1 19770 Bersin Recognition Framework

The Bersin & Associates
Employee Recognition
Framework
A Guide to Designing Strategic
Recognition Programs
Stacia Sherman Garr,

Senior Analyst
April 2012
BERSIN & A SSOCIATES RESEA RCH REPORT | V. 1. 0
The Bersin & Associates Employee Recognition Framework
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TABLE OF CONTENTS
Introduction 4
What Is Recognition and Why Does It Matter Today?
Recognition Defined
Why Does Recognition Matter Today?
An Introduction to Employee Motivations
The Bersin & Associates Employee Recognition

Framework
11
17
Introduction to the Employee Recognition Framework
17
Part 1: Recognition Strategy and Audience
19
Part 2: Program Design
39
Part 3: Program Launch, Management and Measurement
68
Part 4: Applying the Employee Recognition Framework
87
Final Thoughts
91
Appendix I: Additional Images
93
Appendix II: Glossary of Terms
95
Appendix III: Table of Figures
98
About Us
100
About This Research
100
Introduction
Gift cards. Thank-you notes. Coffee mugs. Certificates. Each of these
is a form of employee recognition in organizations today. But what
do organizations get for the collective $46 billion1 that they spend on
recognition and rewards each year? Most of them do not know.
Two factors make recognition programs hard to quantify. First,
recognition historically was a grassroots effort, with individual
departments or business units making decisions about when, why and
how to recognize employees. When you multiply all of these little
initiatives across a large organization, the investment in recognition
becomes much more substantial; yet, due to its highly dispersed nature, it
remains difficult to measure. Second, this highly fragmented recognition
approach resulted in the perception that recognition is a nice-tohave local initiative. Even in those organizations which centralize
tenure or other annual recognition programs, many still believe that
these programs make little impact and, as such, take few efforts to
measure them.
In many organizations, this perception that recognition makes
little impact is right. One reason for this is that the most common
recognition program, an award for service or tenure anniversaries
(programs that exist in about 87 percent of organizations), is frequently
viewed by employees as an entitlement, not recognition. In fact, our
research shows that tenure awards have little or no impact on the
outcomes which organizations care about most, such as employee
engagement, productivity and turnover.2 Further, many recognition
programs are designed to recognize employees for demonstrating
company values; yet what gets recognized most often is achieving
company goals.3 This disconnect means that the organization sends an
inconsistent message to employees about what they should do to receive
recognition. The end result of this is that recognition does not appear to
make much of an impact in many organizations.
Source: Incentive Marketing Association, http://www.incentivemarketing.org/.

This information is based on our current research on the topic of employee
recognition, the report for which is due to be published 2H2012.

3 Ibid.
It does not have to be this way. We have found that recognition can
make a difference to employee outcomes. Specifically, our research
uncovered that, in those organizations in which employees are
recognized, the companys average score for employee results (an
index of employee engagement, employee productivity and customer
satisfaction) was approximately 14 percent higher than in organizations
in which recognition does not occur.4 Other research shows that a 15
percent improvement in employee engagement can result in a two
percent uptick in operating margins.5
This study is about creating a recognition strategy and supporting
programs that drive those better results.
Our research reveals that progressive organizations look at recognition
differently. Most importantly, they have a strategy for recognition that
ensures alignment with business goals, organizational culture and other
talent management processes. These organizations design their programs
to consistently reinforce key behaviors and outcomes necessary to drive
business success. Further, they measure the impact of those programs.
The Bersin & Associates Employee Recognition Framework is a
roadmap to creating a comprehensive recognition initiative and the
individual programs that support that initiative, with the goal of helping
organizations to capture as many of the potential benefits of recognition
as possible. The Framework is neither a list of best practices nor a
process-based overview of recognition. Instead, it is an at-a-glance image
of all the decision points that need to be considered when designing a
recognition initiative and its supporting programs. It covers recognition
strategy, audiences, design elements, launch, ongoing management
and measurement. In short, it is your guide to designing a high-impact
recognition approach.
In creating this research, we relied on hundreds of years of our collective
experience and that of our customers with talent management
challenges and solutions. We focused on questions such as the following.
For more information, High-Impact Performance Management: Maximizing
Performance Coaching, Bersin & Associates / Stacia Sherman Garr, November 2011.
Available to research members at www.bersin.com/library or for purchase at
www.bersin.com/hipm.
5 Source: http://www.forbes.com/2009/11/19/incentives-recognition-engagementleadership-ceonetwork-employees_print.html.
What are the strategic decisions that must be made prior to designing
or launching a recognition program?
How do all of the elements of recognition fit together?
What are all of the critical activities of recognition? How can they be
done in a way that has a positive impact on employee performance
and business outcomes?
What is the most effective way to organize HR to support managers
in their recognition management activities?
How should recognition integrate with other talent management
functions? What resources are necessary to support that integration?
What are the benefits to the organization from doing
recognition well?
As always, we welcome you to continue the dialogue with us. If you have
comments or see areas that you would like to further explore for your
organization, please contact us at info@bersin.com or at 510-251-4400.
Stacia Sherman Garr

Senior Analyst
What Is Recognition and Why Does

It Matter Today?
Over the past year few years, the volatile economy forced many
organizations to do more with less. As a result, businesses sought new
ways to innovate and grow without increasing costs. To better motivate
and retain employees during these trying times, many organizations
focused on increasing employee recognition. But what does this really
mean? Our research found that recognition means different things to
different people.
Recognition Defined
KEY POINT
We define recognition
as the expressed
appreciation by one
person to another for
that persons behaviors,
activities or impact.
Recognition may or may
We define recognition as the expressed appreciation by one person to

another for that persons behaviors, activities or impact. Recognition may
or may not be accompanied by a physical or financial reward, as shown
in Figure 1. Recognition programs generally are designed to touch a
large number of employees across the enterprise (e.g., more than just
top performers). In many ways, recognition is part of the total rewards6
an employee receives in that they can provide additional financial
recompense for performance. Importantly, recognition should align with
an organizations comprehensive talent management approach, and
reinforce critical employee behaviors and expectations.
not be accompanied by
a physical or financial
reward.
Total rewards can include items, such as regular and incentive compensation plans,
benefits, skills development, and career opportunities.
Figure 1: How Recognition Fits within Total Rewards
Total Rewards
Praise and
Emblematic Rewards7
Recognition
Token Rewards8
Skills Development and

Career Opportunities
Monetary Rewards9
Benefits
Compensation and Incentive

Plans
Source: Bersin & Associates, 2012.
Copyright 2011 Bersin & Associates. All rights reserved.
Emblematic rewards are a type of recognition that includes praise and
appreciation, special projects, certificates, and trophies and plaques.

8
Token rewards are a type of recognition that includes rewards of smaller values,
typically around $100. These rewards can include gift cards, candy, flowers, lunches /
dinners and merchandise, or points that can be converted to other items.
9
Monetary rewards are a type of recognition activity that includes rewards of
values above $100. These rewards can include special trips (e.g., team outings), awards
conferences, learning conferences, cash / vouchers and extra paid time-off.
Page 1
Why Does Recognition Matter Today?10

Organizations turn to recognition today because it can have a positive
impact on employee performance and engagement. For example,
recent Bersin & Associates research on high-impact performance
management11 found that, in companies in which recognition occurs,
the organizations average score for employee results (an index
comprised of employee engagement, performance and productivity)
was approximately 14 percent higher than in organizations in which
recognition does not occur. Other research shows that a 15 percent
improvement in employee engagement can result in a two percent
uptick in operating margins.12
Across the past few years, five market factors resulted in organizations to
focus more on recognition, including:
1. A volatile economy;
2. The need for greater agility;
3. The flattening of organizational structures;
4. Technology; and,
5. The rise of the millennial generation in the workforce.
In the following, we discuss each of these factors in detail.
1. Volatile Economy As many Western organizations dealt with
the economic recession, they found themselves unable to increase
compensation, and had to decrease or eliminate bonuses. Further,
many of those same organizations reduced portions of their
workforces. The upshot was increased pressure on the workers who
remained, but with fewer rewards for their harder work resulting
10
Bersin & Associates defines emblematic rewards as recognition that represents
an acknowledgement of contribution, but typically cannot be converted to something

with monetary value. We include certificates, plaques and trophies in this category.
Although they cost some money to produce, they are not seen by the recognizee as
having monetary value. Token rewards include items that cost money, but are viewed by
the recognizee as rewards of token value, usually less than $100. The monetary category
includes things that are not of token value.
11 For more information, High-Impact Performance Management: Maximizing
Performance Coaching, Bersin & Associates / Stacia Sherman Garr, November 2011.
12 Source: http://www.forbes.com/2009/11/19/incentives-recognitionengagementleadership-ceonetwork-employees_print.html.
10
in lower employee engagement.13 Coaching and development

became a popular (and relatively cheap) alternative to show that
the organization still valued the employees remaining on the job.
Organizations have similarly turned to recognition, particularly the
types requiring low cost per employee.
2. The Need for Greater Agility As we all know, business is moving
faster than ever. Organizations need to be able to reconfigure
their workforces to respond to new business demands. Some of
this reconfiguration will come from new hires and some of it will
come from the current workforce. Further, the workforce continues
to become more globalized, with increasing competition for top
talent stretching across multiple regions. One study found that to
sustain economic growth, by 2030 the United States will need to add
more than 25 million workers and Western Europe will need to add
more than 45 million employees.14 The result is a dramatic need for
practices that attract new employees and keep existing employees
highly motivated and engaged. To do this, progressive organizations
are creating recognition programs that align with business demands
and the needs of the broader workforce.
3. The Flattening of Organizational Hierarchies The old days of a
top-down hierarchy, in which the manager is the king, rarely exist
anymore. Every day, more organizations are adopting collaborative
work environments and reducing the levels of management within
their ranks. The result is a decline in the number of promotion
opportunities available to employees. To continue to show employees
that they are valued, organizations are turning to a myriad of
recognition approaches that do not include promotions.
4. Technology As we all know, social technology has grabbed hold
of the publics attention and time in a big way across the last five
years. At the same time, transparency, collaboration and knowledgesharing have become more the norm within organizations. Many
organizations are attempting to leverage both trends by using
social technology to increase the transparency, collaboration and
knowledge-sharing within the organization. A key element of
many social platforms (e.g., LinkedIn and Facebook) is the ability
13
Source: Employee Engagement Index, Gallup Management Journal, 2010,
http://trustmattersgroup.com/spiritoftrust/?p=441.
14 Source: Global Talent Risk Seven Responses, World Economic Forum, 2011.
11
for individuals to give positive feedback directly to others within

the network. It is, therefore, a natural extension that employee
recognition has become more common in organizations following
this approach. In fact, a whole host of technology providers are now
offering services that enable this type of online social recognition.
5. The Rise of the Millennial Generation in the Workforce Younger
employees typically require more feedback (both positive and
constructive) and development than older generations. Given
that many organizations are in a situation in which baby boomers
will soon start to retire in droves, employers are searching for
ways to keep these younger workers engaged, productive and
retained. Employee recognition can be a critical tool in doing all of
these things.
KEY POINT
Intrinsic motivation
occurs when people are
internally motivated to
do something because
it either brings them
pleasure, they think
it is important or they
feel that what they are
learning is significant.
As organizations prepare to hire, grow and manage their workforces of

tomorrow, it is critical that HR leaders and their teams take the actions
necessary to ensure their talent programs remain competitive. The
subsequent sections of this report are intended to help organizations
to understand how recognition can support these efforts and also
contribute to the bottom line. We will begin by discussing the different
types of employee motivations and why they matter in the context
of recognition. We will then turn to the fundamental elements of
recognition and how your organization can use them to uncover pockets
of productivity today and over time.
An Introduction to Employee Motivations

As shown in Figure 2, there are two main types of motivation intrinsic
and extrinsic. Intrinsic motivation occurs when people are internally
motivated to do something because it either brings them pleasure,
they think it is important or they feel that what they are learning is
significant.15 Essentially, the motivation comes from inside an individual,
rather than from any external or outside influence (e.g., rewards).
For example, students who are intrinsically motivated are more likely
to engage in tasks willingly, as well as work to improve their skills,
15
Source: A New Self-Report Scale of Intrinsic versus Extrinsic Orientation in
the Classroom: Motivational and Informational Components, Developmental

Psychology / Susan Harter, May, 1981, http://psycnet.apa.org/index.cfm?fa=buy.
optionToBuy&id=1981-24428-001.
12
Figure 2: Types of Motivation
Intrinsic
Motivation
Extrinsic
Motivation
Comes from within

an individual
Comes from outside

the individual
Motivation tapped
through actions and activities
relating to things individuals
already take pleasure in
Motivation tapped
through rewards, grades,
money or threats

Page 1
which will increase their capabilities.16 On the other hand, extrinsic

motivation comes from outside the individual. This motivation needs to
be tapped differently. For example, a student may feel compelled to act a
certain way because of external factors, such as money or good grades.
In the context of the workplace, people who are intrinsically motivated
in their work will put forth strong effort in a project simply because it is
enjoyable and not because there is a reward. However, having intrinsic
motivation does not mean employees will not also seek extrinsic rewards
available to them.
16
Source: Childrens motivation for reading: Domain specificity and instructional
influences, The Journal of Educational Research / A. Wigfield, J.T. Guthrie, S. Tonks and
K.C. Perencevich, 2004.
KEY POINT
Extrinsic motivation
comes from outside the
individual and employee
motivation needs to be
tapped differently.
13
However, some social psychological research indicates that extrinsic

rewards can lead to over-justification and a subsequent reduction in
intrinsic motivation.17 In one study demonstrating this effect, children
who expected to be (and were) rewarded with a ribbon and a gold star
for drawing pictures spent less time playing with the drawing materials
in subsequent observations than children who were assigned to an
unexpected reward condition.18 Furthermore, when rewards are taken
away from employees who are extrinsically motivated, their motivation
and effort have the potential to decline.19
It is important to note that these findings do not necessarily mean that
organizations should not leverage the extrinsic motivation of employees;
there are definitely times when it can be used to effectively improve
performance. Yet, it does mean that organizations should understand
both intrinsic and extrinsic motivation, and deploy strategies to drive
extrinsic motivation in appropriate situations. For example, it may
be appropriate to leverage extrinsic motivation when encouraging
employees to change their behaviors (which, perhaps, they did not want
to change) or to put forth that extra burst of discretionary effort which
they would not have otherwise done.
Another element of motivation to note is the relative importance of
money and the research findings that money and its equivalents (e.g.,
gift cards) are not necessarily the ultimate in employee recognition.
One study found that 69 percent of employees prefer praise and
recognition from their managers more than financial rewards, and 82
percent of employees say such recognition inspires them to improve
their performance.20
17 Source: http://en.wikipedia.org/wiki/Motivation#Intrinsic_and_extrinsic_motivation.
18
Source: Undermining Childrens Intrinsic Interest with Extrinsic Reward; A Test of
Overjustification Hypothesis, Journal of Personality and Social Psychology / Mark R.

