What is gamification and how does it impact human resources? According to a Gartner study done last April, more than half of the companies that manage innovative processes will “gamify” them, and by 2014, more than 70 percent of Global 200 organizations will have gamified at least one application.
Gamification is a trend that refers to utilizing the mechanics of a game to a non-game situation, and this trend has gained momentum. As a business trend, gamification has been seen for human resources, training, employee performance, marketing campaigns, and incentive and reward programs.
The concept of gamification makes sense to engage employees and motivate behaviors. Having a clear set of targets that is identifiable and attainable has always been part of a well-thought-through process, Now having this distilled into a game format is what makes it fun for Generation C. Whether the target is points, badges or rewards, the gamification strategy results in healthy competition within an organization, and is dependent upon the participants to make the experience fun.

Leaderboards, and other monitoring devices track performance and create buzz around the campaign.
Gamifcation can result in higher level of engagement among a workforce and can be used to change behavior or stimulate change. Whether the ‘game’ is for customers or internal customers or associates, making the process a game can take tedious work routines and make them fun.
According to Gartner, there are 4 principals means to use gamification to drive engagement:
- Improved feedback. Having clear goals as part of the game means that feedback is quick and the required behaviors are recognized.
- Goals Defined. The rules of the game specify what will win points, rewards or badges therefore there is no confusion.
- Compelling interaction. As gamers move through the game, they can monitor their progress and compete with others.
- Achievable results. Short term, and achievable goals mean that progress can be make in steps that are monitored and rewarded.
How would you use gamification to change behavior or move towards a goal? Do you feel this trend would help your company achieve a goal?
Onboarding practices can be instrumental to retention and job satisfaction after the expensive and time consuming process of finding great talent. Employee turnover has a direct correlation with job satisfaction - if employees feel that they are not appreciated, they tend to leave the company.
One of the best ways to start the relationship with new talent is to have a strong onboarding program that includes their manager as well as a mentor.
The manager is a formal position, and the employee needs to feel connected with their manager. The mentor is a less formal relationship and yet, the mentor can also be instrumental in the onboarding process to helping the new hire feel that he or she has a guide.
What are best practices for onboarding? The assimilation of new employees must be a core competency of managers. After all, education, training, career path as well as opportunitiees for advancement are part of the responsibility of a manager. If the manager gets to know the associates, and can guide their career development to help them to improve and be productive, then the associate will be happier over the long term.
From an informal standpoint, sometimes a new hire has questions that are uncomfortable to ask the manager. Having a co-worker who can act as a mentor is a great way to assure that the new associate has a reference who offer advice and support as well as show the new guy or gal the 'ropes'.
Best practics for the onboarding process should always include the manager as a key decision maker for new associates. Training sessions for new hires should be designed so the employee understands what the goals are for the position as well as the role of their manager in helping them to succeed. During the first 30 - 60 days, having a process that clearly helps the new associate to appreciate the culture and feel part of the team makes a long term impact. Some companies will have new employee luncheons or special sessions where a new associate has the opportunity to interact with C level executives. This helps the new hire feel important and involved.
The manager should be the leader for the associate's onboarding process and have a checklist to assure that the associate is properly being introduces to other department members and other departments with whom they will interact.
Some firms have the managers attend a session designed to provide the employee with an initial set of goals — perhaps for the first 30 to 60 days. Others include the manager in team-building exercises or have a luncheon where the manager sits with the new employee. Having a formal process of delineating the expectations for the first couple of months can assist with prioritizing and setting goals for future performance. Also, having tasks that are to be accomplished that span the various ongoing duties can serve to introduce the new hire to the way things are done.
At the executive level, the CEO can invite new hires to dinner at his or her home or set up a special quarterly new executive dinner and reception. The key is to make sure the manager has a real role in both the formal process of onboarding as well as in the informal one that happens every day.
Offering coaching and mentoring to new employees from the start is important. Research shows that a mentor can offer insights into the corporate culture, explain the organizational structure and help the new associate appreciate how to work within the system to be effective.
Managers and mentors guide new associates to results-driven orientation. Whether formal or informal, sessions between the new hire and the manager or mentor should be consistent and ongoing. The new hire should have a "go-to" person who can answer questions and guide the associate. During the onboarding session, the mentor should be formally introduced and the opportunity to interact on an ongoing basis should be encouraged.
A recent survey, studying employee recognition programs and their return on investment, impact on retention, engagement, and job satisfaction revealed that " nearly two-thirds of respondents (63%) agree that employee engagement is a “very important” challenge that their organization is currently facing. Organizations that have employee recognition programs in place were more likely to indicate that employees are rewarded according to their job performance (64%) and that managers effectively acknowledge and appreciate employees (55%)." Source: SHRM
While the survey yielded some fascinating results, the bottom line is that 63% of organizations surveyed felt that they had an increase in employee productivity, 61% felt an increase in employee engagement and 58% felt an increase in return on profit margins as a result of the implementation of an employee recognition program.
