Awards and Recognition
Abstract
Rewards motivate employees by increasing job satisfaction, commitment, and productivity in the organization. Rewards have been shown to increase productivity by 20 to 30 percent. Award distributions should be situation-dependent, equitable, immediate, and should be targeted toward teams. A variety of reward types should be used because different people have a different value system. One study showed that when firms offered monetary and non-monetary rewards they had productivity increase 17 percent. A large study on management also found that 50 percent of middle managers do not believe pay is tied to performance. Healthcare leaders should be aware of the appropriate method of award distribution; healthcare is being run more like a business and the retention and increased productivity of the employees is critical toward maximizing organizational efficiency. Introduction Imagine you are months from completion of a Masters degree in Healthcare Administration and are on the verge of interviewing for leadership positions that will utilize the knowledge gained. In your leadership class you were taught that motivating employees is very important and the offering of rewards is one way to motivate. You have managed people before but were not sure how to properly reward their performance. There is a desire on your part to prove the worthiness of the degree and demonstrate to your prospective employers that significant knowledge was gained in the program. The purpose of this paper is to discuss why rewards act as a motivator and what employee rewards should be used for increased employee performance in healthcare organizations.
Why Rewards Should Be Used
The current environment of rising healthcare costs and fierce global competition necessitates that healthcare leaders be able to motivate employees to maximize resources. Healthcare costs are rising at a rate higher than inflation, reaching $2 trillion in 2004 (Abelson, 2005). One such
Rewards motivate employees by increasing job satisfaction, commitment, and productivity in the organization. Rewards have been shown to increase productivity by 20 to 30 percent. Award distributions should be situation-dependent, equitable, immediate, and should be targeted toward teams. A variety of reward types should be used because different people have a different value system. One study showed that when firms offered monetary and non-monetary rewards they had productivity increase 17 percent. A large study on management also found that 50 percent of middle managers do not believe pay is tied to performance. Healthcare leaders should be aware of the appropriate method of award distribution; healthcare is being run more like a business and the retention and increased productivity of the employees is critical toward maximizing organizational efficiency. Introduction Imagine you are months from completion of a Masters degree in Healthcare Administration and are on the verge of interviewing for leadership positions that will utilize the knowledge gained. In your leadership class you were taught that motivating employees is very important and the offering of rewards is one way to motivate. You have managed people before but were not sure how to properly reward their performance. There is a desire on your part to prove the worthiness of the degree and demonstrate to your prospective employers that significant knowledge was gained in the program. The purpose of this paper is to discuss why rewards act as a motivator and what employee rewards should be used for increased employee performance in healthcare organizations.
Why Rewards Should Be Used
The current environment of rising healthcare costs and fierce global competition necessitates that healthcare leaders be able to motivate employees to maximize resources. Healthcare costs are rising at a rate higher than inflation, reaching $2 trillion in 2004 (Abelson, 2005). One such
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