Pharmaceutical firm Janssen-Ortho's decision to give cash for recognition instead of "glass dust-collectors"
Like many HR staff in charge of recognition, Janssen-Ortho HR managers Janis Nelson and Joanna La Pointe survey employees to ensure they know what recognition awards mean the most to workers.
The pharmaceutical company, based in Toronto and owned by Johnson & Johnson, recently came in second on the Report on Business’ 50 Best Employers in Canada survey.
Three years ago, after polling staff about the recognition program, Nelson and La Pointe got a surprise. Workers didn’t seem aware that there was even a recognition program at all. What’s more, they didn’t want prizes or trinkets. They wanted cold, hard cash.
“We had done the whole thing, the gift book, from which they could choose the bracelet, and they were going, ‘Thanks, but…,’” said Nelson.
In going strictly cash, Nelson said, she faced a bit of resistance from upper-management. “There was a feeling that people would get their $100 and go to Loblaws and buy their groceries. And upper-management felt that they should be getting something special, something people would remember us by. Like these glass dust-collectors,” laughed Nelson, reaching back to grab a random sculpture sitting on her shelf.
In the end, Nelson and La Pointe did convince the bosses that employees are better served if they were given the flexibility to choose whatever award they wanted. With cash, they could go out and celebrate with a dinner, buy tickets to a hockey game, or bring home a nice new outfit.
“It took a bit of an adjustment in everyone’s thinking. We can give cash and let people buy what they want. They would still remember: ‘This is a result of what I did.’”
In redesigning the program to reflect employees’ wishes, Nelson decided recognitions must be done in public.
“They’re now presented in an open format, in a setting where you’ve got peers around, so that you do get that peer recognition, and that you’re held up as an example, a role model,” said Nelson.
The pharmaceutical’s new recognition program, called the Medallion program, is three-tiered. The bronze award is the company’s on-the-spot recognition award. It’s a simple “thank you” meant for employees who stay late to complete a major project or otherwise go above and beyond their regular duties in some way. A thank you card, accompanied by up to $150 cash, is presented in such forums as departmental meetings.
The silver award, which comes with up to $2,000 in cash, is given out in monthly management meetings, where the president calls out recipients’ names and describes what they did to earn the honours.
Gold awards go out to people who’ve made an impact on the department, the local company, or the parent company Johnson & Johnson. They’re awarded a percentage of their salaries.
A couple of months ago, one of the sales reps earned the bronze award after a visit to a doctor’s office to make a pitch about Janssen-Ortho’s drug products.
“He was sitting with the doctor when he noticed through the window behind the doctor somebody tampering with the doctor’s car, which had a bicycle attached to the bike-rack on his car,” said La Pointe.
“The sales rep interrupted the meeting and said, ‘Isn’t that your car?’ And it was. So the sales rep ran out and scared off the thief. And that’s how he made inroads in his relationship with this doctor. This person truly went above and beyond.”
Managers have a discretionary budget to dole out these awards. And nominations have never been rejected, added Nelson proudly. Once submitted by a supervisor or a manager, the cash amount might be adjusted to reflect the contribution. “But not once have I had a nomination come back, ‘Not approved,’” Nelson said.
“Of course you’re always looking at the return-on-investment. But I would say that there’s an overwhelming agreement that the amount we spend over the calendar year to recognize our people is well over the investment,” said La Pointe.
“We get that money back, and then some.”
The pharmaceutical company, based in Toronto and owned by Johnson & Johnson, recently came in second on the Report on Business’ 50 Best Employers in Canada survey.
Three years ago, after polling staff about the recognition program, Nelson and La Pointe got a surprise. Workers didn’t seem aware that there was even a recognition program at all. What’s more, they didn’t want prizes or trinkets. They wanted cold, hard cash.
“We had done the whole thing, the gift book, from which they could choose the bracelet, and they were going, ‘Thanks, but…,’” said Nelson.
In going strictly cash, Nelson said, she faced a bit of resistance from upper-management. “There was a feeling that people would get their $100 and go to Loblaws and buy their groceries. And upper-management felt that they should be getting something special, something people would remember us by. Like these glass dust-collectors,” laughed Nelson, reaching back to grab a random sculpture sitting on her shelf.
In the end, Nelson and La Pointe did convince the bosses that employees are better served if they were given the flexibility to choose whatever award they wanted. With cash, they could go out and celebrate with a dinner, buy tickets to a hockey game, or bring home a nice new outfit.
“It took a bit of an adjustment in everyone’s thinking. We can give cash and let people buy what they want. They would still remember: ‘This is a result of what I did.’”
In redesigning the program to reflect employees’ wishes, Nelson decided recognitions must be done in public.
“They’re now presented in an open format, in a setting where you’ve got peers around, so that you do get that peer recognition, and that you’re held up as an example, a role model,” said Nelson.
The pharmaceutical’s new recognition program, called the Medallion program, is three-tiered. The bronze award is the company’s on-the-spot recognition award. It’s a simple “thank you” meant for employees who stay late to complete a major project or otherwise go above and beyond their regular duties in some way. A thank you card, accompanied by up to $150 cash, is presented in such forums as departmental meetings.
The silver award, which comes with up to $2,000 in cash, is given out in monthly management meetings, where the president calls out recipients’ names and describes what they did to earn the honours.
Gold awards go out to people who’ve made an impact on the department, the local company, or the parent company Johnson & Johnson. They’re awarded a percentage of their salaries.
A couple of months ago, one of the sales reps earned the bronze award after a visit to a doctor’s office to make a pitch about Janssen-Ortho’s drug products.
“He was sitting with the doctor when he noticed through the window behind the doctor somebody tampering with the doctor’s car, which had a bicycle attached to the bike-rack on his car,” said La Pointe.
“The sales rep interrupted the meeting and said, ‘Isn’t that your car?’ And it was. So the sales rep ran out and scared off the thief. And that’s how he made inroads in his relationship with this doctor. This person truly went above and beyond.”
Managers have a discretionary budget to dole out these awards. And nominations have never been rejected, added Nelson proudly. Once submitted by a supervisor or a manager, the cash amount might be adjusted to reflect the contribution. “But not once have I had a nomination come back, ‘Not approved,’” Nelson said.
“Of course you’re always looking at the return-on-investment. But I would say that there’s an overwhelming agreement that the amount we spend over the calendar year to recognize our people is well over the investment,” said La Pointe.
“We get that money back, and then some.”
