How to Establish a Culture of Appreciation in Your Organization

Appreciation

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In today’s flexible, team-oriented, and digitally connected work environment, appreciation is a key leadership practice. It plays a vital role in employee well-being, motivation, and long-term company success. This article explains the research findings and concepts of appreciation, exploring its impact on leadership, employee retention and how it contributes to building a positive organizational culture.

Why Employee Appreciation Is a Game-Changer

What if we told you that there’s one thing that could positively impact your entire company culture—and not just the culture, but also tangible metrics like productivity and business outcomes? That game-changer is employee appreciation. Regular, authentic appreciation can create a positive domino effect throughout the organization.

As human beings, we crave positive affirmation and recognition, especially in the workplace where we often tie our identity to our job. We want to be seen not only for what we do but for who we are as individuals. This is why companies should make appreciation a central part of their culture and actively promote it.

What does appreciation mean in the workplace?

Employee appreciation isn’t just a nice-to-have; it’s a powerful tool that enhances satisfaction, performance, and overall well-being. It’s well-known that valued employees are more motivated, more connected, and more productive. However, simply offering financial bonuses or perks may not be enough to foster a true sense of appreciation. Employees particularly value individual recognition—something that speaks directly to their personal contributions and achievements.

To nurture this, leadership plays a key role.  It’s important for managers to not only initiate organizational measures like health challenges but also engage in daily acts of recognition and support. This can range from offering genuine compliments to providing emotional and professional support, acknowledging that your team’s efforts are noticed and valued.

Appreciation from supervisors is highly valued. A study by ManpowerGroup shows that employees are more satisfied with their jobs when their supervisors express appreciation, provide regular and honest feedback, and show interest in them as individuals.

Why is Appreciation So Important?

As mentioned, real appreciation creates a domino effect. It positively influences various factors, benefiting both employees and the organization.

  • Increased motivation: Employees who feel appreciated are more motivated. How to further boost motivation? 
  • Improved performance: Motivation directly impacts performance.
  • Higher employee engagement: Employees who feel valued are more invested and enthusiastic in their work.
  • Better health and well-being: Employees who are appreciated tend to feel happier, less stressed, and more focused.
  • Employee retention: Appreciation leads to longer tenure. Employees are less likely to leave when they feel valued.
  • Reduced absenteeism: Appreciation contributes to fewer sick days and absences.

On the flip side, lack of appreciation can lead to dissatisfaction and demotivation, making employees more likely to leave and less productive.

How Supervisors Play a Key Role in Employee Appreciation

One of the most influential factors in creating a culture of appreciation is the behavior of supervisors. Studies show that it’s often the lack of appreciation from management that drives employees to leave. A study by ManpowerGroup reveals that employees are more satisfied when their supervisors express appreciation, provide regular and honest feedback, and show genuine interest in them as individuals.

This highlights the importance of leadership in shaping a culture of appreciation. Supervisors who make an effort to show recognition—whether through small gestures or meaningful feedback—can significantly impact team morale and retention.

A happy looking business man in a suit looks at his laptop, while raising his hands, seemingly successful and full of Appreciation. In the back there is a modern looking city.

7 Ways Ways Leaders Can Show Appreciation

  1. Listen Actively: Show genuine interest in your employees’ thoughts and concerns.
  2. Acknowledge Achievements: Give a simple “thumbs up” or verbal recognition after a job well done.
  3. Thank Employees Personally: Take the time to thank employees for their efforts, especially those who go above and beyond.
  4. Handwritten Thank-You Notes: In our digital world, a handwritten note stands out as a personal and thoughtful gesture.
  5. Seek Their Input: Asking for employees’ advice shows that you value their expertise and trust their judgment
  6. Offer Small Gestures: A day off after a big project or a small token of appreciation can go a long way in showing that you care.
  7. Personal Connections: Invite team members to lunch or check in on their personal lives to show interest beyond work.
  8.  

Building a Culture of Appreciation Across the Organization

While leadership plays a crucial role, it’s equally important that organizations embed appreciation into the fabric of their culture. HR can take the lead in creating structural initiatives that nurture appreciation, ensuring it’s woven into daily practices. A consistent focus on appreciation can boost employee morale and shape a positive organizational culture.

How Teamfit Fuels Employee Engagement

At Teamfit, we understand how a culture of appreciation can drive motivation and employee retention. Our Corporate Community Challenges provide employees with opportunities to connect, collaborate, and celebrate success, creating a positive, competitive atmosphere

Create a Culture of Appreciation

Summary

Why is appreciation important?

Appreciation helps employees feel heard and respected. It builds trust, promotes collaboration, and boosts motivation, which leads to improved performance and long-term employee retention.

How can appreciation be shown?

Appreciation can be expressed verbally (e.g., through a “thank you”), non-verbally (e.g., through a smile or nod), or through tangible actions such as rewards, recognitions, or professional development opportunities.

What are the long-term benefits of appreciation?

Appreciation boosts employees’ well-being, encourages their growth and innovation, and contributes to a positive company culture, which directly impacts business success.

Sources

  • Gebert, R. (2023). Wertschätzung. In: Vereint mit Potenzial. Springer, Wiesbaden.
  • Sand, T., Cangemi, J. P. & Ingram, J. (2011). Say Again? What Do Associates Really Want at Work? Organization Development Journal, 29(2), 101-107.
  • Stocker, D., Jacobshagen, N., Krings, R., Pfister, I. B. & Semmer, N. K. (2014). Appreciative leadership and employee well-being in everyday working life. Zeitschrift für Personalforschung, 28(1-2), 73-95.
  • Holzrichter, T. & Santer, M. (2022). Führung durch Kooperation: Besseres Miteinander – exzellente Leistungen. Springer.

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