6 Quarterly Rewards and Recognition Programs in 2024

A 2023 survey by Great Place to Work revealed that employees who feel recognized are 2.2 times more likely to go above and beyond their regular duties. A genuine 'thank you' from management can boost extra effort by 69%.

That is why companies like Ally Financial and Hilton have placed programs with initiatives featuring awards to place them at a pinnacle in their respective industries. Ally Financial’s “I am an Ally” awards and Hilton’s annual Recognition Calendar demonstrate how appreciation can drive motivation.

Rewards and recognition are positive reinforcements that boost the employees' motivation to improve their jobs. They can be effective tools to foster behaviors more aligned with the company's objectives and strategic vision. Together, they can help companies develop a positive work environment where the employees feel validated and appreciated.

Gone are the days when rewards and recognition were just about the attractive paycheck at the end of the month or bonus at the end of the year. Today's corporate world is complex, and managing effective rewards and recognition programs is more challenging than ever.

What are quarterly rewards and recognition?

The rewards and recognition programs are structured frameworks designed to tackle these challenges. They systematically acknowledge employees' achievements and contributions, ensuring everyone feels motivated and engaged.

Today's organizational landscape is getting increasingly dynamic. This necessitates that the employees are consistently motivated to contribute positively to their employer companies.

Quarterly rewards and recognition aim to maintain a higher level of employee engagement and motivation throughout the year. A quarterly rewards and recognition program is comprised of two components:

Quarterly rewards: The employees' productivity, contributions, and efforts are rewarded with tangible or intangible benefits every quarter. Rewards are more tangible consumables that have economic value. They can include bonuses, gift cards, or extra time off.

Quarterly recognition: The employees’ achievements are shared within the company each quarter. Recognition is more about the emotional value and can include shout-outs on the company's intranet.

Despite being different, a report has shown that combining these two can result in a powerful tool for companies to make their employees feel acknowledged and valued.

Why are quarterly rewards and recognition important?

In quarterly rewards and recognition programs, the employees know that their efforts and achievements will be rewarded and recognized more frequently. It is a more effective way to reinforce positive behaviors that align more with the company's strategic objectives.

Thus, quarterly rewards and recognition programs help companies build a culture of appreciation and continuous improvement. The result is a company with higher employee satisfaction, improved performance, and reduced turnover. However, the benefits of quarterly rewards and recognition are more multidimensional.

Here are 7 key benefits that companies can get from a well-structured quarterly rewards and recognition program:

Employee morale and engagement: With more frequent appreciation for their hard work, employees are more consistently motivated and committed to their roles and accountability. This significantly increases their engagement with the company.
Productivity: Rewarding and recognizing the employees every quarter inspires them to maintain their level of effort and show desired behaviors consistently. Companies that recognize their employees' efforts are benefited with 14% higher productivity from their employees than the organizations that do not.
Talent retention, acquisition, and reduced turnover: Companies that are known for valuing their employees more frequently will have stronger reputations and will attract top talents who look for more supportive and appreciative work environments. 53% of employees are ready to stay in their current company with more appreciation, resulting in a higher retention rate. Employees are less likely to leave a company where they feel more satisfied.
Positive corporate culture: A company that prioritizes rewards and recognition fosters a positive work environment. When appreciation is deeply rooted in the corporate culture, it encourages openness, trust, and collaboration among employees, contributing to a healthier workplace.
Enhanced collaboration and healthy competition: Programs that specifically reward and recognize team-based achievements, are more likely to motivate the employees to work more collaboratively with their peers. Frequent rewards and recognition can also foster healthy competition among employees. When one employee is appreciated and recognized for meeting targets and demonstrating good behaviors, peers are encouraged to demonstrate similar performance or do even better for similar rewards and recognition.
Cost efficiency: While implementing a quarterly rewards and recognition program requires initial investments, it can result in cost savings of as much as 33% of an employee's annual salary. With higher productivity, employee retention, and lower turnover, companies can effectively reduce the costs associated with reduced performance, hiring, and training.
Alignment with organizational goals: A rewards and recognition program can be specifically designed to appreciate and value specific behaviors that align with the company's strategic goals.

