Currently viewing the tag: "Employee Engagement"

9738510277?profile=RESIZE_400xEmployees with the right skills make or break an enterprise, create brand impression, represent the company’s culture and values.

Disruptive technology is changing the contemporary work environment.  Employees in traditional roles are now feeling insecure and disengaged.  This dissonance threatens to take away the Competitive Advantage of companies.

Employee Engagement has emerged as one of the significant pillars on which the Competitive Advantage, Productivity, and Growth of an organization rests.

Disruptive technology and the resulting Digital Economy have uprooted many of the so-called traditional jobs.  Artificial Intelligence (AI) making diagnosis on medical tests is an example.  Does this mean that the doctors will lose their jobs?  The answer is no.  Doctors will have to train to gain new skills to work with AI.

Many other fields are, likewise, seeing work of employees being taken over by machines.  Does that mean employees will lose jobs?  Yes and no.  There is an urgent need for managements to upgrade employee roles and skills as well as take other steps that make an AI-enabled Workforce.

Upskilling Strategy can create new roles for existing employees leveraging their experience and help engage employees in an otherwise adverse work environment.

Upskilling comprises of acquisition of new and pertinent competencies, made necessary because of the current or emerging work environment.  Upskilling adds to the skills the employee already possesses.  Contemporary examples of Upskilling may be provision of Digital skills, Analytical skills, or Organizational Transformation skills to the employees.

Contrastingly, Reskilling means teaching totally new skills to employees.  Reskilling often mandates sending employees back to college or trade school to obtain a degree or certificate in a new field.

Expanding comprehension regarding how to effectively design and implement Upskilling projects may possibly determine society’s Knowledge Assets.  The following 6-phase approach to Upskilling Strategy summarizes the key actions required to ensure effective design and implementation of Upskilling initiatives:

  1. Determine the circumstances and define the project.
  2. Create a skills plan.
  3. Evaluate and guide each employee.
  4. Pair jobs and skills and involve workers.
  5. Pick out trainings and trainers.
  6. Manage the project and examine output.

Let us explore some of the phases of the Upskilling Strategy a bit more.

Determine the Circumstances and Define the Project

Each circumstance is exclusive.  For determining what is involved in making an Upskilling Strategy for that particular situation; coordination, decisions, and actions on a number of levels at the same time is essential.

All Upskilling initiatives, whether originated by the local government or a result of a situation faced by a single enterprise, have some shared elements.

Create a Skills Plan

The skills plan should center priorities on the categories of jobs being impacted by the disrupting technologies, personnel extremely at risk, companies that stand to gain the greatest.

Devising a skills plan helps determine jobs that will be affected by new technologies, savings realized because of automation, categories of new skills that will be required, time span for these changes to take place.

Determining above factors helps design the training initiative that focuses on specific strategic training goals.

Evaluate and Guide Each Employee

Change always conjures fears in employees and takes them out of their comfort zones.  A well-thought-out assessment program that incorporates individual counselling and guidance can go a long way towards pacifying employee fears and assisting them move to an improved situation.

Interested in learning more about pitfalls and benefits of Upskilling, costs and ROI of Upskilling initiatives, details of the 6 phases of Upskilling Strategy?  You can download an editable PowerPoint on Upskilling Strategy here on the Flevy documents marketplace.

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– David Coloma, Consulting Area Manager at Cynertia Consulting

“FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients.  In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over!  The quality of the decks available allows me to punch way above my weight – it’s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.”

– Roderick Cameron, Founding Partner at SGFE Ltd

8578601065?profile=RESIZE_400xEmployee Engagement has emerged as one of the significant pillars on which the Competitive AdvantageProductivity, and Growth Strategy of an organization rests.  Employee Engagement has many facets.  To assess an organization’s current status of Employee Engagement, executives need to devise a measurement system.  Measuring Employee Engagement is vital in shaping Employee Engagement Strategies that help propel the organization towards growth.

A framework that is quite effective in measuring the existing levels of Employee Engagement and devising strategies based on the individuals’ requirements is the “Employee Engagement Scorecard.”

The Employee Engagement Scorecard comprises of:

  • Metrics for each component of Employee Engagement.
  • A scale for scoring metrics in each component.
  • A comprehensive scorecard that pulls everything together.

