There may be times when budgets are limited, and allocating thousands of Rewards Points to each employee might not be feasible. However, meaningful recognition doesn’t have to stop just because Points funds are limited or overall budgets are reduced.
This article outlines five ways you can continue to drive employee engagement and create a continuous culture of recognition while being economical when it comes to employee Points and/or Rewards.
1. Focus on meaningful Recognition without points
Recognition should never stop, even when budgets are limited. Giving and receiving recognition is a vital part of maintaining a positive culture and showing employees that their efforts are valued.
Organizations can still keep employees motivated and engaged by simply sending Recognition alone – without associated Points. This strategy essentially uses the WorkTango R&R platform as a public Recognition bulletin board and centralized digital culture hub for everything from Announcements to Awards to anniversary milestone celebrations. Zero-Point Recognition programs still ensure that employees feel seen, valued and connected – but come with fewer total costs than Recognition + Rewards programs do.
Encourage team members and leaders to take the time to acknowledge employee contributions in detail in each Recognition they send, explaining why that employee’s work matters to the team and company. Use the SMT (Specific, Meaningful, Timely) formula to ensure that any Recognitions sent are impactful. Encourage employees to recognize each other openly, both within and beyond the platform (such as in team meetings), to reinforce a culture of appreciation through every interaction.
2. Save money by using Point Pools for no-cost fun experiences
Create a sense of excitement and camaraderie by leveraging Point Pools for unique, low-cost experiences. For example, set a goal where employees collectively contribute points toward a fun activity, such as challenging senior leaders to participate in a playful stunt or themed activity at an upcoming All Hands meeting.
Engaging employees in this way through Point Pools keeps morale high without the need for individual Points allocations, making this approach a creative solution for when budgets are tight.
3. Utilize Company Rewards (vs. traditional Rewards Marketplace)
Maximize the impact of your Points budget by offering Company Rewards instead of relying solely on a traditional third-party Rewards Marketplace. Offering low or no-cost rewards that are unique to your organization—such as extra days off, exclusive access to company events, or lunch with senior leaders—can provide high perceived value at a lower total cost. This approach extends the reach of employee Points budgets, while still allowing you to maintain a meaningful recognition program.
4. Allocate Points to Managers
While providing Points to every employee is one of our best practices here at WorkTango, budget constraints may require a more targeted approach. Some organizations choose to allocate Points exclusively to managers, or provide higher totals to managers and significantly lower Points totals to individual employees to save on costs while still rewarding great work. In a program where Points are primarily allocated to people managers, leaders typically use Points to recognize standout achievements or major contributions by specific employees.
5. Consolidate existing ad hoc spend into the platform to save budget
If you find your organization spending large amounts on spot bonuses, gift cards and other rewards each year, it might be time to consider adopting more holistic approach to your company’s Points and Rewards budget. One way to do this is by consolidating existing ad hoc spend into Anniversary Milestones, Birthday Milestones, Incentives, and Awards within the WorkTango platform. Instead of allocating large sums for occasional awards such as 5 Years of Service Recognitions, consider spreading this budget across more frequent, smaller Rewards to maintain consistent employee engagement.
Additionally, redirecting funds from other incentive programs into your recognition platform can give employees more touch points for appreciation within the platform without increasing overall costs. This strategy maximizes budget efficiency and keeps Recognition an ongoing part of your culture.
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