What are the best quarterly employee reward and recognition program ideas?

Companies can reward and recognize their employees' efforts and performance in many ways. 7 highly effective ways of showing your employees rewards and recognition are:

Gifts or vouchers: Offering tangible rewards like gifts, gift cards, and vouchers is a classic and time-tested way to show appreciation to the employees. Providing employees with personalized gift cards or vouchers to their favorite stores or restaurants can be a highly appreciated form of reward.

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Zappos, known for its unique company culture, rewards employees with "Zollars." Zollar is a fun and gamified internal currency that can be used to purchase a variety of items from the company's internal store. This program allows employees to redeem Zollars for gift cards, company swag, or even special experiences.

By offering personalized rewards through Zollars, Zappos creates a playful and engaging way to recognize and reward employees, reinforcing their commitment to maintaining a positive and motivating work environment.

Public and internal announcements: Companies can recognize employees' achievements within the company's internal environment through emails, newsletters, or a "wall of fame" each quarter to foster peer-to-peer recognition. They can also make public announcements and instill a sense of pride by posting on popular professional social media platforms like LinkedIn. Announcements are the most cost-effective way of recognizing employee achievements.
Time: Time is one of the most valuable rewards that a company can offer its employees. Providing extra weekends off and additional paid leaves in a quarter can be a highly appreciated reward. It acknowledges employees' hard work and gives them a chance to recharge themselves.
Monetary benefits: A classic yet powerful way of rewarding employees is by providing them bonuses or cash rewards. Offering financial benefits is highly effective for connecting specific achievements or milestones with rewards.

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Southwest Airlines offers its employees financial benefits as rewards for good performance. Through its dedicated profit-sharing program, the employees can benefit from their own efforts and achievements.

The company has pioneered the reward strategy of sharing profits with the employees as rewards. This is a highly effective strategy to directly tie employees' contributions to the company’s success, creating a sense of ownership and loyalty.

Flexible work opportunities: In today’s evolving and technology-driven work culture, allowing flexible work arrangements, such as remote work or preferred work hours can be a solid demonstration of appreciation for employees' ability and support work-life balance.

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Take Dell for example. Dell provides flexible work arrangements, including remote working schedules, and flexible working hours for its employees. This, in turn, has resulted in Dell becoming a leading enterprise in the Great Place to Work list. 85% of the employees shared their satisfaction about working there.

Sponsored vacation: For the team-based rewards, offering sponsored vacation to the top-performing team is a great idea to show gratitude to the productive groups of employees. It is also a great way to inspire others to be team players.

What are the best practices of quarterly employee rewards and recognition programs?

To ensure an effective, efficient, relevant, and sustainable quarterly rewards and recognition program, the following 6 best practices should be followed:

Specific: Linking specific rewards and recognition to specific targets or positive behaviors will reinforce desired behaviors and increase efforts. This can enable companies to ensure employee behaviors align with their strategic objectives and culture.
Personalize the rewards: Tailoring more personalized rewards leaves a lasting impression on the employees and establishes more intimate connections. Empower the employees with a wide range of reward categories to choose from.
Use data and analytics: Using data and analytics tools can increase companies’ ability to get accurate insights into the rewards and recognitions' impacts on employee performance. Empuls by Giift, an employee rewards and recognition platform uses data analytics algorithms to foster data-driven insights and decision-making. The AI-powered software enhances high-performance culture and boosts employee retention.
Recognize diverse contributions: Tailor recognition to reflect the diverse contributions of employees across different roles and departments. This makes recognition more meaningful and can motivate a wider range of employees.
Employee feedback: It is also important to acquire the employee’s feedback on the effectiveness of the rewards and recognition program. Getting to know their preferences and needs increases the relevance of the program.
Integrate with HR Systems: Developing a reward and recognition program that integrates seamlessly with the existing HR system can streamline program management.

