incentives for incentives
As work culture shifts, the role of management and human resources is more critical now than ever. What makes a company like Google so attractive? The fact that the employees want to work there not just for the money, but because they’ve created a lifestyle and culture worth being a part of.
Whether you are a business pushing the 50 year mark or just getting off the ground, developed and developing companies face equally large challenges. Startups have all the opportunity to incentivize their staff, they may lack the resources but can build off various strategies to get their company focused in the culture driven direction. For a company where the infrastructure is already in place, the first signs of a once self sustaining machine suffering functionality problems is where management is required for any sort of progression. Nothing is worse than the classic cliche of when the boss is away... let’s stop right there. We often see this in companies where management models were built literally one or two generations apart from current workforce. New turnover and talent leads to style shifts and the structured HR department must find ways to get back to an environment which attracts capital with limited management. For the purpose of this blog, let’s quickly explore some key points that could be brought to your next strategic planning meeting.
Companies shifting to new incentives and compensation models can avoid the work for a paycheque mentality that is so prevalent. Performance, project, profit and margin based pay structures, in addition to classic commission and salary models are just some of the latest methods to give incentive to employees. Shouldn’t a salary or commission be enough incentive? Sure, but not all workers are going to feel rewarded by their efforts. Startup and developed business both benefit from this model, as the upfront resources required are limited and the employee's performance will bring in the revenue to reward them. Reward goes along way when asking for an employee to invest themselves in the success of the company.
There are other incentives for incentives beyond adjusting the compensation model. If resources allow it, staff engagements and team building that includes EVERYONE are a start. Rewarding groups of staff or business units for certain milestones to a night out or weekend away, is another way to add an element of competition. Great for young and eager staff. Are you based in an active city? Vancouverites for example love exercise, and partnering up with a local gym to provide a fitness membership to your staff is one way to get people excited. Healthier employees will lead to less sick days, less turnover and an all around happier staff.
This is just a touch of how to engage a progressive work culture. Need assistance in implementing this strategy into your next planning phase? Contact one of our Business Advisors today to begin exploring your company’s future.
- Thomas Membury CSO/Director of Business Services