Our recently published Appreciation Index report contains tons of information that is valuable for organization leaders as well as team leaders in helping them prioritize what they might do and how they might do it in order to create a powerful culture and improved business results.
Appreciation and recognition aren’t the same
In casual conversation, we may use these terms interchangeably. As in: “Hey, kids, I just did 6 loads of your laundry! Where is the appreciation?” My children would then be correct (but not advised to mention) that I would, in fact, be asking for recognition, not appreciation.
- Recognition is being grateful for what someone does. It is a give and take – you do something, and then I thank you. “Thank you for doing my laundry, despite an already busy day.”
- Appreciation is being grateful for who someone is. It is about who they are as a person. “I appreciate how kind and thoughtful you always are.”
Both recognition and appreciation are important in work cultures and relationships, but they play different roles.
The value of appreciation in the workplace
Before we get to how to better support a culture of appreciation at work, let’s not forget to reinforce why we should care. Some people feel the intrinsic value of elevating the humans at work, but we don’t need to make it about how it feels when appreciation is present.
It also impacts results.
In our research, we confirmed decades of similar findings that when people feel appreciated, the top three outcomes are that they work harder (72.1), are more engaged (70.5), and are more satisfied with their job (68.7). In fact, the HAAS School of Business Research found that those that feel recognized are 23% more effective and productive – but in those that feel appreciated and valued for themselves, those increases jump to 43%.
The 5 drivers of appreciation
So, if appreciation is so incredibly powerful, how can you use this as a leader to make a difference for your team or company? Here are the top five drivers that, when present, increased the likelihood that an employee would feel appreciated.
I am recognized by managers
Are recognition moments just as likely as recommendations for improvement to feature in one-on-ones and team meetings? Have you built out organizational recognition so that it is easy for managers to regularly highlight great work? Are senior leaders modeling recognition with the leaders on their team so they feel empowered to recognize the (often appreciation-starved) front lines?
Demographically, larger organizations (>2,500 employees) reported lower levels of recognition, scoring 57.9, compared to mid-sized businesses with 500–2,499 employees, which scored 64, and smaller organizations with fewer than 499 employees. With scores just above neutral, employees in larger companies seemed to feel somewhat overlooked.
My hard work is rewarded
When employees go the extra mile, will the recognition they receive acknowledge this? Or has recognition become stale with the same people recognizing in all the same ways? Have you built out levels of recognition so the organization can increase the impact of recognition when it is really warranted? Note that this doesn't necessarily mean people get $$money$$. Maybe they get access to increased professional development time, or get shouted out at an all-hands meeting, or feel their hard work will lead to increased eligibility for promotion.
Demographically, younger workers (18-29 and 30-44 years old) and those over 65 reported feeling more rewarded for their efforts, while individuals in the 45-54 and 55-64 age groups felt less appreciated. We also found that men were more likely than women (63.0 vs. 58.7) to feel their efforts were rewarded, highlighting a gap in how hard work was perceived across genders in the U.S.
I feel I belong here
If appreciation is focused on the whole human, are we making sure those humans are comfortable on our teams? Are we accommodating for different working styles and even celebrating what they bring to the team? Do employees feel that their perspectives are taken into account when decisions are made? Does our workforce match the demographics of our community, or might we be biased in who we hire and how welcoming we are being?
Demographically, neurodivergent employees (63.5) and those with disabilities (64.8), regardless of their seniority level, reported feeling significantly less appreciated compared to their peers who identified as having “none of the above” (68).
My managers support me
Do managers have the time, skill and permission to get to know the needs of their people? Are they proactively showing flexibility and making work easier for their teams – or does that only happen during times of stress or uncertainty (like with a sick child or a snowstorm)? Do managers know what organizational supports are available for their people and how to provide them the information they need to use those benefits? (Or do managers feel like they are the only line of defense to help their teams?)
Demographically, family context played a role in the U.S. Our data showed that employees with children or caregiving responsibilities felt slightly more supported by their managers, scoring above 60, compared to 58.2 for those without such responsibilities. While this effect was small, it is worth considering. Do we pay as much attention to supporting those without urgent caregiving needs?
My organization praises me
While manager recognition is the first driver, what can the organization do to elevate recognition? Are recognition stories being shared across teams so other leaders can reach out and reinforce the praise? Do senior leaders have an easy way to shout out great examples from the front lines at the highest levels? What is the company’s plan for Employee Appreciation Day?
Demographically, seniority influenced levels of organizational praise in the U.S., with executive level employees (64.7) consistently reporting higher levels of recognition compared to those in entry-level positions (55.8). This disparity makes sense, however, it underscores the need to ensure that praise is distributed more equitably and that good work gets visibility across all levels of the organization.
Appreciation is a powerful cultural force and a way to support people and profits. Download our full report to dig further into the numbers and to learn more about the demographics that are more and less likely to feel appreciated.