Few organizations (15%) track the ROI of their employee engagement program. Organizations that do track the ROI commonly use employee retention levels (74%), overall financial results (61%) and employee productivity levels (60%).
Although 58% of employers reported that they felt their employees are rewarded according to their job performance, only 29% of the employees are satisfied with the level of recognition they receive for doing a good job at work.
The number 1 concern of employers (rated as most important concern) is employee engagement, yet 58% of companies are not tracking employee engagement levels. Larger companies (over 2500 employees) were more likely to track employee engagement levels than smaller companies.
Of those tracking engagement levels, 66% were tracking through vendor-administered employee engagement surveys or analysis, 65% through employee exit interviews and 60% through employee retention analysis. Majority of companies are not doing company administered employee engagement analysis. And a very small percentage is tracking employee comments on internal and external forums.
Companies that do have an employee recognition program in place are more likely (65%) to feel that their organization rewards employees according to their job performance than companies that do not have an employee recognition program in place (36%). However, these same organizations are not sure that their employees are satisfied with the level of recognition they receive for doing a good job at work (34%) of companies that have a recognition program and (18%) companies without an employee recognition program.
Surprising that 85% of the organizations do not track the ROI (return on investment) of their employee recognition program. The payoff for companies that do track the ROI is that most companies 90% that do track the ROI felt that their employees are awarded according to their job performance, and also felt that the majority of their workforce (55%) are satisfied with the level of recognition they receive for doing a good job.
With regards to gamification, roughly 93% indicated that are not currently using gamification tools in any of their HR programs.
How does an HR department handle the situation when they discover that job satisfaction is suffering, perhaps due to layoffs or lackluster sales? Obviously there is a need to boost employee morale and employee recognition programs could potentially help.
What are the best employee recognition programs and what makes them so powerful?
There are similarities that the best employee recognition programs share, and we see these time and time again. It’s not always the level of sophistication of the program, nor is it the clever program title. Our research and experience has identified 5 key components of the best employee recognition programs:
- All employees must be eligible.
- The program must clearly communicate what behaviors are being rewarded and recognized
- Anyone who meets the criteria or performs per the program rules will be recognized.
- There should be minimal time between performance and recognition.
- The reward should be meaningful to the recipient.
Things that sabotage a great employee recognition program include the appearance of favoritism, rewarding for inconsistent metrics, or creating individual metrics.
While the best employee recognition is awarded from the manager to the subordinate, the HR department plays a key role in establishing the recognition program and monitoring the process. After all, the goal of the program is to improve employee satisfaction, and the expertise within the human resources team is crucial to devising a program that rewards the appropriate behaviors. In addition, the human resource professionals can structure training and milestones to evaluate the effectiveness of the recognition program. For the associates, having the HR department involved conveys authority and credibility to the program.
The role of the HR department should be to design and implement the program, track how the program is working, recommend changes, provide coaching and training and support the organizations employee recognition program needs.
Employee service awards are typically given to recognize employees for their long and valued employment. Milestones of achievement are in increments that makes sense to the organization and which are achievable by the employee.
Service awards for employees are shown by studies to have a significant impact on the business, by fostering a culture of appreciation. They are credited with improving employee retention, helping build employee loyalty, and demonstrating the value of remaining with the company.
Some of the reasons to offer employee service awards include:
- Improve employee retention
- Improve employee loyalty
- Build employee morale
- Praise employees
- Promote company's values
- Provide recognition of employment milestones
Even if the economy may indicate otherwise, key employees have a choice of whether to stay with their job or make a change. Their satisfaction is key to this decision. The investment that has been made in training and team building will be lost if there is excessive turnover. That's why many companies elect to offer service recognition.
A Length of Service recognition program is even more important if the company has recognized that there is a high rate of turnover. Discontent can fester among an organization, and if it begins to take root, one employee can impact the attitude of others. It's important to make the effort to boost morale and show appreciation for exempiary employees -and these are the employees the organization strives to retain.
Increased employee retention through an employee service recognition program will offset the high cost of turnover. In a high turnover company, management may opt to begin service recognition within the first year, although most companies begin their service recognition at five years. Service Recognition is usually offered in 5 year increments. Employers who offer a choice of award based upon length of service are more likely to be motivated by the anticipation of the recognition.
When the employer celebrates an employee’s service milestone, it has a positive impact on the employee, and on the organization as well. Other employees are exposed to the culture of achievement and will also strive to make the milestone, especially when there is a tangible award as well.
