When developing a recognition program, it is important to consider the culture of the organization and the various program options. Not all types of programs are appropriate to all organizations. Similarly, many organizations may benefit from a combination of different types of programs.

Many organizations choose to simultaneously install formal and informal recognition processes. Formal recognition is popular because it is highly tangible and requires little effort to implement. However, providing material rewards alone is more costly and perhaps less effective. The lack of a supportive informal process may limit the success of a formal program.

Commonly, organizations that adopt informal recognition processes do so as part of a larger intervention. Informal recognition is supportive of many positive organizational changes in that it enhances acceptance of change, improves quality and productivity, expands communication, builds rapport, increases teamwork, and aids in participative management practices.