Recognition that fuels empowerment by @I_Consistency

Recognition That Fuels EmpowermentHow Employee Recognition Reinforces Performance & Creates Motivation July 30, 2012 By Josh Kuehler Internal Consistency, Inc. www.InternalConsistency.com 1

ObjectiveTo lay out a synthesized argument that supports employee recognition as a performance management model – one that yields higher performance while creating a positive work environment. 2

Approach• Organizational Psychology perspective – Organizational behavior – Systems approach• Scholar-Practitioner=Applying research• Stats joke: In God we trust, all else must bring data. 3

Agenda• Employee Empowerment – 4 components• Motivation• Recognition – Why – How 4

Empowerment vs. Engagement• Engaged workforce – Discretionary effort – Emotional commitment to organization• Empowered individuals – Freedom to choose – Effort is reinforced Recognition  Empowerment  Engagement 5

Do You Really Want Empowerment?• “You are now empowered- act accordingly” and then nothing happens – Mgmt concludes “these people really just want someone to tell them what to do”• Barrier to empowerment: When managing others, the reinforcement of control systems – Sends the message “we really don’t trust people”. 6

Harnessing Empowerment Sharing power with a view toward enhancing employee motivation and investment in their work.(Zhang & Bartol, 2010) 7

Components of Empowerment• Meaningfulness• Competence• Autonomy• Impact 8

Meaningfulness • Feeling that one’s work is personally important. – Help employees understand the importance of his/her contribution to the organization1 • Role of Recognition: – Highlighting the contribution – Reinforce and emphasize meaning1. (Zhang & Bartol, 2010) 9

Impact • Represents the degree to which one views one’s behaviors as making a difference in work outcomes1 – Opposite of learned helplessness • Role of Recognition: – Acknowledgement of the person’s role in determining outcomes1. (Zhang & Bartol, 2010) 10

Autonomy • Participation in decision making gives employees a feeling of greater control over immediate work situation and enhanced sense that his or her own behaviors can make a difference in work results. 1 • Opposite of autonomy is supervision, a hygiene factor. • Role of Recognition: – Highlights the person’s decision-making ability.1. (Zhang & Bartol, 2010) 11

Competence • Self-efficacy, or belief in one’s ability to successfully perform tasks.1 – Managers can express confidence in competence in high performance. • Congruent with Achievement; a motivator • Role of Recognition: – Fulfilling self-efficacy. Reinforcing the belief.1. (Zhang & Bartol, 2010) 12

What Lies Underneath• True term is Psychological Empowerment.• While the term is performance management, it really should be called behavior management. – We forget that people are people and behave (react) to events.• The events in our environment shape us. 13

Performance Mgmt Approaches• Management by Exception: Fixing problems• Recognition: Reinforcing successes 14

Performance Mgmt Outcomes• MBE and controlling techniques will get you compliance. – Rewarding following the rules – Reduced risk taking• Recognition techniques will get you drive. – Directly rewarding discretionary effort – Creates safe environment to explore alternatives 15

So how does recognition really affect a person? 16

A Psychological Perspective1. Herzburg’s 2 factor theory2. Self-fulfilling prophecy3. Applying Strengths 17

Herzberg’s ModelHygiene: Lead to Motivator: Lead todissatisfaction satisfaction• Company policy • Achievement• Supervision • Recognition• Relationship w/ supervisor • Work itself• Work conditions • ResponsibilityTame these factors Flame these factors 18

Locus of Motivation• Extrinsic motivation: Financial, If-then• Intrinsic motivation: For the sake of doing it 20

Intangibles are Intrinsic 21

Self-Fulfilling Prophecy• Going toward what we want – Competence• If you don’t know where you are going, you’ll end up somewhere else” – Yogi Berra 22

Self-Fulfilling Prophecy• Going toward what we want; not away from what we don’t want. 23

Strengths-Based• Romanticizing Rudy • Positive Psychology – Overcoming obstacles – Applying strengths 24

Focusing on Strengths 25

Role of Recognition • Mgr recognition is a booster shot – 77% to 91% when high favorable opinion – 33% to 52% when low favorable opinion(Towers Perrin, 2010) 26

So how can we make giving recognition easier? 27

Meaningful Recognition• ARC: – Action: Here is what was done (behavior) – Result: Here is what happened because – Consequence: Here is why that is important 28

Performance Feedback• Conversational structures: – Start, Stop, Continue – Liked Best: “when you …” – Next time: “how can we …” 29

Example Recognition Program 30

Putting it all together 31

Reinforcing Performance• If they receive no support or no reinforcement, the empowerment cycle breaks and employees feel misled.• When system reinforce individual empowerment, the process can be regenerative and dynamic 32

Small Shifts, ConsistentlyBest Buy has already had success in connecting improved employee-engagement scores to store performance: it found that for every 10th of a point it boosted the former, its stores saw a $100,000 increase in operating income.” — CFO Magazine, June 1, 2007 33

Characteristics of Empowered Employee• Have sense of self-determination (autonomy) – free to choose how to do their work; not micromanaged• Have a sense of meaning – feel their work is important to them; they care about what they are doing• Have a sense of competence – Confident about their ability to do their work well• Have a sense of impact – Believe they have influence on their work unit; others listen to their ideas 34

Conclusion• Going toward what you want is more effective than going away from what you don’t want• “Ascension” approach• External motivation is short term• Recognition calls attention to competence• Consistently applied will transform environment into encouragement & support 35

Resources•Gallup, Inc. (2010). Employee engagement: What‘s your engagement ratio•Goldsmith, M. (2007). Do you have any suggestions to help me do a better job ofproviding positive recognition?, Harvard Business Review.http://blogs.hbr.org/goldsmith/2007/09/how_do_i_provide_meaningful_re_1.html•Herzberg, F. (1987). One more time: How do you motivate employees, HarvardBusiness Review, 5- 16.•Towers Perrin. (2010). Turbocharging employee engagement: The power ofrecognition from managers. Part 1- the engagement engine.•Zhang, X., and Bartol, K. (2010). Linking empowering leadership and employeecreativity: The influence of psychological empowerment, intrinsic motivation, andcreative process engagement. Academy of Management Journal, 53, 107-128. 36

Contact: Joshua KuehlerEmail: Josh@internalconsistency.comPhone: 1-888-481-4741Twitter: @I_Consistency 37

Recognition that fuels empowerment by @I_Consistency

by Internal Consistency on Aug 04, 2012

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