Nurses, for many years, have paved a road for what they believe is right. Staffing in hospitals has noticed retention, career ladders and an incentive prevents turnovers while increasing staffing satisfaction. Retention for hospitals to maintain trained nurses have become a focus for many Chief Executive Officers (CEO). Training and hiring nurses within the hospital has become very costly for many institutions. It costs approximately ten thousand and sixty four thousand dollars to train newly hired nurses. This cost is note from high turnovers, cost of orientation, and decreased productivity (Wieck, 2009). Retention and job satisfaction has become important aspects for nurses and hospitals to evaluate when posting and applying for new careers within facilities. Many facilities are identifying benefits that will interest and retain employees such as: career ladders with pay incentives, preferred scheduling and more choices with benefit options. Wick, K., Dols, J, Northam, S. (June 2009). What Nurse Want: The Nurse Incentives Project. Retrieved June 20, 2012 from http://ehis.ebscohost.com.libdata.lib.ua.edu/eds/pdfviewer/pdfviewer?sid=75abb474-466e-4a8f-8bc1-b932a4746294%40sessionmgr10&vid=12&hid=1
Performance evaluations are a valuable tool for organizations in many ways. They serve as motivational tools, allow managers to communicate expectations, provide feedback, identify areas of improvement, and provides direction for further training and development (Smith, Gunzenhauser, & Fielding, 2010). Job satisfaction and retention of staff are associated with the ability to provide meaningful feedback from supervisors and should be viewed as an essential component of quality improvement (Smith, Gunzenhauser, & Fielding, 2010).
Measuring performance Most performance evaluation systems use a scale with numbers or words that measure success. For example, performance may be ranked from 1 to 5, with 5 being exemplary, or by using words from “exemplary” to “does not meet.” The measures should be clearly defined so they can be assigned consistently (Shaneberger, 2008). The scores for each criterion on the evaluation are then multiplied by the weight and added to determine a total score. The form also has an area for feedback for each job function and behavioral aspect being evaluated.
There are several different types of performance evaluations. Ideally, an evaluation should encompass all parts; Peer evaluation, self evaluation, and Manager evaluation.
Peer review is one of the essential components of professional nursing practice that helps ensure the quality and safety of both the care provided and the care provider. The primary purpose of peer review is to help ensure the quality of nursing care through the safe deliverance of standards of care and newly discovered evidence-based practices. According to the American Nurses Association (1988), peer review implies that the nursing care delivered by a group of nurses or an individual nurse is evaluated by individuals of the same rank or standing according to established standards of practice... Peer review is an organized effort whereby practicing professionals review the quality and appropriateness of services ordered or performed by their professional peers. Peer review in nursing is the process by which practicing registered nurses systematically access, monitor, and make judgments about the quality of nursing care provided by peers as measured against professional standards of practice_ (American Nurses Association 1988, p. 3). Peer review processes have also been associated with enhancements in quality care. Edwards and Benjamin (2009) suggested “the more a peer review program relies on quality improvement principles, the more likely it will be embraced by medical staff, potentially enhacing quality care.”
Self evaluation allows one to reflect on their own performance and how it measures up to their peers. It allows one to be honest with themselves regarding their abilities. Self evaluation is not judgmental and permits a staff member to recognize their difficulties and act on them.
The manager’s evaluation When writing the formal evaluation, the manager needs to compile all of the information about the staff member being evaluated. Information comes from the self-evaluation, peer evaluations, and from the manager’s performance log kept throughout the year about each employee. Information from peer evaluations must be included in a way that protects the identity of the peer who provided the information. Comments from peer evaluations can be included in the feedback section in quotes, because often these comments from peers are very meaningful. Notes on performance should be shared between the manager and the employee during the face-to-face meeting. Any discrepancies can then be used as a starting point for discussion concerning strengths, weaknesses, areas for needed training, and goals that can be set for the next year. Shaneberger K. (2008).
