At no time in history has social connection become more critical to human health and well-being than right now. Humans are social beings, so connection and belonging are necessary for success and survival. Factors such as increased use of technology, rising levels of social anxiety, and less face-to-face interaction, however, are causing people to feel increasingly disconnected from one another and social groups. This reality extends into the workplace.
77% of respondents to a survey conducted by the Institute of Leadership and Management indicated building close work relationships was the most important factor influencing job satisfaction.
Imagine a workplace where efforts are seen, contributions are celebrated and every individual feels connected to the organization’s success. That kind of culture doesn’t happen by chance — it’s built through intentional, strategic recognition.
Employees who feel connected — to one another, their team, and the organization — are more engaged, stay longer, and are more likely to contribute to the organization’s success. There is, however, a proven cornerstone upon which organizations have repeatedly and successfully built and scaled employee engagement: recognition. Employees who feel appreciated and recognized for their contributions and roles in a team are more likely to be engaged and contribute to organizational success. The cost of not making recognition and appreciation a part of life at work can be detrimental to not only employee engagement and experience but business results.
Gallup’s State of the Workplace: 2023 Report revealed that business units and teams with engagement scores in the top quartile had significantly better scores on key business outcomes than those in the bottom quartile:
• 81% lower levels of absenteeism
• 23% higher profitability
• 18% lower turnover
• 64% lower accidents and safety incidents
• 18% higher sales productivity
• 41% lower product defects
And if this data doesn’t make the case for the power of employee engagement, the collective consequence of disengaged employees is even more staggering. Also reported by Gallup, “employees who are not engaged or who are actively disengaged cost the world $8.8 trillion in lost productivity”.
Organizations without recognition programs see 14% lower levels of employee engagement, productivity, and performance. Employees that don’t feel appreciated are more likely to leave, feel higher levels of burnout, and are less motivated and productive, resulting in negative impact on an organizations’ workplace cultures and bottom line. 66% of employees say they would ‘leave their job if they didn’t feel appreciated.” Feeling
unappreciated also has consequences on employee health and well-being, contributing to higher levels of absenteeism and health care costs.
An effective employee recognition strategy and program is no longer a nice-to-have but a business imperative and integral part of organizations’ business and people strategies. Yet organizations struggle to prioritize, activate, and maintain employee recognition and employee engagement into the employee experience. Cultivating a culture of recognition requires an integrated, co-created approach, one that utilizes multiple strategies and tactics and a long-term commitment of resources and tools in order to gain and sustain traction and impact.
The following playbook provides a comprehensive guide for making recognition an enduring element of organizational success.
