Globoforce shrm survey_final

SHRM Survey Findings: Employee Recognition
Programs, Fall 2012

In collaboration with and commissioned by Globoforce

SHRM/Globoforce Survey: Employee Recognition Programs, Fall 2012.
November
©SHRM 2012 15, 2012

Introduction

Twice a year, Globoforce® conducts a survey with the Society for Human Resource Management
(SHRM®), the world’s largest association devoted to human resource management. Our goal is to
elicit trends among HR leaders and practitioners about what challenges they face and what
strategies help them conquer those challenges. This August, we surveyed 6,000 HR professionals in
organizations with 500 or more employees and asked them to share their experiences and
practices.

This fall 2012 survey uncovers new insights on emerging employee recognition trends and best
practices. We looked in particular at these questions:

 What are the top issues facing HR management today?

 Is it important that core values be aligned with recognition?

 How are emerging practices like peer-to-peer recognition affecting engagement?

 What is the impact of recognition on “employee enablement”?

 What are the best practices for spending on a recognition program?
2
©SHRM 2012

Key Findings

 How many organizations currently have an employee recognition program in
place? A majority of organizations (77%) reported that they currently have an
employee recognition program in place. One-half (50%) of the organizations that
have a program in place also indicated that it is tied to the organization’s values.

 What are some of the reasons organizations implement an employee recognition
program? Most organizations use employee recognition programs to improve
employee morale and to increase employee engagement (79%). Other common
reasons are to reinforce their organization’s values (59%) and to reduce employee
turnover rates (34%).

 What changes have organizations experienced after they have implemented an
employee recognition program? Over one-half (51%)of the organizations reported
an increase in employee engagement after implementing an employee
recognition program. Some organizations also reported an increase in customer
satisfaction (35%) and employee productivity (30%).

3
©SHRM 2012

Key Findings (continued)

 How often do organizations conduct employee performance reviews? Seventy-four
percent of the organizations reported they conduct an annual performance
review. Only 21% conduct reviews semiannually, and very few (3%) conduct
quarterly reviews.

 How do organizations describe their performance review process? Most
organizations that conduct employee performance reviews (72%) believe they
provide constructive feedback to most of the employees in the organization, and
nearly one-half (47%) feel their performance reviews offer an accurate reflection of
the employees’ contributions.

 What are some HR challenges organizations are currently facing? Succession
planning has become a common HR challenge (41%) as well as employee
engagement (40%) and culture management (30%). Other HR challenges
organizations indicate experiencing include recruitment (28%) and performance
management challenges(28%).

4
©SHRM 2012

Does your organization have an employee recognition program?

Yes, we have a program that is tied to our 50%
company values

Yes, we have a program, but it is not tied to our
27%
company values

No 18%

No, but we plan to implement one in the next
6%
12 months

Note: n = 763. Respondents who answered “don’t know” were excluded from this analysis. Percentages do not equal 100% due to
rounding.
5
©SHRM 2012

What are the main objectives of your employee recognition
program?

To improve employee morale 79%

To increase employee engagement 79%

To reinforce company values 59%

To reduce employee turnover 34%

To create a unified global company
24%
culture

To identify high and low performers 16%

To identify the most influential
12%
employees

Other 9%

Note: n = 555. Percentages do not equal 100% due to multiple responses.
6
©SHRM 2012

Does your organization’s employee recognition program . . .

have a positive impact on employee 82%
engagement? (n = 503) 18%

help the organization instill and reinforce 72%
corporate values to its employees? (n = 486) 28%

54%
help the organization retain employees?
46%
(n = 421)

have a positive impact on the organization's 49%
financial results? (n = 381) 51%

Yes No

Note: Respondents who answered “don’t know” were excluded from this analysis.
7
©SHRM 2012

Employee Turnover Rates and Employee Recognition Programs

 Organizations with employee recognition programs reported an average employee
turnover rate of 14% compared with organizations without an employee recognition
program in place (17%). This translates to an average turnover rate that is 22% lower
among organizations with employee recognition programs in place.

