If you’ve been following the Globoforce blog these past few months, you may recall that we recently published a report with findings from the 2016 SHRM/Globoforce employee recognition survey. The report is packed with new insights on workforce challenges from HR leaders and practitioners in the United States.
To answer some of these questions, we partnered with the RES Forum, a network of 1,300 in-house international HR practitioners, and conducted a survey of RES Forum members. Click here to download a copy of the full report.
A bit about the survey:
- Main respondents were senior reward managers and global mobility managers
- 50% of those surveyed work at companies of 25,000+ employees
- Top industries surveyed were banking and finance, fast-moving consumer good, and manufacturing
Below are 3 key findings from the survey.
1/ The top challenges global organizations within the RES Forum are facing today are employee engagement, succession planning, retention, and turnover. Members were asked to cite the top five challenges their organization is facing related to employee motivation, reward, and recognition. The top three of these results were:
- Employee engagement (64%)
- Succession planning (56%)
- Employee retention/turnover (51%)
This falls in line with new data from ADP’s, “The Workforce View in Europe 2017” report, which shows only a quarter of European workers anticipate staying with their current employer until the end of their career. Another 31% of workers say their employer doesn’t support their career development.
2/ Reward and mobility professionals are investing in peer-to-peer recognition to address their biggest challenges in engaging employees and recognizing performance. When asked if their company has a program for employee recognition, 69% of those surveyed said “yes,” and nearly half (49%) said they have a program that provides financial rewards based on performance behaviors tied to core values. A majority of people surveyed work at companies that empower everyone in their organization to recognize outstanding performance (61%), including peer to peer, manager to employee, and employee to manager.
How are these companies budgeting for recognition programs? About 1 in 4 (23%) said their organization invests 1% or more of payroll on employee recognition, reporting a positive impact on engagement, reinforcing corporate values, and retention.
3/ While many companies still conduct annual reviews, there may be underlying dissatisfaction with traditional performance management approaches. The survey asked whether respondents think annual reviews are a fair assessment of employee performance. This generated the most comments from any question in the survey. Here are a few of my favorites:
“We will move away from annual cycle.”
“Manager distribution is often biased toward favourable.”
“Manager’s capabilities vary – so also assessment varies.”
“Performance reviews are really worthless in our company.”
“Too much favouritism and cronyism.”
“Not a perfect system and very subjective. Feedback from colleagues [not] usually requested.”
Even so, 85% of companies said they still carry out annual performance reviews. If your organization is in a similar situation and you want to learn how to modernize performance management, I recommend you check out these posts:
- 3 Practices Replacing the Annual Review
- How Crowdsourcing Changes the Game for Performance Management
[Report] 3 New Global HR Trends from @globoforce & @theresforum
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Don’t forget to download a copy of the full report from Globoforce and RES Forum, “Tackling Engagement and Retention in the Human Era.”