December 1, 2005

5 Min Read
Benefits, Incentives and Bonuses

Encouraged people achieve the best; dominated people achieve second best; neglected people achieve the least.

In todays competitive environment, highly motivated staff is vital to any organization that wishes to achieve results. Therefore, learning to inspire employees is essential to success.

Motivation can be defined as that which arouses, sustains and channels an individuals behavior toward a goal. Every employee needs a little extra encouragement now and then. Benefit packages and incentive/appreciation programs can certainly motivate personnel and even increase their job satisfaction. The result is a high-quality product and happy, productive staff members who work better with each other and, more important, your customers.

Maslows Hierarchy of Needs

Theorist Abraham Maslow created the now famous hierarchy of needs, which he believed was the key to motivation and could be applied to every aspect of life. According to his principle, as humans meet their basic requirements, they seek to satisfy successively higher needs:

1. Physiological needs: warmth, shelter, food
2. Safety needs: a sense of security, absence of fear
3. Social needs: interaction with others, having friends
4. Esteem needs: being well-regarded by others, appreciation
5. Self-actualization: realizing individual potential, winning, achieving

As a storage operator, you need to be aware of and apply these motivational forces to achieve the performance you seek from your employees. Start by addressing staffs basic needs:

1. A positive, healthy work environment
2. An equitable salary and benefits package
3. Clearly established policies and procedures
4. Job security
5. Time for a personal life with friends, family and interests

Benefits and incentives alone arent enough to satisfy these requirements. Open lines of communication between all levels of staff are also critical. Personnel must know they can discuss work issues without fear of being ignored, patronized or harassed by supervisors or other employees. If someone comes to you with a concern, go directly to the heart of the issue, and dont make commitments you cant keep. Instead consider the options for resolving the situation and follow through to a reasonable conclusion.

Try to include employees in management meetings and decisions. Allowing staff members to have a say regarding their day-to-day job duties is one of the least expensive and most effective motivational tools you can use. Find out what changes they think could be made for greater productivity and a more positive business environment. Give staff more trust and freedom to make decisions and improvements. It will have an extremely positive impact on your business.

Rewarding Good Work

Once youve established open communication, begin discussion of an incentive program. Ask employees which rewards and bonuses they would prefer. Pay attention, and make a list.

Cash may seem like an obvious choice, but isnt always the best form of motivation. While it may encourage productivity in the short term, over the long haul, employees tend to prefer a pat on the back, time off, dinner for two at a local restaurant or other perks. Following is a list of ideas you can modify to suit your own operation:

  • A simple thank you in appreciation for hard work, especially in the form of a personal note from the boss, can sometimes be the best reward.

  • Always treat employees with respect.

  • Consider holding meetings outside the facility at a nice diner or coffeehouse.

  • Make a thank you box in which customers put the names of employees who go beyond the call of duty to help them. Draw a name every month for a reward.

  • Deliver a gift to employees during the week of their birthday.

  • Host an employee-appreciation day at least once a year at a park, bowling alley or restaurant.

  • Give out hats, shirts, jackets, etc., imprinted with the company name or logo.

  • Praise a job well done.

  • Hold one-on-one meetings with employees who seem unhappy.

  • Send employment anniversary cards.

  • Award tickets to sporting or cultural events when a goal is reached. Let employees choose.

  • Have a casual lunch with staff to discuss how things are going at the property.

  • Provide opportunities for professional training such as an industry convention or manager-training course. This makes employees feel valuable and adds to their job competency.

  • Reward perfect attendance with time-off certificates.

  • Create a contest for Employee of the Year with significant prizes.

Whatever rewards you use, dont throw them around carelessly. There are only so many gold stars you can give out before they no longer hold any meaning.

Setting Goals

Incentives and bonuses are met via goals, so the first rule for establishing a program is to make sure your objectives are attainable. Sometimes a series of smaller aims is better than lofty aspirations. Remember, raising the mark too quickly or in excessively large steps will only discourage employees. Let them get a little comfortable on every level they reach, and work with them to decide if new goals are too high.

Sometimes youll need to try different motivation methods until you find one that works for the staff as a whole. For example, rewarding the person with the highest sales may only pit employees against each other. But compensating the entire staff for good customer service and team spirit may make the entire group more productive. A positive, enjoyable work atmosphere can be its own prize.

Through Employees Eyes

Put yourself in your staffs shoes. Could you live reasonably on the salary and incentive package you provide? What about the work conditions, hours and environment? Sometimes you need to step back and look at things from your employees perspective. How can you make their lives better? You can often provide a simple solution to a difficult or unpleasant situation.

To get the best performance from your team, develop an effective incentive and rewards program. Set objectives, encourage initiative, monitor performance, reward exceptional performance and keep motivation high.

Thomas Krendl is the owner of SkilCheck Inc., which provides auditing, feasibility studies, management and training services for the self-storage industry. Mr. Krendl has more than 20 years of experience in upper management and has trained thousands of personnel in management and leadership duties. Currently working on several development projects, he has performed turnarounds on numerous distressed storage properties. He has also conducted training seminars on sales and marketing techniques, legal issues and state lien procedures. For more information, call 800.374.7545; visit www.skilcheck.com.

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