keys to organizational effectiveness: the importance of engaged employees

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Keys to Organizational Effectiveness: The Importance of Engaged Employees

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Keys to Organizational Effectiveness: The Importance of Engaged Employees. Your Speaker Today. Mike Phillips Director of Feedback Strategy Cvent Web Surveys [email protected]. Employee “Engagement” Defined. Employee Engagement Study, July 2012. - PowerPoint PPT Presentation

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Page 1: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Keys to Organizational Effectiveness:

The Importance of Engaged Employees

Page 2: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Your Speaker Today

Mike Phillips

Director of Feedback Strategy

Cvent Web Surveys

[email protected]

Page 3: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

“The measurable degree of an employee’s positive or negative emotional attachment to their

job, colleagues and organization that profoundly influences their willingness to learn and

perform at work.”

Employee “Engagement” Defined

An engaged employee is enthusiastically and proudly involved in his or her organization and day-to-day job responsibilities, and engagement keeps employees committed to their work.

“A heightened emotional connection that an employee feels for his or her organization, that influences him or her to exert greater discretionary effort to his or her work.”

- The Conference Board

Employee Engagement Study, July 2012

Page 4: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Why is Engagement Important?Engagement Benchmarks

“Only 58% of public sector employees are fully engaged in their jobs.”

“Depending on global region, industry type and company size, an average of 29% - 33% of employees can be considered at

any particular point in time.”

Engaged public sector employees are…►Twice as likely to stay in their current job►2.5 times more likely to feel they can “make a difference”►2.5 times more likely to recommend their workplace to others►Three times as likely to report being “very satisfied” in their jobs

Page 5: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Revenue: engaged employees play a major role in helping achieve

revenue goals.

Employee retention: engaged workforces enjoy higher retention rates.

Productivity: engaged employees are more productive.

Morale: engaged employees have higher morale.

Creativity: engaged employees are viewed as more creative and

innovative.

Stakeholder loyalty: engaged employees are key to creating more loyal

stakeholders.

Why is Engagement Important?

Page 6: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Getting to “Engagement”

Page 7: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Low Average High0%

20%

40%

60%

80%

100%

31% 33% 36%

7%13%

81%

Leadership Emphasis on Employee Engagement

<50% >50%

Employee Engagement – First Principles

Source: Employee Engagement Benchmark StudyDemand Metric Research CorporationDecember, 2013

Page 8: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

None

Other

Employee survey

Productivity metrics

"Hygiene" metrics

Customer sat scores

0% 10% 20% 30% 40% 50% 60%

35%

5%

45%

19%

17%

32%

18%

6%

55%

35%

31%

45%

Engagement >50% Engagement < 50%

Measuring Engagement

“How do you measure effects of employee engagement?”

Source: Employee Engagement Benchmark StudyDemand Metric Research CorporationDecember, 2013

Page 9: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

None

Other

Service training

Supervisory training

Internal communications

Feedback programs

Team building

Recognition programs

Skill training

Performance reviews

0% 10% 20% 30% 40% 50% 60% 70% 80%

6%

8%

29%

36%

43%

52%

54%

59%

63%

70%

Creating an Engaged Culture

Source: Employee Engagement Benchmark StudyDemand Metric Research CorporationDecember, 2013

“How do you create and maintain engagement?”

Page 10: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Key First Steps

What are the components of engagement?

How do my levels compare to others’

levels?

How does engagement differ by division, department, region, management

level, etc…?

Measure Engagement Levels

How do the drivers of engagement differ

across various units and levels?

Are current programs focused on

engagement or something less?

Assess Factors Driving Engagement

Recognize and reward engagement

(share stories, recognize good work, reinforce positives)

Remediate areas of disengagement

(create clarity, revise messaging, re-focus

training)

Take Action!

Page 11: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Yes - 0.3

No - 0.67

Not Sure - 0.03

“Do You Have A Formal Employee Survey?”

“In spite of the importance of employee retention to agency success, more than two-thirds of those surveyed do not have

a formal process, such as employee opinion surveys or other research tools, for assessing employee engagement.”

11

Employee Engagement Study, July 2012

Current State of Measurement

Page 12: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Quantifying and Acting on Engagement

Page 13: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

2 Key Dimensions to Engagement

Alignme

nt

Empowerment

Engagement

Page 14: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Engagement Segmentation

Alignment Questions:1. I know what is expected of me at work.

2. The mission/purpose of my company makes me feel my job is important.

3. My associates (fellow employees) are committed to doing quality work.

4. I have a best friend at work.

5. In the last six months, someone at work has talked to me about my progress.

Empowerment Questions:6. I have the materials and equipment needed to perform my duties.

