A Smart Twist on Employee Awards

Many companies routinely give out awards to employees for top-notch performance and for embodying the organization’s stated values. Those awards typically include cash, plus a funny trophy of some kind that is passed from winner to winner.

It’s the right impulse – a company’s culture is defined in part by its heroes. But I heard a slightly different approach from Jess Lee, the CEO of Polyvore, in my recent Corner Office interview with her. Rather than giving employees cash awards to spend on themselves, the company gives them $500 to spend on anything they want for their colleagues.

"People have picked out a Foosball table, or hired a food truck for the entire team to eat at for lunch, or bought a huge beanbag chair," she said. "We also had a Scotch-tasting party."
Sure, it's easy to argue that the employees might prefer having the cash themselves (and it can be hard to switch traditions mid-stream if employees have come to expect that the winners will see more money in their paychecks). But for start-ups and other fast-growing companies, it's a smart approach that can help foster a company's unique culture.


Jess Lee had another insight worth highlighting – about how less is more. Last January, the company held a "simplification month."

"We just asked everyone in the company to make a list of everything that they do, identify the things that are important, and for the rest of the list, simplify it, optimize it or delete it so we can get the company to the simplest possible state," she said. "It’s really important to take the time to clean up all the entropy that otherwise will happen."

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