Staff motivation is a key area of human resources policy aimed at increasing productivity.
Implementing measures to improve the staff motivation system helps to:
- align the interests of the company and its employees
- retain valuable staff and minimize staff turnover
- increase productivity and staff engagement
- achieve set goals without significantly increasing the wage fund
- improve the quality of products and services
- create an environmentally friendly corporate culture
Our team specializes in building employee motivation systems, auditing and optimizing existing systems. One striking example is the case study “Development of a KPI-based employee motivation system,” where we helped the client build an effective and transparent results-oriented motivation system.
We develop a comprehensive motivation program that includes an important material component: bonus systems, bonuses, sales percentages, allowances and compensation, equity participation; and an equally important non-material component of the motivation system: corporate training, recognition, career growth, privileges, and more. This comprehensive approach always yields the best results.
For more information about our comprehensive approach, see the case study “Improving the staff motivation system: an example of a comprehensive approach in HR consulting.” We showed how the transformation of non-material and material motivation affects the retention of key employees and the growth of engagement.
When it comes to types of motivation systems in an organization, our team is ready to help develop various systems, such as KPI-based motivation, grading, gamification, etc.
As a result of implementing effective motivation programs, the company always gets a qualitative improvement in the work of its staff and the organization as a whole. Money invested in staff motivation brings profit and ensures the long-term stability of the organization.
Frequently asked questions about staff motivation:
– How much will changing the staff motivation system affect the company’s profitability?
Staff motivation affects a whole range of company performance indicators that can be felt, calculated, and analyzed. These include increased productivity, reduced staff turnover, improved service, and a qualitative improvement in corporate culture as a whole, as well as many other factors that directly affect the company’s profitability. It is necessary to track certain business figures “before and after.”
– How long will it take to build a new or revise an existing staff motivation system?
Building or revising a staff motivation system is a process that requires a systematic approach and comprehensive study. Depending on the goals and objectives, the project lasts from one to several months.
Is it possible to build a motivation system for a separate category of employees without developing a motivation system for the entire staff?
Depending on the goals and objectives, it is possible to develop or revise a motivation system for all company employees or for separate categories of employees.
What is KPI (key performance indicator)-based employee motivation?
A KPI-based employee motivation system involves translating the organization’s global strategic goals into the goals of its departments and the personal goals of each employee.
Simply put, the KPI system in HR is a system for evaluating the performance of each employee, paying only for the effective work of each employee, and paying employees who benefit the company and help it achieve its most important goals.
The implementation of a KPI system allows you to solve several of the most important tasks in the organization at once:
Implement the company’s strategy, and thus achieve its sustainability and success in the long term;
Monitor the process of strategy implementation;
Achieve an increase in the efficiency of the organization as a whole and of each employee;
Increase employee motivation and engagement; when the KPI system is in place, employees focus on the strongest employees, and when it is not, they focus on the weakest;
Improve the quality of personnel by inevitably “weeding out” ineffective personnel;
Apply a fair payroll system and thereby increase staff satisfaction; the monetary incentive system becomes clear and transparent;
Justify personnel decisions through a comprehensive and fair assessment of staff;
Redistribute the payroll fund without increasing it or increasing it insignificantly, but at the same time achieving better results compared to what they were before the introduction of the KPI system;
Form a corporate culture focused on results rather than processes.
A KPI-based employee motivation system should be implemented from the top down, i.e., before implementing it, it is necessary to develop an organizational strategy. If the company has strategic goals and a developed strategic plan, then you can start developing a motivation system.