The Employee Engagement Scorecard is composed of a number of metrics used to measure the individual employee engagement components.  Each metric is based on a 1 to 5 scale, with 1 being lowest and 5 being highest.  The scorecard was developed through an extensive research process involving academic literature reviews and managerial interviews across the world.

The Employee Engagement Scorecard categorizes engagement scores into 4 groups:

Score of 20 to 39 – Low Engagement Level

Indicates that individual components—e.g., Employee Satisfaction, Employee Identification, Employee Commitment—should be addressed.

Score of 40 to 59 – Somewhat more Engaged

Implies that some Employee Engagement factors require immediate attention.

Score of 60 to 79 – High Level Engagement

Shows that generally the company would operate smoothly and achieve good results but further improvement is needed for growth.

Score of 80 to 100 – Adherence

Signifies that the company observes Employee Engagement Best Practices and the Employee Engagement is at a very high level giving the company an advantage in growth.

The Employee Engagement Scorecard encompasses 5 guiding principles (or dimensions):

  1. Enhance Employee Satisfaction
  2. Promote Employee Identification
  3. Enhance Employee Commitment
  4. Ensure Employee Loyalty
  5. Manage Employee Performance

The 5-dimension Employee Engagement Scorecard has been implemented in 7 countries across the Asian, European and American continents in more than 75 companies.  Let us delve a little deeper into the first 2 dimensions of measurement and key actions needed for Strategy Development.

1. Enhance Employee Satisfaction

Valuable time and resources of the organization may be lost because of dissatisfied employees. Dissatisfied employees tend to be unenthusiastic about work, which negatively affects the quality of work.

Various measures by the management can enhance Employee Satisfaction once the metrics are analyzed, i.e.:

  • Rearranging roles and responsibilities to correspond effectively with employee skill sets and interests.
  • Mentoring employees more actively.
  • Developing effective rewards and benefits systems in line with performance.
  • Offering flexible work hours.

2. Promote Employee Identification

Identifying with the organization is as vital for growth as is employee satisfaction.  A satisfied employee who does not identify with the organization will not be able to embody the organization’s culture and values, and thus will stand out from the ones who do.  This creates dissonance in team building activities which are a necessary part of generating new ideas for employee development.  In such a scenario, the leadership can encourage employee identification by:

  • Offering mentorship programs
  • Creating Idea development platforms
  • Reinforcing the organizational culture and values, to connect the employees with the organizational culture and nurture growth.

Interested in learning more about the Employee Engagement Measurement & Improvement and the results of its implementation in 75 companies? You can download an editable PowerPoint on Employee Engagement Measurement & Improvement here on the Flevy documents marketplace.

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The purpose of Human Resources (HR) is to ensure our organization achieves success through our people.  Without the right people in place—at all levels of the organization—we will never be able to execute our Strategy effectively.

This begs the question: Does your organization view HR as a support function or a strategic one? Research shows leading organizations leverage HR as a strategic function, one that both supports and drives the organization’s Strategy.  In fact, having strong HRM capabilities is a source of Competitive Advantage.

This has never been more true than right now in the Digital Age, as organizations must compete for specialized talent to drive forward their Digital Transformation Strategies.  Beyond just hiring and selection, HR also plays the critical role in retaining talent—by keeping people engaged, motivated, and happy.

Learn about our Human Resource Management (HRM) Best Practice Frameworks here.

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You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro LibraryFlevyPro is trusted and utilized by 1000s of management consultants and corporate executives. Here’s what some have to say:

“My FlevyPro subscription provides me with the most popular frameworks and decks in demand in today’s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.”

– Bill Branson, Founder at Strategic Business Architects

“As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.”

– David Coloma, Consulting Area Manager at Cynertia Consulting

“FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight – it’s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.”

– Roderick Cameron, Founding Partner at SGFE Ltd

Stock Image 2 - Redeployment Assessment ManagementRestructuring becomes essential at some stage in the lifecycle of any organization.  In order to emerge triumphant through this tumultuous challenge, it is necessary that the focus remains on the challenges impeding the organization, Strategy Development to tackle the challenges, and prioritizing Strategic Initiatives to deliver radical results that lead the organization to Operational Excellence.

