Performance appraisals and rewards linkage are quite critical to further company growth and improve business outcomes. This simply means that companies take the time to give their employees the appreciation they deserve for their time and effort in the company. Companies face challenges when it comes to rewarding workers effectively based on their performance. However, if HR teams don’t build the right process for performance appraisal and rewards, motivation and productivity among employees can plummet.
Feeling underappreciated at work is a disheartening experience an employee can face. This can also affect employers having incentive programmes that are not yielding them optimum results. Linking employees’ performance appraisals with rewards shows employees that they are valuable and increase their self-worth, and help boost performance. uKnowva’s Performance Management System helps employers focus on stand-out employees and help boost their growth and development in the company. Learn more below to understand the right bridge between appraisal appraisals and rewards for benefiting business outcomes.
Understanding The Link Between Appraisals And Rewards For Better Performance Management Outcomes:
Employee Satisfaction
Any performance management system must be both reasonable and fair, which requires giving employees realistic goals they can achieve. The system many businesses have in place for evaluating and analysing how a company’s employee or a team is performing is tragically insufficient. This lets many businesses create incentives that are poorly targeted.
This comes across as unfair to many employees and to their appreciation. So, they might decide to leave the company. With uKnowva, this has completely changed. Businesses cannot only view their team’s progress with goals they achieve, but now they can also focus on each individual’s progress and performance. This lets companies focus on all their employees so that no one feels left out.
HR leaders also share the reports if they want with their teams to maintain transparency. Most importantly, employees would be satisfied to evaluate their performances. Plus, employees can rate themselves in the performance management system by uKnowva. They will stay true to their goals and remarks as all their progress is already recorded in the system. So, eventually, employees grow self-reliant and independent to rate and evaluate their performances and add value to their contributions.
Employee Recognition
Recognition prizes can be bought with money, such as a day at the spa or a fancy meal. However, this might not be real money which always promises to have a positive effect. Rewards for a team or employee performance might be a more powerful motivator than cash. Human psychology suggests that people like to stand out from their peers and will work hard to achieve that kind of recognition. Employee recognition programs also foster a healthy competitive attitude in the office, and this can increase the drive and productivity of the workforce.
uKnowva offers a fully integrated performance appraisal and recognition system. HR and team leaders leverage it to recognise teams’ and individual efforts on time. That must be in front of the team and the organisation on the uKnowva HRMS platform. Doing so boosts the involved person’s ego positively. They work more smartly and efficiently from the next time when they realise that their contributions are respected and recognised on time.
Raises and Bonuses
Annual raises assist employees in keeping up with inflation. Although they’re frequently combined with merit incentives for excellent performance, the pay gap between average and superior employees typically isn’t very wide. Earning more money encourages employees to continue producing quality work. A good way to reward employees with appraisals is to provide them with bonuses and salary hikes when they have achieved a challenging goal. Monetary motivation gets things into motion at the workplace and also shows your employees that everyone is rewarded based on their own merits, and if they work hard enough to put in the effort, they can be rewarded too.
Employee Engagement
When employees are rewarded for their performance, it becomes crucial for them to be more involved with work. This means being a part of many projects, lending a hand in meetings, etc. Employees will also push themselves to go the extra mile. This helps HR teams keep their employees engaged with the company.
uKnowva Social Intranet is the solution here which helps employees to connect, communicate, and collaborate as they wish to. Their bonds are better and stronger. It happens irrespective of the workforce working on different projects, timelines, or workstations. There emerges a feeling of belongingness when teams connect and talk their concerns out on time. It removes untimely delays from project pipelines and helps in faster delivery and outcomes.
Employee Retention
Employees are free to switch between firms in quest of a better fit for their needs. The trend now suggests that many companies are struggling to hold on to their top talent as many end up leaving. Companies are constantly competing with each other by poaching top talent from one another. Organisations that are unlikely to be satisfied with their employees’ demands do not have an adequate reward system, which adds to the issue of talent leaving. Instead of risking turnover, companies can link their performance appraisals with rewards to help retain their employees. When employees retain for long periods of time, companies are bound to achieve more performance-based success. Firms can utilise the live dashboards on uKnowva HRMS to elevate the impact of employee retention through rewards on performance outcomes.
Conclusion:
Organisational rewards are performance motivators that raise each employee’s productivity. Employees perform better when they can build an identity in the firms they are employed in. Additionally, organisations have expanded their efforts to identify the elements that influence employee satisfaction. To bring about a change in organisational cultures and ensure ongoing success, organisations are currently employing reward systems to increase productivity in the workplace.
uKnowva HRMS helps organisations conduct surveys to determine the levels of satisfaction amongst their employees. This lets you directly take in information from the workforce so companies can now strategies on different ways to link employee appraisal with rewards. And when that link is intact and formed strategically, the performance management outcomes increase exponentially.