Onboarding strategies can make a huge difference with employee retention and job satisfaction. Consider that the first day on any new job is filled with anxiety. A new hire may feel vulnerable on many levels. Whether it's the fear of fitting in or the fear of rejection, there is trepidation as someone enters a new environment and has to establish new working relationships. There is also the learning curve for new tasks, as well as learning about the new business culture. Until the new hire feels acclimated, there will be concern of causing embarassment - especially if ther are things the new associate thinks they "should just know" without asking.
How you handle onboarding at your company can overcome obstacles to make new talent feel welcome. For example, assign a person to show the new hire around, even inviting them to eat lunch on the awkward first day. Have that person introduce them to the people they will work with across departments Essentially you will assign a mentor to answer those pesky and sometimes awkward questions.
A February 2010 Aberdeen Group study asked respondents about the level of engagement of new employees who participated in a formal or informal onboarding program. The percentage of new employees considered to be “highly engaged” was 79% for formal onboarding programs as compared with 68% for informal onboarding. Following formal onboarding, 76% of new employees achieved first performance milestones on time compared with 63% in informal programs. The study also showed that 54% of new employees in formal programs exceeded expectations compared with 38% in informal onboarding programs.
Having an onboarding plan that goes beyond the employee manual and makes the new hire feel less intimidated can go a long way toward improving job satisfaction, lowering the learning curve, and improving employee retention.
Are you strategically onboarding new employees? If not, you could be losing an excellent employee who passed your interview and selection process, but who was not welcomed to the company appropriately.
Psychologists predict that an impression is formed within the first 30 seconds when meeting a new person. If applied to your company, what do believe the composite first day impression of your company may be? Does the impression reflect positively and reinforce the new employee's decision? Does the bright new talent head home from his or her first day with a heightened sense of purpose and enthusiasm for the great organization they now call “my” company?
The reality is that a new hire’s assessment of their new workplace based on first impressions is foundational for long-term performance. On the first day, the moment of truth may be that it’s okay to bad mouth the boss, play computer games at work or surf the Internet, take a long lunch or make personal calls on company time.
On the other hand, strategic onboarding can immediately establish an environment of respect for company time, integrity, team work, ingenuity, dedication, and respect for the company’s physical and intellectual properties. It can – and should – align new talent with the organizational goals and values, and clearly identify how each position supports company profitability.
The Corporate Executive Board reports in a June 2006 study that 4% of new hires left after what they called “a disastrous first day.” Furthermore, the study found that more mobile and less loyal Gen-Y employees typically begin looking for their next career move after the third day on the new job.
The bottom line to retention is that from the start, new hires need to know that their employer is invested in their well being and their future personal growth, as noted by a 2009 Deloitte Consulting LLP survey that found that ebbing employer loyalty is primarily associated with a lack of promotional opportunities. A 2008 study by the Aberdeen Group goes one step further noting that 86% of the organizations surveyed acknowledge that they believe employees decide whether or not to stay with the company within the first six months.
A carefully planned and executed onboarding program can help to systematically build ongoing engagement. That means from Day 1 through full integration during the first year, new hires have an eye on future opportunities within your company. And they are willing to stick with you through the hard times because they are looking to the brighter future with your company when business picks up.
Employee satisfaction. Studies show that four out of 10 employees feel disconnected from their employers, and a quarter shows up at work just for the paycheck. One of the biggest threats is that employee disengagement will result in a largely unproductive workforce.
Particularly in these challenging times, companies need to operate at their very best to achieve cost savings throughout the organization, retain current customers and secure new business. Employees need to be motivated to not only survive but thrive now more than ever.
Appreciation is key to employee engagement and it begins with management. It's important to recognize a job well done. Creating a positive culture of excellence begins with defining how to reward and recognize.
Here are some tips to thank your associates:
- Make The Reward Something They Really Want
Rewards can be more than just a generic, obligatory thank you. Personalized selections make earning that reward more valuable to the recipient. There are many factors that create an incentive, and having a catalog of rewards an associate covets is much more powerful.
- Understand Your Employees
It's important to know understand the people you work with. There are generational differences and cultural differences within a workplace population. Designing an appropriate employee recognition program means understanding the diversity of the workplace and assuring selections and incentives are appropriate. When people feel understood, they'll work harder.
- Have Contests For All Levels Of Employees
Peer recognition programs are helpful to engage all levels of the organization. Whether called peer to peer recognition or person to person recognition, having a program for associates and managers to point out exempliary effort is a powerful motivational tool.
- Publicly Make The Presentation
While it's great to pick out a neat gift, it's even more special if there is public recogntion. Having a ceremony, whether a formal dinner, or an informal presentation in the lunch room, goes a long way towards incrementally improving employee satisfaction. Even the associates who are not recognized during the presentation are motivated to achieve recognition in the future.