A successful program will increase employee engagement to increase loyalty and productivity (HR Focus, 2012). Recognition programs must consist of a blends of tools. The 2 most common recognition programs are length of service and performance. Some others include: going above and beyond regular work, boosting the financial bottom lime Exemplary behavior that aligns to the organizational values, high quality work or results, faster completion of regular work projects
While there are monetary and non-monetary incentives, recognition programs are a valuable tool to positively impact employees and the organization. It is important to delineate between a reward program and recognition program. The major thrust of a recognition program is to show respect for your employees (HR Focus, 2012). When you give an employee a reward or “prize”, that doesn’t necessarily mean they have been recognized. A recognition program doesn’t have to be costly, but it does have to be specific… Leibow (2010) outlines the components of a successful recognition program. They must have: Support from Senior management Clearly defined goals and objectives Consistent promotion and communication to employees Appropriate incentives and rewards based on employee demographics Up to date information on industry trends and non-cash award tax laws and regulations (Leibow, 2010)
If the keys to a successful recognition program are followed, companies can measures the success rate of their programs. Companies should analyze their programs on 2 levels: 1) they are aligned with the overall mission, vision, values and corporate strategy and 2) what is the usage and response rate of the programs? It is useless to have a recognition program that isn’t used. In a recent survey (HR focus, 2012), employers cited employee engagement as a top priority, if that is true, then it is critical that any recognition program is tied directly to the mission, vision, values and corporate strategy of the company. Additionally, the employee response should be tracked to the program as part of ongoing employee satisfaction evaluation.
Employee Reward and Recognition System Pamela Billings, Heather Camp, Sandra Farneti,DeAnna Francisco, Stephanie Hawley, Renita Holmes, E. Nwanna, Inez Rodriquez The University of Alabama
Objectives• Define performance evaluation process• Define compensation process• Discuss the Reward and Recognition Design• Describe the concept of mediocre performance rating• Discuss alternative reward and recognition programs including nonmonetary rewards,• Describe the use of surveys to evaluate patient and employee satisfaction• Analyze the effectiveness of performance evaluation
Introduction• Nurses, for many years, have paved a road for what they believe is right. Hospitals have noticed retention, career ladders and an incentive prevent turnovers while increasing staffing satisfaction. Retention for hospitals to maintain trained nurses have become a focus for many Chief Executive Officers (CEO). Training and hiring nurses within the hospital has become very costly for many institutions. It costs approximately ten thousand and sixty four thousand dollars to train newly hired nurses. This cost is noted from high turnovers, cost of orientation, and decreased productivity (Wieck, 2009). Retention and job satisfaction has become important aspects for nurses and hospitals to evaluate when posting and applying for new careers within facilities. Many facilities are identifying benefits that will interest and retain employees such as: career ladders with pay incentives, preferred scheduling and more choices with benefit options.
Introduction• An effective performance evaluation system must evaluate the work being done without causing job dissatisfaction for the staff.• The system must also provide fair, honest, objective feedback to the staff while avoiding invading the privacy rights of the person being evaluated.(George & Haag-Heitman, 2011)
Overview of Performance Evaluation Process• Defines performance evaluation
Performance Evaluation• Performance evaluation is a valuable tool for an organization. Evaluations are a “motivational tool for managers to communicate expectations and provide feedback” (Smith, Gunzenhauser, & Fielding, 2010)• Evaluations should be constructive, provide feedback on performance and allow opportunities to highlight actions that support the organization. (Smith, Gunzenhauser, & Fielding, 2010)
Performance EvaluationMeasuring performance• Most performance evaluation systems use a scale with numbers or words that measure success.• For example, performance may be ranked from 1 to 5, with 5 being exemplary, or by using words from “exemplary” to “does not meet.”• The measures should be clearly defined so they can be assigned consistently.• The scores for each criterion on the evaluation are then multiplied by the weight and added to determine a total score. The form also has an area for feedback for each job function and behavioral aspect being evaluated.
Performance EvaluationPerformance Evaluation Three Components• Peer Evaluation• Self-Evaluation• Manager Evaluation• Combined input to determine total points
Performance EvaluationPeer Evaluation• One of the essential components of professional nursing practice• Ensures the quality and safety of both the care provided and the care provider.• Implies that the nursing care delivered by a group of nurses or an individual nurse is evaluated by individuals of the same rank or standing(George & Haag-Heitman, 2011).
