Customer Loyalty Programs as Employee Rewards and Incentives Plans

(Via: WSJ Online)

Would the same rewards programs that companies implement for their loyal customers work well with their employees? Some companies have an established loyalty program for their clientele but what if they apply that same concept of rewarding allegiance for maintaining their employees and making them happy?

One advice is the increase intrinsic rewards and to decrease extrinsic ones. You can relate this concept to your employees. Say you have a sales team who needs an incentive to travel in order to increase sales numbers; get a personalized passport case for each sales person, promotional luggage or luggage tags, or even travel picture frames to hold their family photos while they are travelling. These products would be great travel items to use as incentives.

Creating a system that reflects an effective loyalty plan would be quite useful when making your employee rewards and incentive plan.