The importance of an effective rewards program
Your loyalty program needs to be carefully analyzed to determine the most appropriate incentive plan for your company. Remember, if you don’t choose it carefully, you won’t achieve the desired results. If you’re unsure where to begin, don’t worry; below we explain the key points to include in your plan.
1. Define your budget
The first factor you need to consider is your financial situation , as you’ll have to choose incentives according to your available budget. Logically, more money allows you to offer a more comprehensive plan. However, this doesn’t mean you can’t offer a good program with a limited budget.
2. Set the objectives
Carefully define the objectives you want to achieve with the project. To do this, you must be clear about the purpose of this initiative . Additionally, it’s important to consider the company’s primary goals. This way, you’ll know where to focus your efforts. A good option is to set monthly, semi-annual, and annual goals.
3. Get to know the collaborators
A very common mistake corporations make is not knowing what incentives their team prefers. Therefore, it’s crucial to understand what motivates employees most. It’s complex to grasp all their concerns and needs, but a good approach is through regular meetings . If the company is very large, you can use a questionnaire administered by the human resources department to gather information that you can tailor to your plan.
4. Design the program
In this phase, the program should be created based on the motivations of the work team, but also on the business objectives, since it is very important to achieve a balance between the interests of the organization and those of your team .
You can choose between financial incentives (sales commissions, discount cards, etc.) or focus on non-monetary benefits, such as flexible hours, shorter Fridays, more vacation days, etc. A combination of both is also an option. In any case, remember to plan a project that is easily measurable so that it can be evaluated.
5. Publicize the project
Communicate the plan clearly to your company members. The following aspects must be well defined: the project’s purpose, the departments or teams the plan is aimed at, a description of the incentive, the objectives that must be achieved to earn the reward, and the method by which the achievement of these goals will be evaluated.
6. Monitor the results
Finally, periodically review whether the project is delivering the desired results . Check how many people have participated, determine more precisely if the incentives offered are of interest to employees, and verify if productivity has increased since the program’s implementation. Results should be monitored monthly, quarterly, semi-annually, or annually.
Employee incentives are a powerful tool for your company’s growth and for differentiating yourself from your competitors. Implementing this program fosters motivation and commitment among your employees and allows them to fully develop their talents and abilities.