Lepper, David Greene and Richard Nisbet, 1973, and Wikipedia, http://en.wikipedia.org/
wiki/Motivation#Intrinsic_and_extrinsic_motivation.
19 Source: What Motivates Your Employees? Intrinsic vs. Extrinsic Rewards,
Performance Management / Rosanne DAusilio, Ph.D., September 10, 2008,
http://www.tmcnet.com/channels/performance-management/articles/39417-whatmotivatesemployees-intrinsic-vs-extrinsic-rewards.htm.
20 Source: Gallup Research, http://www.ehow.com/way_5984783_intrinsicextrinsicemployee-motivation-techniques.html.
KEY POINT
The data suggests that
an effective recognition
strategy does not require
large investments of
budget dollars, though
it does require an
14
This information suggests that organizations which primarily recognize

employees through financial means are not getting the most possible
for their money. Further, a number of other studies21 show that financial
incentives can actually hinder creativity and performance. These findings
point to the need for organizations to reexamine their incentive
structures and to consider how they can better tap into employee
motivations. Some organizations may find that, by effectively leveraging
a recognition strategy, they could reduce the amount spent on bonuses,
while at the same time improving outcomes.
investment of time on the

part of all employees.
Understanding Employees Needs and

Motivations
To help explain the drivers of intrinsic and extrinsic motivation in
the context of the workplace, this next section discusses well-known
psychologist Abraham Maslows hierarchy of needs. As shown in
Figure 3, the hierarchy suggests that people are motivated to fulfill
basic needs before they realize other, higher-level needs.22 The highest
need is called self-actualization, which is a process of developing to reach
ones individual potential.
21
Source: The Influence of Strength of Drive on Functional Fixedness and Perceptual
Recognition, Journal of Experimental Psychology / Sam Glucksberg, 1962.

22 Source: http://en.wikipedia.org/wiki/Maslows_hierarchy_of_needs.
15
Figure 3: Psychologist Abraham Maslows Hierarchy of Needs23
Self-Actualization
(Challenge,
opportunity,
learning, creativity)
Career,
Development
Opportunities
Esteem
(Importance,
recognition, respect)
Modern
Recognition
Love / Belonging
(Social, love, family, team)
Safety
(Economic and physical security)
Compensation
and Benefits
Survival
(Food, water, sleep)
Source: Abraham Maslows Hierarchy of Needs, 1943.
KEY POINT
According to Maslow,
the highest need is called
self-actualization, which
is a process of developing
to reach ones individual
potential.
Thinking about this in the context of the workplace, Maslows

Framework could imply that managers can help address those lower-level
needs, so that employees can focus better on their work.24 So what do
employees need from their managers and their organizations?
Let us start at the bottom of the hierarchy in Figure 3 with physiological
needs. These needs include the air employees breathe, as well as food
and the roof over their heads. Organizations have little impact on
these needs.
23
Source: A Theory of Human Motivation, Psychological Review / A.H. Maslow, 1943;
for graphic update http://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needs.

24 Source: Motivation-related values across cultures, African Journal of
Business Management / Osarumwense Iguisi, April, 2009, available at http://www.
academicjournals.org/AJBM.
16
Organizations do, however, have an impact on employees second need,

safety, which can be defined as the security of things such as body,
employment, resources and property.25 Compensation and other benefits
help employees secure their safety.
Moving up the hierarchy, some employees will want to fulfill their
need for love and belonging by connecting more effectively with the
broader organization. Recognition from managers, colleagues and peers
can help to satisfy this need. However, it is important to note that other
employees may have different ways they need to fulfill the need of love
and belonging, such as the desire for work-life balance, which allows
them to spend more time with family and friends.
As we continue to move up the hierarchy, employees needs become
more complex. Recognition programs can be used once again to build
esteem, confidence and acknowledge achievement. These programs
could include praise and appreciation, rewards (on top of incentive
plans), or even promotions. If these needs are fulfilled, employees
can move to the top of the pyramid, self-actualization. At this level,
employees can truly reach their full potential it is, perhaps, a state of
workplace nirvana. Employees at this level are highly motivated in their
roles and successful and are also most likely to engage in development
and best prepared to move to even higher levels within the organization.
The above example is not an exact science but, instead, shows how
recognition can tap into a variety of employee needs. It is also intended
to highlight how needs and the motivation to contribute to the
workplace can come together.
In summary, the prior two sections of this report have reviewed many
of the elements that drive employees to perform, as well as key market
factors influencing recognition. The next section of this report highlights
the key recognition elements an organization should consider when
creating a holistic recognition program.
25
Source: A Theory of Human Motivation, Psychological Review / A.H. Maslow, 1943;
for graphic update http://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needs.
17
The Bersin & Associates Employee

Recognition Framework
Introduction to the Employee Recognition
Framework
KEY POINT
Our Employee
is a tool to help you
examine the practices
of recognition at your
organization, identify
areas for improvement,
and ultimately drive
increased employee
productivity, engagement
and retention.
While every organization has a different reason for considering or

implementing a recognition program, ultimately, most organizations
desire the same basic outcomes. These include the following.
A Focus on Driving Business Results The entire organization is
committed to doing what it takes to improve business outcomes.
Today, the market demands that organizations run with leaner
staffs, operate more efficiently and leverage strategies that enable
maximum growth.
An Empowered and Engaged Workforce Organizations understand
that meaningful links can exist between engagement, performance
and retention. As the economy slowly and steadily rebounds, many
leaders are increasingly concerned that they could lose top talent and
are looking for new ways to retain their best and brightest; and,
An Attractive Culture Organizations embrace a core set of values,
beliefs and behaviors that affect how internal employees interact
with each other and other constituents such as customers and
shareholders. Organizations that do this well differentiate themselves
in the marketplace, gain competitive advantage and are better
prepared to achieve desired business outcomes.
The question is, how can an organization achieve these results? This
is where the Bersin & Associates Employee Recognition Framework
(see Figure 4) comes into play. The Framework is designed to help
organizations attain these results by explaining how the different
elements of recognition fit together and outlines the points of
integration with other areas of talent management. After reading this
report, you should be able to determine which recognition elements to
design, adjust or eliminate to support your organization in delivering
high performance.
18
Figure 4: Bersin & Associates Employee Recognition Framework
Recognition Strategy
Design
Visibility
Budget
Public, Group, Private
Amount, Allocation, Control
Frequency
Criteria
Performance, Behaviors, Tenure
Recognizers
Annually, Quarterly, Monthly, Weekly, Daily
Recognition Activity
Leaders, Managers, Teams, Individuals, Clients, External
Direction
Top-Down, Peer to Peer, Bottom-up
Delivery
Face to Face, Letter / Email, Event, Online Platforms
Customization
Employee Type, Business Unit / Functions, Geography
Approval
Measurement
Rigorous, Informal, None
Approach, Methodology, Reporting
Rewards
Non-Monetary | Token | Monetary | Company- or Employee-Selected

Employee Support | Vendor Strategy | Talent Management Integration
Metrics and Evaluation
Governance and Management
Audience
Executives | Managers | Professionals | Hourly | Organized Labor | Contingent | Critical Talent Segments
Business Outcomes | Performance | Behaviors | Employee Satisfaction |
Engagement | Retention | Activity andw Participation Level
Executive Sponsorship | Administration | Compliance | Equity | Ongoing Optimization
Purpose of Recognition | Business Goals | Alignment with Culture | Talent Management Integration | Vision | Transparency | Accountability | Globalization
Multi-level Structure
Launch
Key Messages Branding Plan | Employee Training | Marketing | Communications
Page 1
This report will walk you through each of the elements of the Employee
Recognition Framework, using the following broad sections:
Part 1: Recognition Strategy and Audience;
Part 2: Program Design; and,
Part 3: Launch, Management and Measurement.
For each Employee Recognition Framework, section, we include
the following:
An overview of the individual Framework elements;
Definitions of fundamental recognition concepts within the
Framework; and,
Examples of how organizations have applied these elements.
19
We will conclude with a discussion of how to apply the Employee

Recognition Framework in your organization.
This Framework is the result of innumerable interviews with senior
talent management experts, from a variety of industries, geographies
and organization sizes. It is a tool to help you examine the practices
of recognition at your organization, identify areas for improvement,
and ultimately drive increased employee productivity, engagement and
retention. When effectively implemented, the end result is improved
outcomes for the business.
Part 1: Recognition Strategy and Audience

Figure 5: Bersin & Associates Employee Recognition Framework Recognition Strategy and Audience
Design
Visibility
Budget
Frequency
Criteria
Recognizers
Direction
Delivery
Customization
Approval
Measurement
Rewards

Audience
Launch
Page 1
20
Overview
Almost all business functions and the divisions supporting them
have a strategy to help drive the business forward. That strategy is
typically supported by programs with clear objectives and a process for
measuring outcomes.
However, our research shows that this fails to hold true for recognition.
In fact, a recent study shows that 87 percent of respondents said their
organization makes no effort to track the return on investment (ROI) of
their recognition program.26
KEY POINT
Progressive organizations
are centralizing their
recognition initiatives and
creating a comprehensive
strategy to move their
business forward.
This is remarkable, given that the same study found 80 percent

of organizations have some sort of program in place. Moreover,
organizations spend more than $46 billion per year on employee rewards
and recognition programs.27
Part of the reason organizations do not effectively measure recognition
is because traditionally recognition programs have been dispersed across
the organization. As a result, those programs lack consistency of goals
and measurement.
Progressive organizations are centralizing their recognition initiatives
and creating a comprehensive strategy to move forward their business.
Similar to all HR programs, executive buy-in and sponsorship are critical
to the success of this effort. High-impact organizations effectively
develop a holistic recognition strategy that considers eight primary
elements, including:
26 Source: http://www.shrm.org/Publications/HRNews/Pages/GloboforcePoll.aspx.
27
Source: Incentive Marketing Association, http://www.incentivemarketing.org.
21
1. The purpose of recognition;

2. Business goals;
3. Alignment with the culture;
4. Talent management integration;
5. Vision;
6. Transparency;
7. Accountability; and,
8. Globalization.
In this section, we discuss each element in detail, as well as the
strategic decision points underpinning them. Without clarity on these
fundamental decision points, recognition is prone to being a series
of loosely related and unmeasurable events that provide little lasting
impact for the organization.
Fundamental Elements
Purpose of Recognition
KEY POINT
Recognition programs are
intended to incent the
workforce in a completely
different way.
In a world of bottom lines and cost reductions, why should your

organization focus on employee recognition? There are two
primary reasons.
First, people typically will alter their behaviors toward desired behaviors
in order to be recognized. These desired behaviors should be aligned
with the organizations goals. With more people across the organization
performing these behaviors, the organization should achieve its goals
more rapidly.
Second, recognition is intended to demonstrate to employees that they
are appreciated and their work is valued. Ultimately, this can improve
employee engagement, which can increase employee performance,
satisfaction and retention.
KEY POINT
As organizations think
through this piece of the
strategy, it is critical to
define what business goals
will be targeted and how
recognition can encourage
employees to engage in
the activities that will
accelerate the achievement
of those goals.
22
It is important to point out that the purpose of recognition is not the

same as compensation or bonus plans. Both of those programs are often
viewed by employees as entitlements, given they are usually predefined
and occur regularly. Recognition programs are intended to work in a
completely different way. For example, they can be designed to create
excitement, build cultural alignment and foster behaviors such as
teamwork. These programs also aim to provide extrinsic motivation to
staff, so that they will put forth greater discretionary effort essentially
getting them to go the extra mile.
In summary, this section on the purpose of recognition is to underscore
the importance of defining what your organization wants to accomplish
through recognition, and how that relates to employees and the
businesss needs. Recognition is something that must be planned
strategically and measured objectively. The ultimate intention is to
create programs that recognizes people for doing the right things at
the right times in a way that will encourage them to do those things
again. Once you have had a dialogue with your team about the purpose
of recognition, you are ready to move on to the next section of this
Framework, in which we discuss the link between recognition and
business goal.
Business Goals
Strategic organizations use employee recognition to accelerate their
business goals. For example, some organizations establish programs
to recognize employees for improving customer service or increasing
revenue per customer both of which can be linked to bottom-line
results. As your organization works through this piece of the strategy,
identify specific business goals and determine how recognition can
encourage employees to engage in the activities that will accelerate the
achievement of those goals. Focus specifically on how recognition will
improve employee engagement, encourage employees to engage in
certain behaviors more frequently or help employees understand how to
change their behaviors. Both improved engagement (leading to greater
discretionary effort) and engaging in more effective behaviors can drive
business results.
An example of this in action was when an organization in the automotive
industry recognized its factory workers for practicing specific safety
measures. The organization had fewer accidents, resulting in savings
KEY POINT
Our research has
found that today many
organizations do not
tie their recognition
programs to business
goals.
23
for the benefits programs. This ultimately improved the bottom line.
Another example was when a hospital organization motivated its
employees to increase their level of teamwork, more patients received
better care and they received it faster. As a result, patient satisfaction
scores increased. This gave the hospital more referrals and that translated
to increased revenue.
Our research has found that today only about 60 percent of
organizations tie their recognition programs to business goals.28 The
following is an example of a large technology company that is missing
the mark with it recognition program.
Case in Point: Technology Organizations

Loosely Defined Goals Show No Hard Results
With 20,000 employees in nearly 50 counties across the globe, a
large technology firm decided to create a recognition program
to help the organization become more employee friendly. The
only problem was that the program was very resource-intensive.
This program was a performance-based program and the
responsibility of the business, although there was some
coordination by HR and marketing. As part of the program,
employees nominated each others projects for the best annual
work. To kick off the program, the organizations corporate
communications team designed marketing materials to engage
employees to nominate themselves, peers or others across the
organization. All nominations were posted on the organizations
intranet. The corporate communications team also helped to
facilitate this by writing key excerpts, so postings were easy
to understand.
All of the nominations were then placed in a tournament for
judging by HR and operations employees and some senior business
28
This information is based on our current research on the topic of employee
recognition, the report for which is due to be published 2H2012.
24
Case in Point: Technology Organization (contd)

KEY POINT
Bersin & Associates
defines culture as
the collective set of
organizational values,
conventions, processes
and practices that
influence and encourage
both individuals and the
collective organization
to continuously increase
knowledge, competence
and performance.
leaders. Seven project winners were announced at the regional

level, another seven at the functional level and another seven at
the business-unit level. Ultimately, there is one winner, selected by
the CEO, who is then recognized by the CEO and board of directors.
In addition, each regional, functional and business-unit winner gets
a plaque.
This process is a lengthy one that requires a lot of time from HR,
the business, marketing and employees. When asked how much
time this took, the organization responded that it had no idea
how much time was required nor did it track the programs costs.
Furthermore, the company has not defined how the program will
change key goals, performance or behaviors in meaningful ways.
As a result, it is next to impossible to determine the ROI or achieve
business results. The main issues with this structure are that the HR
department has no understanding of the costs and benefits of the
program, and the program is not aligned with business goals. e
Before moving on from this section of the Framework, ask yourself and
your colleagues the following questions.
What are our organizations top three business goals?
Which behaviors do we need people to engage in to help us reach
those goals?
How can we ensure that the recognition program is encouraging
employees to engage in those behaviors?
Alignment with Culture
Bersin & Associates defines culture as the collective set of
organizational values, conventions, processes and practices that influence
and encourage both individuals and the collective organization to
continuously increase knowledge, competence and performance.
This includes the attitudes, experiences, knowledge and beliefs
within the enterprise. This collective structure influences the way
employees relate to each other and also controls how they behave with
external stakeholders.
25
Aligning the recognition strategy with the organizations culture is a

critical ingredient to the success of a recognition initiative. However,
this is often easier said than done, especially when an organizations
leadership team has the perspective that an employees paycheck is
thank you enough. Furthermore, some highly competitive organizations
that value cut-throat behaviors will have a more difficult time
transitioning to a culture that values recognition. While not impossible, it
will take longer for competitive organizations to move to a recognition
culture, as compared with organizations that already value a balance
of behaviors. We are not implying that competition is bad simply
that, where recognition is concerned, balance among competitive,
collaborative and other behaviors is important.
When considering culture, organizations should also identify when
internal or external business circumstances could negatively impact
employee satisfaction. While dissatisfaction can be tied to a number of
factors, Grace Haven Assisted Livings analysis led it to focus on improving
its culture by using recognition. The following case in point illustrates
how issues such as declining morale were positively impacted.
Case in Point: How Grace Haven Transforms

