April 2007

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The Power of
Recognition and Retention

Recognizing good performance brings out the best in people and encourages repeat behaviour. Recognition also fuels self-motivation. Employees often voice the concern that their boss doesn't notice anything they do until they mess up. They don’t hear a word of appreciation or acknowledgement for a job well done. Great employees are self-motivated to a point, but they can become resentful when they are not acknowledged for their hard work and effort. Their motivation then turns to finding a new job.

Acknowledgement goes a long way toward creating a respectful, civilized workplace. Praise alone is not enough, but it certainly is a key component in feeling appreciated and valued. Paying attention to the little things people do, not just the big projects, is the glue that holds a team together.

The more frequently you acknowledge your team, the more comfortable they will be in acknowleding each other, your patients, and even acknowleding you. Recognition jump starts a wonderful cycle of continued positive reinforcement.

The Inside Scoop on Recognition

Many people confuse recognition and rewards. Simply put, recogntion is non-monetary and rewards are more monetary in nature. Non-monetary recognition can include a heartfelt ‘thank you’, a written note, acknowledgement in front of a patient or at a team meeting, etc. Monetary rewards can include a gift certificate, a day at a spa, a team trip to a Dental Conference, etc.

People like to be recognized by:

• Feeling valued and involved
  
  
• Feeling trusted and respected
  
  
• Feeling cared for as an individual
  
  
• Feeling their ideas are listened to and acted on where appropriate
  
  
• Being recognized for their contributions
  
  
• Being asked for advice
  
  
• Having autonomy to do what they think is right

Objectives to consider when giving recognition:

• Find the good in others… and tell them
  
  
• Give people recognition that fits… as soon as it happens
  
  
• Share the recognition among all members of the team to build unity
  
  
• Give positive feedback that improves behaviour and boosts performance
  
  
• Recognize what they have accomplished versus dwelling on what they did not accomplish. In other words, emphasize success – not failure
  
  
• Use nonverbal behaviors that support what you say
  
  
• Acknowledge based on your practice values whenever possible

When giving recognition keep it:

• Timely
  
  
• Spontaneous
  
  
• Specific
  
  
• Suitable for the individual

Actions Speak Louder than Words

First thing in the morning is a great time to pass positive energy and appreciation on to others with an enthusiastic greeting. If you are feeling annoyed with something or somebody, be conscious of both your words and your actions. If you need to address the issue with an individual, do it. No matter how much positive recognition you verbally give your team members, if your actions depict something else, it will more than outweigh any words of encouragement.

Unhappy team members vote with their feet, and if people start walking, you may have a serious retention problem on your hands.

Employee Retention

What is retention? It’s the ability to keep talented employees; people who will help you have an amazing practice. Great employees are the single most important ingredient your practice can have. Its people, not a great facility or the latest equipment that help you build lasting relationships with your clients and thrive in times of accelerating change. Employee retention is one of the best ways you can give your practice a strong competitive advantage.

The five key factors to increase retention:

• Value your employees’ contributions
  
  
• Give employees feedback and coaching on their performance
  
  
• Challenge your employees, growing them on the job and beyond
  
  
• Involve your employees in day-to-day decisions
  
  
• Communicate with your employees so they are in the know

The significance of employee retention:

• 33% of employees – one in three – are ‘high risk’; that is, they are not committed to their present employer and do not plan to stay for the next two years.
  
  
• About four in ten – 39% – feel ‘trapped’; they are not committed to the organization, but they're currently planning to stay for the next two years.
  
  
• Only 24% – about one in four – are ‘truly loyal’; they're committed to the organization and are planning to stay on for at least two years.

The truly loyal employees are a very small percentage! And the problem is, once somebody has made the decision to leave, it's hard to convince them otherwise. Even if you do convince them to stay, they are typically even less engaged than they were prior to making the decision to leave.

"I’m leaving for more money," can sometimes be translated into, "I’m really leaving because I was never thanked or recognized for all of my hard work." When people don’t feel valued or appreciated they often start complaining about how little they are paid and begin looking elsewhere.

When they find a job that seems appealing and offers a higher level of compensation, their employer often counteroffers with a higher salary in hopes of retaining them. Financial reasons are frequently only a very small part of why the employee has made the decision to leave however. If the root issue that caused the decision to leave is not addressed, you may only temporarily be convincing them to stay.

If they stay, and are still not happy, you run the risk of having them negatively impact the rest of your team… and your patients.

The Secret of Retention

The secret for retention is to build a strong foundation with a great culture so that people are fully engaged and would never want to leave your practice. Ideally, the only reason an individual would leave is if their significant other was transferred out of town, if they had a baby, a health issue, or some other reason where they really don’t have a choice.

At the same time however, it’s important to remember that retention is not continuing to retain employees who, for whatever reason, are not making a positive contribution to your practice. Poor performers can hurt the morale of the team, having a very detrimental effect on your practice. When things aren’t going right… deal with it.

Why do People Stay?

People stay with a company for a variety of reasons:

• Recognition for a job well done
  
  
• A fun and positive culture
  
  
• Job security and a sense of belonging
  
  
• Relationships
  
  
• Meaningful work
  
  
• Fair compensation
  
  
• Pride in the practice

People leave an organization for many different reasons, but it’s usually because they feel one or more of the conditions noted above are not happening. A positive, productive culture keeps employees motivated and removes common obstacles to retention.

What is Culture?

Although culture is intangible, practices can attract and retain valuable employees by being aware of their culture and taking steps to shape it. It’s not necessarily easy, but it is well worth the effort. Culture arises organically as a combination of the many aspects that make up your practice such as:

• The atmosphere in your practice
  
  
• The way people treat one another
  
  
• Your practice values

To better understand and shape your culture, talk with your team to figure out what kind of culture you currently have. Then discuss what kind of culture you would like to have. Next determine together how you can reshape it so that your office is a vibrant, happy place where people would never want to leave.

Employers who get it wrong – often by not listening to their staff – risk causing resentment and inviting revenge. Allowing resentment to fester leads at best to resignation and at worst to embezzelment or sabatoge.

The bottom line is that people come to work expecting to have a good experience. Beyond the money, people want more out of their work today than ever before. They want to contribute, they want to have their efforts recognized, they want to learn, they want to grow, they want to be fairly compensated, and they want to feel that they are part of a successful practice that is making a difference for people. It's achieving this kind of fulfillment that keeps people happily coming back to work every day and never wanting to leave.

Recognition works wonders – and doesn’t cost anything.
See how creative you can be to ensure your team knows you appreciate them; you will be delighted with the impact it has on your retention… and your bottom line!

Points to Ponder:

• Do your employees feel well recognized for their efforts? Consider asking them, you’ll know for sure then.
  
  
• What’s the culture in your practice?
  
  
• Do most of your employees stay with you for a long period of time, or do you have a revolving door?
  

Our next PracticeProsperity newsletter will delve into conflict resolution.

About the Author

CoraMarie Clark, BSDH MBA is recognized as a highly effective dental practice strategist. She works with dentists that want to optimize their potential both personally and professionally. Her collaborative approach has helped teams develop dynamic competitive strategies and achieve high impact sustainable results.

If you would like to explore the possibility of having CoraMarie work with your Dental Practice or speak for your Association or Group, contact us today.

CoraMarie Clark
phone 403.686.6136
email coramarie@strategix-ltd.com
web strategix-ltd.com

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