7 Ways to Plan an Effective Employee Incentives Programs

Employee incentives programs, if planned and implemented properly, can lead to better outputs and revenues, boost morale and keep employees engaged and productive. The HR text “Motivation and Incentive Strategy: The Key to Making Your Workplace Exceptional” also mentioned that such programs can lead to reduced turnovers and better performance at an organizational level.

Here are some tips on creating and implementing effective incentive strategies:

1. Before you go out announcing your new rewards programs, you need to sit down and make a thorough assessment of exactly what it is that you need the incentive program for. You should be aware of the specific areas that need improvement and the behaviors that need to be changed or encouraged. Decide if this will be a reward for the results of certain changes in behavior or if this will be for the results of a continuing pattern of excellence and productivity. Are you focusing only on a specific department or a specific group of employees or will these programs be for the entire organization? You should also work out what specific incentives you will offer and how you are going to deliver them to the top achievers. Will this be a monthly reward? Or will this be delivered as soon as a certain benchmark is surpassed or a goal is achieved?

2. Here’s what should be your main guide for creating an incentive program: always keep in mind that a program like this should be about expressing what the company’s goals are and what it values. It is also about encouraging employees to align their goals with that of the company and to inspire them towards pursuing these goals.

3. After determining the results that you want, find the corresponding measurable elements to set the targets or goals of the incentive program. These goals should be specific and measurable.

4. Consider using a quota-based program or something similar. Quota-based programs are great because they allow you to set goals and let everyone have a chance at achieving the reward.

5. Create a plan to effectively communicate the goals and processes of your employee incentives programs. Your communication plan should help you make sure that the incentive program’s meaning and key messages are heard in the entire organization. It should detail how you will tell the employees about the program’s objectives, targets and rewards. It should also deliver the message that the program is transparent and objective; and there should be a sense of value in the work and in achieving the goals. If necessary, think of promotional activities to spread the word and begin inspiring people.

6. The rules of the reward program should be straightforward and easy to comprehend. It should also be consistent. Don’t tweak or change the rules along the way. If there are some changes that you really want to implement, use them on the next reward program.

7. Prepare a good training and support program. Employee incentives programs always have a training component which helps employees focus on their abilities and work toward hitting their targets.

Resource:
Kylie Milan is a HR specialist who handles online motivation and performance review of employees on board. We make sure that our staff is well rewarded through competitive incentive programs.