Rewarding high performing team members

What's the best way to reward high performing staff? That's what we're going to be talking about on this episode of How to Lead. The podcast for CEO, founders, and leaders who want to find the perfect balance of authority and empathy.

I'm Kate Waterfall Hill and I'll be sharing some ideas from over 30 years of working in business and leadership development. Before we start the show, here's a reminder that if you want to stop screaming into your pillow every time you think about team management and you'd like to learn how to become a better leader, please do sign up to my free weekly newsletter at waterfall hill. co.uk.

So, let's kick off with Linda's way of rewarding hardworking staff. Linda, being my alter ego on social media, who shows us how to lead by showing us how not to do it. Let's see what Linda has to say.

"What's the reward for working really hard and doing really well and being a really high performing member of the team? Um, what sort of being given more to do really, yeah, so more work."

Oh Linda! We've all been there. You've got a star performer - someone who consistently goes above and beyond and naturally you want to recognise their efforts, but all too often the reward for good work is simply more work. And this tends to breed resentment, understandably, and leads to burnout or an untimely resignation from your best team member. So how do we avoid this pitfall and truly motivate, inspire, and empower our team members? Let's dive in.

First things first: let's acknowledge why we tend to fall into this trap. High performers are reliable, efficient, and often seem to handle extra tasks with no trouble at all. But piling more work on them is a short-sighted strategy and it can lead to frustration and disengagement. I remember colleague, let's call her Jane, who was the go-to person for every crisis. Everybody bombarded her with questions and requests for more work to be done and she simply burned out and ended up leaving the company. We were really lost without her for a spell.

And here are some better ways to reward hard work: first of all, personal acknowledgement. Sometimes this simple acknowledgement can just really really go a long way, you know. If you if you take the time to personally thank your high performers, it can mean a lot and it doesn't cost you anything. A handwritten note, if that's your style, a shout out in a team meeting, maybe just a personal email. It can really make people feel valued and appreciated, as long as it's delivered sincerely. If you think about when was the last time that somebody sincerely thanked you and even sent you a handwritten note. I remember actually getting one quite recently from a client and it really did mean an awful lot - it's a small gesture but it really does pack a punch.

Secondly offer development opportunities - not just more jobs more tasks more things to do, but actually opportunities for professional growth. So, it could be training programs, workshops, even mentoring roles, so they actually mentor others. I once sent a top performer (who resisted it a little bit because they were very nervous) but I sent her on an industry event on her own even though it was quite early in her career. And not only did she come back so energised, but she brought back really good ideas that transformed the whole team's productivity. It was really, really paid dividends.

Thirdly, providing flexible working arrangements if you don't already. I mean high performers really often achieve their results because they work efficiently, so why not reward them with flexible work arrangements? Maybe remote work options if they don't already have those, flexible hours, or even additional paid time off. This really shows that you trust and respect their need for work-life harmony, getting the balance right. Imagine giving them the gift of time, you know, to enable them to choose what they do with their time. It's really priceless.

Fourthly, financial incentives. This quite often gets a little, sort of, cringe particularly by business owners. You don't want to give away money if you don't have to, but let's not forget the power of financial rewards. This could be in the form of bonuses, a pay rise, or even profit sharing. Financial incentives are a really tangible way to show appreciation and they can significantly boost motivation and loyalty with certain people (not everyone, it doesn't appeal to everybody). And it doesn't have to be full out commission or profit share, it might be just a small share of the revenue that that team is working on or that they bring in. Maybe they get a tiny bit to go into a pot, you know, a social fund pot for instance, so then the team can do something together. It's really a sign that you're putting your money where your gratitude is and that's important. Do remember to be careful about it though, you don't want to be setting a precedent and for some people it's it's not necessary and it feels grubby in some way. So make sure that you're only offering financial incentives to those people who it really motivates.

Number five is assigning special projects. Give the best people the chance to work on the special projects that really align with their interest and skills. This is different from just giving them more work - it's about giving them meaningful, challenging opportunities that excite and inspire them. I remember we had a really good performer in the agency and they got to lead a project they were really passionate about and the result was just so much innovation and a very, very happy employee. It's amazing what you can do if you sort of appeal to somebody's values and and really what they're passionate about.