Its Culture with Recognition29
Grace Haven Assisted Living, located in St. Johns, Michigan
was going through a time of rapid change in early 2010. The
organization experienced a nearly 200 percent increase in
residents over just a few months. This major growth in the
business clearly put additional pressure on all employees.
Unfortunately, Grace Havens culture had developed into one in
which employee dissatisfaction was common. The combination of
these factors resulted in soaring turnover and plummeting morale
within a relatively short period.
To make proactive changes that would reverse feelings of
dissatisfaction, Grace Haven worked to fully diagnose the
29 Source: http://www.corpmagazine.com/management/human-resources/itemid/5872/
transform-your-culture-with-strategic-employee-rec.
26
Case in Point: How Grace Haven Transforms Its Culture with Recognition (contd)
KEY POINT
Careful consideration
should be given to how
recognition impacts all of
talent management and
who will be responsible
for overseeing the
integration of recognition
as a component within it.
problems and decided to implement an employee recognition

program. As a first step to creating that program, supervisors
and employees took part in an evaluation process that included
interviews, focus groups and an employee engagement
survey. The engagement survey identified the key issues
that needed to be addressed to reverse the steady decline in
morale. After establishing the most critical issues impacting
culture, a comprehensive, customized employee recognition
plan was developed, which set priorities to address each issue.
Implementation included coaching sessions with management and
informational meetings with all employees to help acquaint them
with the new program.
Within one week of the programs implementation, anecdotes
revealed that optimism had increased noticeably. After 60 days, 78
percent of employees had given recognition and 68 percent had
received it. Another employee engagement survey revealed steady
improvement in all of the areas that program addressed and the
positivity continued to grow. Benchmarks were also established,
so that the organization could monitor its culture over time. e
Talent Management Integration

Careful consideration should be given to how recognition impacts the
other elements of talent management and who will be responsible for
overseeing the integration of recognition as a component within it. As
part of recognition strategy, organizations should discuss three things.
First, they need to determine how recognition can complement the other
parts of the talent management function. This includes compensation,
benefits, performance management, engagement, succession, learning
and even recruiting. For example, how can recognition be incorporated
into the performance appraisal process? How can it be used to attract
top talent for open positions?
Second, determine any conflicts the recognition program could have
with existing talent management strategies, policies and programs. For
example, ask yourself questions such as, Do we want to change our
rigid vacation policy to accommodate recognition? Finally, leaders need
to determine how they can optimize costs. For example, can existing
27
manager and employee training programs be used for the recognition

effort? Does the organization need to hire new people to run the
recognition program or should the team leverage internal resources?
Figure 6 explains how recognition intersects or can complement the
existing talent management function.
Figure 6: Strategic Integration Considerations between Recognition and Other Talent Management
Activities
Talent Management Domain
Compensation / Bonus and Stock Option Plans
Benefits / Work-Life Balance
Talent Capability / Competency Management
Action Steps for Recognition

Consider what incentives beyond compensation will motivate

staff to contribute to the organizations bottom line.
Ensure compensation is competitive in the marketplace before

implementing a recognition program.
Consider how policies, such as vacation or flexible work

schedules, should be adjusted to recognize people.
Determine if recognition can or should extend to efforts that

promote health at work or out-of-the-office actions to reduce
the number of employee absences.
Determine how recognition should align with job and

behavioral competencies.
Implement protocols so that, when the business changes,

competencies and recognition programs are continually in
alignment.
Create training programs that teach managers how to

motivate and recognize employees.
Work with managers so that they understand how to

recognize their employees in ways that are tied to the goals
and behaviors valued most by the organization.
Provide managers with assistance on articulating recognition

messages and delivering rewards in a thoughtful manner.
Deploy recognition so that all employees can give and get

feedback and reinforcement when warranted.
Encourage managers to leverage recognition for coaching

conversations.
Determine the criticality of capturing recognition in your

organizations performance appraisal system.
Leadership Development
Performance Management
28
Figure 6: Strategic Integration Considerations between Recognition and Other Talent Management
Activities (contd)
Talent Management Domain
Career Management
Recruiting / Onboarding
Action Steps for Recognition

Leverage recognition to help employees understand their

strengths and drive their career directions.
Consider how recognition can be most effectively used to

keep employees engaged, while increasing their likelihood of
staying with the organization longer.
Craft your recognition program so that it aligns with the

organizations employment brand.
Encourage employees to tell friends about the benefits of a

recognition program.
Introduce new hires to the recognition program immediately

to help them adapt to your organizations culture more quickly.
Vision
KEY POINT
It is essential to gather
feedback from managers
and employees to
understand what they
value most.
Once an organization establishes a purpose, considers its culture,

determines its goals and integrates those items with existing talent
management programs, it can more easily build out its direction or
vision for the future.
The first step is developing a clear understanding of the current state of
recognition. To do this, either review existing employee feedback (which
usually includes the results of employee surveys, one-on-one meetings or
focus groups) or collect new feedback from managers and employees to
understand what they value most. A common mistake is failing to review
employees feedback on their managers. Doing this helps to highlight
any areas of disconnect.
Also, plan to review employee performance appraisals and to compare
them to business performance. Analyze this information by business unit,
function, region and geography, as appropriate. While some regions will
have similar challenges, others will have distinct performance issues. This
analysis will enable you to determine differences in performance and
behaviors, and then segment strategies for the future.
After analyzing this information, integrate it with your findings from
the sections that we previously discussed purpose, business goals,
and alignment with culture and talent management integration. With
this material, you can build a roadmap that depicts where your
KEY POINT
The value of building a
comprehensive roadmap
is that it requires an
organization to conduct
a gap analysis to clearly
organization wants to go and how it will get there. Key questions to

answer as part of this process include the following.
How do we want to use recognition to improve the engagement and
performance of our workforce?
How should we recognize staff in the future to meet our
business goals?
need to occur before an
Do we need to adjust our culture, values and employee behaviors

in any way?
organization can execute
How long will it take us to get where we want to go in the future?
show the things that
upon its vision.
29
What resources do we need to help get us there?

Building a comprehensive roadmap requires organizations to identify the
activities and decisions that need to occur before they can execute on its
vision. Having a clear direction and documenting where an organization
wants to go, how it will get there, and how long it will take, is an
important piece of the strategy.
KPMG in Canada is an example of an organization that created a strategy
with a clear vision and plan for getting there.
Case in Point: KPMG in Canada Reinforces

Critical Business Behaviors with Its SHINE
Program
KPMG LLP (Canada) is the Canadian member firm of KPMG
International, and is a leader in providing audit, tax and advisory
services. The firm has more than 660 partners and more than
5,000 employees operating in 32 locations across Canada.
More than a decade ago, KPMG in Canada began its journey
from an organization in which a paycheck was considered
thanks enough to one that regularly recognizes employees
achievements. In 2011, the total rewards and recognition team
realized that it was time to take the next step in that journey
by updating the nearly 10-yearold program to a social online
recognition program. The goal was to provide a clearer line of
sight between desired employee behaviors and business needs.
30
Case in Point: KPMG in Canada Reinforces Critical Business Behaviors (contd)
KPMG in Canadas business strategy requires that employees

build strong relationships with clients. To do this, they need to
leverage four critical behaviors (see Figure 7). KPMG designed
its new online recognition program, SHINE, so that employees
could recognize each other for engaging in those behaviors. This
nurtures a culture of appreciation and helps employees to see
how they can have a direct impact on the business.
Figure 7: Four Behaviors Reinforced by KPMG in Canadas Recognition

Program
Growth
Delivery
KPMG for Life
Community Leader
The introduction of peer-to-peer recognition with non-monetary

and lower dollar value awards that can be distributed with no
approval process represented another innovation in KPMG in
Canadas recognition approach. This shift was significant, as
previous recognition programs primarily focused on recognizing
top performers on an as-needed basis, not as a regular practice.
KPMG in Canada understood that its business strategy required
that it adapt to the needs of its workforce. Since that workforce
includes a large population of younger employees, who typically
require more feedback, a peer-to-peer recognition program made
sense. Further, the additional transparency of the recognition
program helped to constantly reinforce the four behaviors.
31
Case in Point: KPMG in Canada Reinforces Critical Business Behaviors (contd)
From the beginning of its redesign efforts, KPMG in Canada

focused on achieving two goals improving the employee
workplace experience and reinforcing the critical behaviors that
drive business results. Early results indicate that these goals are
being met. Employees are enthusiastically using the program,
with more than 15,000 recognition activities taking place within
the first nine months. Each of these recognition actions serves to
further encourage employees to do the very things that make
KPMG in Canada successful. e
Transparency
KEY POINT
One of the most
important elements
to think about prior
to creating a program
is establishing a level
of trust between an
organization and its
employees this is
done through program
transparency.
One of the most important elements to think about prior to creating a

program is establishing a level of trust between your organization and its
employees this is done through program transparency. In some cases,
recognition can be viewed as a popularity contest or a matter of quid pro
quo (e.g., if an employee does this, he gets that). To ensure employees
have faith in the program, organizations must clearly define criteria
and communicate program details, including guidelines for winning,
the evaluation process and the rewards. In addition, in high-profile
competitions for recognition, it is important that all employees who
participated in the program know who won and that the person received
the prize promised. This helps to give the program greater credibility.
Employees also need to know that the various recognition programs
offered across different employee populations and business units are
fair and equitable. For example, if an organization only offers programs
designed to recognize its highly valued engineers and HiPos30, other
groups may feel slighted and think that their contributions are not
valued equally. Organizations should consider how employees will
perceive the recognition programs offered.
The Calgary Marriott is an example of an organization that
designed its recognition program to incorporate an equitable and
transparent structure.
30
A high-potential employee is an employee who has been identified as having the
potential, ability and aspiration for successive leadership positions within the company.
Often, these employees are provided with focused development as part of a succession
plan and are referred to as HiPos.
KEY POINT
32
Case in Point: Calgary Marriott Downtown

Evolves Its Recognition Program to Drive
Bottom-Line Results
Employees need to
know that the various
recognition programs
offered across different
The Calgary Marriott Downtown, part of one of the worlds

largest hotel chains, employs more than 300 employees. In
2008, the organization found it needed a tool that would
better support its recognition strategy, business goals and
employee retention efforts. Although the organization had a
number of initiatives in place, they were scattered across various
departments. As a result, the programs lacked consistency and
there was no way to track whether or not employees were using
them. Furthermore, the cost of maintaining the program was
high, and it was not effective at driving positive behaviors that it
defined for its associates.
employee populations
and business units are fair
and equitable.
To improve its recognition programs and make them more

transparent, the Calgary Marriott Downtown redesigned
its recognition program to better align with its strategy. As
part of this process, the organization adopted new web-based
technology. The technology platform offered a points-based
system for rewarding Marriotts employees. The organization
branded its program S.P.I.R.I.T. Rewards (meaning special
recognition, participation in the community, introducing
new business, recruitment, innovation and team recognition).
This acronym stands for the performance and behaviors most
valued by the organization. It also represents measurable criteria
that are easy for employees to understand. The system was
customized to be interactive and engaging employees and
associates were able to earn points at any time for living any of
the S.P.I.R.I.T values.31
After implementing this new recognition program, employee
engagement increased dramatically. The overall engagement
31
Points are a reward mechanism for employees who meet certain recognition
criteria. Points can be redeemed for a wide range of brand-name merchandise, travel, gift
cards and experiences using an extensive online catalogue.
33
Case in Point: Calgary Marriott Downtown Evolves Its Recognition Program (contd)
score increased 16 percent, and the hotel had the highest

improved employee satisfaction rates throughout Marriott
Hotels Northwest region. Furthermore, importantly, the renewed
program has impacted the bottom line by motivating employees
to focus on suite upselling tripling the number of suite upsells
over a two-year period. In addition, the organization saw a 15
percent increase in the satisfaction score on the metric that asked
about the quality of the rewards offered to employees, despite
the fact that many wages had been frozen or seen minimal
increases over a two-year period. e
Program Accountability
KEY POINT
An essential part of the
recognition strategy is
figuring out who will own
what and then holding
those people accountable.
Recognition strategies are complicated by the number of people

involved, as well as the fact that, typically, no one person or group owns
all recognition initiatives. An essential part of the strategy is figuring
out who will own what and then holding those people accountable.
Key questions which organizations must think about when establishing
accountability include the following.
What will be centralized and controlled by HR?
What will be controlled or decentralized to the business units?
Which responsibilities will be shared by HR and managers?
For what should individual contributors be responsible?
Another important part of accountability is determining, How can
our team ensure we deliver on what we say we are going to do? As
part of this process, organizations should analyze how much time the
recognition program will take away from managers other critical tasks
and if there is any way to simplify the process. If the time required of
managers or leaders is too excessive, the program will fail.
An additional element of accountability is determining how the
organization will ensure recognition is taking place. For example, will
you use employee engagement scores, performance reviews or some
other metric? Some organizations may use recognition to support radical
change. For example, an organization evolving away from an overly
competitive culture may temporarily require its managers to recognize 10
34
people a quarter for teamwork performances. This approach would allow

a company to tie recognition outcomes to managers goals. However, we
would note that this type of accountability should be used with extreme
caution as recognition is only impactful when it is genuine. If employees
think recognition has to be done, it loses its meaning and ability
to empower.
By clarifying ownership, prioritizing initiatives and setting measurable
goals, organizations are more likely to ensure accountability and are less
likely to break promises to employees regarding recognition efforts.
Globalization
KEY POINT
The addition of local
champions and experts
to the project team is
essential and important
consideration for making
the globalization effort
a success.
The final element of the recognition strategy is globalization. Having a

global audience should change your scope. Do you expect recognition
to play out uniquely in different parts of the world? How can you use
recognition to attract global candidates? As we discussed earlier, the
workforce continues to become more globalized and it is essential to
customize some elements of recognition to attract and retain top talent.
For organizations operating in five or more countries, this will be no
easy undertaking. The addition of local champions and experts to the
project team is essential and important consideration for making the
globalization effort a success.
Strategy Action Plan

To successfully create a recognition strategy, it is important that your
leaders are able to answer the series of questions shown in Figure 8.
35
Figure 8: Questions Your Organization Must Answer before It Makes Other Decisions in This Framework
What is our overall purpose of recognition?
How does recognition help us achieve our business goals?
What behaviors do we need to improve to accelerate our achievement of business goals?
How can recognition be used to strengthen our organizations culture?
How should recognition integrate with other talent management programs, including compensation,
performance management, learning, engagement, onboarding and more?
In an ideal world, what would recognition look like within our organization?
How does this compare to our current state of recognition?
How important is transparency to our organization? Are our programs equitable?

How can we ensure programs support our transparency goals?
What will be the recognition responsibilities of our organizations stakeholders (e.g., senior leaders, managers,
employees and HR)? How will each of those stakeholders be held responsible for fulfilling their responsibilities?
To what extent should this program be globalized?