Redeployment is the most significant phase in the Restructuring process.  Within Redeployment, the Assessment phase is critical as the revitalization of the whole organization is dependent on correct Assessments and right placement of employees based on those Assessments.

Proper Redeployment Assessment Management is of utmost importance in Restructuring, and it should follow a structured approach, which means managing 5 core areas:

  1. Manage Assessment Team
  2. Manage Anxiety Level of Candidates
  3. Manage Amount of “Deviant Behavior” in the Assessments
  4. Manage Level of Duplicity, Wild Guessing, and Other Forms of Distortion
  5. Manage Amount of Feedback and Its Timing after the Event

Managing 5 core areas ensures smooth implementation of the Redeployment Assessment process, which is a major milestone of the Restructuring project.

The Redeployment Assessment process has to be detailed, accurate, and prompt.  Due Diligence in documenting the process, verifying particulars, and balance between Rapidity and Accurateness is essential because:

  • Organizational requirement to concentrate on post-restructuring environment is intense.
  • Employees’ urge to swiftly find out about their future is deep-seated.
  • Objections by employee stakeholders, as a consequence of large-scale retrenchment is high.
  • Probability of legal recourse by employees is also distinct.
  • Future Employee Engagement is dependent on fair Assessment and correct placements.

Assessments are based on Data Integration which involves a complex set of Data Points.  Therefore, Data Integration has to follow a strict process for it to be productive.  Following guiding principles will help in comprehensive and unbiased Data Integration:

  • Behavioral evidence, gathered throughout the assessment, should form the basis of discussion.
  • Weightage given to certain competencies should be based on the evidence gathered in assessments.
  • Decisions should be derived solely on the basis of evidence.
  • Facilitator, who is experienced in integrating assessment data and challenging assessors to support their assessment ratings with behavioral evidence, should be engaged.
  • Standards of performance should be very clearly defined against which individuals are assessed and assessment information is integrated.
  • To increase consistency, the chair of integration should present at each assessment session.

Grounded on these guiding principles, strict adherence to the following 8 Key Steps can steer the Data Integration phase in the right direction and make it productive:

  1. List all measures
  2. Weight all measures
  3. Identify minimum qualifications
  4. Create an overall score
  5. Quality and reality check
  6. Enter real data
  7. Review results
  8. Pool the candidates

Let us look at the first 3 steps in further depth.

1. List all measures

This list includes both qualitative and quantitative aspects, i.e., job performance data as well as the performance measures.

2. Weight all measures

Relevant weightage should be assigned to each measure.  Job performance measures normally have more weightage than the potential measures.

3. Identify minimum qualifications

It is important to build checks into the system for anomalies, such as someone scoring overall high while failing to meet the essential criteria.  For such eventualities a minimum qualification criterion has to be set.

Interested in learning more about the 8 key steps for Data Integration during Redeployment Assessment Management?  You can download an editable PowerPoint on Restructuring: Redeployment Assessment Management here on the Flevy documents marketplace.

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You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro LibraryFlevyPro is trusted and utilized by 1000s of management consultants and corporate executives. Here’s what some have to say:

“My FlevyPro subscription provides me with the most popular frameworks and decks in demand in today’s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.”

– Bill Branson, Founder at Strategic Business Architects

“As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.”

– David Coloma, Consulting Area Manager at Cynertia Consulting

“FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight – it’s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.”

– Roderick Cameron, Founding Partner at SGFE Ltd

Stock Image 2 - 5Ps of PurposeMost of us have experienced a uniqueness in some organizations.  These organizations stand out, exude fervor and zeal.  Their customers are pleased with the Customer Centric Design of the company, Employee Engagement is high, and investors and shareholders take pride in being part of it.  It is not their exceptional product or service that is the base of Value Creation rather the Purpose that makes organizations unique—their reason for existence and the resulting impact it makes on the world.

Stakeholders identify with organizations that genuinely follow their Purpose.  Leadership allocates resources in-line with the Purpose.  Employees keep the Purpose front and center while making decisions for the company.  On the other hand, in-genuine Purpose may harm the reputation of the company by turning away the stakeholders.

