Using money for employee motivation can be effective, but it can also create a culture where employees are constantly and exclusively working for the money. Motivating with money can even create situations similar to coercion, by taking away the self-motivation that drives employees to go the extra mile. However, motivating with non-monetary compensation can motivate and dedicate employees for years to come. Here are 3 ways to use non-monetary compensation and put year-end compensation in perspective.
2. Use a variety of individualized rewards: Personalizing rewards, both big and small is important. Personalization allows for a connection to be built between the employer and employee, as the employer gets to know the employee on a personal level, and leaving the employee with a feeling of appreciation as an individual. Gift cards are a great way to personalize rewards. Giving a
Boston Market gift card to a bachelor who doesn't cook, or a gift card to
The Limited to the fashion conscious employee on a budget, allows employers to give a gift that will carry more meaning to an employee, not to mention linger longer than the balance of the gift card.
3. Focus on the means as well as the end: If employees come to expect rewards, bonuses, and raises they will find the shortest, easiest way to the complete goal. As an employer it is important to emphasize broader organizational goals and direction to make employees feel their contribution to the greater cause of the company. When employees see the big picture they will want to become a part of it.
For more information on how to optimize non-monetary rewards check out this article on CNBC.com from Entrepreneur magazine.