Does your organization have an employee recognition Mean employee
program? turnover rate

Yes (n = 339) 14%

No (n = 66) 17%

8
©SHRM 2012

Have the elements below increased, remained the same or
decreased at your organization as a result of the implementation of an
employee recognition program?

Increased Remained the same Decreased

Employee engagement (n = 481) 51% 47% 2%

Customer satisfaction (n = 361) 35% 64% 1%

Employee productivity (n = 455) 30% 70% <1%

Profitability (n = 339) 29% 67% 3%

Customer retention (n = 325) 25% 74% 1%

Employee retention (n = 449) 24% 72% 4%

Employee absenteeism (n = 409) 6% 83% 11%

Note: Respondents who answered “don’t know” or “not applicable” were excluded from this analysis. Percentages may not equal 100%
due to rounding.
9
©SHRM 2012

Based on engagement surveys conducted by your organization,
what percentage of your employees feel highly engaged in the
workplace?

91%-100% 2%

81%-90% 11%

71%-80% 18%

61%-70% 14%

51%-60% 13%

41%-50% 11%

31%-40% 13%

21%-30% 8%

10%-20% 7%

Less than 10% 2%

Note: n = 442. Respondents who answered “don’t know” or “not applicable” were excluded from this analysis.

10
©SHRM 2012

How would you rate your employees’ current frustration level with
getting things accomplished at your organization?

2%

6%
1 Not at all frustrated

21% 2
24%
3

4

5 Very frustrated
47%

n = 699
11
©SHRM 2012

Do you believe employees at your organization . . .

have a clear understanding of the 74%
organizational objectives? (n = 668) 26%

are enabled to help achieve the 72%
organizational objectives? (n = 644) 28%

Yes No

Note: Respondents who answered “don’t know” were excluded from this analysis.
12
©SHRM 2012

On average do you think . . .

employees at your organization are rewarded 61%
according to their job performance? (n = 679) 39%

annual performance reviews at your
organization are an accurate appraisal for 56%
44%
employees' work? (n = 647)

managers or supervisors at your organization
effectively acknowledge and appreciate 52%
48%
employees' performance? (n = 655)

employees at your organization are satisfied
with the level of recognition they receive for 25%
75%
doing a good job at work? (n = 621)

Yes No

Note: Respondents who answered “don’t know” or “not applicable” were excluded from this analysis.
13
©SHRM 2012

How frequently does your organization conduct employee
performance reviews?

Annually 74%

Semiannually 21%

Quarterly 3%

Ongoing 2%

Monthly <1%

Note: n = 669. Respondents who answered “don’t know” or “not applicable” were excluded from this analysis. Percentages do
not equal100% due to rounding.
14
©SHRM 2012

Which best describes your organization’s performance review
process?

It provides constructive feedback to most
employees 72%

It includes feedback from managers only 56%

It is an accurate reflection of employees'
47%
contributions

It results in better employee performance 21%

It motivates employees 15%

It includes peer-to-peer feedback 11%

Other 12%

Note: n = 669. Percentages do not equal 100% due to multiple response options.
15
©SHRM 2012

In your professional opinion, do you believe that the
organizational culture is important to your organization’s
leadership?

No, 9%

Yes, 91%

Note: n = 658. Respondents who answered “don’t know” were excluded from this analysis.
16
©SHRM 2012

What are the most important HR challenges to your organization?

Succession planning 41%
Employee engagement 40%
Culture management 30%
Recruitment 28%
Performance management 28%

Employee retention/turnover 25%

Employee satisfaction 24%

Relieving employee frustrations 21%

Employee enablement 21%

Productivity 12%

Revenue per FTE 11%

Other 5%

Note: n = 680. Participants were asked to choose their top three choices. Percentages do not equal 100% due to multiple response
options.
17
©SHRM 2012

Demographics

©SHRM 2012 18

Which of the following best describes your primary role within your
organization?

