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Reward and engage
There is a lot of literature about what really motivates us. Some say to just be honest and acknowledge that money are the main motivator of people in work context. Others say, on the contrary, money are not such a big motivator and encourage companies to focus on respect, recognition, development, etc.
I think it’s no surprise to you when we say that both are very important.
Daniel Pink in the book Drive. The Surprising Truth About What Really Motivates Us speaks about the effects of Financial Rewards and Emotional Rewards on performance.
Both Comp & Ben theory and Motivation theory speak about the important balance of Financial Rewards and Emotional Rewards.
Let’s take a look at best practices from each area:
A well designed Reward Strategy will help you have a system able to retain high quality staff and motivate average performers work harder.
A Reward Strategy will set up mechanisms which will help also in recruitment, retention, engagement and development of employees.
The main goal is to create the basis for your employees to perform and deliver at their highest potential. When designing a reward strategy you must be able to leverage all the resources a company has to offer.
Engagement is not as concrete as the Financial area form the Reward approach. Engagement has a similar focus as the Reward area, that being the aim to create the right conditions for your employees to perform and deliver at their best potential.
One of engagement dimensions is the way you pay your employees. So, both Reward and Engagement focus on two areas: Financial Rewards and Emotional Rewards.