When an employee within the company is praised and recognized for a great performance, it can positively affect the entire workplace. What most managers don’t realize is that positive effects are exponentially amplified when these recognitions are given publicly. This is because public employee recognition leverages human innate tendencies to positively impact individuals and ultimately benefit the entire workplace.
A company that introduces a program that recognizes its fellow members tends to have a better corporate culture and show excellence in business operations. For a long period, corporate representatives considered employee recognition programs as “nice-to-have,” but recent researches show that employee recognition programs are now a requirement for business success. Studies show that implementing recognition programs provides great benefits that motivate employees, which ultimately help create healthy corporate cultures.
Let’s learn about the benefits of employee recognition programs
Benefits of Employee Recognition Programs
- Decrease in turnover ratio
- Increase in employee productivity
- Increase in employee loyalty
- Increase in customer satisfaction
- Increase in employee engagement
At first, it may not be clear how the peer-to-peer recognition system affects the company culture. However, real-world experiences show that there are outstanding positive effects.
Employees want their efforts, even small ones, to be appreciated within the organization. Appreciation creates motivation, and motivation increases productivity, which can lead to an increase in company sales. This is simply how the human mind works, exploiting people’s innate tendencies to improve behaviors.
Putting aside the differences between public and private acknowledgments, the concept of praising is encouraged. When one employee praises or acknowledges another, it usually follows the format of the positive reinforcement model.
Positive reinforcement is a behavioral psychology term that refers to the introduction of a desirable or pleasant stimulus after a specific behavior. The desirable stimulus reinforces the behavior, making it more likely that the behavior will reoccur.
A positive rewarding experience effectively encourages and motivates the recipient to do the same behavior again in the future. If compliments are made between co-workers within the company, the person who receives the recognition will repeat in producing better work to receive the next acknowledgment.
Decades of psychological research show that people don’t always have to experience or practice to learn something new. People can learn, at least to some extent, just by observing others' experiences and results.
Observational learning is a method of learning that consists of observing and modeling another individual’s behavior, attitudes, or emotional expressions.
By correlating observational learning with workplace recognition, employees can perceive that certain behavior elicits rewards. Frequent public recognition can create observational learning of employees and create a healthier corporate culture.