After you are able to answer this series of questions, it is time to think
about how recognition should affect different audiences across your
organization. This next section of the Framework will discuss those key
elements in detail.
36
Audience
(Figure 5 is repeated in this section.)
Figure 5: Bersin & Associates Employee Recognition Framework Recognition Strategy and Audience
Design
Visibility
Budget
Frequency
Criteria
Recognizers
Direction
Delivery
Customization
Approval
Measurement
Rewards

Audience
Launch
Page 1
Overview
Employee recognition has the potential to touch nearly every employee
within the organization; however, just because every employee can be
recognized does not mean it will happen for everyone. The reason for
this is three-fold. First, many employees do not know what they have
to do to be recognized either they do not understand or were never
told. Second, some employees just do not meet the requirements to
be recognized. Third, employees who should be recognized are not
because an employees manager does not want to spend the time or
KEY POINT
Employee recognition has
the potential to touch
nearly every employee
within the organization;
however, just because
every employee can be
recognized does not
mean it will happen for
everyone.
37
does not believe in recognizing. To combat these challenges and others,

organizations should clarify the roles and activities for every audience
that is employed. In this section, we will discuss the different audiences
within the employee population and detail the recognition activities that
are unique to each segment.
The workforce is comprised of subsets of employees who vary greatly
in terms of their needs, expectations, preferences and stakes in the
company. We have identified seven subsets of employees (see Figure 9)
that should be thought of independently for the purpose of recognition.
It is important to note that these subsets may vary by region, industry or
even company. These definitions can also vary by hours worked, provision
of tools, job autonomy, benefits and compensation. Figure 9 lists the
subsets that we have identified in our research and provides definitions
for each of them.
Figure 9: Recognition Audiences

Audience
Definition
Executives / Leadership
Senior leaders within the organization, including chief-level positions and those reporting
directly into those positions. Also includes senior managerial positions.
Managers
Leaders within the organization, typically at the middle-manager level or below.
Professionals / Salary /
Exempt
Professional-level employees who, because of their positional duties and responsibilities,

and level of decision-making authority, are exempt from the overtime provisions of the
Fair Labor Standards Acts or other regional laws. The hours which these employees work
are expected to be an equivalent to regional full-time status, but are not tracked.
Hourly / Nonexempt
An employee whose level of work entitles him / her under the Fair Labor Standards Act
or other regional laws to overtime pay by an organization. The hours worked by these
employees are tracked on an hourly rate and fall within full- or part-time regional status.
Organized Labor / Union
Employees who are represented by a labor union.
Contingent / Contract
An individual engaged by a company to provide a specific set of services on a temporary

basis. A role that is not seen as a full-time employee for an organization.
Critical Talent Segments
Individuals who are likely within one of the above audiences, but who have been placed
in a subgroup, as well, for the purposes of providing additional attention or focus. This
group can include specific functions, regions, job levels or status (e.g., HiPos).
38
Although executives, managers and employees need to meet similar

recognition criteria, senior leaders have more responsibility for
motivating employees and ensuring recognition practices are adopted
by others in the organization. In Figure 10, we describe the activities and
roles for each subset of an employee population.
Figure 10: Recognition Activities Unique to Each Audience Segment

Audience
Executives /
Leadership
Managers
Recognition Activities Unique to Segment

Create, exemplify, guide and reinforce the attributes that meet the criteria for recognition.
Communicate examples of what is deemed worthy of recognition to all company employees.
Distribute rewards, as appropriate.
Use recognition metrics to further assess the engagement, performance and retention of
talent across the organization.
Model critical behaviors and activities.

Motivate individual employees to engage in those critical behaviors and activities.
Recognize employees for achieving performances, and modeling valued behaviors and actions.
Track department, team and individual efforts, so that metrics and efforts can be best
improved on an ongoing basis.
Communicate and train all contingent and part-time labor on the companys culture and
values, when appropriate.

Professionals /
Salary / Exempt
Hourly / Nonexempt
Organized Labor /
Union
Contingent /
Contract
Critical Talent
Segments
Participate in recognition programs that support the company, their teams and which also
help employees to grow as individuals.
Communicate upward to managers when they do not understand what they need to do
to be recognized.
Share feedback about when they do / do not feel acknowledged.
Participate in recognition programs that support the company, their teams and which also
help them to grow as individuals.
Communicate to managers when they do not understand what they need to do to
be recognized.
Share feedback about when they do / do not feel acknowledged.
Participate in some recognition activities and communicate feedback as defined in

union contracts.
Embrace behaviors and performance aligned with the companys culture. Whether or not these
workers participate in formal and informal recognition programs is often dependent on the
industry, length of project, and other requirements specific to the organization and contract.
Participate in recognition programs designed to support critical segments (i.e., leadership

or high-performance training programs, or special projects). This is usually led by HR. The
talent segments should participate in a way that supports the company, their teams and
which also help them to grow as individuals.
39
Once you have considered the recognition roles and responsibilities for
key audiences within your organization, it is important to think about
what programs you should create to meet the needs of those audiences.
This next section of the report, Part 2: Program Design, will discuss the
key elements to consider in designing a recognition program.
Part 2: Program Design

Figure 11: Bersin & Associates Employee Recognition Framework Design and Rewards
Design
Visibility
Budget
Frequency
Criteria
Recognizers
Direction
Delivery
Customization
Approval
Measurement
Rewards

Audience
Launch
Page 1
40
Program Design Overview

KEY POINT
HR needs to be clear
on how the recognition
program will align with
business goals and the
anticipated impact of
the investment in the
program. The business
case for the investment
needs to be clear before
program design begins.
Program design is critical to the overall success of the recognition

initiative. To do it well, organizations need to design the program
with the end in mind. Specifically, HR needs to be clear on how the
recognition program will align with business goals and the anticipated
impact of the investment in the program. For example, if the
organization invests $20,000 in a recognition program, how would
employee engagement, customer satisfaction or some other critical
metric change? The business case for the investment needs to be clear
before program design begins.
Once the business case is in place, organizations should identify who
will join the program design team. This team should be comprised of
employees from HR, finance, legal and relevant business units and
geographies. Once the team is in place, it should establish tactical goals
and objectives that support the strategy such as, Create a recognition
program that focuses on two core values, or Implement a recognitionbased technology platform to increase both employee motivation and
transparency in our rewards program.
The program design section of the Employee Recognition Framework
is intended to help organizations understand all of the critical design
questions that must be answered in the quest toward an exceptional
recognition program. Through our research, we have identified 10
fundamental elements an organization should consider when creating a
program. These elements include budget, criteria, recognizers, direction,
approval, visibility, frequency, delivery, customization and measurement.
We discuss each of them in detail in the following sections.
Budget
The first fundamental program design element is budget. A welldesigned and documented budget ensures all stakeholders are on the
same page in terms of how the program money will be spent. There are
three fundamental considerations pertaining to the budget amount,
allocation and control. This section will discuss each of them in detail.
KEY POINT
There are three
fundamental
considerations pertaining
to the budget amount,
allocation and control.
41
Amount First, leaders should determine the amount that will be spent
on a recognition program and from where it will come. The recognition
budget generally comes from centralized HR funding (e.g., compensation
or other program), business units or functions, or a combination of
sources. According to 2011 data, recognition budgets typically average
2.0 percent of the payroll budget, though the median amount budgeted
is one percent.32 Intuit, for example, established a budget of one percent
of payroll for its awards program.33 Departments can budget more or
give higher-level awards by reducing spending in other budget areas. The
average 2011 recognition budget is down slightly in 2011 compared with
2008 (2.0 percent of payroll spend versus 2.7 percent, respectively).34 We
think the decline partially reflects the recent challenges and volatility in
the economy.
Allocations The second element that organizations need to think
about is budget allocation. As shown in Figure 12, there are three major
areas requiring consensus. First, organizations need to consider how
much of the budget will be used to pay for staff (internal or external)
to administer the program. Second, organizations need to think
about what portion of the central budget will be distributed to each
department (e.g., for discretionary rewards or other programs). As part
of this process, conversely, stakeholders should determine if individual
departments need to contribute any funding. Lastly, organizations
should decide how they will allocate the funding toward centralized
program initiatives (e.g., rewards allocations for tenure programs or
technology allocations).
32 Source: http://www.worldatwork.org/waw/adimLink?id=51194.
33 Source: http://talentmgt.com/articles/view/intuit_spotlights_strategic_importance_of_
global_employee_recognition/3.
34 Source: http://www.worldatwork.org/waw/adimLink?id=51194.
42
Figure 12: Budget Allocation Considerations
Decentralized
Program Funding
Centralized Program
Funding
Staff / Administration
Total Budget
Source: Bersin & Associates,12012.
KEY POINT
As part of this process,
it is essential to design
budget approval
processes, and clarify
what needs sign-off and
what does not.
Control The final budget decision is control. There are two major
components to control control over individual recognition rewards
and control for all other program spending. As we mentioned earlier,
some organizations decentralize the control of certain rewards, such as
Top 100 in revenue or customer service, to business units or functions.
In these instances, organizations need to determine who has input into
how dollars are spent, as well as who has the final say on spending.
For example, when will a committee take a vote and when will budget
dollars be up to a managers discretion? As part of this process, it is
essential to design budget approval processes, and clarify what needs
sign-off and what does not (This will be discussed in more detail in the
approvals section of the program design part of the Framework).
The final element of control is determining how the budget will be
monitored for spending not related specifically to individual recognition
rewards. This could be spending on recognition events, time spent by
employees reviewing recognition nominations or any other similar
43
spending related to the program. Typically, organizations will identify a

person to monitor the budget who is responsible for reporting on it to
the budget owner and other stakeholders. This person ensures that the
budget spent aligns with the amount necessary to achieve the desired
program return on investment.
Criteria
One of the most important elements of program design is establishing
and articulating recognition criteria. This element is critical to
establishing both equity and transparency. There are three primary types
of criteria that organizations choose to establish performance, behavior
and tenure. This section will discuss each component in detail.
Figure 13: Three Primary Criteria of Recognition
Performance
Behaviors
Tenure
Tied to business goals

and outcomes
Tied to culture or core values
Tied to anniversaries or
length of service
Criteria should help evaluate

individual and enterprise
performance
Tied to other behaviors that

are not part of core values
Criteria should ensure
behaviors recognized lead to
performance improvements
or improvements to an
organization's internal or
external environment
Criteria should align with

specific employment dates
(e.g., five years with
company X)
1 2012.
Source: Bersin & Associates,
44
Performance Performance criteria should be tied to business goals

and outcomes. Some organizations recognition programs have loosely
defined performance goals, objectives and criteria. When this happens,
it is more difficult to reward across the organization in an equal and
transparent way because stakeholders and other employees are unclear
about what they should be working toward. It is important to note
that the purpose of performance criteria in the context of recognition
is different from the assessments and feedback discussed as part of a
structured performance review. However, organizations need to consider
how recognition will be accounted for in the formal performance
review process.
As you consider key performance criteria, we suggest you think through
the following questions.
What performance levels do we need to help our organization
achieve its goals over the short and long term? What does the
performance look like?
When do we want to recognize employees for core job responsibilities?
When do we want to recognize employees for going above and
beyond core job responsibilities?
What types of recognition require multiple people to assess
performance?
When should an individual have discretion about what type of
performance to recognize?
There are generally two types of performance use for recognition
programs. We describe each of them in detail in Figure 14.
45
Figure 14: Key Performance Criteria Categories
Recognize individuals who meet goals or milestones in their

core roles.
Individual
o Immediate feedback lets employees know that they are

on the right track.
Recognize individuals who exceed what is expected of
them in their core roles.
o Feedback shows appreciation for discretionary efforts.
Recognize individuals or teams based on criteria most likely

to have a direct impact on enterprise performance (e.g., cost
reduction of five percent or more) when it occurs.
Enterprise
o Feedback reinforces criteria having optimal chances to

implact business results in a meaningful way.
Recognize individuals or teams through competitions (e.g.,
by departments or geography).
o Feedback encourages outstanding individual and team
performance.
Individual Performance Criteria As shown in Figure 14, to keep

employees motivated, many organizations recognize individuals
when they meet a goal or milestone in their core roles or exceed
expectations. Immediate feedback, gratitude or praise lets employees
know they are on the right track. Flexibility is a critical part of
designing individual performance criteria. Organizations need to
consider how much discretion they want to give managers in terms of
deciding what performance and efforts should be recognized (e.g., a
project milestone or performance above and beyond a core role) and
what rewards should correspond to the performance.
Enterprise Performance Criteria As shown above in Figure 14,
enterprise recognition programs often identify key criteria that have
the potential to significantly impact an organizations bottom line.
These programs include performance competitions across different
divisions, functions and geographies based on either individual
46
performance or a collaborative team effort. For example, at the

divisional level, an individual category could include the most new
revenue or upsells or the highest qualitative score in customer service.
At the team level, the competition could be for the team that creates
the most innovative new product.

Some of the programs just mentioned only touch the top performers.
Sometimes adding runners-up or Top 100 category helps to
recognize more people. That said, these people are still usually at
the top of their region or division, so these additional categories
may not sufficiently diversify the types of recognition. Another
way organizations try to include more people is by incorporating
programs that have the potential to indirectly lead to improved
performance. One example is a perfect attendance program.
In summary, performance criteria need to tie to existing performance

goals or other criteria that drive the enterprise forward in a meaningful
way. The programs for defining performance and rewarding must also be
flexible, so that employees will be engaged and excited to participate.
KEY POINT
Behavioral criteria are
typically based on an
organizations culture,
and include the attitudes,
experiences, knowledge
and beliefs within the
enterprise.
Behaviors Behavioral criteria are typically based on an organizations

culture. This includes the attitudes, experiences, knowledge and
beliefs within the enterprise. As part of setting behavioral criteria,
many organizations define core values and other desired behaviors
to employees. For example, safety may not be a core organizational
value but safety is a critical behavior required in an organizations
manufacturing plant. Creating programs and criteria that improve
behaviors can also lead to improvements to enterprise performance.
Take, for example, a program such as most likely to help a colleague out
of a tight spot. In a way, this program fosters teamwork; however, the
program may also motivate employees to get more work completed
which, in turn, helps contribute to the bottom line.
When designing behavior criteria, organizations should do two things.
First, they should consider the behaviors necessary to achieve individual
performance and overall business goals. Second, they should identify
which behaviors represent their culture. Consider the following questions
organizations when determining which behaviors your organization will
define, promote and recognize.
47
What behaviors will help us increase organizational performance over

the short and long term?
Will certain behaviors help us in the short-term but then hurt us in
the long term?
Will certain behaviors help us to change our culture for the better?
Are certain business circumstances negatively impacting how
employees feel about our values and causing them to behave in a
way that does not support our culture?
How do we want external audiences to view our organization in
the marketplace?
Tenure The final criterion is tenure, which is recognition of an
employees length of service. This is a nice way to appreciate employees
who have been at the organization for a long time. However, because
tenure can also be viewed by many as an entitlement, similar to
compensation, these programs should be supplemented with other
recognition programs.
Methodology for Assessing Recognition Worthiness
Once the criteria for performance, behaviors and tenure are established,
it is important that organizations think about when a robust scoring
methodology will be needed and when a simple reference Criteria
List will do. Criteria and the process for determining reward winners
should be clearly articulated to ensure program equity and transparency.
For example, some recognition programs will have nomination processes,
requiring the assessment of multiple criteria and different levels of
calibration. Consider the following questions when making decisions.
How will we know if employees have met the key criteria?
Will our assessment methodology be qualitative, quantitative
or both?
How will we convey criteria to employees?
The last thing to consider is if one program is sufficient to drive the
performance or behaviors your organization needs, or if more than one
program is necessary. Intuit, for example, consolidated its recognition
program under the name of Spotlight, and uses this program to
48
spotlight performance, innovation and service dedication.35

Innovation awards are for patent disclosures, patent filings and issued
patents. Service awards are for milestone anniversaries in multiples of
five years.
Recognizers
KEY POINT
Recognizers are defined
as the people within an
organization or outside of
it who give recognition to
an employee or group of
employees.
Recognizers are the people within or outside of an organization

who provide employee recognition. Progressive organizations build
out their recognition programs, so that anyone worthy of recognition
can be recognized by anyone else. This ensures that the values and
actions deemed appropriate get rewarded and reinforced regularly. It is
important to think about who the recognizers should be. Consider the
following questions.
Which recognizers will engage employees the most?
What recognition approach will encourage the behaviors and
performance that will drive our business forward?
We can group the recognizers into two categories internal employee
recognizers and external audience recognizers. The details of each
category are shown in Figure 15.
35 Source: http://talentmgt.com/articles/view/ intuit_spotlights_strategic_importance_

of_global_employee_recognition/3.
49
Figure 15: Types of Recognizers
Internal Employee
Recognizers
External Audiences
Recognizers
Senior Leaders
Customers
Managers
Partners
Teams
Third-Party Award
Constituents
Individuals
Certifications
Internal Employee Recognizers

