Does Compensation Equal Motivation?

​The problem that lingers today in most businesses is getting employees revved up to perform the job that their hired for. According to Gallup, research disengaged workers cost United States businesses almost 350 billion dollars. As shocking as this may seem 75% of businesses don’t have an employee engagement strategy. Very seldom you see that employee going the extra mile.  Just imagine having the ideal employee that welcomed another project that embraced the idea of more work, or was that linchpin in the company that you would hate to lose. 

Many business owners think the way to motivating their employees is showering them with money, gifts, or other incentive type of gestures. For some this may work, but for the majority of those in the workforce this is not the case. Employees that are engaged set your company apart from the competition. Companies at the top 10% of employee engagement surpassed their competition by 72% per earnings per share. Another huge fact is an engaged employee is 50% more productive than unengaged employees.      

Out of the top 5 motivating factors performance based cash incentives was number 3 on the list. So if you’re a manager or business owner and you’re banging your head trying to figure out how to motivate your employee’s money is not the only answer. In my new book Discover Your Dynamics I outline a sure fire strategy to recharge your employees battery. I call this the C.A.R.E. principle Communication, Affirmation, Ramification, and Evaluation. The old way of managing and leading doesn’t work with today’s employees. Leading by fear or just shear intimidation will not raise the performance from your employees.

One area you can implement immediately in the C.A.R.E. principle is affirmation. The top motivating factor for employees was praise. Praise or positive affirmation to your employee creates a connection with the company and the managers. Employees will give you more if they feel that you care about them and their well-being. Many companies today are just focused on the bottom dollar and nothing else. Sure you should expect a return on the investment you're making in your employees, and your goal is to increase the profitably of your organization, but if you want them to meet your expectation you must give them the right motivation.

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