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MEASURING THE VALUE AND ROI
OF EMPLOYEE RECOGNITION
PREVIEW
1
2
3
4
5
INCREASE TURNOVER RATES
INCREASE EMPLOYEE ENGAGEMENT
INCREASE PRODUCTIVITY
BENEFIT YOUR BOTTOM LINE
DETERMINING ROI
The #1 reason most Americans
leave their jobs is that they don’t
feel appreciated. In fact, 65% of
people surveyed said they got no
recognition for good work last
year.
Gallup, Tom Rath and Donald Clifton, How Full Is Your Bucket? Positive Strategies for Work and Life, 2001
EMPLOYEE RECOGNITION
REDUCES TURNOVER
Companies with recognition programs that
are effective at improving employee
engagement have 31% lower voluntary
turnover.
31%
Bersin by Deloitte, The State of Employee Recognition, 2012
EMPLOYEE RECOGNITION
INCREASES PRODUCTIVITY
69% of employees would work harder if
they felt their efforts were
better appreciated.
69%
SocialCast
It’s Simple
You do great work, you get
recognized for it, you are
motivated and incentivized to do
more awesome work.
EMPLOYEE RECOGNITION
INCREASES ENGAGEMENT
When asked what leaders could
do more of to improve engagement, 58%
of respondents replied “Give Recognition.”
58%
Psychometrics, A Study of Employee Engagement in the Canadian Workplace 2010
EMPLOYEE RECOGNITION
BENEFITS YOUR BUSINESSES
BOTTOM LINE
Research finds that those organizations with
the most mature employee recognition
approach are 12x more likely to have strong
business results.
12x
Bersin by Deloitte, The Employee Recognition Maturity Model, 2012
41% of companies that use peer-to-peer
recognition have seen marked positive
increases in customer satisfaction.
41%
SHRM/Globoforce Employee Recognition Survey, 2012
Happy
EMPLOYEES
=
Happy
CUSTOMERS
Happy
CUSTOMERS
=
Higher
PROFITS
46% of Senior Managers view
recognition programs as an
investment rather than an
expense.
WorldatWork, Trends in Employee Recognition, 2013
DETERMINING
ROI
With employee recognition you will save
significant costs on turnover and with
employees working harder and producing
more quality work, your business will be
performing better.
1
Step
DETERMINE WHAT YOU
WANT TO MEASURE
ARE YOU TRYING TO:
Improve Morale
Increase Productivity
Reduce Customer Service Complaints
Reduce Turnover Rates
Improve Attendance
2
Step
IDENTIFY THOSE KEY METRICS
CURRENTLY IN YOUR COMPANY
See how you’re currently doing in those
aspects so you have something to measure
improvement against.
Tip
Determine current levels of employee engage-
ment and morale through employee surveys.
3
Step
DEFINE WHAT YOU WANT EMPLOYEES TO BE
RECOGNIZED FOR AND COMMUNICATE THAT TO
EMPLOYEES AND MANAGEMENT TEAMS
4
Step
MEASURE
Now that your program has been implemented
for some time, measure the results!
Take those key metrics you decided on in step 1
and compare your results to the results before
you started.
FOR MORE INFORMATION ON
EMPLOYEE RECOGNITION VISIT:
WWW.LEVYMARKETINGAWARDS.COM

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Determining the Value and ROI of Employee Recognition