Return On People
Bob Nelson, Ph.D., is president of Nelson Motivation Inc. in San
Diego, CA (800-575-5521) and author of 1001 Ways to Reward
Employees and 1001 Ways to Energize Employees. Visit Nelson
Motivation's web site, or you can send questions or comments to him
at bnelson@bizjournals.com.
Monday, October 27, 2003
By Starting Small, Firm Gave Recognition New Life
Bob Nelson
I feel the best recognition efforts start small and build. Take, for
example, the "Reward of Excellence" program currently used at
Herbalife, the health and nutrition company based in Los Angeles.
The Distributor Services department wanted to increase the
amount of recognition being used in the department and to find a
way for employees to be able to better recognize one another as
well. They looked at various incentive suppliers, called references
and finally selected The Bill Sims Company to help launch a departmental recognition
program.
The program used two-part "WOW!" cards to provide employees the ability to jot a thank
you note or praise to any other employee for service, teamwork, etc. One part went to the
employee and the second part went into a recognition box that was reviewed monthly by six
volunteer members of a recognition committee (two from each department).
The committee selected the most
stellar example from the "WOW!"
cards each month, which was then
posted on a "WOW!" bulletin
board. The person selected is
given extra points toward
merchandise purchases as well as
extra tickets for a cruise drawing
held at the end of six months. All
honorees are also automatically
submitted to the company's "All
Star" program for additional
recognition and visibility.
To give the program the best
chances for success, they started it
with a trial period of three months
over which time they collected
feedback and suggestions from employees to make the program best fit their needs and
preferences. For example, when they found out that employees balked at having to pay
freight and handling for merchandise they had selected, those amounts were built into the
awards, which employees preferred better even though slightly more points were then
required to earn the same merchandise.
Besides obtaining the original goal of increased recognition, the company found other
benefits emerged as well. Ana Franklin, senior manager of the Order Support Department,
identified three such benefits: 1) The program has helped employees set more specific goals
-- and has provided systematic tracking and acknowledgment of results against those goals;
2) the program costs less money than they had previously been spending, although it has
had a longer term, more motivational impact on employees, replacing what had previously
been a "hit-and-miss" approach to recognition (occasional distribution of gas cards and gift
certificates by managers); and 3) employees can now include their families in selecting
merchandise they are working to earn, providing an added motivational incentive for
everyone involved!
Once the program was successful, it was easy to leverage it to other departments in the
organization, several of which asked to be included. The word-of-mouth excitement of
participants is much more persuasive than any number of corporate policies,
announcements or Human Resources initiatives that might at times seem forced on
employees.
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