A few weeks ago we received some survey results. More than 3,000 people gave us feedback on the current state of Reward and Recognition in businesses in Australia and New Zealand.
The basic premise – “Managers are driving employees away”. According to Hay Group, 70% of an employee’s engagement is determined by their immediate supervisor. The RedBalloon research wanted to establish why this is the case.
It appears managers have missed the point when it comes to acknowledging and appreciating their employees for their hard work and contribution and this will cause employees to jump ship. Managers are in the spotlight after 62% of employees have rated them as ‘not good’ at delivering specific and timely praise.
While 52% of the respondents said that, not receiving any recognition would be a contributing factor in their decision to leave their organisations, and 28% would leave if they were not receiving any recognition at all.
There is a fundamental requirement for people to feel that they belong and that the organisation notices what they contribute. People have a choice – and they would rather work with a direct manager who appreciates them. Otherwise they will go elsewhere and find a manager who will.
The study found that managers do not know their people. Two thirds across all generations are convinced their managers don’t know what motivates them.
Without a formal recognition program in place, recognition is left up to the direct manager, and respondents tell us that that means recognition doesn’t happen. Recognition has become subjective, only if the manager remembers. This is not good enough.
Recognition is a powerful driver.
As leaders we need to support managers, with resources, training, information on WHY recognition is such a critical part of commercial results – but also give them the tools on HOW to make people feel great.
Managers need to be empowered to say thanks, and given the tools to do it. It has to be part of ‘how we do things around here.’
For a copy of the full survey results see here.
To read more Naomi Simson blogs, click here.
Naomi Simson is the 2008 National Telstra Women’s Business Award winner for Innovation. Naomi was also a finalist for the Australian HR Awards and a finalist for the BRW Most Admired Business Owner Award in 2008. Also in 2008 RedBalloon achieved a 97% Hewitt employee engagement score. One of Australia’s outstanding female entrepreneurs, Naomi regularly entertains as a professional speaker inspiring middle to high-level leaders on employer branding, engagement and reward and recognition. Naomi writes a blog and has written a book sharing the lessons from her first five years.
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