I'm interrupting myself briefly to let you know that my new book, "How to Lead", is out now. It's filled with simple, proven methods I've gathered over my 30 years as a managing director and then coach of over 200 leaders. So if you're ready for straightforward, real world approaches to leading with purpose, this book is for you. You can grab a PDF or a Kindle version from my website or a paperback edition from Amazon. Both links are in the show notes. Now let's get back to the show!

So next let's talk about fostering a culture that motivates and empowers your team consistently, not just during appraisal time.

So it's important to create a positive work environment. This includes fostering a culture of respect, collaboration, and recognition. Because when employees feel valued and respected they're so much more likely to stay motivated and engaged. You know it's like building a garden with the right environment everybody blooms.

You also need to encourage autonomy, so empower your team by giving them some control over their work. Don't just leave them to it completely, but make sure they have the right level of autonomy. So trust them to make some decisions and take ownership of their projects. They're much more likely to take accountability for it too. So this not only boosts their confidence, but it also encourages innovation and creativity. Because micromanagement, whichever way you cut it is, the quickest way to stifle talent and also it's a complete waste of your time. So really try and step back if you can and give your people the right level of autonomy that's that's right for them. And to find out how to do that what the right level of autonomy is you're just going to have to ask them.

Next, we've got clear goals and providing feedback. It's amazing how many people I speak to who are in leadership positions who don't do this and don't understand why their people aren't meeting their expectations is because they don't know what they are. So it's up to you to set clear, achievable goals and provide regular constructive feedback. Because this helps your team, you know, really understand what's expected of them and how they can improve. Regular feedback also keeps them aligned with the company's objectives or the team's objectives and gives them a sense of direction. It's like having, you know, a GPS for your career path.

So let's address how to avoid the 'more work trap' all together. So we need to have a look at workloads, you know. It's really important that you review regularly and balance workloads amongst your team. You don't want to have somebody who's consistently overburdened because it's a sign that work needs to be redistributed. You want to make sure that no one feels overwhelmed and that everyone has a fair share of the tasks. You know. If you have of those dinner parties, where you ask everyone to bring something to your house for the party, it's not just you as the host that gets lumbered with the catering - everyone gets a share of that responsibility and it's a really good idea - same with work.

Recognise and celebrate people's achievements - make it a habit to to do this. This could be through monthly or quarterly awards team celebrations, or even tokens of appreciation. But it just could be an announcement. You know, celebrating successes keeps morale high, shows your team that their hard work doesn't go unnoticed. You know, it's always lovely, isn't it, when you see the joy on someone's face when they get surprise. Recognition. Pure gold.

It'll be no surprise that I'm going to bang on about listening - talk about this quite a lot. Please, please do be open to feedback. Regularly check in with your team to understand their concerns, their aspirations, their suggestions. This really helps you stay in tune with, not only what they need, but it also helps you to make informed decisions on how to keep them motivated and engaged. Any relationship you want to build, any conversation you want to have, communication is always key - and it's the same with your people.

So to wrap up, rewarding hard work is so much more than just adding tasks to someone's plate. Acknowledge their contributions, offer them growth opportunities, provide them flexibility where you can, and really focus on creating a positive work environment because that will help everybody - not just the high performers. By doing this, you'll not only keep them motivated, but also foster a culture of excellence within your team.

Thank you for listening to this episode of How to Lead. Please do subscribe or follow to ensure you don't miss out on future episodes. Like, leave a review, and share with your fellow leaders to help spread the word. I really do appreciate your support. If you have any suggestions for future episodes, please do let me know - my contact details are in the show notes. And remember you don't need to do this alone. You too can enjoy being an authoritative yet empathetic leader. It just takes a decision to be more intentional about your interactions with others, some great tips for how to influence positive change, and of course a good guide.

Listen more, advise less, and lead well. See you next time.