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Recognizing and rewarding outstanding employees boosts loyalty as well as the bottom line

Finding and keeping skilled employees in today's tight job market is no laughing matter. In some cases, finding employees to produce the work has become a bigger challenge than finding the work. And, once employees are on board, keeping them happy and productive is key.

"Companies must now sell themselves to employees," observes Debra Thompson, president of TG & Associates (Tuscon, AZ), an HR consulting firm that focuses on the printing industry. "In the current job marker, most people reading the want ads are not the ones printers want to attract. Companies must instead get the attention of those employees who are already working, attracting them with a more challenging career path, a better work environment, or maybe better benefits."

Many companies are realizing this and taking care not only to put programs into place to attract new talent, but recognizing that different employees are motivated by different things. One employee may consider childcare an essential benefit, while another may be more interested in rolling over a 401(k), while still another may be most concerned that payday is weekly rather than biweekly.

No longer is a one-size-fits-all approach to motivation workable. "Once a company finds top performers, it's important to pay attention to individual needs and do what it takes to satisfy them," notes Thompson, who addresses these issues in a just-released three-part "HR how-to series.

With good employees in such high demand, the best approach may be to ask what it takes to present your company as an employer of choice rather than telling potential hires "Here's what we do," and hoping for the best.

Granted, there will always be employees with a ho-hum attitude toward their work-regardless of how hard you try to reward and motivate them. But for those who want more than a paycheck, there are a wealth of ideas from printers both large and small that don't cost a bundle.

1 GOT SUGGESTIONS?

If it's Friday at Kohler and Sons in St. Louis, "Take Me Out to the Ballgame" is being broadcast over the PA system and Charlie Kohler, chairman of the board, is suited-up in baseball attire as "Charlie Hustle 2000." His mission? To scout out great ideas, both in the front office and throughout the plant. The firm's TQM program, now in its fifth year, is supported each year by an employee suggestion round-up. When an employee gives Charlie a suggestion, he immediately rewards the employee with a raffle ticket (called a "Lucky Chucky") as part of Kohler and Sons' "Idea Grand Slam."

In Kohler's "Great Catch of the Day," program employees are recognized for catching production errors. Whenever an employee discovers an error, he or she is presented with a Great Catch certificate from a supervisor. Employees also may give our Great Catch certificates when they spot a co-worker going the extra mile on a particular job.

At the end of each month, names are randomly drawn from all Lucky Chucky raffle tickets and Great Catch recipients. Three employees are awarded movie passes to a local theatre. One suggestion is selected as the Idea of the Month, and that employee receives a gift certificate to a local restaurant. One idea is chosen as the Idea of the Year and the lucky winner is given the choice of a weekend trip to a Marriott Resort or a color television. All suggestions and Great Catch recipients are acknowledged monthly in the company's internal newsletter, Kohier Quotes.

"The results have been impressive," reports Kevin Kohler, president. "We generated more than 100 ideas last year, the most significant in the prep area. One idea that related to file integrity saved us approximately $60,000. This year, we're renegotiating with our trash company based on an employee suggestion, and we're also saving about $1,000 by buying cheaper ball point pens."

2 DIFFERENT STROKES[ldots]

At Multicraft Litho (Newport, KY), president Debbie Pfliffl wanted her staff to focus on reducing spoilage. The company had recently purchased its first six-color press and spoilage rates were above the industry average. So, Pfaffl set up a rewards program where each time an employee caught an error that would have resulted in spoilage, that person was immediately awarded five "Multicraft Bucks." The employee could either get $5 immediately or save the Multicraft Bucks and exchange them for merchandise that is worth more than the accumulated value. "Because some of our employees are focused on immediate gratification and others on longer-term rewards," explains Pfaffl, "when we structure incentive programs, we're careful to consider these different personalities." In addition, if the employee makes it through an entire quarter spoilage-free, a full day's pay is awarded and the employee is publicly recognized at a monthly meeting. "We're thrilled with the results," notes Pfaffl. "Our spoilage rate on the new p ress is now approaching industry standards."

3 GET EVERYBODY ON THE SAME PAGE

One of the keys to moving a firm in a cohesive direction is to let employees in on management's objectives. "We always try to let employees know where the company is headed. That way goals can be translated into objectives that are measurable, which we can then reward. This ensures a common understanding between management and employees about the definition of success," explains Multicraft's Pfaffl. In 1999, the company wanted to increase business 20 percent from its existing client base, either by selling more to existing accounts or increasing average order size. As an incentive to the sales staff, the company paid a bonus commission rate on increased gross sales generated from the company's top 20 accounts.

"We've found that if the goals and reward system don't change, people begin to take the awards for granted, losing focus of the goals, so we keep a program in place for one year at the most," explains Pfaffl. Other programs the company has used include rewarding sales staff for increasing profitability and new account development.

4 MONEY MATTERS

Certainly in the sales arena, money matters. Recognizing this, Andrew Simmons, president of Moby Digital Printing (San Diego), has instituted a graduated bonus program for his sales reps with commissions starting at 10 percent, then moving to 15 percent as the rep's volume increases. In addition, at $500,000 in sales, the rep gets to choose a car valued at $20,000, and at $1 million, he or she gets to choose a vehicle valued at $50,000.

"Because it's so hard to find good employees, I try to be as flexible as possible," explains Simmons, whose company covers 100 percent of childcare costs. "I allow all employees to have flex time. If an employee has something that needs to be done during the day, as long as the work gets done, they can do it." Simmons also tries to promote a sense of community at his company. Recently he treated his employees to a benefit for the San Diego Zoo called the Critter Party. With ticket prices at $150 per person, Simmons considers the $5,400 an excellent investment in his 36 employees and their guests, promoting teamwork and camaraderie amongst employees while simultaneously supporting a client.

5 THRILL OF RECOGNITION

At the C.J. Krehbiel Co. (Cincinnati), employees who have found a better way to do something or who have come up with a suggestion that saves the company money are recognized in the company's quarterly newsletter, Press Check. The publication is circulated to the company's 225 employees as well as to clients and suppliers. A brief write-up explains the employee's idea and how it will benefit the company. A photograph of the employee is included as well. "We think it's important to get the word out when our employees make a contribution. It builds morale and it's something they can share with their families," explains Rick Hastings, vice president of marketing and sales.

6 HAVE SOME FUN!