Recognition doesn’t have to be expensive – but it is priceless.The problem is, we often make it harder than it needs to be.
In an effort to “empower managers,” many organizations hand off recognition budgets to individual departments. On paper, it sounds like flexibility. In practice, it becomes one more task on an already overloaded to-do list.
When recognition involves budget trackers, approval chains, or spreadsheet gymnastics, it stops feeling spontaneous—or genuine. Managers start thinking, “I’ll get to it when I have time,” which usually means… never. And employees feel that absence long before the next survey rolls around.
Recognition should never feel like paperwork. It should feel like a celebration.
When Empowerment Turns Into a Burden
I’ve seen companies where recognition budgets are owned by each department. Managers have to track who received recognition, when, how much, and how much is left in their budget.
The result? Every year, managers wait until December to hand out the remaining funds—because they want to see what’s left in the coffers before spending it. The timing makes the gestures feel disingenuous. Recognition isn’t happening because people are doing great work; it’s happening because it’s time.
To make things more complicated, if someone outside a department wants to give recognition, the recipient’s manager has to approve it first—since the funds come from their budget. That extra step adds workload for the manager, removes empowerment from the person trying to recognize great work, and completely kills the moment of instant reinforcement.
And to top it off, there’s often zero reinforcement for non-monetary recognition. No system, no visibility, no cultural value. So, guess what happens? Peer-to-peer recognition fades away too. If you want people to participate, make it quick, easy, trackable, and free of friction. Centralize the budget so there’s oversight and consistency—but not barriers.
Ease Over Effort
The best recognition programs are simple: easy to give, easy to receive, and easy to sustain. I’ve seen firsthand how simplicity changes everything.
At one company, recognition had slowed to a crawl because managers were bogged down with approval processes. Once we moved the budget under HR and automated tracking, recognition moments skyrocketed—with an average of 15+ recognition messages per employee in one year. Even better, 85% of that recognition was non-monetary!
When friction disappears, recognition becomes part of the everyday rhythm of work.
Protecting Recognition During Tough Times
Centralizing ownership under HR or Total Rewards also creates something every program needs: stability.
When recognition budgets live within departmental silos, they’re often the first to go when finances tighten. But if managed centrally, recognition remains protected—and so does morale.
Because here’s the truth: when times are tough, recognition isn’t a “nice to have.” It’s a lifeline. It keeps people connected, engaged, and motivated to keep showing up.
Recognition Is Culture in Motion
At its best, recognition isn’t just about saying “good job.” It’s about reinforcing your values in real time. Every shoutout, thank-you, or public nod is a signal of what matters most in your organization.
Those signals add up. Over time, they create patterns—who’s connecting across departments, which behaviors are celebrated most often, and where gaps in belonging might exist. Recognition can tell you more about your culture than a dozen engagement reports ever could.
Recognition doesn’t have to come with a price tag to be powerful. When it’s easy, centralized, and authentic, it transforms from a budget line item into a cultural heartbeat.
If you want to talk about how to craft a recognition system that actually works—one that’s simple, scalable, and human—let’s chat.
