MCF-Basics-of-Modern-Service-Awards

THE BASICS OF MODERN SERVICE AWARDSAN ESSENTIAL GUIDE TO CREATING A BEST-IN-CLASS PROGRAM

http://www.mcfrecognition.com/

ContentsModern Service Awards .........................................................................

Common Problems .................................................................................

Legacy Programs ....................................................................................

Awareness ................................................................................................

Awards ......................................................................................................

Experience ................................................................................................

Recognizing a Virtual Workforce ..........................................................

Changing Demographics .......................................................................

Tips & Best Practices .............................................................................

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MODERN SERVICE AWARDSTHE BASICSPeople love to celebrate milestones − they tell us who we are by marking our progress and showing the journey it took to get there. So it’s no mystery why the service anniversary has become a cornerstone of organizations committed to recognizing their employees.

A high-performing Service Award program can increaseemployee loyalty and create a culture of positive feedback that drives engagement. But reaching that level of culture-changing performance is always easier said than done, and a program can lose its spark for a number of reasons.

Don’t panic: we’ve got your back. This eBook will help you assess and recalibrate your program to best-in-class standards with simple steps you can start taking today.

84% of organizations report that Service Awards are their most popular form of employee recognition.

WorldatWork Trends in Employee Recognition 2013




Virtual WorkforceRemote and global employees maynot be receiving the same recognition experience as their office-bound peers, preventing the program from growing into part of the culture.

Changing DemographicsEntire groups of employees in a certain age group may find the program does not speak to them, or does not present them with desirable award and recognition options based on their generational preferences.

Legacy ProgramThe Service Award program was put in place long ago, but has not been adequately updated or tended to over the years because of changes in program ownership or a lack of a formal recognition strategy.


COMMON PROBLEMSMost of the time, a recognition program loses its spark because of one or more ofthese three issues:

90% of organizations have recognition programs

44%will make changes in the next 12 months

49%of them do not have a written strategy behind their programs



LEGACY PROGRAMSService Award programs don't always get the attention and care they deserve. Many first-time program owners find themselves inheriting outdated programs in need of a major overhaul, and many long-time program owners find their programs losing relevance over the years. The best place to start when revamping a legacy program is with the three fundamentals of success:

AwarenessAwards


AWARENESS GET THE WORD OUTSimply put, awareness drives participation. That's why a solid communications strategy isessential to the success of any program. Here’s what you need:

Active involvement

and promotion from senior

management

A reliable method

to include remote employees and those without

company email

Reminder communications

on upcoming service anniversaries

Program brandingreflected in all

websites, emails, and print media

Highlightrecognition in group settings

Email

Internet/Intranet

Company newsletter

Employee orientation

Posters, flyers, and/or table tents

Get the Word Out


TOP 5 MEDIA CHANNELS for communicating your program



AWARDS MAKE RECOGNITION MEANINGFULWe’ve all heard the horror stories of generic Service Awards made out to “Valued Employee”. Nine times out of ten, this happens when award options aren’t kept up to date or given the proper consideration. Take some time to review your award options and consider the following:

Are Service Awards and related collateral personalized and themed to the company’s mission/vision/core values? Service Awards and all collateral should always be personalized, and the award program theme should provide a clear connection to the company culture.

Are awards and related collateral presented in a meaningful way to the recipient? Ideally, employees should be recognized in person by their manager in front of their peers at a formal presentation. Give non co-located employees who are unable to receive awards in person an opportunity to be recognized by their peers.

Are the gifts offered appropriate?Make sure your gift selection has something for everybody, and regularly update the choices to reflect popular trends and preferences.

Are your budgets appropriate?Employees are less likely to feel appreciated if your gifts aren't relevant or have a low perceived value.

The Sooner the BetterGallup identified a six-month “honeymoon period” for new hires, after which on-the-job engagement dips significantly. A meaningful anniversary celebration at years one and three is a great way to reduce this effect and reinforce your culture.

Gallup State of the American Workplace (2013)mcfrecognition.com | 7

Be Thoughtful Make every anniversary an event in the workplace to look forward to. Schedule time to enjoy the moment of recognition. Getting coffee and donuts for everyone on the anniversary day is a great way for managers to mark the occasion, and make it an ongoing tradition in the workplace, as is preparing a thoughtful speech and inviting other departments to join in the festivities. Do everything you can to make milestone anniversaries fun and memorable, and employees will feel good about achieving them.

Make it SocialIf you have the opportunity to celebrate in person, it’s the preferred method. Recognition is a social event, so the more people involved, the more memorable the experience. Make sure everybody has a chance to join in on the celebration, even your C-suite folks and remote workers. Some organizations opt to recognize employees at an annual company party or banquet. However you do it, make sure you spread the word far and wide, and take advantage of opportunities to bring everyone together.

Get Managers InvolvedPart of being a manager is developing positive relationships with employees, and those relationships are the most powerful bonds to your organization. This is where recognition begins, and managers must play a major role. The supervisor-employee relationship is the top driver of engagement, so they need to be kept aware of upcoming milestones and given the tools and training to make everyone’s experience substantial.

EXPERIENCE CREATE A MEMORABLE EXPERIENCEThe most important part of celebrating a career milestone is the experience the employee receives. Having a memorable experience on the big day is unique to the individual and can last a lifetime. An employee's service anniversary is the best opportunity you will have out of the whole year to show them how much you appreciate them, so make it count. Here are some tips for creating memorable experiences with your program:

An employee’s relationship with their supervisor is the #1 driver of employee engagement, yet only 12% of organizations give them formal training on their recognition programs.What Drives Employee Engagement and Why it Matters, Dale Carnegie Training, 2012; WorldatWork Trending Employee Recognition 2013



RECOGNIZING A VIRTUAL WORKFORCETeleworkers can easily feel left out by virtue of not being in the office to partake in celebrations or receive awards in person. But there are simple ways to keep them included and engaged with your recognition program.

