Competition and recognition.

• Author: Nelson, Bob
• Position: Rewarding Employees - Tips for getting best out of competition among employees - Brief Article - Column

The American spirit is captured in competition. Being the best is the standard of excellence we all strive for. Yet when does competition become a hindrance rather than a blessing? Is competition good or bad in the workplace? Can we minimize its shortcomings and leverage its positive aspects?

Here are some tips for getting the best out of competition:

Set everyone up to win. Obviously, the less you intentionally pit people against each other, the better. Have the group strive for a common goal or compete against their own personal best. Instead of having an "employee of the month," for example, establish clear criteria in which all employees have the chance to achieve a monthly "honor roll" for desired performance growing out of the organization's values.

People's National Bank of Kewanee in Kewanee, Ill., held a contest for the marketing of new MasterCard and Visa cards in which employees received gifts tied to the number of new accounts they opened. For each of the first four accounts they opened, employees receive a flower, for every additional five accounts they approved and opened, they received a series of progressively more valuable gifts ranging from a $5 Dairy Queen gift certificate to a $50 savings bond and a day off with pay.

Don't rank people. The less you rank people the better, and the less resentment they have about you, the process and their co-workers, I know one company that ranked all of its district managers from 1 to 53 each quarter based on their revenues, regardless of how long they had been in the job, the size of their territory and so forth. The list was publicly posted and the top 20 percent had various incentives lavished upon them, while the lower 20 percent were in constant fear of losing their jobs. The process led to cutthroat competition in which managers were so eager to get higher on the list they would resort to unethical practices, misrepresentations and cut corners.

The company changed its ways and now has individual goals set for each manager that vary widely depending on each manager's experience and territory. Whoever exceeds their individual goals becomes a member of 'The 100 Percent Club."

Promote collaboration. Encourage and look for ways employees can work together to overcome obstades through sharing experiences, strategizing and...