Internal employee recognizers include senior leaders, managers, teams
and individuals. Leaders should consider who is doing the recognizing
in their organizations today and how (or if) that should change. In the
past at most organizations, senior leaders and managers were primarily
responsible for recognizing employees. This approach is evolving,
though, due to the rise of more collaborative work environments and the
flattening of organizational structures. Increasingly, we see organizations
encouraging all employees to recognize each other.
50
External Audience Recognizers

External audience recognizers include four main groups, including:
Customers;
Partners;
Third-party award givers; and,
Third-party certification organizations.
Many organizations view external audience recognition as very
important. For example, customers and business partners may recognize
employees through emails, anecdotes and even share token rewards.
Some organizations choose to share this recognition internally; others
let the initial recognition suffice. Your organization should have a
point of view on whether these external recognitions are shared. Other
types of external audience recognitions can include awards to the
enterprise, team or individual. Examples include best place to work
awards, best product awards and the top 40 project managers
under 40, respectively. Furthermore, many organizations recognize
employees for achieving professional certification and designations
that are specific to roles, such as IT (program manager certification),
finance (certified financial planner) and accounting (CPA). Again, leaders
need to think about if they want to recognize employees when these
acknowledgments occur or let the recognition from the third party be
sufficient. Also, leaders need to consider if staff members are allowed
to accept gifts from customers and, if so, what are the parameters? This
decision should be made in conjunction with your organizations legal or
compliance department.
Direction
Another fundamental program design element is the direction in which
recognition flows. As shown in Figure 16, there are three general
directions in which recognition occurs top-down (e.g., manager
to employee), peer to peer (employee to employee) and bottom-up
(employee to manager). The impact of recognition can be maximized
when recognition flows in all of these directions throughout the
organization. An increasing number of programs are designed, so that
employees across the organization have the potential to be a recognizer,
as well as the recognizee the one receiving the recognition.
51
Figure 16: Directions of Recognition

Type
Definition
Why the Direction Is Important
Occurs when people

recognize someone who
is below them within the
organizational hierarchy
Many managers look up to their supervisors for recognition and

approval of their actions. Similarly, many individual / non-manager
employees turn to their managers in the same manner.
Some employees feel distinctly valued when their contributions are

noticed by more people than their direct managers. For example,
subordinate employees and managers often value feedback from
leaders who are two or more levels above them in rank ranging
from their bosss boss to a C-level executive in the organization.
Peer to
Peer
Typically occurs when people

of equal status recognize
each other. Depending
on the criteria, project or
situation, a peer could be a
person who is higher in title /
rank or lower in title / rank.
Organizational hierarchies are flattening and people are working

together more on multiple teams. To better engage individuals who
are on teams, organizations are creating programs that allow for the
direction of recognition to flow between peers and colleagues.
This structure also helps to encourage the repetition of key behaviors

and the behaviors by others in the organization aside from an
employees direct manager.
Bottom
up
Occurs when people

recognize someone who is
higher than they within the
organizational hierarchy.
Bottom-up recognition
includes nomination programs
for which employees
nominate leaders who have
exceled in a particular area.
Managers are measured increasingly on attributes

that determine how well they are training, motivating and engaging
their teams to achieve results. With that, they also need feedback and
recognition from those below them.
This structure also works to better support collaborative work

environments and, when necessary, to break down heavy top-down
hierarchy cultures (as discussed in the previous section of this report).
Top
down
The direction of recognition has evolved in recent years from a mostly

top-down approach to a combination of top-down and peer-to-peer.
More recently organizations have added programs that also include
bottom-up recognition. Lilly Canada is an example of an organization
that has implemented a structure that encourages all three of
these directions.
52
Case in Point: Lilly Canada Drives Recognition

across All Levels within the Enterprise36
Lilly Canada, one of Canadas top pharmaceutical companies,
is the Canadian affiliate of major American pharmaceutical
company, Eli Lilly & Company. When data from Voice of the
Employee surveys (done internally at Lilly Canada) showed room
for improvement in rewards and recognition between supervisors
and employees, Lilly Canada wanted to move to a solution that
would recognize and reward sideways, up and down as well as
peer to peer, and also supervisor to subordinate and subordinate
to supervisor. In 2010, Lilly Canada selected a third-party vendor to
help them do this.
KEY POINT
Lilly Canada wanted to
move to a solution that
would recognize and
reward sideways, up and
down as well as peer to
peer, and also supervisor
to subordinate and
subordinate to supervisor.
The HR team took the budget that it had for all of the other
rewards programs and reallocated that dollar amount into a point
value for use with the new system. This meant that Lilly Canadas
awards nomination process, along with all the dinners and gift
cards, were replaced with a performance-based points system.
Based on the number of people managed by each supervisor,
points budgets for supervisors were developed. The solution was
implemented to mimic the same performance leadership behaviors
that show up in Lillys performance management system and
code of conduct, in which performance management, leadership
assessment and rewards are tightly integrated together.
Training and transparent exposure were key to a successful
implementation. The transparency of the rewards program
online made it easy to see who was and was not being rewarded,
as well as for what supervisors were giving out points. The
transparency of the system also helped managers learn best
practices from each other. The HR team used both training and
learn-as-wego processes to bring the new rewards program to
managers, knowing that some managers would be concerned
with over-recognition.
36
For more information, Recognizing Employees: Lilly Canada Increases Employee
Engagement with a Dynamic Rewards Program, Bersin & Associates / Katherine Jones, July
2011. Available to research members at www.bersin.com.
53
Case in Point: Lilly Canada (contd)
Some of Lillys Canadian-based employees are managed by

global managers around the world. These managers also have
an opportunity to use the Canadian-based tool to recognize
their Canadian staff members. This helps to ensure that physical
separation or country location does not prevent the Canadianbased employees from benefiting by this offering.
Implementation of the rewards program has also given Lilly
Canada a way to track employee satisfaction and engagement.
The team used its 2010 I Love Rewards data to evaluate
implementation usage, as well as employees response to Lillys
Voice of the Employee survey. In fact, Lilly Canada has seen its
overall employee engagement scores go from an unremarkable
low-to-midrange score to a dramatic high. The company is now
the number one affiliate worldwide when ranked against peer
affiliates in employee engagement. e
Approval
In the context of this Employee Recognition Framework, approval is
defined as the level of complexity and approvers needed for recognition
to take place. As shown in Figure 17, there are three levels of approvals
to consider, including rigorous, informal and none.
Figure 17: Types of Approval Approaches

Rigorous

Approval
Process

Approvers
Informal
Recognition approval
requires input from a variety
of constituents to ensure
the right behaviors are
recognized and the reward
is appropriate.
Rewards programs tend
to have a high monetary
component or a great deal
of symbolism attached
to them.
Requires many of levels of

signoff and / or one very
senior department leader.
None
requires at least one other
person in addition to the
person who initially wants
to recognize the employee.
Rewards tend to be
symbolic or token.
Requires some approval;

usually simply verbal
permission and / or an email
giving permission.
requires no input in addition
to that of the person
who desires to recognize
another.
Rewards tend to be praise
or token awards.
No level of signoff
required.
54
Our research found that organizations have to strike a balance with

approval. Too many layers may deter people from participating in the
recognition process; too few will result in leaders failing to sponsor the
recognition program because they are uncomfortable with it.
Organizations should define an approval process that conveys when
recognizers need approval and when they do not. Consider the
How rigorous should our process be?
What circumstances and dollar amounts separate informal
from rigorous?
Visibility
For the purposes of recognition, we define visibility as the state in which
the recognition can be seen or heard by others. There are three main
settings in which employees are recognized, including public, group and
private. Each of these is explained in greater detail in Figure 18.
Figure 18: Details on Recognition Visibility Levels

Type
Definition
Open to all employees and / or other
audiences, such as customers, media
or partners
Considerations

Many recognition programs incorporate a public

element to increase transparency and perceived
prestige. For example, a rewards program that allows
many people, perhaps even the entire company, or
external clients and partners to participate, is highly
transparent and confers a high degree of prestige. To
ensure transparency, an organization may require that
all nominees who win be recognized in a public setting.
There are varying degrees of employee comfort

with respect to public recognition. For example, some
employees may be comfortable being on a public
letter or email list, but have absolutely no interest in
going on stage to be recognized (or being asked to give
a speech before a group).
To allow employees who do not want to be announced

publicly for something, rewards program owners and /
or managers should be sure to disclose the level of
visibility in advance, so that employees can opt-out if
that is their preference.
Public
55
Figure 18: Details on Recognition Visibility Levels (contd)

Type
Definition
Given in a more intimate
environment, such as in front of
a team or department
Considerations

Similar to public visibility, many recognition programs

need to be delivered in a group setting to increase
transparency (e.g., monthly department or small
team contests).
Since managers have a greater degree of control

over what happens in their departments, they can
more easily customize the program to align with
employee preferences. For example, if there are
employees who despise walking in front of a small
group and giving a speech, the manager can say a few
words on behalf of his / her employee and hand that
person the reward.
Some recognition does not require a high degree

of transparency. As such, this recognition can be
completely customized based on the employees
preference for private recognition.
Sometimes managers need to acknowledge one person

privately because a confidential element was recognized
(e.g., a milestone to IPO planning or other liquidity
events cannot be disclosed due to industry regulations).
Group
One-on-one recognition
Private
KEY POINT
When thinking about
visibility, organizations
need to consider the
right balance between
what the employee
prefers and the program
requirements.
Technology is an additional important visibility consideration. Many

organizations are creating programs that use online social platforms to
facilitate recognition. These platforms allow everyone registered to view
and contribute to Facebook-like news feeds. This is a very public way
of displaying who receives recognition, why they get it and what rewards
are given. This format increases the transparency of the program and
potentially the engagement of some employees. That said, the platforms
can be used for group or private recognition as well. For example, some
organizations will establish internal limitations on who can see what,
so perhaps only a department can see the recognitions taking place. In
addition, people giving recognition can choose to send it only to the
person being recognized making the recognition private. Employees
should still keep in mind that the recognizees preferences regarding
recognition when using these systems and adjust their recognition
approach accordingly.
56
Overall, when thinking about visibility, organizations need to consider

the right balance between what employees prefer and what the
program requires.
Frequency
In the context of recognition, frequency refers to the rate at which
the recognition occurs or is repeated over a particular period of time.
Recognition can be given annually, quarterly, monthly, weekly, daily or a
combination of these timeframes.
The primary factor determining recognition program frequency is the
program purpose and criteria, which we have already discussed at
length. Many programs are event-driven and frequency is determined
based on key dates. For example, highest annual revenue or MVP criteria
requirements can take a year to complete. As a result the event would
occur once a year; however, reminders about the performance levels
necessary to attend the event could be sent out on a quarterly basis.
Conversely, some performance and behaviors occur spontaneously. In
these instances, recognition frequency could be daily or whenever the
behavior occurs.
It is important to take into account employee needs when determining
frequency. At the beginning of this report, we discussed the importance
of employee motivations. When determining appropriate frequency,
consider how recognition will motivate employees. For example,
managers and peers comprise an employees close network at work
regular recognition from this group will enhance the employees sense
of belonging, in addition to communicating the value of the employees
specific activities. On the other end of the spectrum, senior leaders
tend to be representative of the entire organization and recognition
from them will likely have a greater impact on an employees sense of
esteem and accomplishment. Since this type of recognition contributes
differently to the employees motivation, less frequent recognition may
be appropriate. There is no universal right answer when determining
recognition frequency, as this is something that will vary based on the
goals of the program, the organizations culture and the people involved.
KEY POINT
Generally speaking,
more genuine, targeted,
thoughtful recognition
is better than less, as
it reinforces the right
behaviors immediately.
57
Generally speaking, though, more genuine, targeted, thoughtful

recognition is better than less, as it reinforces the right behaviors
immediately. An example of organization that has incorporated frequent
recognition is Trinity Health, which is the 12th largest healthcare system
in the U.S. Trinity Health encourages teams to begin meetings with a
Reflection, perhaps a thoughtful reading, a humorous story, or simply
a moment of silence, to bring participants fully into the meeting. At
the end of the meeting, teams are encouraged to express some form of
appreciation. Depending on what the focus is, the appreciation could
go to the entire team or an individual. It could also be recognition of
something significant or a small contribution. Regardless, the point is
that taking the time to be intentional with appreciation or recognition
can be easily integrated into daily or weekly activities; it does not have
to take a lot of time or cost a lot of money, and it has the potential to be
extremely memorable. Furthermore, it makes appreciation part of the
everyday culture.
Delivery
Delivery refers to the methods used, so that recognition can touch an
individual or group of individuals. There are four main ways in which
recognition is delivered, including face to face, letter / email, event and
online platforms, as shown in Figure 19. Organizations should consider
each one, and how it relates to the organizations and employees needs.
58
Figure 19: Types of Delivery Methods
Face to Face
Letter / Email
To capture spontaneous, in-the-moment

recognition as it occurs
To personalize or express thoughtfulness
To engage a team at meetings
To show transparency within program (e.g.,
awards competitions)
To recognize a lot of people who are remote or

in different areas of the business (e.g.,
newsletters)
To demonstrate special acknowledgments (e.g.,
tenure or other)
To personalize (e.g., thank-you note signed by
one person or a group)
Events
Online Platforms
To acknowledge select audiences in a

personalized structure (e.g., formal awards
ceremonies for top 100, customers service
representatives MVP or innovator)
To instill common behaviors among groups
(e.g., team-building athletic events that offer
prizes for demonstrating valued behaviors)
To recognize teams or individuals on an ad-hoc
basis (e.g., team appreciation lunches and
dinners)
To convey program information or distribute

awards; examples of platform types include:
Intranet and / or external website
Points-based platforms
Social platforms
Mobile devices
Once your organization has had a dialogue about the delivery platforms,
it is time to move to the next section of the Framework in which
customization will be discussed in detail.
Customization
We define customization as the way an organization may alter its
recognition program to meet the needs of employee types, business units
and geographies. Figure 20 shows some of the different populations
requiring customization.
59
Figure 20: Customization Considerations

Customization Type
Considerations

Salaried versus Hourly
HiPo versus Solid Performer
Employee Type
Business Unit /
Function
Product Group A versus Product

Group B
IT versus Finance
Major City versus small town
State / Province A versus State /

