A workers' incentive program is a popular motivational model used to various amounts of success in workplaces around the world. Incentive programs can help increase production in your workplace up to 44 percent, according to a study by the Incentive Research Foundation. Properly executed, with sufficient followup to measure the results, some of the more popular motivational models can work for you, too. Use incentives to influence your staff, increase production and profitability, and boost morale.
Goal-oriented motivational models produce the most effective results, especially when they run for longer periods of time. An incentive plan that increases rewards over a year typically results in higher gains in productivity than a quickie incentive program that lasts for only a week. Effective incentives provide increasingly higher goals, and employees are rewarded when they meet or exceed those benchmarks. Piece-rate motivational programs that reward employees for actual production numbers also prove effective as ongoing motivational models.
Front-line staff and managers appreciate incentives. Consider the needs of your employees when setting up rewards. The most popular models incorporate monetary rewards in the form of bonus checks, cash or other benefits. Tangible goods such as clothing, electronics, restaurant gift cards and tools also work well, depending on your staff's interests. Paid time off is another tool employed by many managers to increase motivation. The most effective motivational models may be those that allow employees to choose the types of rewards they receive.
Incentive programs work only when the cause of low sales figures or decreased production is related to a lack of motivation. Implementing a motivational plan when the market cannot support increases can backfire and demoralize employees trying to reach unrealistic goals. While you may see an initial burst of activity in response to interest in the tangible rewards, eventually employees will revert to their demotivated state if nontangible issues are not addressed. According to Kenneth Thomas, author of Intrinsic Motivation at Work: What Really Drives Employee Engagement, a motivated workforce feels empowered to perform meaningful work. No amount of incentive can motivate employees to perform at their highest levels if they don’t have a sense of competence and a belief that they are valued and making progress.
Effective motivational models incorporate both intrinsic and tangible rewards. An effective manager who praises and thanks an outstanding performer increases the value of the incentive. When given high expectations for results, employees get excited when the projected rewards equal the level of their efforts. For example, it you need a sales staff to double sales in the coming year, you need to offer exceptional bonuses based on a tiered approach so that you create a buzz, initiate friendly competition and give workers good reasons to put in the extra hours and effort reaching the goal requires. While tangible benefits serve as positive rewards for exceptional work, employees also feel valued and appreciated by your show of gratitude. A well-motivated workforce is easier to retain, and you will attract competent employees in the future when your culture of motivation and rewards becomes known throughout your industry.
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