9 Thoughts About Creating And Maintaining An Effective Reward System In Your Organization

A well designed reward system can inspire your team to lift the organization to greater heights. Rewards can be anything from employee performance bonuses to loyalty points to awards, to badges. Here are 10 thoughts that can help you implement an impressive reward system around your team or community.:


1. Reward relevant performance: Reward the kind of performance you want in your organization. That’ll inspire others to follow the vision you have set
4. Be fair: When you are fair, you send a message that everyone can gun for excellence because they’ll be sure of being rewarded
5. Be substantial: We understand that when the economy is facing a downturn, costs have to be cut. But as much as possible, keep your rewards substantial. The more substantial, the more it will attract eager participants
6. Be timely (The reward must take place close to the achievement): When the reward is given in a timely manner, it can create momentum. But when it takes place long after the feat has been achieved memories have begun to fade, and a bit of the shine has been lost
7. Incorporate non financial rewards (recognition can Sometimes be as important as cash): Remember that for some people its not all about the money. Its also about the recognition. If yu offer such people only monetary rewards, you won’t be motivating them. Find ways to know what best motivates members of your team, and reward their feats accordingly
8. Be firm (A bonus lost through missing target should not be recoverable whereas a salary increase should only be delayed until target is reached). If you reward people for missing the target, guess what, increasingly, more people might be encouraged to miss the target because you have set the bar too low
9. Be crystal clear: Let people know what they have to do to expect a reward. Many might be eager but not know what they need to do to get rewarded. That’s a waste of motivation, isn’t it?!