Do you know how engaged your employees are and why the answer matters?


  • September 10, 2015
  • /   Rachael Gillette
  • /   training-development

I have always been interested in why some people succeed and others don’t.

As I get deeper into my work at Studer Community Institute, this fascination to understand why some businesses are more successful than others and what sets them apart has grown into a profound curiosity.

Employee engagement is a phrase that has become popular lately, but what does it have to do with organizational success? A lot.

Studies by Gallup and others, involving millions of organizations and tens of millions of employees, show that businesses or teams within that business, who have high employee engagement have a 80 percent higher success rate in their organization in factors such as customer loyalty, productivity and quality. Engaged employees are committed, they give their best effort and they add that secret sauce, “discretionary effort.”

According to the 2015 edition of The Conference Board Job Satisfaction survey, 48.3 percent of workers are satisfied with their jobs. This is a mere 0.6 percentage point increase over the previous year, which shows that there is a long way to go.

The report describes “lackluster compensation” as “continuing to disappoint most U.S. workers,” as well as other factors such as promotion opportunities and bonus plans. Gallup’s latest finding indicate that 70 percent of American workers are “not engaged” or “actively disengaged” and are emotionally disconnected from their workplace and less likely to be productive.

There is a temptation to think that unengaged workers are low performers. This, however, is not true. There are plenty of talented, intelligent people who just go through the motions each day. In the study “State of the American Workplace,’ Gallup Chairman and CEO Jim Clifton says that “bad managers create active disengagement, costing the U.S. an estimated $450 billion to $550 billion annually.”

Leaders need to understand the crucial role that they play in connecting employees to purpose. Clifton argues that to win customers and a bigger share of the market place, companies must first win the hearts and minds of their employees. Employees need to have their basic needs met or engagement will suffer, which in turn affects every aspect of business.

Tracey Maylett, Ed.D and Paul Warner, Ph.D. in their book, “Magic: 5 Keys to Unlock the Power of Employee Engagement,” introduce as necessary ingredients the concept of a five-part approach, focusing on five MAGIC keys of employee engagement: meaning, autonomy, growth, impact and connection. Employees want to have the opportunity to work flexibly and remotely, to know they are making a difference and have input in the decision-making process. Regular recognition is an important psychological need, as is the need for professional development. Employees want feedback from managers and the support to communicate openly. Having a best friend and working in small tight-knit environments boosts engagement and satisfaction.

It takes hard work and perseverance to create an excellent environment where employees can thrive and give discretionary effort. Measuring engagement and focusing on outcomes is crucial. Organizations that take the process seriously and commit to leader and manager development programs, as well as the development of individuals and teams, reap the benefits.

Clifton concludes that if leaders commit to getting rid of bad managers, doubling the number of great managers and engaged employees, everything will change

It’s doable. We just need to make it happen.

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