Power Of Recognition

Power Of Recognition

In today’s competitive business world, acquiring and retaining good employees is crucial for a company’s growth. Incorporating employee recognition into the work culture improves employee engagement and retention. 

Making employees feel noticed and appreciated for all their efforts is very important for a healthy and productive work environment. 

In this article, let’s look at the power of recognition and why it plays a major role in employee and overall company performance.

What Is the Power of Recognition?

According to the Harvard Business Review, 72% of businesses agree that recognition positively impacts employee engagement.

Recognition is important for any company culture. It may be in the form of a big celebration or a small token of appreciation for their hard work. Regardless, recognition has a huge impact on the workforce of the employees. 

Recognition is what makes employees feel satisfied and motivates them to do better and be more productive.

Recognized employees are also more inclined to work towards their personal growth and try to be the best versions of themselves. They are more engaged with the team and form strong emotional bonds with the organization. 

Unlike unrecognized employees who are demotivated at work, recognized employees will actually love what they are doing and look forward to coming to work daily. Their physical and emotional health will also be much better. 

Tips for Giving Recognition

Here are some small tips companies can use while appreciating their employees.

1. Let employees know why they are appreciated

Be relevant with your appreciation. Companies should let employees know why they are appreciated so that they will be motivated to continue working harder. This also lets them know that the company is noticing their efforts. 

2. Acknowledge their efforts

Be it a big milestone or a small achievement, employers should learn to appreciate every effort an employee makes for the betterment of the company.

3. Be timely

Time is very important in employee recognition. The phrase “hit the rod while it’s hot” will suit this situation better.

Companies need to appreciate and reward employees very soon after they achieve something. Rewards that come months after an achievement can dampen their excitement and make the award less effective.

Six Best Practices for Employee Recognition Programs

1. Understand the goals of the recognition program

Be it any type of recognition, the first and foremost step is to know why you are recognizing that person. Are you recognizing their work efforts, a particular milestone in their career, or any other achievements? 

Having a clear goal can give companies a clear picture of why they want to recognize their employees. This can also raise their company standards and boost employee engagement and build the company’s reputation.

2. Let every employee know about the program and its criteria

It is important to let everyone in the company, leaders and employees alike, know about the recognition program. When the company leaders show enthusiasm toward recognizing their team, the employees will also follow them.

It is important to make every member of the company aware of the program because it can stimulate employees to perform more. There will be more vigor and seriousness in the way work is done.

Companies should also make employees aware of the rules and criteria that need to be followed to get the rewards. This is so that employees will know where they need to focus their efforts.

3. Don’t be monotonous; include variety

According to Reward Gateway’s research, 60% of employees have been found to like open recognition rather than an increase in pay without recognition.

Not all employees like their rewards to be only cash. Having a variety of awards can pique the employee’s interest and their determination to win them.

Companies can go for gift cards, vouchers, and branded items instead of cash. They can also try to personalize the gifts and award what the employees like.

Aside from employers, employees can also participate in appreciating their fellow colleagues. This is where peer-to-peer recognition comes in. It can promote a healthy work environment and improve work relationships.

4. Recognize workers frequently

Recognition should not be a once-in-a-month or year event. Employees should be recognized frequently for even their minor contributions.

It can be very beneficial for the organization if they can make recognition a habit. Be it recognition from a peer or higher official, it can increase the motivation of the employee to work harder. 

5. Consider employee recognition software

This is one of the best ways to run recognition programs more efficiently. Most companies have several goals and targets that they want their employees to meet. And each goal may have a different recognition program.

While this can be tedious, companies can opt for employee recognition software to manage these programs and streamline their management process.

6. Assess the program's effectiveness

Assessing the effectiveness of the employee recognition program can help companies understand what people feel about it and how much it has influenced their efficiency at work. 

It also allows companies to improvise on previous programs and increase its efficiency.


Employee recognition is a very effective tool to engage employees and drive the workforce. Any company that wishes to go far and beyond what they currently are should learn to implement recognition into their work culture and leverage it to the maximum.

Frequently Asked Questions

1. What are some examples of the power of recognition?

Recognition has the power to influence people’s behavior and their motivation to work harder to achieve their goals. 


For example, children who receive praise and rewards from their parents and teachers develop confidence and improve their quality of life. Another example is the employees who are motivated to perform better after getting recognized by their higher-ups. 

2. Why is recognition powerful?

Recognizing employees’ contributions to the success of their teams and the organization helps them understand how much their employers regard them. This is crucial, particularly when organizations expand and transform, as they need hard-working and loyal employees by their side.

3. What are the three types of recognition?

The three important types of recognition are as follows:

  • Formal recognition
  • Informal recognition
  • Day-to-day recognition


All three types of recognition are important for a company’s growth, and they play an important role in the employee’s efficiency. 

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Do you know what increases work productivity? Appreciating your peers whenever possible.

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