Workplace incentives

The Use of Incentives and Rewards in the Workplace

The use of incentives and rewards in the workplace has long provided a number of advantages to both employees and employers. When employees receive praise for their excellent work and productivity, they typically become more motivated, involved in organization activities, and satisfied with their jobs (Baumann& Stieglitz, 2014). On the other hand, the employers will benefit from better efficiency as well as an increase in sales and production.

The Sedoxo: A Business with a Well-Designed Incentive Program

The Sedoxo is one of the businesses with a well-designed incentive program. More than 350,000 people are employed by the organization, a big food and facility fair, who are currently dispersed over 80 nations. Since it is a large firm, the employees in the organization are doing different types of jobs. As such, the organization through its HR department has come up with ways of engaging its employees. One of the ways that have been established by the organization to engage its employee is through incentives and rewards.

Rewarding Employees and Retaining Workers

The reward has been fruitful to both the organization culture and the employers. First, through its incentive program, the organization has been able to retain most of its workers. The firm has ensured that it has a working incentive office that is significant in developing the process of nominations of various employees who make a significant contribution to the firm. One of the special recognition programs that have to help workers retention is the Sedexo CARE. This has been a program that has been used for several years for the firm’s employees who have achieved or accomplish something or special result in the origination. In the organization, this particular wards was once given to a female employee who was working as foot cater and developed special meals for the young foreign patient who had been having difficulties eating. The issuance of incentives to the employees is, therefore, part of the organization culture that has continued over the time.

National Level Incentives and Their Effect

Sometimes incentives and rewards could be received on a national level, as exhibited by the Sedoxo firm; this form of incentives has a great effect on other coworkers and colleagues. First, it can be used as a motivational tool. This kind of incentive approach tends to motive the workers to change and push themselves to achieve higher degrees of productivity in the organization. Secondly, it has been seen as a way of promoting teamwork in the organization. This kind of recognition has a way of promoting collaborative work efforts in the business. Thirdly, they are also formed of morale boaters to other employees and colleagues in the organization. When this kind of incentive is issued to one of the workers, the rest will feel the moral to worker harder to be preceded well. As such, employees will be able to identify the direct correlation between their type of work and the kind of effort earning potential. Higher workplace morale in an organization has the abettor secure the rate of turnover thus the employees will be able to work for a longer time in an organization (Kauhanen, Salmi, , & Torkki,2013.)

Customer Satisfaction and Incentives

Finally, the fight to receive incentives and recognition usually boils down to the customer satisfaction. The majority of the employees who will be competing for the goals of an incentive are likely to provide higher degrees of service to the customers. This has the effort of encouraging a repeat business in the organization. Thus leading to much referral level in the organization.

Reference

Baumann, O., & Stieglitz, N. (2014). Rewarding value‐creating ideas in organizations: The power of low‐powered incentives. Strategic Management Journal, 35(3), 358-375.

Kauhanen, A., Salmi, J., & Torkki, P. (2013). Performance Measurement in Healthcare Incentive Plans (No. 18). The Research Institute of the Finnish Economy.