Province B
County A versus Country B
Geography
Key Questions

How do you want to engage different audiences

to participate (e.g., professional, hourly and
critical segments)?
What recognition programs could you target

that would be both fun and are based on your
business objectives and criteria?
When is behavior uniformity across the

enterprise the goal and when should the
approach be segmented?
Are there different behaviors you want to

encourage that vary from one department to the
next (i.e., pharmaceuticals division versus a food
product division)?
Do interpretations for a core behavior vary from

city to city or country to country (i.e., how do
you show respect in different cultures)?
How should you segment your materials (e.g.,

colors used, language translations, time zone
considerations, etc.)?
Organizations need to think through the different ways recognition

should be customized in terms of the overall approach and the reward
components (Rewards will be discussed in greater detail in the next
section). In addition, when creating the segmentation, leaders must
ensure that what is created is perceived as fair and equitable.
Measurement
As we have alluded to throughout this report, measurement is an
important aspect of developing a comprehensive recognition strategy.
Specifically, you should consider how to design your organizations
measurement approach, methodology and reporting (as shown in Figure
21). Once you have thought through these elements, create an action
plan to move your organization forward.
60
Figure 21: Components That Lead to a Measurement Action Plan
Approach
Methodology
Measurement
Action Plan
Reporting
Approach
A measurement approach details how the organization will measure the
program and identifies who will be responsible for this task. For example,
large and global organizations may engage a group of local champions
on the project team who can more easily gather and assess information
in different countries and regions. When approaching measurement,
organizations should also consider defining what results they will
measure immediately and what will be measured over the long term. For
instance, if your organization has not valued recognition in the past,
61
it could take from several months to years for some cultural changes to
appear. Other changes may be noticeable almost immediately.
Methodology
We view methodology as the underlying rules and protocols for
measuring recognition. For example, what will you measure to show
the impact of recognition? Will you use employee engagement scores,
performance reviews, sales results, retention data or something else?
After you know what you would like to use across multiple departments
and geographies, it is important to think about how you will get this
data. It is critical to partner with the owners of this data, so that you can
get what you need quickly.
Reporting
Determine early on what types of information you will share, with whom
the reports will be shared and how frequently reports will be distributed.
Many companies create dashboards for the leadership team that
show everything from rewards redeemed and time spent on an online
recognition website, to the list of behaviors changed and the business
goals achieved. Sometimes report creation and distribution require levels
of customization. For example, will you share different reports with
leaders in the U.S., as compared with those in Australia?
Measurement Action Plan
The answers to the questions introduced in the previous section will
enable you to create a measurement action plan. We have summarized
these questions as follows.
What resources do we need to measure our programs? Who do we
need to engage and how should we engage them?
What methodologies will be used to show the impact of recognition?
What tools will we use to measure key performances, behaviors
and actions?
From what regions and departments will we collect data?
When will data be compiled by the recognition team and when will it
need to come from someone else?
62
What reports will be created and to whom will the reports

be distributed?
How often will reports be created?
Overall, establishing a clear approach, methodology, reporting structure
and action plan will help to ensure that programs are structured in ways
that it can be further optimized in the future.
Rewards
Overview
KEY POINT
Our research found
that 57 percent of
organizations with a
recognition and reward
program had strong
financial performance.
With most of the core elements of the recognition program determined,

the next step is to think about what, if any, types of rewards should
be part of the recognition program. As discussed earlier in the report,
both appreciation (without any financial elements) and rewards make
noteworthy contributions to employee motivation.
That said, we do have some indication that recognition programs
which also have rewards may correlate with organizations with better
financial performance. In our High-Impact Performance Management
research37, we found that 58 percent of organizations provide individual
or team recognition, but only 36 percent have a formal rewards
program. This research also found that organizations with recognitiononly programs or recognition and rewards programs both had better
employee38 and talent39 results than organizations that lacked those
programs. Interestingly, though, we only found a relationship between
organizations with both recognition and rewards programs and financial
performance we did not find that organizations with recognitiononly programs had better financial performance. Specifically, we found
that 57 percent of organizations with both a recognition and reward
37
For more information, please see our High-Impact Performance Management
industry studies, available to research members at www.bersin.com/library or for

purchase at www.bersin.com/hipm.
38 Employee results is an index comprised of employee productivity, employee
engagement and customer satisfaction.
39 Talent results is an index comprised of hiring the best people, developing great
leaders, developing employees, retaining top performers, planning for future talent
needs, having the right people in the right jobs.
63
program had strong financial performance; however, only 38 percent

of organizations with only a recognition program had strong results
about the same percentage as those organizations that lacked both a
recognition and rewards program.
This research clearly indicates that organizations need to at least consider
if it is appropriate for them to include rewards in addition to their
recognition program. Within this section, we will discuss each reward
category in more detail.
Reward Types
Organizations use several types of rewards to motivate employees.
As shown in Figure 22, these can be divided into three categories
emblematic, token and monetary. We define emblematic rewards as
recognition that represents an acknowledgement of contribution, but
typically cannot be converted to something with monetary value. We
include certificates, plaques and trophies in this category. Although they
cost some money to produce, they are not seen by the recognizee as
having monetary value. Token rewards include items that cost money
but are viewed by recognizee as rewards of token value, usually less
than $100. The monetary category includes rewardsthat are not of token
value. This category generally includes rewards that cost more than $100.
Figure 22: Reward Types*

Emblematic

Token
Praise and appreciation

Special projects (e.g., new skills)
Certificates
Trophies
Plaques
Gift cards
Candy / flowers
Lunches / dinners
Merchandise
Points that convert to other
token items
*Note: The items listed in this figure are suggestive of the types of rewards
within each category, but are not exhaustive of all types of rewards.
Monetary

Special trips (e.g., team outings)

Awards conferences
Learning conferences
Cash / vouchers
Extra paid time-off
KEY POINT
Progressive organizations
are flexible in that they
allow staff members
to give different
rewards to different
people. This allows
for a greater degree
of thoughtfulness and
reward customization.
64
To determine which reward is most relevant, organizations should

think back to the recognition criteria, as well as the overall purpose of
recognition described in the strategy section of this paper (This section
also includes the discussion on employee motivations).
As part of thinking through each of the individual rewards for every
reward type, the program team needs to determine who should select
the reward type for the employee either employees themselves or
the company.
Many organizations are flexible in that they allow employees to give
different rewards to different people. This allows for a greater degree
of thoughtfulness and reward customization. For example, one leader
from a large services organization shared some commentary from one
of his high-performing employees at a monthly checkpoint meeting. The
employee stated, I never get recognized. He responded, What do
you mean? You got a few days of extra paid time off, cash and several
gift cards over the past two years. The employee replied, Yes, but I
have never received a plaque in front of the group. So, for her, the
appreciation was the plaque that would be placed prominently on the
wall in the hallway while for others it may be the cash or extra paid timeoff. Overall, when rewards and the appreciation itself are thoughtful and
closely align with the employee needs, employees are more likely to be
motivated down the road.
Companies should consider distributing rewards that are companyselected when using them will either give them greater control over
costs or when they want to deliver unique messages that can only be
communicated by using a particular category of rewards.
The last thing organizations need to consider as part of rewards is the
mix of reward types given. Consider the following questions.
What is the right mix of non-monetary versus monetary rewards?
When will a certificate or a simple thank you suffice?
Is cash really necessary?
As we discussed in earlier sections of this report, praise is valuable,
sometimes more valuable than rewards with cash equivalents. Research
experiments suggest that a small reward or a small rewards can have a
productive effect. Heyman and Ariely (2004) suggest that, when offered
a small amount of money, people are less likely to put forth effort
65
into a given task than if they were not offered any sort of financial
compensation. On the other hand, if they are given a friendly gift, such
as a candy bar, they will tend to exert more effort. Interestingly enough,
once a monetary value is attached to a gift, the transaction is likely to be
seen as though it exists in a monetary market, and effort tends to be less
than if the dollar value had not been made apparent.40
Three additional items should be considered as part of program design
employee support, vendor strategy and talent management integration.
We discuss each of these in detail in the following sections.
Employee Support
Employee support should not be forgotten when designing your
recognition program. One of the first things to do is to establish a
go-to person or group of people the employee can contact with
questions about the recognition program. This person may be within
the business unit, HR, or perhaps with the vendor who helps administer
the person. The employee support persons responsibilities should be to
answer questions about the overall program, the rewards program and
its requirements.
Vendor Strategy
Vendors play an important role in the design and implementation of a
recognition program. They can generally be divided into the following
(not mutually exclusive) categories (see Figure 23):
1. Survey vendors;
2. Tangible rewards vendors;
3. Consultants; and,
4. Technology vendors.
40
Source: Effort for Payment: A Tale of Two Markets, Psychological Science / James
Heyman and Dan Ariely, University of California, Berkeley and Massachusetts Institute of
Technology, March 2004.
66
Figure 23: Vendors Categories to Consider
Surveys
Technology
Recognition
Vendor
Options
Tangible
Rewards
Consultants
KEY POINT
Organizations need to
evaluate vendor costs
across the organization
to identify talent
management process
improvements and other
operational synergies.
We explain these vendor categories as follows.

1. Survey Some HR organizations use external survey vendors to help
them to answer key questions and conduct detailed analyses. In other
cases, organizations create and analyze their own surveys. Organizations
need to decide who will conduct the surveys necessary to obtain key
data about topics, such as employee engagement and satisfaction.
2. Tangible Rewards Numerous vendors provide tangible rewards, such
as merchandise, gift cards and trophies.
3. Consultants Consultants provide services to train managers or
prepare marketing materials, among other services.
4. Technology As part of this effort, there are several types of
platforms to consider, such as those used for administering surveys,
rewards (e.g., point redemption systems, social recognition
technology) and training (e.g., online learning modules).
67
Another consideration is the number of vendors or suppliers your

organization already uses today, both locally and globally. With this
understanding, companies can decide where to consolidate, add or
remove suppliers to meet their needs. Moreover, organizations need
to evaluate vendor costs across the organization to identify talent
management process improvements and other operational synergies.
Talent Management Integration

The last portion of the design section of the Framework is talent
management integration. A well-designed recognition program will
integrate with and add value to other talent management programs
such as compensation, benefits, performance management, engagement,
learning and even recruiting. It will also work to ensure there is no
duplication of effort.
KEY POINT
A well-designed
recognition program
will integrate with and
add value to other talent
Earlier in the recognition strategy section of the Framework, we

identified how recognition can intersect with other talent management
disciplines. As part of that section, we asked you to consider which
strategic talent management integration actions should be
incorporated into your organizations recognition program. Now, you
should identify how those key strategic actions will be integrated on a
tactical level. For example, consider the following questions.
How many days should we allow for extra paid time-off as part of the
recognition program?
management programs
such as compensation,
benefits, performance
management,
engagement, learning
and even recruiting.
What are the parameters for flexible work schedules as part of the
recognition program?
Another important component to consider is performance management.
For example, To what extent should recognition feedback be captured
in the performance management system and who will be responsible for
ensuring this takes place?
68
Part 3: Program Launch, Management and

Measurement
Figure 24: Bersin & Associates Employee Recognition Framework Governance & Management, Metrics &
Evaluation, and Launch
Design
Visibility
Budget
Frequency
Criteria
Recognizers
Direction
Delivery
Customization
Approval
Measurement
Rewards

Audience
Launch
Overview
Page 1
Once a program is designed, it has to be launched, managed and

measured regularly. Considerable thought should be given to deciding
the optimal implementation and supporting governance model
for recognition. These efforts allow you to keep critical lines of
communication flowing from the business to supporting HR functions.
The evaluation of your recognition program requires the tracking and
use of key metrics to drive continuous improvement, and to ultimately
improve the performance, retention and engagement of your workforce.
This next section will discuss the three areas shown in Figure 24:
69
1. Launch;
2. Management and governance; and,
3. Metrics and evaluation.
Launch
Launch is the time when the stakeholders need to create and execute
a plan that communicates the recognition programs purpose and its
benefits to employees. The four key elements include a branding plan,
employee training, marketing and communications. This next section will
discuss each of these elements in detail.
Branding Plan
A branding plan helps to convey to employees the details of the
recognition program. As part of the program strategy and design section
of the Framework, organizations should have collected feedback from
employees to understand how they perceive recognition and what
they would like from the program. In addition, key program criteria
should have been defined. This information should be included in the
branding plan. Other factors that will inform the branding plan are the
organizations overall brand, the variations on that theme for existing
complementary programs and appropriate message segmentation
for different employee populations. For example, what will you say
for programs targeting HiPos, midlevel managers in China or another
population? What messages will be the same and what will be different?
The overall recognition program and individual rewards program
messages should be simple, meaningful and consistent. For example, the
Calgary Marriott uses the name S.P.I.R.I.T. and it includes the things the
organization values special recognition, participation in the community,
introducing new business, recruitment, innovation and team recognition.
The performance and behaviors valued are clearly articulated in the
programs name.
Employee Training
KEY POINT
Training is one of the
most important elements
of the launch section.
Training is one of the most important elements of the launch section.

Employees, and especially managers, are very busy, so time away from
their regular work needs to be a valuable use of their time. Therefore,
the training program must be simple, relevant and concise. Employee
training initiatives should focus on two fundamental areas.
First, managers should be trained on how to motivate and recognize
their employees. This includes what performance and behaviors should
be recognized (as identified through the program criteria), as well as
how to give the recognition. Specifically, managers should be equipped
with knowledge about how to recognize employees in a thoughtful
and meaningful way. For example, what types of words should they
use and in what manner should those words be conveyed? To do this,
many organizations have created programs to guide managers on best
practices in recognition and employee motivation.
The following case in point is an example of an organization that has
integrated recognition into its management training programs.
Case in Point: Financial Services Organization

Trains Managers to Be Program Ambassadors
With roughly 10,000 employees, a large financial services
organization has incorporated several manager training programs
to explain the importance of recognition and how it should be
used to motivate employees. The organizations recognition
programs encourage managers to give praise and feedback that
tie with business goals, while also motivating staff with rewards
based on their preferences (e.g., cash, certificates, and verbal
praise, and other).
To do this, the organization offers supervisor training to all
managers in the form of two courses. The first course, which is
offered to all new supervisors, focuses on the fundamentals of
management. It includes an introduction about recognition,
70
71
Case in Point: Financial Services Organization Trains Managers (contd)
motivation and rewards intended to define key concepts and

how they should be used across the organization. The second
program takes a more in-depth look at management essentials.
This program lasts eight weeks, and includes a deep-dive
on motivation and rewards. In this session, the organizations
managers are taught how to critically think about what drives
their employees professionally and personally. In addition, the
program educates managers about how they should motivate
staff and configure recognition messages that are meaningful.
Then, the program connects the motivations with rewards
that are appropriate based on the organizations business
goals and culture. Finally, the training programs reinforce the
branding messages, criteria and benefits of its enterprise-wide
recognition program.
Overall, the results of the manager training program have been
instrumental in keeping employees motivated, engaged and
retained and, importantly, are driving the business forward.
Furthermore, the fact that the programs are structured helps to
ensure all managers implement the programs in an efficient and
engaging manner. This structure facilitates continuity with the
organizations overall recognition effort. e
KEY POINT
Managers should be
equipped with the
knowledge about how
to recognize employees
in a thoughtful and
meaningful way.
A second fundamental element is training on the program itself. Many

organizations offer multiple sessions which include hands-on training, as
well as online tutorials. Organizations should also consider when training
is necessary. For example, do employees just need written instructions
about how to complete nomination forms or do they need training on
how to communicate strengths on the nomination form?
Across the past few years, there has been a growing trend in online
recognition platforms. Training may be needed on these platforms;
however, the goal of most of these platforms is to make the programs
intuitive enough that no major training is required. These platforms
include features such as distributing thank you notes and allocating
points that can be traded for merchandise. As discussed earlier, some
vendors also provide systems that also include a social networking
component to them the ability to have a news feed like what is
provided on LinkedIn or Facebook. As a result, there is a need for on-line
72
and sometimes in-person training that provides guidance on the dos

and donts of using a real-time system.
Marketing
KEY POINT
Corporate marketing
materials should be
educational, succinct
and truly describe the
main messages of the
recognition program,
so that it resonates
with staff.
As part of the launch, corporate marketing materials must be created.

