right management = employee-engagement---maximizing-organizational-performance.pdf

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I N S I GH T S
Employee Engagement
Maximizing Organizational Performance
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Table of Con tents
THE ROLE OF ENGAGEMENT
3
ABOUT THIS STUDY
5
GAINING EMPLOYEE-ORGANIZATIONAL ALIGNMENT
6
KEY FINDINGS: ENGAGEMENT DRIVES PERFORMANCE
8
ADDITIONAL FINDINGS: THE ORGANIZATIONAL PERFORMANCE DIFFERENCE
11
RECOMMENDATIONS: CREATING AN ENGAGED WORKFORCE
13
OUR APPROACH TO ENGAGEMENT
17
GETTING IT RIGHT
20
CONCLUSION
21
BIBLIOGRAPHY
22
CONTRIBUTORS
23
ABOUT RIGHT MANAGEMENT
24
2
EMPLOYEE ENGAGEMENT: MAXIMIZING ORGANIZATIONAL PERFORMANCE
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The Role of Engagement
Significant shifts in the global economy have accelerated the
need for organizations to find innovative ways to address
new technological, demographic and marketplace realities.
These shifts have also forced companies to reevaluate costs associated
with talent, necessitating a need to do more with less. While new strategies
are executed in response to these changes, high workforce performance
and organizational success must be maintained. Key to ensuring this is
the introduction of processes that will measure and improve employee
engagement.
When business needs to do
more with less, engaged
employees may be the
difference between surviving
and thriving.
Research has consistently shown that employee engagement is powerfully
linked to a range of business success factors such as:
• Employee performance/efficiency 3,4
• Productivity 5
• Safety 6,7
• Attendance and retention 3,8
• Customer service and satisfaction 9
• Customer loyalty and retention 10
• Profitability 11,12
Economic disruptions come and go. The way businesses react to economic
cycles often predicts how well they succeed or if they will survive. During
turbulent times and uncertain forecasts, many organizations have been less
focused on how to manage their talent and engage their employees, instead
focusing on how to reduce costs by cutting salaries, bonuses, rewards
and development costs. Some shortsighted leaders may even think that
employee engagement no longer matters because their employees have
fewer options and will stay because of their need for job security.
However, smart leaders realize that while they may need to find short-
term solutions to cut costs, they must also identify longer-term talent
management strategies to remain viable. A downward cycle may require
leaders to look for immediate solutions to cut costs by reducing their
workforce, but they may lose sight of the fact that engaged employees will
be the difference between surviving and thriving. In an upturn, when there
3 THE ROLE OF ENGAGEMENT
is the opportunity to grow and prosper, engaged employees are ready to
seize the opportunity and put forth the effort to achieve it. During recovery
periods, engagement becomes even more crucial, as organizations ask fewer
people to do more, creating increased risk that top-performing employees
may leave as conditions improve.
It is powerful information
for business leaders to know
what proportion of their
workforce is engaged to both
the organization and their
jobs, versus what proportion
is engaged to just the
organization or just their jobs.
Right Management conducted global research to gain a clearer under-
standing of the factors most closely associated with driving employee
engagement. Our study of more than 28,800 employees in 15 countries
revealed that an organization’s culture, strategy execution, leadership ability,
structure and processes are all inter-related with engagement levels 1 . Failure
to create an organization that can not only create and sustain alignment to
business strategy, but also promote high levels of employee engagement,
will result in failure to execute and, at best, average business results. There
is no magic formula for achieving employee engagement and sustainable
business results. The factors for engagement are unique to your organization
and will include elements that work together, mutually reinforcing each
other. There are, however, some fundamental engagement factors that work
together to deliver: a great customer experience and profitability. These
factors, articulated in Right Management’s Organizational Effectiveness
Framework, are a “fit for purpose” structure, people systems and processes
that drive the right behaviors, and capable leadership, all existing within a
positive organizational culture 1 .
4
EMPLOYEE ENGAGEMENT: MAXIMIZING ORGANIZATIONAL PERFORMANCE
THE ROLE OF ENGAGEMENT

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