When you start a business with dreams of it becoming internationally known or at least successful in your chosen industry, it’s natural to focus on things such as employee satisfaction. As a business owner, the importance of a healthy and motivated team of staff should be obvious, but you’d be surprised at how often managers get the wrong idea and focus on the wrong things.
Money is one of the most common motivators that managers and business owners use to spur action and drive morale. Sadly, money only works for a little while and you would be surprised at the negative effect it adds to your work environment.
To show you that money isn’t everything in employee satisfaction, we’ve made a couple of examples that you should always consider before trying to motivate your employees the wrong way.
Money-based rewards promote laziness
Rewarding an employee for their hard work is an obvious step to take when you want to grow your business. Sadly, cash incentives are short-term motivators that don’t have a lasting effect. Money is, after all, quickly spent and disappears. Having something that lasts longer would make it a long-lasting indication to an employee’s hard work, and it’s often more meaningful than a little bonus. In fact, monetary rewards only trigger your employees to work for the sake of money and not for the passion they have towards their job.
When your employees have quotas to meet, they’ll often try their best to meet a certain cut off in order to achieve their desired income. For instance, if your employees must make 5 sales a day with bonuses at 7, 9 and 11 sales, then they’ll push to get their bonus and become lazy afterwards because they feel it’s not worth their time anymore. Instead, motivate your employees by using more meaningful rewards, such as the chance for a promotion or showing them the extent of their hard work and how important their role in the company is.
Benefits often outweigh bonuses
The benefits that come with a job often far outweigh any potential bonuses that you could offer. For instance, group life insurance offered by an employer to their staff guarantees a safety net for the worker and their family. This is a huge financial worry that will be wiped from their responsibilities, and with fewer things to focus on outside of their job, they can maintain a healthy level of morale and focus on improving their work. Another good example is giving your employees discounts to your business and extending those savings to their family members and friends. This gives you a good reputation and gives your employees more incentive to stay with your company.
If you plan to go all out with a business idea, then it’s important to understand the risks of neglecting your employees or building the wrong office culture. You don’t want to use monetary incentives, but instead, you want to spur motivation and increase productivity by using smarter methods that provide long-term benefits, not short-term gains.