Memorandum: Employee Recognition Program, Essay Example

From: Mr. I. Smart: Human Resources Manager

Date: 5 December 2009

Re: Employee Recognition Program

Further to our recent discussion concerning alternative ways to recognize employees for their contributions at work.  You asked me to explore non-monetary reward options for consideration.  This particularly focuses on those portions of our workforce that are being considered for “off shore” positions.  As a Pharmaceutical Manufacturing Company I have structured the benefits analysis into our following skill bands:

1. Management and Executives
2. Scientific and Professionals
3. Technical and Administration
4. Clerical and General Labour

I have indicated which bands each of the suggested schemes may be applied to:

Free Medical Care  (Bands 1-3)

This arrangement might be a benefit to our overseas operatives as the cost of medical treatment abroad  can be expensive.  We should be able to obtain group insurance coverage at very good discounted rates.  It is hoped to offer this as a free service to Band 1 and possible a small contribution from Bands 2 and 3.  It would not be possible to offer to local operatives in Band 4.  We could, however, pass this benefit on to band 4 by means of the Group Discount rate which is estimated as 30% off the normal retail policy coverage amounts.  A similar organization offered this type of benefits to ex pat workers in Saudi Arabia and it proved extremely popular ” All positions provide medical care with no deductibles or co-payments of any kind. Most clients also include prescriptions as well as basic dental care. Medical care is very good in Saudi Arabia.”  (Leslie, 2009).

Senior Mentor Program ( Bands 1 and 2)

This is a Mentorship and retention program for Executives and Senior Professional staff in bands 1 and 2.  The objective being to retain those long terms serving staff, approaching or about to take retirement, and get them to train and coach junior and mid ranking personnel, most likely falling in bands 2 and 3.  This retention program helps with skill transference and opens up promotional prospects for those assigned within the mentor program.  Our senior people get the satisfaction of putting something back into the Company community and the advantage of seeing the Company grow through a series of protégés.  The Company might compensate such mentors by an annual vacation reward program for the coach and his / her spouse.  Mentorship programs are an important way of retaining core skills and maintaining a level of business continuity for our business values.

Another advantage of this program is that it remains internal to the business and as such more focused on our precise business needs.  External programs tend to be very generic and as such the value in terms of payback to the Company is somewhat limited.  The trainees are also likely to feel more self-esteem by being trained from a Senior Professional or Executive of the Company.  This provides a lot more inclusivity and sense of purpose for the trainee.  It would also be considerably more cost effective to run an internal training scheme.

Transportation Allowance (All bands)

An option to provide a Transportation Allowance by the issue of local transport travel vouchers.  The Company can obtain  a certain level of subsistence by incorporating this with our Carbon offset policy and reducing the amount of carbon emissions by people using automobile transportation to work. This policy could apply to all people living with 10 kilometres of the Plant some 55% of the workforce.  Arrangements with local transportation companies for a park and ride scheme which will reduce the amount of congestion on the roads.  This is likely to be a monthly allowance of $150 per person with 65% recovery by supportive grants.  This incentive is most likely appealing to those in Bands 2-4 but offered to all employees.

Business Recognition (All Bands)

All employees like to be recognized for good work and a job well done.  The Company needs to adopt more award ceremonies and these carried out in both an informal and formal way.  In the informal setting we could introduce plaques or framed certificates for high performers or achievers.  These might be service rewards, performance based awards, production awards etc.  These need to be introduced more frequently like monthly.  For example : Bob Smith Top salesman for biomedical products division in Feb 09.  The Certificate might be accompanied by a local gift voucher that may be used in any of the firms retail outlets.  More formal recognition by special Dinner events where the Board provide formal trophies and or Certificates for awards of outstanding merit.  These might include such aspects as technological innovations, creativity, external recognition to the Company, Management Excellence, Scientific achievements etc.  These type of award ceremonies are opportunities for Press coverage and other media coverage that both promotes the Company and the individual concerned.  Individual recognition of this type leads towards more motivated employees and better retention of key managerial and scientific / technical staff.  This is an area where the Company needs to promote its’ image and invest in a high quality award. Crystal sculpture pieces being particularly good display examples.

