And why companies have been getting it all wrong!
According to Gallup’s State of the American Workforce (2017) report, not much has changed with respect to employee engagement levels over the past several years. Gallup reports that almost 70% of employees in the United States were disengaged last year. In Canada, the numbers aren’t much better. Recent research from the Conference Board of Canada states that employee engagement scores for most organizations have plateaued since 2010 with only 27% of employees being highly engaged at work.
These numbers won’t come as a shock to anyone who keeps up to date with issues or trends related to leadership, organizational effectiveness, or workplace culture. What many companies are struggling with, however, is how to turn these numbers around. Companies are investing in employee engagement, an estimated $720 million each year, yet engagement levels have barely changed in the past decade.
There are several reasons as to why current approaches to engaging employees have failed to produce lasting results. Here are three of the most common reasons I discovered from working with my own clients on culture and engagement:
1. Employee engagement activities are sporadic because companies don’t have an actual strategy for building an engaging workplace culture;
2. Companies sprinkle their workplace with perks, hoping to foster engagement and loyalty with free massages and food (usually in the effort to win a ‘Best Places to Work’ award);
3. Employee engagement is delegated to HR or another department when employee engagement is actually EVERYONE’s responsibility.
There are no shortcuts on the road to engaging employees. What companies need is an actionable framework that will help the company and its employees understand what employee engagement (and disengagement) really is along with steps to build a strong foundation for engagement throughout the entire company.
In my book, The Engaged Employee Blueprint, I describe my own spiral into (dis)engagement with my last employer so companies can understand what it takes to retain high-performing employees. I also provide a six-part framework that companies can implement right now to turn engagement into a long-term practice instead of a ‘shot in the arm’ event.
Here are the six key areas that companies must focus on when trying to build a workplace where employees are engaged and thriving:
1. Communication – Open, consistent communication is the foundation for all successful relationships, both personal and professional. So, this is where you must start in your own effort to engage employees. Strong, internal communication channels ensure that all employees understand what is expected of them and know exactly what is happening within the company. To build these strong communication channels, leaders and managers must get out of their office every day and have real conversations with employees instead of relying on email and company memos.
2. Support and Benefits – Employees need more than just a salary to be comfortable and engaged at work. They need benefits such as health and dental. They need processes and policies that provide them with the necessary support to be able to work effectively and efficiently so they can take regular breaks throughout the day, week, and year. In my book I provide examples of how companies can go beyond a base salary to provide employees with what they need to become the healthiest, happiest (and most productive) version of themselves.
3. Training and Development – Companies must invest consistently in both the technical and ‘soft skills’ development of employees and managers. This includes ensuring that employees are thoroughly trained on how to do their job but also that employees have the interpersonal skills they will need to work well with others.
4. Mentorship – Formal and informal mentorship opportunities are an extension of training and development. Reverse mentoring and peer mentoring provide opportunities for employees to learn from one another and get support without always having to rely on their manager. An internal mentoring program or platform will provide opportunities for employees to get and give support thereby fostering better relationships and satisfaction at work.
5. Appreciation and Recognition – All employees, regardless of age and experience, want to know that the work that they do is valued by their employer. Many of my clients have been surprised to hear that what their employees want most is to receive a genuine Thank you from their boss – reassurance that their hard work isn’t going unnoticed. A company and its leaders must establish a regular practice of recognizing and appreciating employees.
6. Motivation and Inspiration – Salary and perks are considered extrinsic motivators and the impact tends to burn out fast. When companies and managers take the time to understand what is most important to their employees related to their lives and the work that they do, they can use that information to initiate activities that will ignite intrinsic motivation. When intrinsic motivation is activated, employees are more likely to form an emotional connection to their work and employer, leading to an increase in engagement and workplace satisfaction.
The engagement levels of your employees will have a big impact on the success of your company as well as the well-being of your employees. Gallop’s research on employee engagement states that companies with higher levels of engagement have a healthier bottom line (147% higher earnings per share, on average, in publicly traded companies), higher productivity (18%) and higher quality (60%) of work than under-engaged employees.
According to the Gallup-Heathways’ Well-Being Index, employees who are actively disengaged at work are more likely than their engaged peers to say they experience health issues ranging from physical pain to depression. Disengaged employees will miss an average of 10.7 days of work per year compared to engaged employees who miss 3.9 days of work per year. With numbers like these, isn’t it worth taking a long, hard look at engagement levels within your own company?
If you are ready to learn how to create your own engaging workplace I encourage you to pick up a copy of my book, The Engaged Employee Blueprint. You will read stories from outstanding companies on how they overcame challenges related to engagement and culture as well as strategies to improve all six areas of engagement that I outlined in this article.
Please share your ideas and challenges regarding employee engagement and workplace culture in the comments!