It’s a fact: unmotivated workers hurt the bottom line. In a study by HR research firm McLean & Company, it was determined that unmotivated, disengaged employees cost companies an average of $3,400 per year for every $10,000 in annual salary.
That’s big money. But it also presents a big challenge for employers: how do you truly motivate employees—especially hourly workers, who are typically the hardest to engage and inspire?
While there are nearly infinite theories and programs on this subject, there’s one tool you undoubtedly already have but may not be using to its full advantage. That tool: your company’s performance management system.
Used thoughtfully, performance management software can be far more than a vehicle for assessing and documenting employing performance—it can become a powerful motivational tool for hourly workers. How do you leverage your performance management software to engage employees? Here’s four ways to get started.
View Performance Reviews as a Way to Give Hourly Workers More Facetime
If your organizations’ managers are each supervising several dozen hourly workers—spread across one or more busy worksites—chances are, they don’t have the liberty to engage in quality one-on-one conversations with individual employees very often.
Among other things, the performance review process creates an opportunity for both managers and hourly workers to take time out from daily activities to have meaningful conversations—about the employee, his role in the company, what he’s doing well and where he could do better. While there is much talk about how employees dread performance reviews, many managers report that their hourly employees welcome them.
And no wonder: according to Gallup research, while employees who receive strength-based feedback are the most highly motivated (more about that later), those who receive very little attention from their managers are twice as likely to be unmotivated than those who receive negative feedback.
The takeaway: employees need their managers’ attention to thrive. Don’t rush through performance reviews as one more thing to cross off the company to-do list. Use your performance management software to conduct thorough, thoughtful reviews and give managers the time to do them right.
Leverage Your Performance Management System to Recognize Top Hourly Workers
Humans have an insatiable thirst for recognition, and companies that institute employee recognition programs reap the benefits. Employee productivity is 14% higher when companies offer incentive programs, according to one Bersin group study.
Now, here’s an eye-opener: in one survey, 93% of employees said they’d hoped to be recognized by their employers at least once every quarter, if not more often. How does your company stack up to that?
Assuming your performance management software offers analytical capabilities, why not leverage it regularly to identify top performers? If you have a formal recognition program, reevaluate its effectiveness (programs based on tenure are not nearly as effective as those based on performance). If you don’t, perhaps it’s time to put one in place—look at it as an investment rather than an expense.
Furthermore, encourage your managers to engage in more informal recognition when interacting with hourly workers—it costs nothing, but is a powerful motivator.
Use Your Performance Management System’s 360-Degree Review Function
If you’re not fully utilizing your performance management software’s 360-degree review capabilities, you’re missing an opportunity to motivate hourly workers. Because not only does collecting feedback from coworkers provide a more complete view of an employee’s contribution, peer opinion is a powerful force on its own.
For example, the number one reason employees will “go the extra mile” at work is their peers, not their manager or their pay, according to a survey of 200,000 employees.
So utilize your performance management software to automate the 360-review process. Robust software will even collate the survey results for you, producing a summary report that can be very compelling for employees to review.
Implement Continuous or Frequent Performance Management “Check-ins”
Because manager feedback and attention is so important to employees, many organizations are moving away from annual performance reviews and toward a quarterly review system—or even a more continuous approach to performance management.
When managers schedule more frequent one-on-ones with hourly workers, they can achieve several things, including:
- Offer employee recognition on the spot, which can be every effective.
- Provide feedback that allows employees to correct their course in real time.
- Give employees a chance to tell managers what’s on their minds.
Your performance management software should allow managers the opportunity to add comments and notes to employees’ files throughout the year—a function known as “journaling”—so these ongoing check-ins can be well documented as they occur.
The benefits are two-fold: not only will managers build a more complete portrait of the worker’s ongoing activity (very helpful when review time rolls around), employees benefit from the increased attention and feedback, which can be highly motivating for hourly workers.
Performance Management System Not up to the Task?
If you manage an hourly workforce, motivating your people is critical—and leveraging your performance management system for this purpose is just commonsense. But if your current performance management software isn’t up to the job, we invite you to learn more about ours.
EPAY’s performance management software is specifically designed for companies managing hourly workers. So is our integrated HCM system as a whole. If you’re not getting the most from your employees—or your current human capital management system—take a few minutes to learn more about ours.