How Recognition Increases Employee Engagement and Productivity

Sara Pollock
3 min readNov 6, 2019

Increased employee engagement leads to higher productivity. According to Gallup, 85% of employees don’t feel engaged in the workplace. Recognition and providing employee shout outs is one way to increase engagement on your teams. Recognition can be given as employees make progress towards and reach their goals.

Unfortunately, only 15% of employees worldwide are engaged in their jobs. In the U.S, disengaged employees cost organizations around $450–550 billion each year. Setting up your employees in an environment that praises progress is an effective way to create a more engaged culture. Increase productivity in your organization by following these tips:

Setting Goals & Tracking Progress

Setting up goals in a manner that can be easily measured and tracked is a crucial part of the recipe for increasing employee engagement. The first step in goal-setting is having a conversation with the team or individuals to learn what is reasonable for them to accomplish. Being completely transparent with your expectations and direction for everyone is a great way to start. You need them to buy into the overall goal for it to be successful.

Next, place a defined area and a timeline on a goal so both the manager and employee can have a gauge against which to track. Project management or goal tracking software from your talent management software can help manage this, but it’s crucial managers keep an eye on it as well.

With the right planning, goal tracking software, and communication, you can frame and set up the right goals for your teams.

Give Proper Recognition

Giving proper recognition when you see your employees making progress is an essential step in increasing employee engagement and investment. Performance and engagement are inextricably linked. Usually, when employees receive praise for their excellent working habits, their engagement increases. Employee engagement leads to higher levels of productivity, and ultimately profitability.

Giving shout outs or celebrating success — no matter how small — is simple to implement. With the right performance and engagement software, organizations can promote teamwork, employee engagement, peer appreciation, and positive workplace culture. ClearCompany’s Celebrations feature modernizes how companies celebrate and share employees’ milestones, including birthdays, work anniversaries, and new hire welcomes. This allows the team to bond with their teammates through special times. The Shout Outs feature is also a useful employee recognition tool that empowers coworkers to publicly recognize peers who have done a great job or helped them out in some way. It’s a simple but meaningful gesture to recognize each other for the things they’ve done well and are proud of.

Based on a survey, 37% of employees consider recognition to be the most important thing a manager or a company could do to help the employee be successful. Recognition leads to increased motivation, a sense of pride, and increased self-confidence at work, which in turn boosts employee initiatives and their ability to take responsibility for one’s work.

A company that actively recognizes and rewards its employees is more likely to see elevated levels of accountability, responsibility, employee engagement, and leadership initiatives.

Staying Aligned

Staying aligned with your team, organization, and personal goals are necessary to meet the objectives set in place. Recognition and motivation can be used to keep employees on track, even if they’re struggling.

Leaders can recognize their employees for making progress towards their goals, continuously providing value to their teams and any other behaviors that promote productivity and engagement in the workplace. On the other hand, praise can also be used to reignite ambition in employees who are struggling to meet their marks. By pointing out areas where they excel, you can provide the motivation they need to feel reassured and carry their work ethic into other projects. A bonus to motivating your struggling employees is the increased employee engagement that occurs after they feel revived.

Recognizing your employees for their work, leadership, or attitude can lead to better employee engagement and increased profitability. Learn how ClearCompany can help you boost engagement and productivity through goal setting and recognition. Book a free demo to discover more.

This article was originally published on the ClearCompany Blog by Meredith Wholley.



Sara Pollock

Director of Marketing at ClearCompany, talent management software company with a clear mission for success.