HR generalist 56%
Compensation/benefits 8%
Employee relations 8%
Strategic planning 4%

Employment/recruitment 3%

Organizational… 3%

Training/development 3%

International HRM 1%

HRIS 1%

Health, safety, security <1%
Communications <1%

Other 12%

Note: n = 678. Percentages do not equal 100% due to rounding.
19
©SHRM 2012

Demographics: Organization Staff Size

500 to 2,499 48%

2,500 to 24,999 39%

25,000 or more 13%

Note: n = 618
20
©SHRM 2012

Demographics: Organization Sector

Publicly owned for-profit 38%

Privately owned for-profit 37%

Nonprofit organization 14%

Government agency 11%

n = 642
21
©SHRM 2012

Demographics: Organization Industry

Organization Industry Percentage

Manufacturing 25%

Health care and social assistance 14%

Professional, scientific and technical services 12%

Educational services 10%

Government agencies 10%

Retail trade 9%

Finance and insurance 8%

Transportation and warehousing 7%

Accommodation and food services 6%
Administrative and support and waste management and remediation
4%
services
Utilities 4%

22
©SHRM 2012

Demographics: Organization Industry (continued)

Organization Industry Percentage

Arts, entertainment and recreation 3%

Information 3%

Repair and maintenance 3%

Wholesale trade 3%

Construction 2%

Mining 2%

Real estate and rental and leasing 2%

Agriculture, forestry fishing and hunting 1%

Personal and laundry services 1%

Religious, grantmaking, civic, professional and similar organizations 1%

Other 10%

23
©SHRM 2012

Demographics: Other

Is your organization a single-unit organization or
Does your organization have U.S.- a multi-unit organization?
based operations (business units)
only, or does it operate Single-unit organization: An organization
multinationally? in which the location and the 13%
U.S.-based operations only 56% organization are one and the same.
Multi-unit organization: An organization
Multinational operations 44% 87%
that has more than one location.
n = 672 n = 676

For multi-unit organizations, are HR policies and
practices determined by the multi-unit
What is the HR department/function for headquarters, by each work location or by both?
which you responded throughout this
survey? Multi-unit headquarters determines HR
46%
policies and practices
Corporate (companywide) 55%
Each work location determines HR
2%
Business unit/division 26% policies and practices

Facility/location 18% A combination of both the work location
and the multi-unit headquarters 52%
Note: n = 600. Percentages do not equal determines HR policies and practices
100% due to rounding.
n = 311

24
©SHRM 2012

SHRM Survey Findings: Employee Recognition
Programs, Fall 2012

In collaboration with and commissioned by Globoforce

Survey Methodology
• Response rate = 14%
• 815 HR professional respondents from a randomly selected sample of
SHRM’s membership with the title of manager or above and 500 or more
employees.

• Margin of error +/-3%

• Survey fielded: August 31, 2012 - September 21, 2012

©SHRM 2012 25

About Globoforce

Globoforce is the world’s leading provider of social recognition solutions, redefining how
companies understand, manage, and motivate their employees. Innovative companies around
the world use Globoforce’s cloud-based social recognition software to reveal the true
performance and influence of every employee and strengthen company culture. With
Globoforce, HR and business leaders can take a strategic approach to recognition programs
that result in measurable benefits to the bottom line driven by increases in employee
engagement, retention, and productivity. Globoforce is co-headquartered in
Southborough, Massachusetts, and Dublin, Ireland.

To learn more:
 Visit: http://www.globoforce.com
 Read: http://globoforce.com/globoblog
 Twitter @Globoforce
 LinkedIn: http://www.linkedin.com/company/globoforce

SHRM/Globoforce Survey: Employee Recognition Programs, Fall 2012. 26
26
©SHRM 2012

About SHRM

The Society for Human Resource Management (SHRM) is the world’s largest association devoted
to human resource management. Representing more than 260,000 members in over 140
countries, the Society serves the needs of HR professionals and advances the interests of the HR
profession. Founded in 1948, SHRM has more than 575 affiliated chapters within the United States
and subsidiary offices in China and India.

SHRM/Globoforce Survey: Employee Recognition Programs, Fall 2012. 27
27
©SHRM 2012

Globoforce shrm survey_final

Recomendados

Recomendados

Mais conteúdo relacionado

Mais procurados

Mais procurados (20)

Destaque

Destaque (8)

Semelhante a Globoforce shrm survey_final

Semelhante a Globoforce shrm survey_final (20)

Mais de shrm

Mais de shrm (20)

Globoforce shrm survey_final