- Intangible Rewards Count Too
An initiative to increase worker comfort is recognized by associates, and while not as personal as a tangible reward, these amenities do contribute to a happier and more satisfied workplace. A common area or lunch room can contribute to team building - associates will also return to work faster than if they have to leave he building. Lunch and learns and training for self improvement is another intangible benefit of the workplace. A popular program like casual Friday or blue jean day can bridge the gap between the formality of the work environment and promote workers to interact on a more familiar basis.
A great business leader recognizes the value of satisfied and motivated employees. Appreciation in the workplace can take many forms, as long as it's expressed, it's a powerful incentive to improve productivity.
Employee service awards represent recognition for time in service. Companies offer service awards for two main reasons - first to improve employee morale and second to improve retention. Recognizing senior employees becomes a reminder to newer associates that there is a goal worthy of achievement.
Whether the award is generated for 1 year of service, 5 years of service or 20 years of service, employee service awards should not be equal. Awards commemorating longevity should increase in value as the length of time increases, and the types of awards offered and the emphasis on the company service awards program defines the perception that employees have of their importance.
Just having a program is the first step, but there are intangible clues whether the program is true employee recognition or just an attempt to placate associates.
The best employee service awards programs observe these 5 rules:
- Offer employee award options - Enabling associates the opportunity to select awards assures that the award will reflect their preferences.
- Teach employees about the program - Be aware that your program should be clear to understand and awards chould be desireable.
- Communicate program levels and milestones - Be sure that associates understand what the award levels and benchmarks are to receive an award.
- Correlate goals and awards - Understand that the longer an associate is with your organization, the more valuable their service is, and therefore, the greater the award should be.
- Update employee service awards periodically - Adding new awards improves momentum and motivates. There may be an award that is timeless favorite, but having alternative options may motivate associates too.
Overall, the quality of the company service award program is percieved by employees as a key component of job satisfaction. Communicate the employee service award program and be sure that the awards are exciting and desireable by surveying the employees. Periodically adding new awards improves the incentive to attain that level, and also renews interest in the company service award program by enhancing the value of recognition.
When creating an employee recognition program it's important to understand the motivation and expectations of the workforce. Depending upon the relative age of your employees, they could fall into a generation that expects to be recognized or one that feels that doing a great job is why they are getting paid.
When considering employee recognition plans and products, it's helpful to understand the role of generational expectations.
Employee expectations regarding recognition programs are likely influenced by the generation they fall into. Different generations are potentially motivated by similar recognition, however the way the individual is recognized as well as the employee recognition products may be appreciated differently.
Knowledge of generational expectations assures valuable insight into the design and execution of company service awards and employee recognition programs.
There are four categories of generations currently in the workforce:
- Traditionalist: Traditionalists come from a generation where recognition was not expected. They are happy just doing the job that they are getting paid to do. Length of service awards may be expected at five, ten and other significant anniversaries. For many Traditionalists, the occasional ‘good job’ at a team meeting constitutes recognition. For this generation, the company can select appropriate employee recognition products and offer them - such as a special watch for the employee’s twenty year anniversary.
- Boomers: Employee recognition is used by the Boomers as a valuable tool to recognize and impact employee performance. Recognition by this generation became a way to spur competition among employees and motivate workers to improve. Recognition became more public, with peer recognition and acknowledgment by senior management as effective components of an employee recognition program. Employee recognition products for the baby boomers will include more of an announced, coveted incentive, or a catalog where an employee can choose a specific reward.
- Generation X: As the first generation that expects recognition as a normal part of the employment experience, Gen Xers believe that they should be recognized. In fact, Gen X employees do not see the value of improving unless they are recognized. Furthermore, the expectation is that the reward should be something that the employee wants, not just what the company offers. Peer recognition is important to the Gen Xers because this generation primarily focuses on achieving results. The Gen Xers appreciate the opportunity to determine what their employee recognition product should be and select the item from an online directory or catalog. The presentation is important to them as well, so a ceremony or awards event in addition to the presentation materials themselves becomes more even important to this generation.
- Generation Y: Gen Ys are also accustomed to recognition. Whether it's part of their school or being on a sports team, they grew up in an environment where everyone constantly received recognition. After all, everyone has a talent! Just as in our digital world, this is a generation of personalization - whether it's a personalized recognition or reward, the expectation is that it is unique and coveted. Recognition must be creative, and must not be only for the individual, but also for the team as well as for the manager. Gen Ys are motivated by a robust directory of items that they can select from, including electronics and new devices. Their tastes are eclectic and having a diverse recognition product selection goes far with motivating the Gen Y employees.
Clearly each generation has its expectations of recognition, and understanding these differences will enable the human resources professionals and the motivation team to construct an employee recognition program that will meet the needs of all workplace expectations.