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CCH® HR MANAGEMENT — 7/25/06

A little employer effort can save both time and money

With all the emotional highs and lows of daily life in the workplace, it’s often a little recognition—a gift card, the boss stopping by your desk with some kind words or balloons—that makes all the difference. As "easy" as those efforts may seem, employees are more likely to leave their jobs because they don’t feel appreciated than because of inadequate pay or lack of promotion opportunities.

The efforts an organization makes to appreciate its employees do more than just say, "thanks." The efforts, instead, make employees feel confident that their work is not only appreciated, but perhaps more importantly, noticed. That, in turn, motivates employees to put in an extra effort and to take initiative.

Employers stand to suffer consequences for not showing employees just how valued they are. "It's simple," said David Sturt, executive vice president of O.C. Tanner. "Employers stand to lose employees. Research shows that the number one reason people leave their jobs is because they don't feel appreciated." The little effort that is required of a company to acknowledge employee's efforts pales in comparison to the time and expense of employee turnover.

It's not about quantity, it's about quality. A little thanks can go a long way in retaining and motivating employees, but that thanks does not necessarily need to be handed out in vast quantities. Sometimes, it is a simple, handwritten note that creates the greatest quality thank-you. "Showing employees just how much they are valued can be easy and cost-effective," said Sturt. "In general, research shows the forms of appreciation found most appealing are personal."

Products have been created to assist HR in managing and implementing appreciation programs. One such resource is thanks™, a new online tool and recognition resource that makes it easier for managers to show on-the-spot, trackable and budget-appropriate appreciation to individual employees and teams. The benefit of a program like thanks™ is that it encourages behavior that raises employees' spirits and a company's return on investment. It covers the whole pyramid of spot recognition—from informal, no-cost pats on the back, such as print-out certificates, e-mails, notecards tailored to the accomplishment, to major rewards, including gift cards, food baskets and high-tech gear.

There are ways, both little and big, to thank employees. When an employee or team goes above and beyond the call of duty—e.g., stays late, comes up with an innovative idea, gives exceptional service to a customer—a manager can recognize the effort with something as easy as stopping by someone's desk to say thanks, writing a note, or sending a gift, or in a bigger fashion by sending a food basket, for example, to the person or team.

Showing appreciation is everyone's responsibility. "It's everyone's responsibility to show appreciation," said Sturt. "It is up to everyone from managers to employees, employees to managers and peers to peers. The little things employees do every day are the ingredients to a company's success, and therefore, effective, ongoing motivation for employees is critical."

For additional information on this and other HR topics, consult CCH Human Resources Management or Personnel Practices/Communications.

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