The demand for telework has grown by 80% since 2005.Global Workplace Analytics, The State of Telework in the U.S. 2013


REMOTE WORKERS CONSISTENT, EFFICIENT, APPROPRIATEWhen building a strategy for recognizing virtual and/or global workers, the key is in leveraging technology and logistics to deliver the same recognition experience that your co-located employees get. You should aim to be Consistent, Efficient and Appropriate. Here’s what we mean:

Consistent Ensure your virtual employees get Service Awards, communications, and recognition opportunities that are consistent with yourco-located employees. If you are unable to celebrate in person, do something a little extra on the anniversary day to make up for it. Here are some ideas:

Congratulatory messages from colleagues

Recognition during group conference calls/WebEx meetings

Thoughtful gesture such as goodies/gifts delivered to their home

AppropriateA global employee population desires different awards depending on what region of the world they are located in. Be sure all of your messages are well-translated and in the appropriate tone for the area, and that the awards and gifts reflect the prevailing cultural preferences. This applies to your teleworkers across the US, too – if you’re located in New York, for instance, your San Francisco team might enjoy regionally themed options.

Efficient Best-in-class programs are efficient in the sense that they fill logistics gaps where needed, giving virtual employees the same level of service with their milestone experience that headquartered employees receive. Missing a milestone due to an inefficient technical process can harm the sense of unity and purpose across a spread-out workforce. Notification systems for upcoming anniversaries, learning resources for managers, and fast award/gift delivery are imperative.

BRAZIL• Relaxed culture

• High importance on social events

• Passionate and demonstrative people

INDIA• Rigid social structure

• Work/job is closely tied to personal identity

• Symbols of success are very important

GERMANY• Earnest culture – “honest, even if it hurts”

• Direct communicators

• Strict separation of work and private lives

MEXICO• Optimistic culture

• Positive attitude

• High importance on leisure time

CHINA• Group-oriented culture

• Strict hierarchies

• Employees look up to superiors

ITAP International

A SAMPLE OF CULTURAL PREFERENCES



CHANGING DEMOGRAPHICS SOLUTIONSA Service Award program is only as effective as its reach.


13% TRADITIONALISTS

(1922-1945) • Sense of perseverance

• Company success

• Personal legacy

26% BABY BOOMERS

(1946-1964)

• Sense of achievement

• Financial freedom

• Company legacy

20% GENERATION X

(1965-1978)

• Sense of trust

• Rich inner life

• Transferable career

SHRM Workplace Forecast 2013

CHANGING DEMOGRAPHICS SOLUTIONSThere are four generations of workers in the current workforce: Traditionalists, Baby Boomers, Gen X, and Gen Y. You want to do everything you can to connect with all of them. You can accomplish this by being aware of the top motivators for each generation, and tailoring your recognition experience around them.

28%GENERATION Y

(1979-1997)

• Sense of greater good

• Personal relationships

• Parallel careers



How much should we spend? Budget is always going to be in the conversation when refreshing a Service Award program, and needs to be given due diligence. The question we hear the most is, “How much should we spend?” As a guideline you should be spending at least $25 per employee, per year of service for Service Awards, keeping in mind that costs vary by industry. There may be a temptation to spend less in the earlier years of an employees’ tenure, but those first few experiences your employees receive from your company will set the tone of the relationship for years to come, and are important for getting them on board with the culture.

Formal award presentationsHave some sort of formal presentation attached to at least one of your recognition moments. Formal presentations are great for camaraderie, and make recognition part of the fabric of the organization. When possible, many organizations opt to present Service Awards formally, but the choice is yours. As long as there are meaningful presentations in the workplace, employees stay aware of the recognition program, and are more apt to recognize others.

Early recognitionIt’s a fact—the average job tenure is 4.6 years, and that drops to 3 years for Gen-Y workers, the largest segment of employees in the country. Building a strong relationship early on can go a long way for maximizing their time, and set the stage for great employees to potentially return one day. Recognition for their first-year Service Award and a robust on-boarding program are great places to start.

TIPS & BEST PRACTICES

Consider achievement-based recognitionOnce your program has a strong award offering as a reliable cornerstone, achievement-based recognition programs provide an additional and effective mechanism for giving positive feedback and formal recognition on a daily basis. Supplementing your Service Awards with smaller day-to-day recognition opportunities keeps recognition on the forefront of everyone’s mind, and can help jump-start a lagging culture.


On average, reward and recognition programs cost organizations

1%-2% of their total payroll.

Nearly 70% of organizations agree that employees should be recognized and rewarded for their service

beginning with their one-year anniversary.Accelir Rewards and Recognition 2014 Trends Report, 2013



GOOD LUCK!Celebrating “work birthdays” is a natural impulse that everyone can appreciate, which is why Service Awards remain a cornerstone of any recognition strategy. But regular program updates and technology upgrades are the easy part. Developing meaningful personal connections with employees, making recognition a part of the work culture, and keeping managers involved takes considerable long-term effort, but sow the greatest rewards for your organization. We hope that you use this eBook to spark ideas and start conversations on how to re-invent your own Service Award program. So good luck, and if you need help, call us with any questions!




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