The benefits of incentive schemes

Incentive schemes have a major impact on Motivation, The performance and commitment of employees. Any learning process demonstrates that behaviour that is rewarded is repeated. It is common to see that people work harder and with greater dedication when they know that their effort will have a direct impact in the form of time off, financial compensation, or non-monetary incentives.However, this This is not the only advantage of the incentive schemes, since in companies where this system is used, which in Spain are 86 % (RemicaEmployment).

Benefits of incentive schemes

• Healthy competitionThe desire to win is inherently human. People like to compete and win, and incentive programmes harness this desire, redirecting it towards the achievement of clearly defined objectives (business goals to which the employee is committed) and to a increased fellowship (which is achieved when incentive programmes are linked to short, medium and long-term goals, both individual and collective). The result is a healthy competition that benefits the organisation and the individuals, as results are achieved at the same time, a favourable and positive climate is built.
• Increased employee retention: individual happiness and satisfaction increases the better the balance in people's lives, the more autonomy is given to workers and the more employees feel a sense of control over their lives. Incentive programmes give employees a sense of control over their income that has very positive consequences for their health and that of the organisation. The result is a workforce that is loyal to the company and its goals, that identifies with the principles and values of the company they work for. Problems such as turnover and absenteeism are minimised and, at the same time, the workforce becomes a highly effective magnet for attracting talent. The presence of a corporate incentive programme motivates 66% of employees to stay on the job. (BlackHawkNetwork).
• Increased consumer satisfaction: the way customers are treated by employees is a determining factor in building customer loyalty. When the level of work motivation is low, customer service suffers. Thus, while, according to a recent study published in RemicaEmployment, more satisfied and engaged employees can increase customer loyalty by 50%; When there are no incentive programmes in place, no recognition of achievements or no proper work-life balance, the service worsens and may result in the loss of customers. As the same study reports, in the latter case, 68% of buyers would rather go to a competitor than buy a product from the company again.a.