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Guest post by: Cindy Ventrice Become an Author

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Four Ways to Waste Your Employee Recognition Budget. If you are thinking of implementing a recognition program you might appreciate knowing a few of the possible ways you can waste your money.

Employee of the Month Awards –For most people, Employee of the Month is the first program that comes to mind when they think employee recognition. It is also the type of program that is most likely to be a supreme failure. Why? Generally, employee reaction is one of three: “Why did they pick her?” “It figures, since he is the bosses pet,” or “Who’s turn is it this month?” For EOM to work you need supremely clear criteria that you follow faithfully. Even done well, they only offer recognition to one employee per month.

Bonuses/Incentives – Bonuses and incentives get misclassified as recognition, but they are compensation. If you expect bonuses to change the level of satisfaction with recognition, you will be disappointed. Give them when employees earn them. Add a touch of recognition by expressing your appreciation when you present them.

Trinkets – T-shirts, mugs, pens with the company logo, your employees have figured out that these are advertising, not recognition. You can turn a trinket into effective recognition. Provide a specific, sincere message along with the trinket and it becomes an example of meaningful recognition. Also, keep in mind that if the award includes your logo, you better be sure employees are proud of where they work.

Gift Cards and Catalogues – There is a whole recognition industry built around gift cards and catalogues of merchandise, and they are definitely popular. Yet most of these awards end up being perceived more as compensation than recognition. You can link the award to recognition. Again, it comes down to the message that is attached to the award.

Meaningful recognition is always about the message. When you have the budget, awards are fine—if you remember to make them tangible reminders of something positive.

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