fun of someone, to talk about someone’s race, or to physically hug employees, but they’re not taught what’s appropriate or positive, such as how you give someone an award or what’s appropriate to reward,” Green says. Training for managers in this area should answer three simple questions: • WHY SHOULD I DO THIS? “Part of a successful recognition strategy is to link it to the organization’s goals,” says Tommy Lee Hayes-Brown, corporate recognition chairperson, MetLife in Hartford, CT. “If one of those goals is innovation, for example, then recognizing innovative behavior will communicate the message that that’s the desired behavior.” Managers also must be taught the consequences of ignoring desired behavior and failing to recognize it. Both neglect and poor treatment can create a caustic environment that employees can’t escape fast enough. “The person a manager snaps at already might be on the road to leaving the organization, and that means real dollars exiting the organization with him or her,” says Green. • WHAT SHOULD I DO? An effective employee recognition effort will have three important elements: customization, meaningfulness, and timeliness. t r a i n i n g JULY / AUGUST 2008 w w w. t r a i n i n g m a g . c o m | 33 http://www.trainingmag.com

Table of Contents Feed for the Digital Edition of Training Magazine - July 2008

Training Magazine - July 2008 Contents Online TOC Editor’s Note Training Today Soapbox How-To World View Managing the Magic Keys to the Kingdom Good Job! Personalities & Performance Hidden Potential The Executive Entrance Live & Online No More Revolving Door Questions for Covey TMI Brochure

Training Magazine - July 2008

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