Keep Your Employee Engagement Up During a Down Economy
By Priscilla Kohl | HRTools.com Business Writer
Employee engagement is a business buzz phrase used today by many human resource practitioners, workplace productivity experts and organizational psychologists. ‘Doing more with less’ is another buzz phrase, which seems to resurface during times of economic uncertainties.
These combined issues—engaging employees and doing more with less—are growing in status and earning top billing, because employees’ performance significantly affects the bottom line. More than a decade ago, The Gallup Organization published a report that pointed to a sobering calculation: Disengaged employees cost the American economy up to $350 billion a year in lost productivity. Imagine the costs today!
In discussing its significance with Kelly Yeates, a director of corporate human resources for a large Houston-based corporation, she shared this insight: “Numerous studies have shown that organizations recognized as those where employees are valued and empowered have some of the highest levels of long term success in terms of profitability, productivity, innovation and customer service.”
As businesses look to get the biggest bang for the buck these days, no one can deny the greatest investment companies make is in their human capital. To that point, Yeates added, “All businesses make capital investments for which they look to see what their return on investment (ROI) is projected to be. One of your most critical investments is in human capital, and the investment you make is not only dollars and benefits, but in time, training, development, recognition and engaging relationships will directly yield a return.”
What do engaged employees and engaged couples have in common?
Most performance specialists agree, engaged employees are ones who typically exhibit behaviors that reflect the following two attitudes:
- A commitment to help the organization succeed.
- A buy-in to the organization’s focus and direction
Sound similar to what we see reflected by people in our culture when they become engaged to be married? Most engaged couples possess a strong desire to develop a successful union and, to be successful in that union, they also share a focus on moving in the same direction. Engaged couples share another significant similarity—their unifying attitudes and behaviors are not forced upon them. If the relationship is built upon mutual respect and reciprocity, engaged couples willingly and wholeheartedly continue moving in the same direction.
If you are an employer, manager, supervisor, employee trainer—or even if you’re planning to lead and manage employees—you are probably looking for ways to engage employees to do more with less. As Yeates stated above, numerous studies show that engaged employees are also productive employees.
In a March article, written by Rebecca Hastings, titled, “The ‘What’ and ‘Why’ of Employee Engagement” and published online by the Society for Human Resource Management (SHRM), she writes: “Watson Wyatt's 2008/2009 WorkUSA Report, Driving Business Results Through Continuous Engagement, released Feb. 10, 2009, reports that highly engaged employees are twice as likely as their less-engaged peers to be top performers. Moreover, when employees are highly engaged, their companies enjoy 26 percent higher employee productivity, have lower turnover risk and are more likely to attract top talent. The companies of highly engaged employees earned 13 percent greater total returns to shareholders over the past five years.”
So how do successful organizations engage employees to do more with less and survive these dire economic times, and continue prospering now and in the future? In a January statement published online, Quantum Workplace, a market research company that specializes in employee engagement, shared lessons learned after analyzing 210 companies. The following comparisons were made between companies that had higher engagement scores and those whose scores had dropped off:
- “Setting a clear, compelling direction that empowers each employee. While the future might look grim to some employers, employees at other companies are working hand-in-hand with their supervisors to create a positive future for the company.
- Open and honest communication. While some employers are hiding bad news from their employees, other companies are keeping their employees informed and updated, even if the news isn't always good.
- Continued focus on career growth and development. While some employers are cutting jobs or scaling back on promotions, other employers are helping their associates see opportunity in the midst of the crisis for their own growth and development.
- Recognizing and rewarding high performance. While some employers may be instituting hiring freezes and cutting back on perks, others will continue to find ways to reward those who are taking care of customers and keep them coming back.
- Employee benefits that demonstrate a strong commitment to employee well-being. While some employers are scaling back employee benefits others are committed to helping maintain the health and vitality of those who work for them.”
On the flip side, disengaged employees can hurt you more than help you, as these employees are more inclined to be unhappy and spread their discontent.
As indicated above, communicate to your employees why their work is important to you and the organization. And every chance you get, make sure they understand how their involvement and achievements contribute to the bigger picture. Remember to follow up and recognize your top performers. As a result, you will be rewarded, and you should see a measurable difference in your bottom line.
<p>A Gallup study published more than a decade ago indicated that disengaged employees cost the American economy up to $350 billion a year in lost productivity. Imagine the costs today!</p>