Performance EvaluationSelf-Evaluation• Self-assessment is part of a good evaluation system.• Staff members feel more involved in the assessment process if their input into their own work style is sought and included in the evaluation(Shaneberger, 2008)
Reward and Recognition System DesignManager Evaluation• The manager compiles all of the information about the staff member being evaluated• Information comes from the self- evaluation, peer evaluations, and from the manager’s performance log• Performance is shared face-to-face
Overview of Compensation Process• Create a compensation system that recognizes the multiplicity of employee values and needs.• The system should support retention and guide employees to new opportunities when: – Organization’s needs change – Required job skills change – Employees’ desires change. Porter-O’Grady & Malloch (2011)
Overview of Compensation Process• Become a partner with employees in managing their works & planning for the next position.• Be vigilant & persistent when implementing and maintaining an compensation system and recognition & reward program.Porter-O’Grady & Malloch (2011
Overview of Compensation Process• Stay focused and committed despite resistance from those who would like the current compensation system & recognition & reward program to remain the same.Porter-O-Grady & Malloch (2011)
Reward and Recognition System Design Three key components of the new pay system• Simplified coverage• Agreed job descriptions and job evaluation• Knowledge and Skills Framework (KSF) – (career development framework)
Reward and Recognition System DesignMediocre Performance Rating• Awards nothing to employees who have a mediocre performance rating. Use this as an opportunity to counsel employees and set goals for improvement
Reward and Recognition System Design• Includes monetary and nonmonetary rewards
Reward and Recognition System DesignMonetary Rewards• Paid to employees based on their commendable job performance• Essentially involve in the form of money• Include salary increases, profit sharing, stock options and warrants, project bonuses, festival and/or performance linked scheduled bonuses, and additional paid vacation time(Kyani, Akhtar, & Haroon, 2011)
Non-Monetary Incentives The purpose of non-monetary o Employee discount incentives is to reward associates for excellent job performance through programs opportunities (Ballentine, McKenzie, • Phone service Wysocki & Kepner (2003).• Relocation expenses • Personal computers• Tuition reimbursement • Theme parks• Flexible work hours • Movie tickets• Free coffee • Meal discounts• Pleasant work environment• Training opportunities• Assistance with childcare expenses• Free parking
Common Recognized acts:• Length of service• going above and beyond regular work,• boosting the financial bottom line• Exemplary behavior that aligns to the organizational values,• high quality work or results,• faster completion of regular work projects (HR Focus, 2012)
Keys to Recognition Program Success• Support from Senior management• Clearly defined goals and objectives• Consistent promotion and communication to employees• Appropriate incentives and rewards based on employee demographics• Up to date information on industry trends and non-cash award tax laws and regulations (Leibow, 2010)
Measuring Reward and Recognition Systems: Key Performance Indicators• Aligned with companies: – Mission – Vision – Values – Corporate strategy• Employee satisfaction: – Ensure there are specific questions related to rewards and recognition as part of employee satisfaction survey. (HR Focus, 2012)
References• American Nurses Association (1988). Peer Review Guidelines. American Nurses Association, Kansas City, MO.• Ballentine, A., McKenzie, N., Wysocki, A. & Kepner, K. (2003).The Role of Monetary and Non-Monetary Incentives in the Workplace as Influenced by Career Stage. Retrieved from http://edis.ifas.ufl.edu.• Edwards, Marc T. & Benjamin, Evan M. (2009). The Process of Peer Review in the U.S. Hospitals. Journal of Clinical Outcomes Management, 16(10), 461-467.• George, V. & Haag-Heitman, B. (2011). Nursing peer review: the managers role. Journal of Nursing Management, 19(2), 254-259• Kyani, A., Akhtar, S. & Haroon, M. (2011). Impact Of Monetary Rewards On Achievement Of Employees Personal Goals. Review of Management Innovation & Creativity, 4(10),58-69.• Nelson, B. (1994). 1001 Ways to Reward Employees. New York: Workman Publishing.
References• Porter-O’Grady, T. & Malloch K. (2011). Quantum leadership: Advancing innovation, transforming healthcare. (3rd ed. Pp. 448-449). Sudbury, MA: Jones & Bartlett• Shaneberger K. (2008). Staff evaluations: more than a formality. OR Manager, 24 (10), 24, 2.• Smith, Kathleen N., Gunzenhauser, Jeffrey D., & Fielding, Jonathan E. (2010).• Reinvigorating Performance Evaluation: First Steps in a Local Health Department. Public Health Nursing, 27(5), 425-432 .• What Reward, Recognition Program Awards Are the Most Valuable? . (2012). HR Focus, pS1-S4, 4p.