An original gift idea can be well received and appreciated by the recipients. Suppose they happen to be different from the usual corporate gifts given to employees and clients. In that case, it can be rewarding for the organization as well. Many organizations have implemented the point based reward program, and they have worked well.
In this particular system, every employee stands to gain. The organization allots some points every month or quarterly against each employee instead of giving them money or gifts. Different parameters are present for the points accumulation. Department such as Sales and marketing have the monthly sales targets as a benchmark for points eligibility. Other departments can be similarly benchmarked on KPI (Key performance indicators). The organization has tie-ups with various products such as institutional bag supplier in Malaysia and services in different categories such as lifestyle, merchandise, travel, etc. The employees can redeem the points from any one of the categories.
Advantages for employees
When such a system is in place, it offers a lot of flexibility to the employees to claim their individual gifts as per their own choice and timing. The employees can select the gift of his/her liking and be satisfied at the end. This would not have been possible had a common gift was given to all employees. The one size fits all solution may not work for all the employees. They can be choosy and have personal likes and dislikes.
The employees also have the option to accumulate the points and redeem them for the gifts they would prefer. The most expensive gifts, such as holiday trips, may require points in the higher slab. An employee has the option to wait or even carry forward till he or she is eligible for it. This freedom of choice can be the game-changer for an employee to perform better in their field of work, accumulate more points, and even stay with the organization longer.
For multi-national companies or MNC, it is quite beneficial as employees are based in different parts of the world won’t be restricted in acquiring gifts. One can easily purchase gifts locally against the gift cards with their accumulated points. The point-based system has been an effective alternative to traditional form of gifting. It eliminates the cumbersome procurement of gifts every year across many locations. Moreover, handling multiple corporate gift supplier is both time-consuming and expensive.
This system has been strategically designed and thus it is simple and user friendly. An employee does not need to wait for the entire year or any festive occasion to wait for the much-anticipated gifts. And they also avoid the disappointment factor if the gift is not to their liking.
Advantages for Employers
They do not have to plan the whole year. Instead, they can negotiate with products and services vendors for the cost of points accumulated, competitive gift slabs, and the best rates for the gifts. This works out cheaper in the long run, and also, the rewarding system is instant and round the year.