Case study

Following are the case studies to show the significance of quarterly rewards and recognitions.

A leading automotive software company built a culture of celebrating success with Empuls

Challenge: A leading automotive software company, with above 5000 employees, has been suffering critically with its existing rewards and recognition system. The system was inefficient, difficult to navigate, and considered only physical gifts to its employees. The results were a poor user experience and consistent employee dissatisfaction to the point where the employees were not interested in redeeming their gifts at all.

Even though several employees had 3000+ points in their account, they would not redeem these points for rewards, since they felt that the rewards listed for redemption were not providing value for money," recounts the Senior Executive and Corporate HR.

Transition to Empuls: The company partnered with Empuls, a comprehensive AI-powered employee engagement platform that offers a global catalog of e-vouchers and redemption in multiple currencies. Empuls provided a seamless solution:

Extensive redemption options: Over 20,000+ reward options are available globally.
User-friendly interface: A robust platform that enhances the overall user experience.
Social recognition: Empuls Townhall Groups enabled visibility of recognition across the organization, promoting a culture of excellence.

Impact of Empuls on the R&R Program: The result was instantaneous. The employee survey showed a significant improvement in ESAT scores. The company also increased its quarterly rewards and recognition budget from 18,000-24,000 USD to over a whopping 53,000 USD, reflecting the management’s confidence in the Empuls platform. The platform facilitated the appreciation of small wins, building stronger peer connections and significantly increasing the number of peer-to-peer appreciations.

Conclusion

Quarterly rewards and recognition programs are more effective ways of keeping employees more consistently motivated to give high efforts to achieve specific goals and demonstrate positive behaviors throughout the entire year. By providing consistent and meaningful acknowledgment of employees' efforts each quarter, organizations can enhance performance, retain top talent, and foster a positive workplace culture.

To truly make rewards and recognition shine, you need to mix and match the right rewards and recognition and follow the best practices that fit your company's unique vibe. It's all about finding the perfect balance that resonates with your team and keeps them excited and motivated.

For companies looking to streamline and elevate their employee engagement strategies, tools like Empuls can streamline and elevate employee engagement strategies, providing comprehensive solutions for rewards, recognition, and maintaining engagement institution-wide.

FAQs

1. What are the criteria for the employee of the quarter award?

The criteria for the Employee of the Quarter award typically include performance metrics, contributions to team goals, customer feedback, and demonstration of company values.

2. How do rewards and recognition motivate employees?

Rewards and recognition motivate employees by providing tangible and intangible benefits that acknowledge their efforts and achievements. They fulfill employees' psychological needs for appreciation and accomplishment. When employees feel valued, they are more likely to be engaged, productive, and committed to their work.

3. How to announce rewards and recognition in the workplace?

Employer companies can announce rewards and recognition through multiple channels. This can include intra-company channels, such as emails, team meetings, and internal social platforms. Public announcements not only celebrate the individual but also set a standard for others. The best way to announce reward and recognition is to combine both!

4. How to communicate a reward and recognition program?

Start by clearly outlining the program’s objectives, criteria, and the types of rewards available. Use multiple communication channels such as emails, company intranet, team meetings, and posters to ensure all employees are informed. Encourage managers to discuss the program in meetings.

5. How to implement a rewards and recognition program?

Define clear objectives, choose a flexible platform, and design the program with clear criteria and rewards. Pilot the program with a small group, gather feedback, and then launch it company-wide. Ensure continuous monitoring and evaluation to adjust it based on participation and feedback.

6. How to improve reward and recognition in the workplace?

Understand employee preferences and needs through surveys and feedback. Ensure timely recognition for achievements. Offer a diverse range of rewards to cater to different motivations. Utilize technology to make recognition more visible and accessible. Finally, regularly gather feedback to refine the program.