In order to gain recognition and implement the rewards program we should consult with all of the Department Heads.  Perhaps a competition for each Department to produce the best employee awards scheme, suggesting the type of awards and how these might best be presented and introduced to the Company.  Our idea in Fig 1 illustrates the global reach of the firm with two converging arches showing the interconnectivity of the business supporting a global operation.  Crystal being a life force and appropriate to the business we are in i.e. producing pharmaceutical products to the world promoting healthy living and medicines.

Effective Leadership (Bands 1 and 2)

This relates to Managers, Executive and Senior Technical Staff recognizing employees on a regular basis.  It is important to celebrate successes no matter whether small or large.  Be seen to act as an inspirational and motivational leader.  This can be accomplished more comfortably within the daily working environment but presents a challenge for employees on the road or telecommuting.  HP was a Company faced with these issues “When you can walk down the hall and see how things are going, it’s easier to notice accomplishments, say “thank you,” and celebrate success. Getting to know people happens naturally. Showing appreciation, building relationships and celebrating with employees who work remotely can be done successfully, too. It just looks a little different, takes a bit more preparation. Effective remote non-monetary recognition starts with effective remote leadership.”  (Murray, 2009)

The Technology exists to keep in touch with remote workers via audio visual links. In addition to discussing progress and the job it is important to recognize “coal face workers” and make them appreciate the value and services that they provide to the Company.  These messages should come from the Executive and permeate down through the Organization.  A great organization is one where all the cogs of the machine are kept well oiled.  A great example being an organization like GOOGLE where a sense of humour and fun has been injected to maintain motivation and recognition throughout the Company.  (Dwyer, 2009)

Recognition Leave

Work / Life balance has become an important part of modern day living.  The concept here is where we identify high achievers that are considered to be going “above and beyond” for the Company.  This might be sales staff who have to travel long distances in order to secure important orders for the Company.  Marketing staff  engaged on delivering product demonstrations to third world Countries,  urgent clinical trials or projects that demand many extra hours of unpaid time.  These could be rewarded with a recognition leave scheme.  This may vary from the award of several hours to several days based upon the nature of the assignment being rewarded.  This is important in terms of the Company philosophy in restoring work life balance.  An example of this is that provided by George Mason University in Washington where the reward an employee of the month in this fashion ”  Classified employees only may be awarded up to five days of annual leave per calendar year for immediate recognition of outstanding performance. The leave expires in one year and may be paid out prior to expiration or at termination. The request for recognition leave may be submitted by using the form for Immediate Recognition and must be signed by the supervisor as well as the appropriate Executive Council member who is the vice president or Provost who oversees the nominee’s department.”  (Dept, 2008)

Conclusion

A number of suggested schemes have been put forward for consideration and we could adopt one or more of those outlined.   It is important to remember the part that we all must play in that of effective communications and driving through staff motivation at all levels throughout the Organization.  Should you require any additional clarification on any of these points please let me know.

I. Smart

HR Manager

Works Cited

Dept, H. (2008, 12 9). Human Resources and Payroll. Retrieved 12 5, 2009, from George Mason University: http://hr.gmu.edu/awards/everyday.php

Dwyer, K. P. (2009). How to Manage Employees in Remote Locations. Retrieved 12 5, 2009, from BNET: http://www.bnet.com/2403-13059_23-165147.html

J, L. (2009). The Major Benefits Of An Overseas Job. Retrieved 12 5, 2009, from The Leslie Corporation: http://www.lesliecorp.com/benefits.html

Murray, D. (2009, 5 12). Great ideas! For non-monetary employee recognition! Retrieved 12 5, 2009, from Writing Boots: http://writingboots.typepad.com/writing_boots/2009/05/i-need-a-little-help-from-my-corporate-friends.html