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Cash is Still the Best Comfort in a Crisis

October 15th, 2008 @ 10:35 am

Categories: Management, Motivation, Workplace

Tags: Communication, Recruitment & Selection, Food & Beverage, Team Management, Sales Force Management, Human Resources, Workforce Management, Manufacturing, Management, Sales

Employees want their boss to be a great communicator during crises, but cash is still the best way to comfort them, says research.

Communications consultancy CHA commissioned a survey of 1,000 working people to identify what measures best raise morale during times of economic uncertainty. Only one respondent claimed to be happy with the status quo, with the majority saying the single best way to keep them motivated would be money.

A culture of communication and appreciation is also important, according to CHA’s chief executive, Colette Hill, with celebrations, honesty and constant communication highlighted as important morale boosters.

Where pay reductions are essential, they should be incentivised by flexible working options. Individual feedback also underlined the importance of little gestures — buying chocolates or a cheap lunch for the team or investing in a decent coffee machine will help raise people’s spirits.

The best ways to engage people during tough times

  1. Pay rise, including bonus or incentives.
  2. Staff party or night out, with food provided by the office.
  3. Praise, encouragement and recognition.
  4. Reassurance about job security.
  5. Flexible working, reducing pay by reducing hours.
  6. Senior management should be positive, involved and honest.
  7. Communication.
  8. More staff and training.
 
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    DerekIrvine

    10/16/08 | Report as spam

    RE: Cash is Still the Best Comfort in a Crisis

    I'm surprised at this article. Surely HR professionals don't take employees at their word on other matters -- ???We don???t want more training, just save the money and spend it on a bonus??????yet we do invest in training and development.
    ???We don???t want any benefits, just save the money and spend it on a bonus??????yet we do invest in benefits.

    Not only has research shown that a ???thank you??? has more impact in driving results, but the promise of a bigger bonus in eight of nine tasks actually significantly decreased performance. (see research here: http://globoforce.blogspot.com/2008/05/big-money-bonuses-make-performance.html)

    What does work? Recognition that not only thanks the employee for his or her efforts, but also explains why that exceptional effort was of importance to the company achieving a strategic goal -- especially when times are challenging. We call this linking recognition to the company values. Sure direct rewards are important, too, but give them a choice of reward that cannot be easily spent on the forgettable necessities like groceries, rent or gas.

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