In order to be genuine, Purpose has to be embedded in the company’s DNA, which is no mean task.  The “5 Ps of Purpose Framework” shows how this can be successfully achieved.  The 5 Ps Framework identifies 5 areas of focus:

  1. Product Portfolio Strategy
  2. People & Culture
  3. Processes & Systems
  4. Performance Metrics
  5. Positions & Engagement

There are numerous benefits to transforming into a Purpose-driven Organization.  The 5 Ps Framework contributes to unlocking the sources of value for the company and detect points of weakness.  Purpose can pay lots of dividends, but it has to be authentic and imbued in the organization’s business model.

Let us delve a little deeper into the first P of the 5 Ps of Purpose.

Product Portfolio Strategy

An organization’s Product / Service offerings and the associated modalities of market and position planning that best cater to the target market ought to imbibe the Purpose of the company in order to appeal to the stakeholders.

The 1st step for achieving this objective has to be the alignment of business portfolio with the company’s Purpose–i.e. we need to integrate Purpose with our Portfolio Strategy.  Companies already in existence may not be able to start afresh but they can surely reshape their business mix in a dynamic and resolute manner.

In step 2, the business portfolios are filled out with Products or Services that match the Purpose, and the ones that do not are rooted out.  Certain key actions are needed to embed Purpose into the Product or Service offering, they include:

  • Rethinking product portfolio — for example pulling out certain products, launching new products.
  • Modifying pricing in line with Purpose.
  • Re-evaluating portfolio and testing rationale of individual assets in light of common criteria.

A case example is an energy company in the extractive industries, founded 85 years ago, which has proved successfully that Purpose can be reinvented.  Being in the extractive business for such a long time has not restricted the company from reexploring what an energy company may look like in the transforming environment of the future.

The company has significantly transformed its Purpose — “reimagining energy for people and planet.”  In line with its Purpose, the company has divested from its petrochemicals businesses and plans to reduce its legacy oil and gas business by 40% by the year 2030.  The company will instead augment its low-carbon energy businesses such as bioenergy, hydrogen, electric vehicle charging businesses, and aims to be a net-zero carbon emitter by the year 2050.

Interested in learning more about 5 Ps of Purpose Framework?  You can download an editable PowerPoint on 5 Ps of Purpose here on the Flevy documents marketplace.

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You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro LibraryFlevyPro is trusted and utilized by 1000s of management consultants and corporate executives. Here’s what some have to say:

“My FlevyPro subscription provides me with the most popular frameworks and decks in demand in today’s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.”

– Bill Branson, Founder at Strategic Business Architects

“As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.”

– David Coloma, Consulting Area Manager at Cynertia Consulting

“FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight – it’s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.”

– Roderick Cameron, Founding Partner at SGFE Ltd

Stock image 2 - Reengagement after RestructuringRestructuring is a turbulent process that shakes the foundations of the organization.  The goal of Operational Excellence cannot be realized merely by the surgical removal of human resource during Redeployment after Restructuring.

Keeping focus on moving the organization forward with vitality means boosting the sagging morale of the employees who survive this storm.  It is the attention to the surviving employees that is going to kick-start the Revitalization process and usher in a new Organizational Culture.

Employee Engagement is an absolutely vital aspect of the revitalized organization.  Re-engagement of the remaining employees after Redeployment is important because:

  • It is a given that engagement levels will be abysmally low.
  • Motivation to work is not the top priority for most after Restructuring chaos.
  • Insecurity is high and employees may be thinking about leaving the organizations on the first opportunity they get.
  • The Revitalization of the organization depends on how the survivors are handled.

To handle such state of affairs, management must do the following:

  • Develop a concrete plan for Re-engagement during the Organizational Design.
  • Allocate appropriate time, effort, and budget for boosting motivation levels.
  • Implement Re-engagement plans that address the diverse Motivational Drivers.
  • Communicate consistently on an organizational level as well as individual level to reassure employees regarding their future.
  • Train line managers on how to handle surviving team members.
  • Push line managers to spend time with individual employees to learn:
    • How team members have handled the Redeployment process.
    • How employees sense the challenges moving forward.
    • What primarily motivates them as individuals.
  • Use motivational assessment methods and integrate the survivors into existing development discussions to align them with organizational processes.

