As a follow up to my post on the promotion paradox, I decided to take a look at what others in the talent management industry are saying on the subject of compensation, retention, and recognition.
Alice Snell from the Taleo group, recently posted her thoughts on research findings that suggests non financial forms of compensation elicit the same or greater goodwill from an employee as that of financial recognition. Top amongst the list were recognition from their immediate manger, attention from department leads, and leading special initiatives.
This is rather interesting and worth calling out since many times managers feel that the only way to retain their talent is through increases in salary, which can be tough to do in strong economic times, and a real struggle in current times--especially if the staff shares their salary info with their peers.
Now I am not suggesting that salary increases aren't warranted or effective. However, I do think that as talent managers we should not immediately accept from department heads that it is the only means of retention for an at risk employee. Nor should we accept that it is only a matter of time before people leave because they believe they are paid less than what they are worth. Change the focus from cash rewards to rewarding experiences.
To department heads and managers with these kinds of concerns I have three suggestions for your consideration:
1.Engage with and interact with your staff.
2.Discover what motivates your top talent.
3.Identify or create opportunities within your organization to tap into those intangible drivers.
It is not easy but it is a lot more cost effective, and should reduce some of the peer discussion about compensation. Which will allow you to make strategic salary increases to further recognize true high performers.
Or you can just continue to throw money at the "problem."
Alice Snell from the Taleo group, recently posted her thoughts on research findings that suggests non financial forms of compensation elicit the same or greater goodwill from an employee as that of financial recognition. Top amongst the list were recognition from their immediate manger, attention from department leads, and leading special initiatives.
This is rather interesting and worth calling out since many times managers feel that the only way to retain their talent is through increases in salary, which can be tough to do in strong economic times, and a real struggle in current times--especially if the staff shares their salary info with their peers.
Now I am not suggesting that salary increases aren't warranted or effective. However, I do think that as talent managers we should not immediately accept from department heads that it is the only means of retention for an at risk employee. Nor should we accept that it is only a matter of time before people leave because they believe they are paid less than what they are worth. Change the focus from cash rewards to rewarding experiences.
To department heads and managers with these kinds of concerns I have three suggestions for your consideration:
1.Engage with and interact with your staff.
2.Discover what motivates your top talent.
3.Identify or create opportunities within your organization to tap into those intangible drivers.
It is not easy but it is a lot more cost effective, and should reduce some of the peer discussion about compensation. Which will allow you to make strategic salary increases to further recognize true high performers.
Or you can just continue to throw money at the "problem."
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