Your people are your biggest asset. No doubt you've heard that one before, but happy and motivated staff will have a major impact on productivity levels and ultimately, your bottom line.
You will also be far more likely to hang onto them, saving you money on recruitment and enabling you to retain top talent. But, while paying your staff a fair and decent wage that reflects their efforts is important, there is far more to staff motivation than financial rewards. Here we take a look at the drivers of job satisfaction, and how to ensure your people are working their hardest for your business.
Recognition
There is arguably no bigger motivator than telling someone they have done a good job. It shows that hard work is not going unnoticed and will encourage them to keep it up. Formal schemes such as ‘employee of the month’ can work well, but one-to-one chats are just as important to ensure staff feel valued and focused on the future needs of the business. It doesn’t cost anything, and it can do wonders for morale.
Set targets
People need to have something to work towards. Ensure that all staff are clear about what is expected of them and what the rewards will be. Regularly reviewing performance is essential, as is having clear measures to show when bonuses or incentives have been earned. Crucially, make sure they feel stretched and challenged. Coasting will not motivate anyone.
Give people ownership and responsibility of their roles – but monitor regularly so they don’t feel abandoned. Make sure contracts and other employment documents are clear and legally compliant. This will reduce the risk of disagreements and disputes.
Culture
Intangible benefits, such as location, work environment and culture, are often very highly valued by staff, so make sure yours are relaxed, fun and supportive. Recognising that staff have lives and commitments outside of work is extremely important, and
giving staff the option of working more flexibly when needed can be a highly treasured perk which doesn’t cost anything – in fact it will often boost productivity. Organising social events and holding regular meetings will also help build a cohesive spirit where staff are focused on getting results for themselves and each other.
Communicate
Having an open and honest culture is paramount to making staff feel valued and more than just cogs in a machine. Involve them in decision-making, especially when those decisions affect them, and ensure the lines of communication stay open. Keep employees informed and share information about how the business is doing to ensure they feel trusted and respected, as well as allowing them to see directly the result their efforts are having on the business’ success. Always welcome their feedback and ideas.
Fairness
All employees really want is to be treated fairly and with respect. As well as rewarding your star players, deal promptly with underperformance and make it clear that you will not stand for those who aren’t pulling their weight. Recognise, reward and promote people based on their performance and similarly make sure that disciplinary issues are always strictly performance based.
Salary
Benchmark pay to ensure that you are offering competitive terms, salary and benefits. Decide on the balance of fixed pay (salary) and variable pay (e.g. bonus and other incentives) that you want to offer.
Training
Offering staff training shows you’re investing in them and their future. Needless to say it will also boost productivity by ensuring they have all the resources and information they need to do their job properly.
Competitions
These can be particularly good for motivating sales teams. An inter-team competition can be less brutal than an individual race.
© Crimson Business Ltd. 2009