Implementing a Staff Bonus Scheme
Implementing a staff bonus scheme correctly is integral to the overall performance of the organisation. Staff bonus schemes form an integral part of performance management. Whether the bonus scheme is individual or team reward based, the principles of implementation remain the same.
Planning a Staff Bonus Scheme
The first step to implementation is to plan what is available, how much it will cost and how it could potentially improve an organisation. Some thoughts to take note when planning a staff bonus scheme:
- What are the objectives - What would you like to get out of the scheme, not just as a company but also your employees?
- What type of bonus scheme would you like? - There is a wide variety out there, including financial and non-financial. It's important to know your employees and get a good feel for what they prefer
- How often should we administer bonuses? - Will the staff bonus scheme run monthly, quarterly or annually?
- What schemes are available? - Find out who can provide you with a staff reward scheme that can provide a range of flexible employee benefits, easy to implement and simple to administer
- How much will it cost? - Often, staff bonus schemes can far outweight the cost of providing cash as a bonus. it's important to find the balance of the cost of implementation and the return
Implementing the Staff Bonus Scheme
When the planning stage is complete and the choice has been made regarding which staff bonus scheme to administer, now is the opportunity to communicate this to the employees and if it's an individual or team reward scheme, there will often be certain guidelines to adhere to before implementation:
- Decide on the objectives - Find out what the objectives are for an individual or team before the bonus can be released. This may be based on expectations or performance from the previous year
- Create the scheme - It's important to make the scheme as flexible as possible both for the company and the employees.
- Review the scheme - Regularly find out how the bonus scheme is working, especially if the targets for the scheme are near enough impossible to achieve
- Evaluate - What were the benefits of implementing the staff bonus scheme and how could it be improved upon
- Renew - Based on the information above, renew the scheme with revised objectives if needs be
If you're looking to implement a staff bonus scheme in your organisation, then why not talk to us about how Love2reward can help your organisation today.
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