Improving Talent and Retention with Rewards and Incentives

6 September 2017

In today’s economic climate talent is at a premium, and keeping hold of your brightest and best has never been more important to the success of your business.

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That can be easier said than done. Whatever the reasons for people leaving – concerns about job security, limited opportunity for progression, or better compensation offered by a competitor – the 2017 statistics make an interesting read:

  • 90% of executives said keeping new hires is an issue in their organisations (Korn Ferry)

  • 87% of human resource leaders say improved retention is a high / critical priority (Kronos)

  • 27% of employees change jobs each year. 17% are actively job-hunting and 46% are passively looking (ADP)

Replacing staff is expensive. The Wall Street Journal reports it can cost twice an employee’s salary to find and train their replacement, while a 2014 report by Oxford Economics found that ‘down time’ while new hires find their feet costs the UK economy £4.13bn a year.

But cost often isn’t the  primary  problem with staff turnover. An established member of staff leaving can cause serious problems with motivation and morale.

Global performance-management consultants Gallup estimate the US economy loses up to $350bn a year to low morale. Morale issues and lack of engagement push people to leave jobs – while 89% of employers assume their people leave for better pay, only 12% of outgoing employees really leave for more money.

So, the challenge is finding, developing and keeping the people that you need to succeed.

We can help, since:

  • More than 4 in 10 (42%) of top talent actively consider rewards and recognition programs when seeking new employment. (DCR)

  • 66% of talent say that the presence of a corporate incentive programme motivates them to stay at their job. (DCR)

Staff who feel properly valued stick around. Rewards programmes can boost morale, communicate appreciation and incentivise results. The right rewards programme will also help to underline key business objectives, encourage loyalty and improve engagement with leadership.

So how do you create a rewards programme that delivers real value across your organisation?

  1. Work with a Proven Incentives & Rewards Partner

Work with a partner who has a proven track record of designing and managing integrated and effective rewards and incentive programmes. Rewards programmes should be built around achievement and progress, so a platform where progress can be tracked is ideal. Online rewards platforms, cumulative ‘points mean prizes’ systems, offer the opportunity for clear progress tracking within a defined framework.

  1. Tie Rewards to Key Objectives & Communicate Why

Ensuring that your rewards structure is clearly tied to results is fundamental. Those results will be determined by your business objectives, but the key is a clear system: this result warrants this reward, for this reason. This helps staff feel more engaged with primary business aims, and know that they are being appropriately recognised.

  1. Create a Structure (and Stick to It!)

Stick to your rewards structure. When someone fulfils a set requirement, they are rewarded; when they don’t, they aren’t. It’s this structure that gives employees a sense of the value of their work. If the structure is compromised that sense of value is lost, morale suffers, and your good work is undone. Effort is appreciated – only results are rewarded.

  1. Use a Bespoke Rewards Platform

A bespoke platform for your rewards programme can make a real difference. We design, deliver and manage bespoke online rewards platforms to your specification, your rewards and your objectives. They’re easy to use, can be integrated with existing systems and can be used to manage and justify rewards budgets.

Talk to Us About Improving Your Talent Retention Now

We’d love to work with you to create a platform and programme that help retain the skilled, talented and motivated workforce that you’ve worked so hard to create.