Reflecting on the Effectiveness of Noncash Incentive Rewards

How can noncash incentive rewards be most effective as motivators?

Noncash incentive rewards are most effective as motivators when the award:

  • A) is a complete surprise to the recipient
  • B) is combined with a meaningful employee recognition program
  • C) grows every year it is given
  • D) is tailored to individual employees

Answer:

Noncash incentive rewards are most effective as motivators when the award is combined with a meaningful employee recognition program, option B.

Non-cash awards are precisely what their name implies—they are not monetary. Although the prize could be worth money, it is not given to you in the form of a cheque or gift card. Non-cash incentives offer something special and frequently represent a physical gift that employees would not have normally wanted without the remuneration (but still would love to get).

Non-cash rewards can also contribute to the development of customs and a vibrant workplace culture. You now have a non-cash incentive that has become a rallying point for the staff of the organization if that non-cash award develops into something like an anticipated yearly ski vacation.

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