7. I have the opportunity to do what I do best every day.

8. In the last seven days, I have received recognition or praise for doing good work.

9. My supervisor cares about me as a person.

10.Someone at work encourages my development.

11.At work, my opinions seem to count.

12.In the last year, I have had opportunities to learn and grow.

Page 15: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Engagement Segmentation

ALIGNED• PRODUCTIVE

CONTRIBUTORS• DO NOT USE THEIR OWN

JUDGMENT OR MAKE THEIR OWN DECISIONS

DISENGAGED

• NO CONNECTION W/ORGANIZATION

• SOURCE OF INCOME ONLY

ENGAGEDMAKE DECISIONS AND TAKE ACTIONS THAT THEY BELIEVE ARE IN THE BEST INTERESTS OF THE COMPANY

EMPOWERED• FEEL FREE TO MAKE

THEIR OWN DECISIONS• DO NOT FEEL

RESPONSIBLE FOR SUCCESS OF FIRM

EMPOWERED

ALI

GN

ED

Step 1:Based on agreement w/each of the 12 Engagement Statements, each Employee can be segmented into Engaged or Disengaged segments based on agreement with specific statements.

Page 16: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Engagement Segmentation

Step 2:Predictive statisticalanalysis can then be performed to determine what attributes of the experience best predict differences between Engaged and Disengaged segments.

DISENGAGED

• NO CONNECTION W/ORGANIZATION

• SOURCE OF INCOME ONLY

ENGAGEDMAKE DECISIONS AND TAKE ACTIONS THAT THEY BELIEVE ARE IN THE BEST INTERESTS OF THE ORGANIZATION.

Experience AttributesDefining

the Difference

Page 17: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Employee Engagement SegmentationBasic Profile: Key Metrics

Employee Engagement Segments

Index: Index of 100 = average for all respondents

Empowered

Engaged

Aligned

Disengaged

Attribute•Satisfaction•Recommend•Aligned w/Mission•Empowered to Act

Index→164→152→168→181

Attribute•Satisfaction•Recommend•Aligned w/Mission•Empowered to Act

Index→121→133→124→166

Attribute•Satisfaction•Recommend•Aligned w/Mission•Empowered to Act

Index→112→131→157→131

Attribute•Satisfaction•Recommend•Aligned w/Mission•Empowered to Act

Index→ 89→ 77→ 65→ 58

“Engaged” Employee Segment Profile

Training is a high priority within the firm.

Members of my team communicate well with each other.

The benefits offered are better than those in other firms.

My group works well as a team.

I have the tools needed to do my job well.

Work environment is professional.

The mission of the firm is well communicated.

I am free to solve customer problems at my discretion.

My supervisor provides regular feedback on performance

My supervisor is a positive influence on me.

60

68

77

78

88

89

93

113

122

132

Agreement Index (Top Box)

Below AverageAgreement

Above AverageAgreement

Page 18: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Employee Engagement SegmentationDemographic Profile Report Example

Employee Demographic Profile by Engagement Segment

Index: Index of 100 = average for all respondents

Below Average

Above Average

Dept: IT Employment Tenure: 1 - 3 yrs Dept: Case Management Level: Non-Supervisory20

70

120

170

138145

34

127

110117

36

74

95 92

112 113

72

53

114

63

Demographic Profile by Employee Engagement Segment

Engaged Empowered Aligned Disengaged

Page 19: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Employee Engagement SegmentationKey Driver Analysis of Engagement

Training

Problem Resolution

Supervision

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

26%

32%

42%

Primary Key Drivers of Employee Engagement

% Importance in Predicting Employee Engagement

Page 20: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Employee Engagement SegmentationKey Driver Analysis of Engagement

Attribute Importance

Supervision 42%

Supervisor is a Positive Influence 22%

Regular Feedback on Performance 20%

Problem Resolution 32%

Feel Free to Solve Customer Problems 17%

Have Tools Needed to Do Job 15%

Training 26%

Training is High Priority 26%

Key Primary/Sub-Drivers of Employee Engagement

Page 21: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Full CircleEmployee Engagement and Organizational Effectiveness

Higher Retention

ProuderEmployees Investment

in Employees

EngagedEmployees

Great StakeholderExperience

LoyaltyStrong

PerformanceResults

Committed Ambassadors

New Service Ideas

Empowered Problem Solvers

Source: Temkin Group

Page 22: Keys to Organizational Effectiveness:  The Importance of Engaged Employees

Thank youMike [email protected]