Poor management of the Employee Re-engagement process is bound to have repercussions, such as:

  • Absenteeism
  • Low productivity levels.
  • Substandard customer service quality levels resulting in tarnished image of the organization.
  • Dwindling employees’ commitment to the organizations.
  • Increased risk of switch overs.

Active Employee Re-engagement ensures that the employees are:

  • Clear on the next steps.
  • Clear about their new roles.
  • Can effectively deliver against the new roles.
  • Keen to work in the evolving scenario.

Redeployment in the Restructuring process affects all employees regardless of whether they stay or leave.

Employees typically showcase 4 types of reactions during this transition:

  1. Departure Grief
  2. Survivor Relief
  3. Survivor Irritation
  4. Departure Happiness

Typically, the organizational focus is more on the employees who are leaving, assuming that those who get to stay are happy employees.  This may not be the case.  Care must be taken to address the motivational drivers of all employees in this transitory process.

Let us examine the Employee State, their Motivational Drivers, and appropriate Actions to take during Restructuring, a little more deeply.

Departure Grief

The motivational drivers that induce the state of “departure grief” in employees include:

  • Loss of earnings and benefits such as pension plan and health insurance can be stressful.
  • Loss of daily routine can be upsetting and takes some time to cope with.
  • Forced shift in lifestyle upsets not only the person but the family too which may take a psychological toll.
  • Feeling of rejection crops up as a result of being let go, lowering self-esteem.
  • Loss of financial empowerment puts the person, especially the head of the household, in a vulnerable position.

To help employees cope with Departure Grief, the organizational leadership should take some key actions, such as:

  • Help the ex-employees through counselling sessions.
  • Guide the employees in preparing job applications and CVs.
  • Assist the ex-employees get placed in alternative jobs.
  • Guide the ex-employees in putting the compensated amount to good use.

Interested in learning more about Re-engagement after Restructuring?  You can download an editable PowerPoint on Re-engagement after Restructuring here on the Flevy documents marketplace.

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“If you don’t transform your company, you’re stuck.” – Ursula Burns, Chairperson and CEO of VEON; former Chairperson and CEO of Xerox

Business Transformation is the process of fundamentally changing the systems, processes, people, and technology across an entire organization, business unit, or corporate function with the intention of achieving significant improvements in Revenue Growth, Cost Reduction, and/or Customer Satisfaction.

Transformation is pervasive across industries, particularly during times of disruption, as we are witnessing now as a result of COVID-19. However, despite how common these large scale efforts are, research shows that about 75% of these initiatives fail.

Leverage our frameworks to increase your chances of a successful Transformation by following best practices and avoiding failure-causing “Transformation Traps.”

Learn about our Business Transformation Best Practice Frameworks here.

Do You Find Value in This Framework?

You can download in-depth presentations on this and hundreds of similar business frameworks from the FlevyPro LibraryFlevyPro is trusted and utilized by 1000s of management consultants and corporate executives. Here’s what some have to say:

“My FlevyPro subscription provides me with the most popular frameworks and decks in demand in today’s market. They not only augment my existing consulting and coaching offerings and delivery, but also keep me abreast of the latest trends, inspire new products and service offerings for my practice, and educate me in a fraction of the time and money of other solutions. I strongly recommend FlevyPro to any consultant serious about success.”

– Bill Branson, Founder at Strategic Business Architects

“As a niche strategic consulting firm, Flevy and FlevyPro frameworks and documents are an on-going reference to help us structure our findings and recommendations to our clients as well as improve their clarity, strength, and visual power. For us, it is an invaluable resource to increase our impact and value.”

– David Coloma, Consulting Area Manager at Cynertia Consulting

“FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The quality of the decks available allows me to punch way above my weight – it’s like having the resources of a Big 4 consultancy at your fingertips at a microscopic fraction of the overhead.”

– Roderick Cameron, Founding Partner at SGFE Ltd

5 Dimensions of EE - Stock image 2Organizations typically focus on Customer-centric Design in their Strategic Planning and overlook the critical driver of Performance, Growth, and Operational Excellence—their employees.  With cut-throat competition now the norm the realization has become clearer that employees are:

  • The face of the business and create lasting—or perishing—brand impression.
  • Sources of innovation and organizational knowledge.
  • Representation of the company’s service philosophy.
  • Expected to live by its Organizational Culture and values.

