The four key aspects of an incentive programme.
Analytics is no simple buzzword; it’s an essential and integral part of evaluating the success or failure of a particular venture. In many instances, analytics can only be conducted after the fact, which impedes real-time reporting of results.
In the arena of incentives, real-time evaluation is not only imperative, but also possible and easily implemented.
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In our own offerings, Uwin Iwin works to a scheme that examines four aspects of an incentive programme, and in this brief overview, we will work through each one in their chronological order.
1. Performing due diligence
The first part in evaluating performance comes in the form of setting goals. It is imperative to understand our clients’ needs and expectations, and design a programme that will meet these needs.
Our programmes are tailor-made to the organisation in question, and projected results are based on our own previous experience and due diligence concerning the business’s current practices.
2. Creating a performance analysis platform
Collection of data in the Information Age is not a daunting prospect, but selecting data that is pertinent, relevant and informative is not as easy as it may seem.
In this phase of the analytical process, identifying information that is useful to the participant business is essential and requires the input of all stakeholders. This stage is particularly important as it is difficult to introduce new measures once an information processing system has been designed.
3. Programme execution
This stage in the process is highly important as it enables managers to monitor the performance of the incentive scheme in a timely and on-going manner.
Reports on a regular timetable give vital information on the programme’s progress, and can identify the programme’s various strengths and weaknesses. Fortunately, incentive schemes can be adapted to the new information, thus making the scheme as effective as possible.
The information garnered can also help the business itself to monitor its own internal processes and workings. In this context, information is king, and highlights the importance of the previous two steps in that they have to be addressed thoroughly.
4. Final evaluation
This is the final phase of the analytics process, and only commences once the incentive scheme has run its course. Whereas the analytics provided in real-time are an important precursor to this phase, this is the final evaluation that sums up, and ties up, all the variables measured.
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The key component to this phase is to provide a final report that provides invaluable insights into workers’ behaviours over a period of time. From this report, the final analysis of ROI can be calculated, as well as the overall performance of the scheme implemented. In concert with the client, any future programmes can be fine-tuned to increase ROI.
This article is only a brief outline, but I hope that the fundamentals have been touched on in a way that provides the reader with valuable insights and a greater understanding of how an incentive programme should work.