Truth about Service Anniversary Awards

Service anniversary programs, though important and a part of most organizations for decades now, have been surrounded by many misconceptions. If you believe in some of these myths, now is probably a good time to remodel or perhaps, even replace your Service Anniversary Program, as these myths can cripple your efforts in engaging employees. BI WORLDWIDE India is here to set the record straight and debunk these common myths for you.

Myth #1: All service anniversary award providers are the same.
Reality: All providers are not created equally. Each company is different in both subtle and significant ways.

• If the provider is a jewellery manufacturer, he may urge you to reward your program participants with jewellery. Consider working with a company that is unbiased towards what to offer your audience.
• Most providers do not offer a full suite of services and cannot extend the employee recognition experience beyond service anniversary awards. Know your requirement before deciding on a provider.
• Only a few companies base their solutions on behavioural economics that offers an understanding of what motivates your audience. Building solutions on BE can result in engaged employees who receive relevant awards for their accomplishments, and a more meaningful service anniversary program.
• Not all companies provide the same level of assistance to your audience. Make sure you have the full support your audience needs – otherwise all doubts and issues will be directed to you.

Myth #2: It’s important to offer gold and diamonds as gifts.
Reality: People associate value with precious metals, but these materials are also associated with volatile pricing. Rather than basing your program on rewards that are likely to fluctuate in price, design your program with a selection of rewards that reflect your audience’s demographics, corporate culture and budget.

Myth #3: Everyone loves your program.
Reality: You shouldn’t assume that your program is, or will continue to be the best-in-class, year after year. Is your provider continuously bringing in new ideas, sharing the latest trends, and updating their redemption technology to improve your program? Please note that your participants should have a memorable and enjoyable experience each time they are recognized through your program, and re-evaluating your program from time to time to see if it does that is a crucial step.

Myth #4: All managers embrace their roles in the service award recognition process.
Reality: Most of your managers are engaged and doing their part in your service recognition program. However, they need your continuous support as well. Your provider should have an exclusive manager engagement plan complete with training, assistance and resources, to empower them so you can align and offer the right experience for your audience.

Myth #5: It’s OK to use gift cards in service anniversary programs.
Reality: Gift cards are a major no-no in service anniversary programs! Use of monetary gifts will subject the participant to income taxes. Seek a provider that offers merchandise rewards, as these provide a highly emotional and pleasurable experience to your recipients in comparison to gift cards.

Myth #6: The more gifts you offer the better.
Reality: People sometimes get overwhelmed with too many choices. One of the principles of behavioural economics says that it is difficult to process a decision when confronted with too many options. Choose a provider that offers a collection of thoughtfully selected awards that reflect on the demographics of your audience, and which will make them feel good about what they have accomplished.

Myth #7: Transitioning from one provider to another is risky.
Reality: With the right provider, it is not at all an issue! A responsible provider will have detailed processes that make the transition from your current provider easy and risk-free. Make sure the provider you choose has detailed action steps that will guide you along the way for a seamless transition.

Want to implement a successful Service Anniversary Program? Get in touch with       BI WORLDWIDE India right away!