Employee Incentives – Money Isn’t Everything

It is almost a cliché that employees are not motivated by money. Of course, a solid compensation package is initially necessary to draw in and hire the best and the brightest but other factors are more important in keeping them productive and loyal.

While employee incentives need not be financially based, they must address the underlying factors that motivate a particular employee. That is, different types of people respond well to different types of rewards. For example, the simple recognition by a manager that a valued employee needs some flexibility in their schedule on a short or long term basis will work wonders on that employee’s motivation, morale and productivity.

With these facts in mind, here are some alternative ideas for motivating your employees, keeping costs to a minimum and greatly increasing the bottom line:

Recognition

The standard, go to reward, recognition should not be discounted as a significant motivational influence.  Awards, gift certificates and the like for hitting or surpassing goals is a well-established and effective tool. In fact, its most recent incarnation as “gamification,” has taken the online marketing world by storm.

Responsibility & Leadership

There are people, for good or ill, who want to be in charge. The task is to identify and promote the ones who are psychologically and professionally able to meet the challenge.  For certain people, the simple presentation of a title and the trust it represents will accomplish more than a bonus check. In short, there may be born leaders, but most are cultivated.

Flexibility

As mentioned, the recognition that someone has demands, obligations, and a life outside of work is extremely important to many employees. While, these employees may never rise to executive level, they still play an incredibly important part in the efficient running of your business. Flexible schedules that take into account their other obligations and build incredible loyalty as they are almost impossible to match at other employers.

Educational and Social Opportunities

On site seminars, casual dress day and seasonal or team building activities allow employees and management to interact in a less formal manner. It may seem trite, but each side gets to see how the other half lives.

Time Off & Stress Management

Again, the simple recognition by management that the work place is stressful is a remarkable palliative for “burn out,” reduces interpersonal conflicts and improves overall employee morale. The simple expedient of allowing people to leave early after a particularly stressful or successful day builds confidence that the leader has his hand on the pulse of the organization.

At the End of the Day

Don’t fool yourself, bonuses will always be expected. People rely on them for a variety reasons. Still, most yearly bonuses are forgotten by the end of the next fiscal quarter. It’s a question of, “What have you done for me lately?” The answer need not be monetary, but it must meet the specific needs of each employee.