Employee Engagement has emerged as one of the significant pillars on which the Competitive Advantage, Productivity, and Growth of an organization rests.  What, exactly, does it mean when an employee is engaged?  Employee Engagement, over the years, has been thought of in terms of:

  • Personal engagement with the organization.
  • Focus on performance of assigned work.
  • Worker burnout.
  • Basic needs (meaningful work, safe workplace, abundant resources).
  • Attention on Cognitive, Emotional and Behavioral components related to an individual’s performance.

Although Employee Engagement is widely seen as an important concept, there has been little consensus on its definition or its components either in business or in the academic literature.

Kumar and Pansari’s 2015 study define Employee Engagement as:

“a multidimensional construct that comprises all of the different facets of the attitudes and behaviors of employees towards the organization”.

The multidimensional construct of Employee Engagement has been synthesized into the following 5 components (or dimensions).

  1. Employee Satisfaction
  2. Employee Identification
  3. Employee Commitment
  4. Employee Loyalty
  5. Employee Performance

The 5 dimensions of Employee Engagement have been found to have a direct correlation with high profitability, as substantiated by a number of research studies:

For instance, a study of 30 companies in the airline, telecom and hotel industries shows a close relationship between Employee Engagement and growth in profits.  After controlling other relevant factors—i.e., GDP level, marketing costs, nature of business, and type of goods, the study found:

  • Highest profitability growth—10% to 15%—in companies with highly engaged employees.
  • Lowest level of profitability growth—0% to 1%—in companies with disengaged employees.

Research reveals that Employee Engagement affects 9 performance outcomes; including Customer Ratings, Profitability, Productivity, Safety Incidents, Shrinkage (theft), Absenteeism, Patient Safety Incidents, Quality (Defects), and Turnover.

The differences in performance between engaged and actively disengaged work units revealed:

  • Top half Employee Engagement scores nearly doubled the odds of success compared with those in the bottom half.
  • Companies with engaged workforces have higher earnings per share (EPS).

These 5 dimensions become the base for measuring Employee Engagement in a meaningful manner that permits managers to identify areas of improvement.  To assess an organization’s current status of Employee Engagement, a measurement system is needed that includes:

  • Metrics for each component of Employee Engagement.
  • A scale for scoring metrics in each component.
  • A comprehensive scorecard that pulls everything together.

Let us delve a little deeper into the first 2 dimensions of Employee Engagement.

Employee Satisfaction

Definition

Employee Satisfaction is the positive reaction employees have to their overall job circumstances, including their supervisors, pay and coworkers.

Details

When employees are satisfied, they tend to be:

  • Committed to their work.
  • Less absent and more productive in terms of quality of goods and services.
  • Connected with the organization’s values and goals.
  • Perceptive about being a part of the organization.

Metrics

The 5 metrics that gauge Employee Engagement in terms of Employee Satisfaction include:

  1. Receiving recognition for a job.
  2. Feeling close to people at work.
  3. Feeling good about working at the organization.
  4. Feeling secure about the job.
  5. Believing that the management is concerned about employees.

We take a look at another dimension central in significance.

Employee Commitment

Definition

Signifies what motivates the employees to do more than what’s in their job descriptions.

Details

Employee Commitment is much higher for the employees who identify with the organization.  This element:

  • Develops over time and is an outcome of shared experiences.
  • Is often an antecedent of loyalty.
  • Induces employees to guard the organization’s secrets.
  • Pushes employees to work for organization’s best interests.

Research has found that employees with the highest levels of commitment:

  • Perform 20% better.
  • Are 87% less likely to leave the organization.

Metrics

The 3 metrics that gauge the Employee Commitment dimension of Employee Engagement include:

  1. Commitment to deliver the brand promise along with knowledge of the brand.
  2. Very committed to delivering the brand promise.
  3. Feels like the organization has a great deal of personal meaning.

Interested in learning more about these foundational pillars to Employee Engagement? You can download an editable PowerPoint on 5 Dimensions of Employee Engagement here on the Flevy documents marketplace.

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