They should be educational, succinct and truly describe the main
messages of the recognition program, so that it resonates with staff.
In addition, if your organization partners with a third-party vendor, it
may want to incorporate some of that providers materials, particularly
with respect to the functionality or items that will engage an employee
to participate. Core marketing materials generally include, but are not
limited to:
Brochures;
Intranet portals and newsletters;
Flyers; and,
Written / video testimonials.
All materials should support the criteria of the program and the
organizations culture and values overall.
When thinking about the marketing plan, some organizations prefer to
keep the details on the companys internal website or intranet. Others
may choose to communicate the program or elements of it externally on
the web, so that it is visible to the public. For example, one organization
may simply decide to write a small paragraph about the program on the
recruiting section of its external website to help attract candidates. Other
organizations may decide to post the details of their entire recognition
programs prominently on their external websites. For example Kern
County Superintendent of Schools displays the program on its home page
as shown Figure 25.41
41 Source: http://kern.org/.
73
Figure 25: Kern County Superintendent of Schools Home Page
Source: Kern County Superintendent of Schools, 2012.
Kern County also shows the complete details of its program on this
external website, as shown in Figure 26. A summary of the recognition
program is shown at the top of the page. (In addition, Kern County posts
a brochure about recognition on its website (see section, Appendix I:
Additional Figures for more details.)
74
Figure 26: Kern County Superintendent Schools Recognition External Website Page
Summary
Program
Components
Source: Kern County Superintendent of Schools, 2012.
Communication
With the branding plan, training programs and marketing materials
created, it is time to communicate the recognition program(s) to
employees. At this juncture, it is important to determine who within
the organization will communicate the initial launch of the program.
You should also establish who will continually communicate about the
program, so as to maintain the greatest levels of engagement. Within
both of these communications, it is important to communicate to
employees what they get out of the recognition program why they
should recognize peers and what they will gain from supporting each
other and the organization as a whole.
Executive sponsorship of the program is perhaps most strongly
demonstrated by the companys CEO. For example, KPMG in Canada had
its CEO launch the initial recognition program; he continues to support
the program by talking about it frequently when he has conference calls
75
or meetings with employees. As another example, the CEO and president

at Meridian celebrates the success of the program on an ongoing basis
by sharing recognition success stories with the entire organization during
Meridians Early Word conference calls, which occur approximately
every quarter.
As part of the communications, organizations also need to think about
what tools will be used to communicate the program. Communications
can be delivered through venues such as online mediums, lunchrooms,
town halls, and conference calls. Written marketing materials should
be prepared and disseminated as appropriate. Organizations should
also think about who will create new materials when programs change.
Employees often need reminders about programs because they have so
much on their plates that it is easy to forget about them.
For example, a large company in the services industry has a very enticing
recognition program but company-wide participation in it is very low.
The performance-based recognition program evaluates a number of
manger-nominated employees and then selects 10 winners quarterly
who receive a $1,000 gift card. Those winners are then entered into a
grand prize for that quarter an attractive one week of paid time-off
and a $5,000 travel voucher to go wherever the employee wanted to
go. However, the organization is struggling to get nominations because
information about the program was inadequately communicated to
managers. To address this, the company plans to hold one-on-one
conversations with managers to increase levels of engagement in
the program. Furthermore, the program team plans to promote the
programs in the company newsletter and in onboarding programs.
Communicating the recognition program to new employees is important.
New employees join the company on a regular basis. It is important to
determine what programs will be communicated though onboarding
programs, what programs should be communicated by managers and
what programs should be communicated by other materials sources
or venues.
Finally, you should also determine how best to communicate the program
to managers, particularly when elements of the programs objectives
are temporary tied to key performance indicators or the manager needs
to allocate some of their work hours to recognition training. Be sure
to clearly articulate to managers what they will gain from engaging in
recognition activities.
76
Management and Governance

KEY POINT
The management and
governance portion of the
Framework is designed to
help organizations think
about how to sustain the
program over time.
For the recognition program to be effective over the long-term,

HR executives, business leaders and other employees must make an
ongoing commitment to it. The management and governance portion
of the Framework is designed to help organizations think about how
to sustain the program over time. In this section, we will focus on five
components that are critical to the overall operation of the program,
including executive sponsorship, administration, compliance, equity and
ongoing optimization.
Executive Sponsorship
As with any major business initiative, and particularly holistic recognition
programs, executive sponsorship is vital. While HR is often the main
executive sponsor, for recognition to be successful, the CEO must buy
into the strategy. It is difficult to create a unified culture of recognition
without this support. It is also important for other C-level executives to
support the initiative. These leaders have the greatest influence over
other managers in different business units, geographies and functions.
Strong leaders lead by example, this management style is essential
to promote recognition broadly, particularly when praise and simple
thank yous are not part of the culture. It is also important to note
that leadership tends to change over time, so be sure you have multiple
executives, managers and others onboard with the initiative.
Administration
Program administration is an important element in optimizing returns
from the recognition program. Today, many recognition programs
operate in silos with business units and departments doing different
things that are not transparent to others in the organization. This can
result in behavioral inconsistencies, employees misunderstanding what
is worthy of that recognition and employees viewing the programs as
unfair. Furthermore, it is next to impossible to measure recognition
programs in a meaningful way when you do not know what is happening
across different business departments.
Progressive companies centralize program administration and generally
have one person spearhead those efforts usually a program manager,
project manager, analyst or other. When there is a lot of decentralization
in the business and /or decentralization needed for certain recognition
77
programs, this persons role would be to coordinate all activities in a

way that makes the program easier to measure. This person would
also oversee the creation and monitoring of key metrics and other
dashboards. This is no simple undertaking. Many organizations also use
task forces to provide support. The task force is comprised of individuals
from multiple regions with different domain expertise.
Compliance
Over time, policies, procedures and goals may change. In addition, it is
possible that people stray from the programs goals and policies. To help
combat this, organizations should think about how they will regularly
communicate policies and any changes to them. However, misalignment
issues are not always easy to see. To help manage compliance more
proactively, many organizations conduct audits of the program in a nonobtrusive way.
Some organizations involve their finance and legal departments in
the program management process, particularly since those divisions
have domain expertise about how the enterprise needs to adhere to
country, state and local regulations. For example, consider compliance
as it relates to rewards, and particularly cash and trips. Rewards must
be in compliance with all applicable tax laws. Rewards can also have tax
implications for employees; it is important to figure out how you want
to address them. Intuit, for example, offers a awards program, in which
the company grosses up the recipients income to cover award taxes
for employees.42
Equity
A key portion of the recognition strategy and program design elements
of the Framework is putting forth a structure that ensures the program
is equitable over time. Program criteria may change, new programs
are often added and some are discontinued. When these situations
occur, it is important for someone to evaluate how the changes affect
the recognition program as a whole, as well as the diverse business
departments. The following are key questions to ask.
42 Source: http://talentmgt.com/articles/view/intuit_spotlights_strategic_importance_
of_global_employee_recognition/3.
KEY POINT
The likelihood of
inequity increases when
a subset of people in
the organization use
the program and others
do not.
78
Are the new criteria transparent for employees?

Who do we need to notify when programs are discontinued?
For the program to have the best chances of being viewed as credible by
employees, it is critical that changes to criteria, scoring methodologies,
and material changes to rewards are conveyed in a timely fashion.
Also, when thinking about equity, organizations should consider how
often programs are being used. The likelihood of inequity increases
when a subset of people in the organization use the program and others
do not. Typically, when managers and employees are engaged with the
program, they use it appropriately. When they are not, they are not likely
to make it part of their routines.
For example, many organizations provide managers centralized funding
to provide on the spot recognition. Some managers may use all of this
budget while others only use 10 percent. It is unreasonable to expect that
managers use every penny to reward staff some peoples performance
will not be worthy. However, it is essential to look at extremes to see if
there is an equity issue. With that said, tracking this activity is no easy
undertaking. Some companies have protocols in place to track this either
manually or as part of a financial budgeting program. It is also important
to point out that technology configured specifically for recognition is
evolving to better track who is recognizing and why the recognition
is occurring.
Ongoing Optimization
Ongoing optimization is essential to ensure a successful management
and governance program. The number one factor influencing its success
is how effective an organization is at ensuring that the programs vision
evolves over time to align with business goals and employee needs.
However, our conversations with leaders reveal that there is some
significant work to be done in this area.
As mentioned earlier, the majority of companies with programs today
lack a holistic strategy and fail to embrace the right measurement
practices. To increase the effectiveness of their optimization efforts, HR
leaders should focus on doing the following three things.
79
1. Assess Metrics Relative to Benchmarks Today some organizations

are just not measuring the right things while others, unfortunately,
are not measuring at all. When the right metrics are in place and
realistic goals are set, it is easier to make proactive changes to the
program and work with those accountable to make progress.
2. Collect Continuous Feedback on Programs There must be a
structure in place, so that program owners can continuously collect
feedback from staff. As we mentioned earlier, some of this feedback
is collected through employee support initiatives. In addition, some
companies use focus groups, surveys and one-on-one conversations
to obtain insightful and up-to-date information about the
programs effectiveness.
3. Meet Regularly to Discuss Progress and Set New Goals The program
team should meet to discuss progress and set new goals when
appropriate. Progressive organizations schedule regular meetings
with the program manager, project team, executive sponsor and
other leaders, when necessary. How often the team meets with each
group depends on the complexity of the program, as well as the size
of the organization.

The final portion of the Employee Recognition Framework is metrics and
evaluation. Incorporating the right metrics and evaluation processes are
key to ensuring the overall success of the recognition program and its
role in meeting business goals. In this next section, we will discuss seven
fundamental elements, including business outcomes, performance,
behaviors, employee satisfaction, employee engagement, employee
retention and activities and participation level. At this stage of program
implementation, organizations should establish key benchmarks for each
of the elements that they want to track, and also decide who will review
the metrics (e.g., which business leaders and HR leaders) and how often
they will be reviewed.
Business Outcomes
Business outcomes include a wide range of potential metrics in addition
to financial measures, such as increased customer satisfaction, greater
employee commitment, enhanced leadership effectiveness, more
KEY POINT
Generally speaking,
the exact business
outcomes vary from one
organization to another,
but all should be items
that are measurable
and drive the business
forward.
80
productive sales approaches, improved work quality and so forth.43 While

these are not direct financial measures, business leaders understand that
they are key contributors to financial performance and are often leading
indicators of future business success.
When thinking through business outcomes, organizations need to
ensure that the goals which will be regularly assessed are clear. This was
discussed at length in the vision element of the strategy section of the
this report. Generally speaking, the exact business outcomes vary from
one organization to another, but all should be items that are measurable
and drive the business forward. For example, most organizations view
improving customer service as something that will influence revenue
and business outcomes, but what else pertains to your business?
Manufacturing organizations may set Six Sigma44 goals. Organizations
with significant turnover may focus on employee commitment or
engagement. Keep in mind, such challenges can vary across among
business units.
The following questions are intended to help you to think through
program evaluation.
Have we achieved our business goals? If we have not, what did we
do wrong?
Do our goals need to be redefined?
If we reached our goals, have we celebrated our success in a
meaningful way?
How do we want to communicate our success and areas to improve
upon to program stakeholders and other employees?
Performance
Measuring performance is critical to the success of the overall recognition
effort. This includes the measuring of the performance of individual
employees and evaluating the recognition programs as they relate to
43 Source: The Six Disciplines of Breakthrough Learning, Calhoun Wick, Roy Pollock,
Andrew Jefferson, Richard Flannigan / John Wiley, 2006, http://media.wiley.com/product_
data/excerpt/21/04705265/0470526521.pdf.
44 Six Sigma is a rigorous, focused, high-impact process that uses proven quality
principles and techniques to reduce process variance. For more information on Six Sigma,
please visit http://www.isixsigma.com, which offers articles and easy-to-read examples of
how to apply Six Sigma to any business process.
KEY POINT
Measuring performance
is critical to the success of
the overall recognition
effort.
81
key criteria and business outcomes. For example, consider the following
questions, Did the rewards program in Division A contribute to a rise
in revenue by X percent compared with the previous year?, and Based
on our criteria, what performance improved the most? With answers to
these types of questions, organizations can best determine how well its
recognition efforts are performing and which changes to the programs
are warranted. Furthermore, organizations can more accurately adjust
performance metrics and benchmarks as necessary.
It is also important to once again point out that recognition is a
supplement to traditional performance management (e.g., reviews,
360s and promotions). With that, as part of the evaluation process,
organizations need to identify what elements of the recognition
program should be measured and documented as part of the
performance management process.
Behaviors
Measuring the valued behaviors is critical to the programs success.
Similar to what was discussed in performance, organizations should
review their criteria, and determine if the behaviors recognized
actually contributed to the individual performance of employees and
business outcomes. Furthermore, organizations need to determine if
the behaviors highlighted as most valuable supported their objectives
pertaining to culture. Questions to consider include the following.
Did we recognize the right behaviors?
Were employees aware of what the organization values the most?
After reviewing the metrics and assessing what contributed to them,
organizations are best prepared to make any necessary changes to their
programs and adjust metrics as necessary.
Employee Satisfaction
As part of the strategy and program sections in this report, organizations
were asked to consider getting feedback from employees about rewards,
including how they would like to be recognized, what training they
needed, and more. Based on these findings and the resulting design
decisions, it is critical to go back and get a pulse on how employees
view your programs. To do this, many organizations once again conduct
surveys or use other methods (e.g. informal on-one-ones or focus groups)
82
to collect employee feedback. Based on that feedback, it is important

to incorporate relevant changes to the program and adjust metrics
as necessary.
Engagement45
Many organizations conduct an annual survey to measure employee
engagement, satisfaction and retention. It is important to point out
that satisfaction is not the same as engagement.46 Employees can like or
dislike an attribute with respect to their jobs emphasizing satisfaction
or dissatisfaction. Engagement, however, is more about determining if
the motivation is there for them to do their jobs. For example, Is an
employee emotionally connected to his / her job?, and How much
discretionary effort will employees put forward? Once the recognition
program is implemented for a while, it is essential that organizations
assess how the recognition program impacted engagement and then
make changes as necessary.
Retention
As the economy begins to improve, many organizations are concerned
about employee retention. As a result, progressive organizations are
incorporating measurable recognition programs to help them improve
retention. Retention is generally evaluated using data from the
following sources:
Turnover data either collected manually or reported in an
organizations human resource management system (HRMS); and,
Survey data that assess levels of employee engagement and their
implications for retention.
Once these items are evaluated in conjunction with the other elements
of measurement, organizations are most prepared to make changes to
their programs and update their key benchmarks.
45
For more information, The Employee Engagement Primer, Bersin & Associates / Brenda
Kowske, Ph.D., January 2012. Available to research members at www.bersin.com/library.

