Q.What is the mechanism followed for rewards and recognition in your organisation, and how different and unique is it compared to other places?
A. At Benetton, rewards and recognition are designed keeping in mind both employees and the organisation’s needs. We believe in rewarding and recognising both behaviours and outcomes that helps employees see the alignment of their work with the organisation’s goals, which is why our rewards and recognition program is value-based and performance/target-driven (qualitative & quantitative). We also make sure that the recognition is timely and meaningful and is given within a short time following the accomplishment.
Benetton has multiple level rewards and recognition strategy by virtue of which we have created platforms where employees are rewarded and recognised depending upon the impact – individual, team, departmental and organisational. Recognition is given on the spot, on quarterly and yearly basis, whereas rewards are structured based on defined plans and cycles.
At Benetton, our rewards program leads to increased productivity; provides a return on investment; builds loyalty, commitment and positive attitudes among employees. Therefore, we have been able to create a zone that promotes organisation and employee partnership.
Recognition and awards are both monetary and non-monetary. Recognition at Benetton is peer to peer, senior to subordinate, cross functional and also subordinate to senior.
Q. What are the dos and dont’s when it comes to designing mechanism for rewards and recognition program?
A. Rewards and recognition strategy should be a result of the organisation’s intent and values and not created in isolation. At the same time, clear linkages should be established. It is recommended to inculcate a total rewards philosophy that encompasses compensation, benefits, work-life balance, career development and career opportunities.
Rewards and recognition should not only aim at recognising high performance, high performers and consistent value behaviours within the organisation, but also be able to foster career aspirations of employees.
At the same time, the rewards and recognition framework has to be clearly defined. While endeavour should be to recognise every small or big effort, at the same time it is important to create very exclusive rewards and recognition platforms/ zones for extraordinary achievements.
Q. How often should a company surprise its employees by reward and recognising and why is it important?
A. Surprise is an important element while recognising every small and big achievement of employees and especially at the moment of achievement. Real time recognition is impactful, depending on the achievement and the special efforts taken.
This reinforces the belief in the employees that every effort, achievement and victory will be recognised by the organisation and therefore it will result is an extremely engaged workforce.
Q. What are the most daunting challenges faced by the management in deciding who to reward and what to reward? Please share your views.
A. At Benetton, rewards and recognition has always played a pivotal role in management’s scheme of things. We believe every small or big exceptional effort contributes to the big picture. The leadership team has been very committed to the philosophy of our rewards and recognition and been a true brand ambassador for it. However, some of the typical challenges organisations face are clear differentiation between the elite performers and good performers. Usually, there is also an inclination towards quantitative than qualitative performances.
