Non-cash rewards are more efficient because they are more effective. Let me break this down for you.
First of all they have a higher dollar-for-dollar impact than payroll, bonuses or stock options because they can be promoted publically. That gives companies the ability to make the connection between an employee’s efforts and the desired organizational outcomes more effectively.
Second, when you reward an employee’s actions (or for that matter aptitude) you stroke their intrinsic desires to bond and learn.
As more and more CEOs become increasingly concerned about their ability to attract and retain top talent in the most cost efficient manner possible, non-cash rewards (and by that I mean catalogue merchandise, gift and debit cards, and individual travel) are becoming a bigger part of the total rewards formula. Why? Because they do more than cash alone can.
Compelling arguments and points that should be made in your business case; but even with this rational you can expect pushback. And it will probably come in the form of a business leader saying something like, “interesting but I have other issues that are more important.”
That’s why the best business cases do three things; anticipate and address objections, frame the benefit in the language of finance and position the proposed solution—in this case the role of recognition—as a tool that will help the business accomplish key objectives.
Want to know how to translate these benefits into tangible financial outcomes? More importantly do you want to see exactly how it works within a recognition portal? Give us a call and well show you how to build a better business case for recognition.
A good manager is just like a good coach. At least that’s the comparison made recently in a posting on CBS Money Watch.
Just like coaches who care adept at breaking down “game tape” and using that process to point out areas that need practice, a good manager relies on observation and reinforcement to point out various skills and habits that could become strengths for the individual worker (and the company) with some extra attention and effort.
Like any good coach the best managers have a keen eye for how a slight tweak in a process or an approach can help each employee on their team perform better.
And employees respond to that attention. Earlier this year Blessing White updated its Employee Engagement Report and reiterated that there is a sharp correlation between a manager’s frequent interaction and the employee’s attitude toward their job’s purpose. These employees are more productive and, as such, more profitable.
Employees are more likely to be engaged when they feel their manager understands what they do well, encourages them to use those skills as much as possible, and recognizes and rewards their achievements when they do. Here a good manager—like a good coach—use a combination of interaction and reinforcement to get more out of their “players”.
Businesses need employees who are both prepared and motivated to meet the challenges and opportunities that they face in the real world. And managers need recognition tools that can help them coach employees along. The best systems make the process easy; fully automating all the mechanics of goal setting, communication and rewarding. So if you want your managers to become better coaches start your game plan by making sure they have the best recognition system available.
Smart organizations know that getting contributions across the entire range of sales people begins with giving managers the ability to spot and reinforce the right sales behaviors.
In addition to the obvious revenue goals, here are 6 additional sales traits you might want managers to showcase and reward in your program:
1. Account penetration. What’s the optimum mix of products and services within select accounts and is the rep getting his share? Good managers know you get this more often when you know a client’s business as well (if not better) than your own.
2. SWAT analysis articulation. Ask a top sales person at any time to sketch out a prospect’s strengths, weaknesses, opportunities and threats and they will do so in a compelling manner. It’s an exercise they do in their heads constantly as they think through the business rational for what they’re selling. It’s a good way for managers to reward reps who are truly engaged in the process.
3. Quality of interactions. Note: I didn’t say quantity. Good sales people do their homework and have a message and a meaning planned for every interaction. The same goes with their dealings with internal resources. Good manager appreciate and recognize when reps do both.
4. Resource dependency. Reps that can close sales without an overwhelming amount of assistance from supporting resources are worth their weight in gold. Good managers understand the tradeoff between expertize utilization and sheer dependency on it.
5. Pipeline validity. Reps who can accurately articulate where they stand with each prospect throughout out the sales process know how strategic selling really works. So as a result they “work” the process. They also help companies forecast revenues with more accuracy. Reps that exaggerate or assume can cost the company money—and their managers their jobs
6. Customer renewal velocity. Buyers who see the rep as a “trusted advisor” are more likely to renew and extend contracts. Clients who do this without a bid process are obviously worth more. Everyone wins when that happens.
According to a blurb published in the Wall Street Journal, consumers have less go-to brands today than they did before the great economic meltdown.
What is a “go-to brand” exactly? It’s a product or service that buyers must have; one they won’t substitute for and are willing to pay a premium for because they believe in its quality and value.
Go-to brands are big money makers for the companies that possess them. Satisfied customers spend more over their lifetimes; they recommend those services or products to others and they continue to remain loyal even in the face of modest cost increases or the occasional service miscue.
And while tougher economic times may have shortened the elasticity between price and blind loyalty, no marketer would argue that a brand’s reputation is not the biggest competitive advantage a company can have. And in that calculation employee actions and attitudes are paramount.
The authenticity of any brand—its perception of being genuine, legitimate and trustworthy—is directly dependent on the willingness of the company’s employees to act and deliver in a manner that is consistent with customer expectations . Here a solid recognition program can help you communicate what it is that your customers except and what role the employees play in satisfying them. Here HR (and marketing) can work together to communicate goals to employees, measure the results, and reward the desired outcomes.
So much is riding on the brand and in today’s economy its reputation can be the difference corporate growth and stagnation. As you think about ways to make your brand a “go-to” choice for your targeted customers, think about the role your recognition program can play in making that happened.
Presented by: Mike Ryan, Senior Vice President, Marketing & Strategy
SESSION 1:
Wednesday, May 15, 2013
9:00-10:00 AM EDT
SESSION 2:
Wednesday, May 15, 2013
3:45 – 4:45 PM EDT
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