The Power of Praise and Recognition

Psychologists and researchers have long been fascinated by the effects of praise on workplace performance and behavior, and what this means for organizations. In 2004, the Gallup Organization conducted a worldwide research project, surveying over four million employees about the importance of praise and recognition.

Gallup concluded that employees who receive regular praise are more productive, engaged and more likely to stay with their organization, than those who do not. The survey results also indicated that employees who are praised receive higher loyalty and satisfaction scores from customers, and even enjoy better health than employees who are not. [4]

Meanwhile, The Carrot Principle presents the findings of a ten-year motivation study, in which over 200,000 employees and managers were interviewed. In their analysis of the results, authors Adrian Gostick and Chester Elton report that when managers are considered to be effective at recognizing their employees, they:

• have lower turnover rates than other managers
• achieve better organizational results
• are seen to be much stronger in goal-setting, communication, trust and accountability

Gostick and Elton describe recognition as a ‘simple but transformative act’, and report a strong correlation between manager recognition and employee morale. Of the participants who reported the highest morale at work in Gostick and Elton’s study, 94.4% agreed that their managers were effective at recognizing team members’ efforts and achievements. Meanwhile, 56% of employees who reported low morale gave their manager a poor rating for recognition. [5]

In 2008, consultancy firm Towers Watson published the results of their ‘Global Recognition Study’, which reveals a strong positive correlation between manager recognition and employee engagement. The study indicates that even in organizations with a ‘low-engagement’ culture (i.e. one where there are few development opportunities and employee wellbeing is not treated as a priority) manager recognition can still have a significant, positive impact on employee engagement. [6]

In the report, the Towers Watson researchers reflect on the significance of ‘uplifts’ – positive experiences that boost morale and motivation at work. Offering praise and recognition for a job well done is one of the ways in which managers can create such moments for their team members. According to the report, managers who do this are more respected and admired by their employees. In addition, employees who experience uplifts at work are also more likely to say they are motivated to work harder and willing to go out of their way to help their peers or support their organization. [7]

Offering praise and recognition costs nothing, but studies indicate that it can even be as effective as giving employees a financial reward. The Japanese National Institute for Psychological Sciences has investigated the neurological impact of praise, discovering that being paid a compliment activates the same part of our brain as receiving cash. [8]

Delivering Praise

There is a great deal of research to suggest that praising employees at work can be beneficial. However, the way in which the praise is delivered has a significant bearing on its effectiveness. The Gallup Organization has pointed out that only genuine achievements should be praised, and that empty words have little or no value. Indeed, Gallup says that ‘unearned praise can do more harm to an individual and a workgroup than none at all’. [9] It not only prevents employees from knowing when they need to improve, but it can diminish the impact of the genuine praise that is offered at other times.

World-renowned psychologist Carol Dweck has found that children who are praised for being inherently ‘good’ at something are less likely to take on new challenges than those who are praised for their approach to the task. When it comes to praising children, Dweck’s advice is to ‘focus on the processes they used – their strategies, effort or choices’. [10] For managers, Dweck’s findings highlight the value of constructive feedback; managers should be specific about which aspects of their team members’ performance have particularly impressed them and why.

Conclusion

There is little doubt that praising and recognizing the efforts and achievements of others can bring about some very positive results in the workplace. Being praised makes the recipient feel good about themselves and this can help to boost their performance. Praise provides the kind of positive experience or ‘uplift’ that can increase employees’ morale, motivation and engagement, and renew their commitment to their manager and the organization. For praise to have this kind of impact, however, it needs to be delivered effectively. Only genuine achievements should be praised, and managers should ensure their feedback is constructive and specific. Further advice and guidance on giving praise effectively can be found in the toolkit article Top Tips for Praising Others.