What makes an organization a terrific place to work? We set on the path to find out with the Employer Resource Institute's 2006 Great California Workplaces Award contest. As we discovered, keys to a great workplace include unique, innovative, and effective programs that combine to create a relationship of respect and trust between employer and employee.

The 2006 grand-prize winner is Insomniac Games in Burbank, one of the most successful video game developers for the Sony Playstation. Insomniac Games, founded in 1994, stood out to our panel of judges for its peer-to-peer recognition plan and highly accessible, visible CEO. Honorable mentions went to ITS Corporation in Oxnard, FFF Enterprises in Temecula, and the San Joaquin Regional Transit District in Stockton.

Here's an up-close look at what makes Insomniac Games a great place to work.

What's Behind Insomniac's Success

Insomniac Games has grown over 12 years from a small team of 20 employees to more than 160 employees. Today, it is a successful developer that can naturally attract top candidates—but it isn't content to rest on its laurels. That's because there still is strong competition for talented employees among developers and publishers in the relatively new video games industry. To continue to be able to hire and retain the best talent, says Insomniac's human resources director Carrie Oliff, the company is committed to open communication, rewards and recognition, and training and development.

Open Communication

A cornerstone of Insomniac Games's dedication to open communication is the visibility of CEO Ted Price, who spends each morning walking through the office and speaking with employees. Several times a week, Price takes pairs of employees to lunch to hear their ideas. The company's communication program also includes:

  • Performance reviews. Insomniac conducts mid-year and annual performance reviews, which provide a time for feedback and for the employee and manager to set and monitor goals.
  • Surveys.Insomniac surveys employees annually for feedback about leads and department heads. Employees are asked to list at least three achievements and 3 "areas of opportunity" for growth and development, which in turn help Insomniac outline goals for its supervisors for the coming year.
  • Show and tell. Insomniac has weekly "show and tell" meetings about games the company is working on. The meetings are open to all employees, regardless of assignment or department, and provide an opportunity to discuss progress on various games and get employee feedback. Oliff says these meetings function like a suggestion box.

Rewards and Recognition

Insomniac Games's peer-to-peer recognition plan caught the attention of the Employer Resource Institute's judges. One facet of the plan is based on Insomniac's popular Ratchet & Clank game, in which the character Ratchet carries a wrench. Every two weeks, one employee chooses a co-worker—someone who has helped the employee in his or her job in a significant way—to get a giant wrench to display in their work area along with a free parking space and a car wash. That employee in turn selects the next employee and passes the wrench on. Another program encourages employees to nominate another employee to receive tickets to a sporting event or concert.

Here are other ways—some traditional, some exciting and innovative—that Insomniac Games recognizes employee contributions:

  • Pay and benefits. Besides competitive pay, Insomniac provides bonuses and a matching 401(k) plan. The company pays 100 percent for employee medical, dental, vision, employee assistance program, long- and short-term disability insurance, and life insurance, plus 80 percent of the cost for dependent coverage.
  • Paid time off. From year one, employees receive four weeks of vacation, 10 holidays, 10 sick days, and 2 personal days.
  • Seniority awards. After five years, employees earn an extra week of vacation plus $2,500 for vacation travel. Ten years with the company brings yet another week of vacation, $5,000 for a vacation, plus travel gear. Oliff says that the travel incentive is Insomniac's way of saying "thank you" by encouraging valued employees to take time away from the office with family or friends.
  • Parties and perks. Insomniac employees enjoy a company-hosted lunch every Friday along with special parties and celebrations throughout the year. For example, when the company is in a high-production cycle, it might give employees a weekly break replete with a smoothie or gourmet ice cream sundae bar. Two years ago, for Insomniac's 10th anniversary, all employees and their families were treated to a 3-day Mexico cruise.

Training and Development

Insomniac is committed to advancing the video game genre, which spurs the company's extensive employee training and development programs. These include educational reimbursement allowances; onsite training events for artistic, technical, and leadership development; three paid conference attendance days for industry-specific events; and "lunch and learn" sessions on personal topics such as buying a first home or building a balanced portfolio. Insomniac is also in the process of formalizing a career path plan and a mentor program.

What Can You Do?

Not all companies have the resources for the programs, benefits, and perks Insomniac Games offers its employees. But many of the best practices at the foundation of Insomniac's award-winning workplace—the peer-to-peer recognition program, a visible CEO, lunchtime training sessions, or soliciting employee feedback regarding management's performance—can be adopted by just about any organization.

For more information about this year's award contest, go the homepage of the Great California Workplaces Award.