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  • 8/12/2019 Conference Proceedings Session 403

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    Keys to Motivating Employees

    Parcel Shipping and DistributionForum 2006

    Wayne M. TeresTeres Consulting Inc.

    teresconsulting.com

    [email protected]

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    Successful Motivation Programs

    Best of class warehouse operations have

    productive and motivated workers as a

    result of successfully implemented

    employee motivation programs

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    Why Invest the Time and Effort?

    Lower costs and lower employee turnover

    Increased quality and productivity

    increases profits

    Low investment - High payback

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    How Motivating are

    Your Programs?

    Do your employees feel adequately

    recognized?

    Do your employees get excited about

    the program rewards?

    Do your employees have input into

    the rewards they receive?

    Does your program drive the

    behaviors that you desire?

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    Program Essentials

    Hire the right peopleHire smart Hire for attitude, dependable, motivated people

    Southwest Airlines

    Enhance desired outcome of theorganizationmotivate behavior toachieve corporate goals

    Provide interesting work If tasks themselves cannot be fulfilling, team

    collaboration or membership in a committee can beused to create interest and value at work

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    Program Essentials

    Recognizeemployees are motivated by

    intangible rewards

    Make people feel good about their current and

    past accomplishment

    Create cost effective programs

    Provide visible feedback

    Build on past programs success

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    Program Essentials

    You get what you reward!

    Be sure you have clearly defined what you

    want to get, then use rewards and recognition

    to move toward those goals

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    What is your Goal?

    What outcome do you want

    Make sure it is a global goal,

    not a local goal

    Example

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    Why Rewards Fail

    Excessive dependence on

    monetary rewards

    Lack of recognition value

    Entitlements

    Wrong things are rewarded

    Delay De-motivators

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    Excessive Dependence on

    Monetary Rewards

    Money is not the common denominator of

    achievement

    Money rewards are very costly, often

    difficult to maintain and hard to take away

    When people are striving for money, they

    will often take the shortest and fastest

    route to maximize their financial gain

    often sacrificing quality

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    Lack of Recognition Value

    Few organization realize the importance ofrecognition and appreciation

    Everyone wants to be recognized

    Most workers feel unrecognized Recognition is the most cost effective

    motivator

    Highly motivator organizations celebratesmall successes

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    Entitlements

    Be careful with monetary rewards, they

    become viewed as entitlements

    Thanksgiving turkey

    Mix up your programs to avoid the

    entitlement belief

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    Wrong Things are Rewarded

    Rewarding the wrong things occurs often

    Be careful what you ask for

    Productivity example

    Remember no matter what you say

    verbally or written in your manuals, what

    you reward is what you get

    Ask yourselfDo the rewards we are

    giving elicit the performance we want?

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    Delay

    Research disclosesDelay discounts any

    reward

    In most companies, rewards do not occur

    promptly

    For example, yearly profit sharing

    Build instant recognition into your program

    Rewards on the spot

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    De-motivators

    The most common is unfairness

    Be constantly aware of them

    Avoid the perception of unfairness Most de-motivators can be eliminated by

    involving your workers when designing

    your program

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    Proper Motivation Program Design

    Define the objectives of the program

    What do you want to achieve?

    Decide how you will measure it

    Discover what motivates your workers

    Decide what the reward should be

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    Selling the Reward & Recognition

    Program

    Getting top management commitment

    Communicating to the worker

    Involving the worker People fear the unknown

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    Communicating the Program

    to the Worker

    The Role of the Supervisor

    Can make or break a program

    Conditions

    Standards are based

    System is dynamic and will need to be

    changedno surprises

    When it will change

    If business conditions change

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    No Train, No Gain!

    Training Greatest reason for failure

    Employees wont understand Methods

    Their Role What is expected of them

    Supervisors dont know what is expected ofthem

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    Quality Incentive Program

    Calculating the Reward

    Determine current status and what quality

    errors cost

    Identify the savings by improvement

    Decide what percent to share with the

    warehouse

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    Quality Incentive Program

    Benefit

    Customer/Employees/Company wins

    Advantages

    Ease of administration

    Promotes teamwork

    Encourages teamwork

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    Safety Program

    Employee program to reduce work accidents

    Accidents increase insurance and lost days

    Measurement

    Number of days without an incident

    Program - Safety bingo

    Every worker receives a bingo card

    Each day without an accident a number is drawn

    Prizes increase in value as number of days without an

    accident increases

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    Safety Program

    Additional RewardsSafety Milestone,

    say 100 days without an incident

    On the 100thday, pizza celebration

    Supervisors and Managers unfurling banners

    and streaming confetti to celebrate

    A celebration that was not forgotten

    A memorable event

    Celebrate milestones

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    Gainsharing Programs

    Gainsharing programs are group incentive

    programs that reward employees when

    targets like cost reduction are met usually

    in a percentage split

    These kinds of programs are self-funding

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    Gainsharing Key Features

    Typically paid out in dollars

    Programs have no effect on base pay or

    individual performance appraisal

    Should have inclusion of financial, quality,

    or productivity measure that

    the individual has control of

    Programs should be based on

    improvements achieved

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    Gainsharing Benefits

    Can help organization achieve objectives

    Can be a method of introducing pay

    bonuses (rather than salary) to employees

    May promote commitment to goals

    Low cost

    Self funding

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    Gainsharing Challenges

    Formulas and calculations may be difficult

    to create and understand

    Eventually reach a point in diminishing

    returns

    Could distract people from less measured

    goals not rewarded by the system

    Requires a shift toward team oriented

    management style

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    Pitfalls that Can Cause Failure

    Lack of commitment from

    top management

    Poor communication with employees

    Doing To rather that With

    Installed on poor work methods

    Doing it too quickly

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    Pitfalls that Can Cause Failure

    Lack of Supervisory support and involvement

    Blindly copying another companys plan

    Poor worker acceptance

    Focusing on productivity and omitting quality

    Failure to seek outside assistance when

    necessary

    Dont be afraid to get help You dont know what you dont know

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    Top 7 Ways to Motivate a Worker

    Personally thank them for doing in a goodjobone on one verbally in writing orboth. Make sure it is timely and sincere.

    Take time to meet with the employee andlisten to themTheirs no substitute forface time when building relationships

    Provide regular specific feedback abouttheir performance

    Encourage new ideas and initiative

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    Top 7 Ways to Motivate a Worker

    Involve employees in decisions

    that affect them

    Recognize, reward and promote people

    based on their performance. Deal with low

    and marginal performers so they improve

    or leave.

    Celebrate successes!

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    5 Ways to Keep Your

    Program Exciting

    Charts and Displays

    You can not have enough

    When using money issue separate checks

    Team competition

    Champion & celebrate success

    Celebrate milestones Tee shirts and other recognition

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    Low Cost Motivational Rewards

    Pot luck lunch

    Gift certificates

    Post names of winners in warehouse

    Achievement certificates

    Write up winners in company newsletter

    T-shirts

    Free lunch

    Gas cards

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    Low Cost Motivational Rewards

    Sporting event tickets

    Coupons for gifts

    Employee chooses reward

    Wash the employees car

    Give the person a two hour lunch

    Extra time off Write a letter of praise

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    In Summary

    What gets measured, get done What gets measured and fed back

    gets done well

    What gets measured, fed back and rewarded

    gets done repeatedly! Make common sense, common practice

    Practice recognizing your workersand their achievements

    Design your program to elicit the behaviorsthat drive your goals

    Do not confuse simple with simple minded

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    Thank You

    Wayne M. Teres

    Teres Consulting Inc.

    teresconsulting.com

    [email protected]

    mailto:[email protected]:[email protected]