Why Employee Programs Fail—Insufficient Budget

One of the single biggest reasons employee awardprograms don't succeed is for lack of budget.  All too often companies provide a small fixed award budget and expect it to motivate behavior change in all people.  If you are planning an award program, do this simple math.  Divide your budget for the program duration by the number of employees you're trying to motivate.  That number will tell you a lot and may have you re-thinking your program altogether.  Make sure that the award is commensurate with the effort to earn it. While it is recognized that it takes three dollars in cash to motivate the same results as one dollar in non-cash, you still need to provide enough award to make it meaningful to your employee to change their behavior. To view the top ten reasons why programs fail, click here.