5 Ways to Reward High-Performing Employees in Your Business
5 Ways to Reward High-Performing Employees in Your Business
High-performing employees are a driving force for your business. They’re in the thick of it not only for themselves but as a component of their company’s success. They’re an asset to your organization, so take care—failing to acknowledge their value to your company can diminish their morale and motivation. This can lead to disengagement, which can impact their performance and result in them jumping ship.
Every company aspires to keep its top-performing talent, but many fail to strategize accordingly. So, how can you identify your top performers and reward them for their efforts? Let’s take a look.
Why high-performers are important for your business
Most of the time, high-performing employees are engaged with the company and its long-term vision. If they become unmotivated to do their work, the costs for your business could be huge. Research published on The Conference Board revealed that poorly-engaged workers cost US organizations between $450 billion and $550 billion annually.
Keeping high performers around is also crucial for maintaining an advantage in your space. When an employee moves to another company, it could mean strengthening a competitor—unless there’s a clause in their contract stopping them from joining another business in the same industry for a specific period.
Retaining high-performing employees can also help save time and money in the long run. Hiring a replacement means that HR teams need to put together job ads, interview candidates, onboard, and train new hires. These tasks take time, reduce efficiency, and cost money.
How to identify top performers
A common misconception is that the best-performing employees are the ones who clock the most hours; in reality, that may reveal a lack of time management skills. So, how do you identify the top-performing team members in your organization?
One of the best ways to identify the best employees is by matching their output with the individual and company-wide goals you’ve set. This is often difficult for the naked eye to see and requires technology to get the clearest insight. For example, you can set up customized programs to measure how far team members are progressing.
Another good way to identify your top people is to look at how often they seek feedback. Someone who is genuinely engaged with their job is willing to go above and beyond, including absorbing information from others. If someone’s constantly looking for ways to improve themselves, you’ve likely got a keeper.
5 ways to reward top performers in your business
Top-performing employees should be compensated accordingly. Lucrative bonuses are an excellent way to incentivize team members and reward them for their efforts.
Company managers should designate a specific time each year to sit down with each team member. These discussions should include developing custom roadmaps that will help employees reach their objectives. Twelve months later, those who have performed beyond expectations should receive corresponding financial rewards.
Don’t underestimate how far a kind word can go.
Employee recognition doesn’t need to be fancy. It can be as simple as mentioning their name and what they did at the next appropriate meeting. In addition to recognizing employees for their work, acknowledging work anniversaries can be another excellent morale-booster.
High-performing employees want and need to be trusted. One of the best ways to do this is by offering them work-related perks. More autonomy is one example; giving them more freedom to solve problems will result in higher levels of innovation and creativity.
Consider giving high-performing employees a more flexible working agreement. Slack discovered in 2020 that 84% of knowledge workers in six countries wanted either a hybrid or remote working agreement.
Another way to raise high-performing employees’ morale is to increase their salaries. Doing so motivates employees to continue doing well, and can also improve their quality of life.
4. Travel incentives
The halt on travel caused by COVID-19 made many people realize what a luxury and privilege it is to visit other cities, states, and countries. When border restrictions relax, many people will take to the skies as soon as possible.
Offering travel incentives is a great way to reward high-performing employees. You can do this by letting them travel to more events, to other office locations, or pay for them to go on a retreat. Also, consider giving them additional paid days off each year.
Travel-focused incentives that focus on your employees’ well-being can help improve their performance by allowing them to switch off from work and recharge.
5. Extra benefits
Most companies offer full-time employees a selection of benefits. But for those who go above and beyond, it’s worth offering even more.
Extra benefits could include:
Free or discounted gym memberships
An upgraded healthcare plan
Giving employees additional benefits is a motivator to continue producing high-quality work and feeling valued within the company. As a result, they’ll be less inclined to leave or join a competitor.
Keeping high-performing employees engaged can be complex, and many businesses fail to reward their best team members appropriately. Although financial compensation is essential, it’s only one piece of the puzzle.
To reward and retain your top staff, you first need to understand how to recognize those going above and beyond. Set tailored objectives and roadmaps to help, and look for more subtle signs such as requesting feedback.
By offering a mixture of monetary incentives and acknowledgment, you’ll ensure that your top-performing team members are happy, productive, and stay with you.
To discover how our software can help you measure your employees’ performances better, contact us.
Dean Mathews is the founder and CEO of OnTheClock, an employee time tracking app that helps over 15,000 companies all around the world track time.