Increase Profits Through Appreciation
March 10th, 2015 by Inspiring HR
Did you know that Employee Appreciation Day was March 4th? Were you ready? Did you do someone nice for an employee? Buy lunch or hand out gifts cards?
Considering how hard we work, is it really enough to appreciate your employees only once or twice a year? A regular thank you could generate a greater return, costing only time and words.
Expecting quality work, without an occasional thank you, is one of the biggest mistakes business owners can make when managing their employees; especially when it comes to retaining top performers. Three ways a simple thank you can affect profits:
- Cut the cost of turnover. They can exceed one to two times the position’s annual salary. Your office manager that makes $40,000 per year could cut $80,000 from your bottom line when you consider hiring a replacement, training and lost productivity, to name a few. The occasional thank you may save the hassle and expense.
- General productivity may increase. More people will want to work for you. Want to expand? There is high quality talent working for your competitor. What better way to lure them away than by having a reputation for being an appreciative employer?
- Individual productivity may increase. Your top performers may not consider the grass is greener so much, if they always feel appreciated.
An annual Employee Appreciation Day is a great reminder to thank those who contribute some much to the success of your business. But one day won’t consistently increase productivity or cut your turnover costs. Develop and promote an appreciative culture, so your company and profits are always moving forward.
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