46 Employee engagement refers to an employees job satisfaction, loyalty and
inclination to expend discretionary effort toward organizational goals.
83
Activity and Participation Level

Ask yourself, Did our organization achieve the tactical program
goals we set out to achieve? Some of the items to consider as part of
evaluating the program activity level include:
Recognition budget versus spend;
Number of people who participated in a particular program;
Number of people who registered to use online social networks;
Number of awards given;
Type of reward given;
Number of points redeemed;
How much time employees spend on the companys recognition
website; and,
Documentation of recognition by recognizer type (e.g., manager,
customer, peer).
Many of these metrics should be part of the reporting dashboard that
was created as part of the program design section of the Framework
(measurement element). Organizations should regularly review what is
driving strategic and tactical metrics at various levels. Once that is done,
it is easier to make changes to the program and create new benchmarks.
This will ensure that the programs have the best chances of success over
the short and long terms and also that the business views recognition
as a valuable contributor to business goals, as opposed to a nice to
have but unmeasurable perk.
Meridian is an example of an organization that created a measurable
metrics and evaluation program.
Case in Point: How Meridians Metrics and

Evaluation Efforts Fire on All Cylinders
Meridian, one of Canadas largest credit unions, has a talent
management strategy based on the premise that engaged
employees lead to engaged credit union members (e.g., customers),
which ultimately drives profit and sustainable growth. Furthermore,
the company believes that, when employees are recognized for
desired behaviors, they are more likely to repeat these behaviors,
which results in and sustains high organizational performance.
To improve its recognition efforts, the organization created a new
program, iApplaudu@Meridian. Prior to creating the program,
Meridian did two things. First, it involved the organizations top
leaders in the recognition strategy. Executive sponsorship of the
program is perhaps most strongly demonstrated by the companys
president and CEO, who supports and endorses the program
regularly. Second, the organization established clearly defined
goals and objectives that would be evaluated and measured after
the program was implemented.
Today, iApplaudu@Meridian includes a platform that allows for
all employees to be recognizees or recognizors. The program
criteria include behaviors aligned to the organizations values and
brand (e.g., providing superior, personalized service to colleagues
or customers), performance (sales incentives), employee referrals
and tenure anniversaries. Now that the program is well underway,
the organizations leaders can analyze recognition program
metrics and they do so continuously. Quarterly insight meetings
are held to review program usage, strengths and opportunities.
Meridians third-party technology provider includes a flexible
reporting platform that allows the program team to run a variety
of useful analytical reports (e.g., how often the management team
is using the system to recognize and reward employees).
To date, Meridian has achieved the results it had set out to
achieve prior to the programs implementation, including
business outcomes, employee engagement, performance,
behaviors, employee retention and activities and participation
level. Some of the key results are included in Figure 27.
84
85
Figure 27: Meridians Key Performance Metrics and Results

Category
Measurement and Evaluation Result
Employee Engagement
When employees were asked to rate whether or not

they are recognized for doing good work, the percent
of employees who would rate this 5 out of 5
increased from 44 percent to 51 percent.
The engagement score relative to recognition has

moved from 3.96 to 4.13 on a five-point scale (with
five as the highest).
This is a significant result, as movement of .10 is

considered a material change.
Turnover rate for engaged employees is lower than

it is for disengaged employees (see Figure 28 for
more detail).
Cost-savings were evident in the rewards budget due to

reductions in administration and management costs.
Fifty-four percent of recognition given through the

online recognition program was not linked to a
monetary reward.
Ninety-six percent of employees maintain active

accounts in the online recognition program.
Employee Retention
Tactical Goals: Activities and Participation Level
Source: Meridian, 2012.
Case in Point: Meridians Metrics (contd)
In addition, Meridians team wanted to measure the financial

impact of its recognition program, and particularly the financial
impact of the program on business performance. Meridians
financial results indicate there may be a connection between
engaged employees and business results. For example, the
following numbers compare top and bottom quartile employee
engagement scores.
86
Average growth (Canadian dollars, in millions) per full-time

employee (FTE):
o Most engaged employees (top quartile) Canadian $2.11
million per FTE
o Least engaged employees (bottom quartile) Canadian $1.29
million per FTE
Membership (client) growth percentage attributable to each FTE:
o Most engaged employees (top quartile) 4.7 percent
o Least engaged employees (bottom quartile) 1.1 percent
Revenue growth percentage increase per FTE:
o Least engaged employees (bottom quartile) 2.3 percent
Financial margin growth percentage:
o Least engaged employees (bottom quartile) (-)1.2 percent
These figures show that more engaged employees produced
greater financial results. In addition, Meridians turnover rate for
engaged employees is lower than it is for disengaged employees
(see Figure 28).
Reinforcing our Culture of

Engagement through Recognition
Figure 28: Meridians Engaged Employee Turnover Rate
Your 87
Company
Logo
Goes Here
Spotlight: Measuring the Impact of Recognition on Engagement and Performance
Turnover Rate
Source: Meridian, 2012.
Meridian continues to evolve its program by setting new

benchmarks and continually evaluating its key metrics. As a result,
employees enjoy a wide variety of individualized and meaningful
rewards, while the leadership team is better able to align
employee recognition for performance against strategic goals and
the demonstration of desired behaviors. e
Part 4: Applying the Employee Recognition

Framework
Recognition beyond regular compensation, incentive pay and rewards
programs is an evolving discipline. Although most organizations have
some of the elements in place (e.g. awards programs), the majority of
those organizations are not:
KEY POINT
This Employee
is designed to help your
organization consider all
of the elements necessary
to build a recognition
program from scratch
or redesign how your
programs currently
operate.
88
Setting measurable objectives for their programs; or,

Building a holistic strategy that is designed to accelerate
business goals.
This Employee Recognition Framework is designed to help your
organization consider all of the elements necessary to build a recognition
program from scratch or redesign how your programs currently operate.
The goal should be to build a suite of programs that reinforce each other
in a more meaningful and measurable way. To use recognition most
effectively, we suggest beginning with the top of the Framework, the
Recognition Strategy bar. This section is intended to help the HR team
and senior business leaders engage in a dialogue about the best way to
incorporate recognition. Below are some of the key questions that you
will need to answer.
What is the purpose of recognition at our organization?
How can we use recognition to accelerate our business goals and
build the culture we want in the future?
How should recognition align with, reinforce and contribute to our
organizations talent management strategy?
What measures do we need to take to ensure our program is
equitable and transparent for employees across different functions,
regions and geographies?
Who should be accountable for reaching our goals?
How will we measure what we set out to achieve?
We then suggest that you clarify how each audience member is affected
by recognition today. Programs may vary based on each talent segment,
but they should be transparent and equitable. From here, we suggest
you have conversations with the people that need to implement the
program, or are currently managing your existing program you should
have a dialogue with them for all elements within the program design
portion of the Employee Recognition Framework. The following are
some of the key questions you will need to answer.
KEY POINT
You need to consider
what the ideal mix
of rewards is for your
organization, based on
its business goals, the
behaviors you want to
recognize and employees
needs.
89
Are we spending our budget in a way that rewards and recognizes

employees based on qualified criteria?
Do we need to reconsider who should deliver the recognition?
Are the approval processes we have in place working to enable the
best program possible?
Have we segmented our program to meet the preferences and needs
of employees across multiple regions and geographies?
How often should we recognize employees?
How can we measure our program in a more quantitative fashion?
From here, you will want to think about rewards. Consider the
How much does your organization praise or express appreciation?
How important is it to include rewards in addition to recognition?
Overall, in this section, you need to identify the ideal mix of rewards
is for your organization, based on its business goals, the behaviors you
want to recognize and employees needs.
After that, consider how your employees will be supported, your vendor
strategy and what portions of the program will be integrated with your
existing talent management programs. Questions that are relevant to
this section include the following.
Do we have the right platforms and tools to engage managers and
employees in our program?
What vendors will help us add value and is our existing vendor
strategy working?
What portions of the program need to be integrated with our
existing talent management programs?
Next, dive into the last three section of the Framework program
launch, management and measurement activities. Launch includes the
elements that bring forth the formal commencement of the newly
created or revised recognition program. The program management
and governance, and the measurement and evaluation sections, which
represent the two pillars on each side of the Framework, are important
to helping your organization to effectively manage and support
KEY POINT
The Employee
is intended to help your
organization better
engage employees
and drive business
performance over the
short and long term.
90
recognition on an ongoing basis. When working through this section,

consider the following questions.
Does your branding plan and supporting marketing materials reflect
the messaging necessary to communicate the performances and
behaviors your organization perceives as valuable?
Have employees received enough training and support on the things
that matter most?
Do you need to get more leaders engaged, so that you can improve
the results of your program?
Does your compliance and governance structure support what you
are trying to accomplish for the business?
How can you better optimize your recognition programs to show
measurable results for the talent management function and the other
parts of the business?
In summary, the Employee Recognition Framework is intended to
help your organization better engage employees and drive business
performance over the short and long term. The Framework has been
constructed to enable your team to create a holistic strategy that is
supported by the right programs and measurement tools. It is our hope
that when the Framework is applied that your team will achieve the
greatest returns on its recognition investments.
91
Final Thoughts
Recognition and rewards programs are not really new to the business.
However, the way in which these programs are incorporated into the
business is changing.
Progressive organizations have developed a holistic and equitable
recognition strategy designed to drive improved employee engagement
and targeted employee behaviors. Over the next few years, we think
organizations will increasingly embrace recognition as an important
approach to driving change and improved performance. As such,
recognition has the potential to become an increasingly core and
strategic tool of the HR function.
This Framework is intended to help your organization understand how
all of the elements of recognition fit together and the key decision
points necessary for creating a strategic recognition program. The end
goal is for you to understand how to develop a program that effectively
integrates recognition into your organizations business and talent
management strategies and ultimately contributes to improved
business outcomes.
Appendix I
Additional Images
92
93
Appendix I: Additional Images
Figure 29: Kern County Employee Recognition Program
Source: http://www.employeerecognition.kern.org, 2012.
Appendix II
Glossary of Terms
94
95
Appendix II: Glossary of Terms

Culture
Culture is the collective set of organizational values, conventions,
processes and practices that influence and encourage both individuals
and the collective organization to continuously increase knowledge,
competence and performance. This includes the attitudes, experiences,
knowledge and beliefs within the enterprise. This collective structure
influences the way staff relate to each other and also controls how they
behave with external stakeholders.
Emblematic Rewards
Emblematic rewards are a type of recognition that includes praise and
appreciation, special projects, certificates, and trophies and plaques.
Employee Engagement
Employee engagement refers to an employees job satisfaction,
loyalty and inclination to expend discretionary effort toward
organizational goals.
Employee Results
Employee results is an index comprised of employee productivity,
employee engagement and customer satisfaction.
Extrinsic Motivation
Extrinsic motivation comes from outside the individual, such as
rewards, trophies, money, etc. In most cases, competition is considered an
extrinsic motivation since it encourages the individual to beat others to
win, thereby not participating for the pure enjoyment of the activity.
High-Potential Employee
A high-potential employee is an employee who has been identified
as having the potential, ability and aspiration for successive leadership
positions within the company. Often, these employees are provided with
focused development as part of a succession plan and are referred to
as HiPos.
Intrinsic Motivation
Intrinsic motivation is when people engage in an activity for its
own sake, without some obvious external incentive present. Intrinsic
96
motivation occurs when people are internally motivated to do something

because it either brings them pleasure, they think it is important or they
feel that what they are learning is significant. Essentially, the motivation
comes from inside an individual, rather than from any external or outside
influence (e.g., rewards).
Monetary Rewards
Monetary rewards are a type of recognition activity that includes
rewards of values above $100. These rewards can include special trips
(e.g., team outings), awards conferences, learning conferences, cash /
vouchers and extra paid time-off.
Points
Points are a reward mechanism for employees who meet certain
recognition criteria. Points can be redeemed for a wide range of brandname merchandise, travel, gift cards and experiences using an extensive
online catalogue.
Recognizers
Recognizers are the people within an organization or outside of it who
give recognition to an employee or group of employees.
Six Sigma
Six Sigma is a rigorous, focused, high-impact process that uses proven
quality principles and techniques to reduce process variance. For more
information on Six Sigma, please visit http://www.isixsigma.com, which
offers articles and easy-to-read examples of how to apply Six Sigma to
any business process.
Talent Results
Talent results is an index comprised of hiring the best people,
developing great leaders, developing employees, retaining top
performers, planning for future talent needs, having the right people in
the right jobs.
Token Rewards
Token rewards are a type of recognition that includes rewards of
smaller values, typically around $100. These rewards can include gift
cards, candy, flowers, lunches / dinners and merchandise, or points that
can be converted to other items.
Appendix III
Table of Figures
97
98
Appendix III: Table of Figures

Figure 1: How Recognition Fits within Total Rewards
Figure 2: Types of Motivation
12
Figure 3: Psychologist Abraham Maslows Hierarchy of Needs
15
Figure 4: Bersin & Associates Employee Recognition Framework
18
Figure 5: Bersin & Associates Employee Recognition Framework Recognition Strategy

and Audience
19, 36
Figure 6: Strategic Integration Considerations between Recognition and Other Talent

Management Activities
27, 28
Figure 7: Four Behaviors Reinforced by KPMG in Canadas Recognition

Program
30
Figure 8: Questions Your Organization Must Answer before It Makes Other Decisions
in This Framework
35
Figure 9: Recognition Audiences
37
Figure 10: Recognition Activities Unique to Each Audience Segment
38
Figure 11: Bersin & Associates Employee Recognition Framework Design and Rewards
39
Figure 12: Budget Allocation Considerations
42
Figure 13: Three Primary Criteria of Recognition
43
Figure 14: Key Performance Criteria Categories
45
Figure 15: Types of Recognizers
49
Figure 16: Directions of Recognition
51
Figure 17: Types of Approval Approaches
53
Figure 18: Details on Recognition Visibility Levels
54, 55
Figure 19: Types of Delivery Methods
58
Figure 20: Customization Considerations
59
Figure 21: Components That Lead to a Measurement Action Plan
60
99
Figure 22: Reward Types
63
Figure 23: Vendors Categories to Consider
66
Figure 24: Bersin & Associates Employee Recognition Framework Governance & Management,
Metrics & Evaluation, and Launch
68
Figure 25: Kern County Superintendent of Schools Home Page
73
Figure 26: Kern County Superintendent Schools Recognition External Website Page
74
Figure 27: Meridians Key Performance Metrics and Results
85
Figure 28: Meridians Engaged Employee Turnover Rate
87
Figure 29: Kern County Employee Recognition Program
93
100
About Us
Bersin & Associates is the only research and advisory consulting firm
focused solely on WhatWorks research in enterprise learning and
talent management. With more than 25 years of experience in enterprise
learning, technology and HR business processes, Bersin & Associates
provides actionable, research-based services to help learning and HR
managers and executives improve operational effectiveness and
business impact.
Bersin & Associates research members gain access to a comprehensive
library of best practices, case studies, benchmarks and in-depth market
analyses designed to help executives and practitioners make fast, effective
decisions. Member benefits include in-depth advisory services, access to
proprietary webcasts and industry user groups, strategic workshops, and
strategic consulting to improve operational effectiveness and business
alignment. More than 3,500 organizations in a wide range of industries
benefit from Bersin & Associates research and services.
Bersin & Associates can be reached at http://www.bersin.com or at
(510) 251-4400.
About This Research

Copyright 2012 Bersin & Associates. All rights reserved. WhatWorks
and related names such as Rapid e-Learning: WhatWorks and The
High-Impact Learning Organization are registered trademarks of
Bersin & Associates. No materials from this study can be duplicated,
copied, republished or reused without written permission from Bersin &
Associates. The information and forecasts contained in this report reflect
the research and studied opinions of Bersin & Associates analysts.

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The Bersin & Associates Employee Recognition Framework

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The Bersin & Associates Employee Recognition Framework

Why Does Recognition Matter Today?

An Introduction to Employee Motivations

The Bersin & Associates Employee Recognition

Introduction to the Employee Recognition Framework

Part 1: Recognition Strategy and Audience

Part 2: Program Design

Part 3: Program Launch, Management and Measurement

Part 4: Applying the Employee Recognition Framework

Appendix I: Additional Images

Appendix II: Glossary of Terms

Appendix III: Table of Figures

About This Research

The Bersin & Associates Employee Recognition Framework

Source: Incentive Marketing Association, http://www.incentivemarketing.org/.

recognition, the report for which is due to be published 2H2012.

The Bersin & Associates Employee Recognition Framework

For more information, High-Impact Performance Management: Maximizing

The Bersin & Associates Employee Recognition Framework

Stacia Sherman Garr

The Bersin & Associates Employee Recognition Framework

What Is Recognition and Why Does

We define recognition as the expressed appreciation by one person to

benefits, skills development, and career opportunities.

The Bersin & Associates Employee Recognition Framework

Figure 1: How Recognition Fits within Total Rewards

Skills Development and

Compensation and Incentive

Source: Bersin & Associates, 2012.

Copyright 2011 Bersin & Associates. All rights reserved.

Emblematic rewards are a type of recognition that includes praise and

appreciation, special projects, certificates, and trophies and plaques.

The Bersin & Associates Employee Recognition Framework

Why Does Recognition Matter Today?10

Bersin & Associates defines emblematic rewards as recognition that represents

an acknowledgement of contribution, but typically cannot be converted to something

The Bersin & Associates Employee Recognition Framework

in lower employee engagement.13 Coaching and development

Source: Employee Engagement Index, Gallup Management Journal, 2010,

The Bersin & Associates Employee Recognition Framework

for individuals to give positive feedback directly to others within

As organizations prepare to hire, grow and manage their workforces of

An Introduction to Employee Motivations

Source: A New Self-Report Scale of Intrinsic versus Extrinsic Orientation in

the Classroom: Motivational and Informational Components, Developmental

The Bersin & Associates Employee Recognition Framework

Figure 2: Types of Motivation

Comes from within

Comes from outside

Source: Bersin & Associates, 2012.

which will increase their capabilities.16 On the other hand, extrinsic