To keep your employees motivated, increase employee engagement, and for acknowledging the hard work, you need effective and well-thought incentive programs. Over the years, there have been tried and tested strategies to achieve the above-mentioned goals. But incentives remain the sure-shot way to increase employee engagement and make them satisfied with their job.
Many organizations are using incentives effectively to get the results they want. To develop your business, you might also need an effective incentive program as well. But, how do you design an incentive program? Follow these amazing tips mentioned below to know more.
1)Don’t overcomplicate it:
Offer monetary rewards on achieving certain targets or by creating specific goals. For instance, if your team reaches certain sales targets, offer them a certain percentage in it. Likewise, create an incentive plan depending on the type of your business. Making the employees part of the profit is the best way to maximize their potential. However, setting realistic goals and targets is very important. If the goals are impractical, it will demotivate the employees without even trying.
2)Align incentives with training:
You want your employees to stay updated with the latest trends and technologies in your field. For that, employee training is a great way. If your employees can complete courses quickly with high percentages, offer them incentives like better pay, responsibilities that help them get better, or maybe even promotion. For employee training, you don’t need to spend a hefty amount on offline training. With learning management systems like Trainual, you offer online training at very minimal costs. It makes the job easy for your HR team as the software can track the progress, schedule the classes, and much more.
3)Reward hard work consistently:
Rather than running a contest that only rewards the top two or three performers, find a way to reward all the employees who perform well. Make it such that when the employees meet certain criteria, they are eligible for the incentives. This type of equality is a great way to involve most of the employees and motivate them to perform better.
Apart from monetary benefits and other rewards, promotions are a great way to motivate employees to give their best. Nobody wants to keep doing the same things every year without any growth, so give them targets and reward their promotions. Promotions need not only mean a better salary, but it could also mean much more than that. Higher promotion means added responsibility for more people working under him/her which people usually like.
5)Promote the program:
Awareness and communication are the keys to any program being successful. Kick-off incentive program with a large team meeting to let the employees know more about the incentives. This will lead to better participation and when you announce it in a meeting, employees know the importance of it. The more you publicize and create buzz about the incentive program, the more traction you get.
6)Consider other factors too:
When making an incentive plan, don’t alone consider what you get once the targets are achieved. The other important factors to consider are indirect labor percentage, attendance, quality, and much more. If you focus on all these aspects and then design the incentive plan, it will be more relevant and at the same time reasonable.
To wrap up, every organization has some incentive plan but not many successfully achieve the goals that they would want through it. While making the incentive program, ensure you do enough research, consider all the influencing factors, and then make one. At the end of the day, you should make a plan that aligns with your organization’s needs and objectives. We hope this article helps you to create an effective incentive program that gives the results that you wanted.