cmps 20081211b employee engagement-what managers need to know
TRANSCRIPT
Brenda WilsonBusiness LeaderHuman CapitalHong Kong
Employee EngagementWhat managers need to know?
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Overview
Section I: What is ‘Employee Engagement’?
– Employee Engagement Defined
– What Managers Can Do to Improve Engagement
Section II: How to improve employee engagement in your department?
– Key Drivers of Engagement
Section III: A case study in the public sector
– Experience Sharing with our Project with Singapore Government
Section IV: Key Takeaways
Section IEmployee EngagementWhat is it?
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Let’s vote: what’s your view?
Q: What is the definition of employee engagement?
Select one answer:
1. A new management technique to get your employees to do what you tell them … the first time.
2. When two employees plan to get married.
3. An internal party for employees: “Hey Joe, are you going to that employee engagement at 2:00 p.m.?”
4. All of the above (they all sound good)
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Engagement Defined
What is employee engagement?– A psychological state in which employees feel a vested interest in the company’s success and are both willing and motivated to perform to levels that exceed the stated job requirements.
– Engagement fosters and drives discretionary behavior, eliciting employees’ highest productivity, their best ideas and their genuine commitment to the success of the organization.
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Engagement Defined
EngagementCommitmentMotivationSatisfactionMorale
1960 1980 2000 TIME
Enjoys the job
Is not dissatisfied with terms and conditions
Not necessarily a team player
Strives to achieve personal goals
Contributes energetically
Values achieving personal goals more than team/ organizational goals
Proactively seeks opportunities to serve the mission of the organization
Willing to go the “extra mile”
Is willing to withhold criticism and/or be constructively critical for the good of the organization
Loyal to organization, optimistic for the future
Collaborates to achieve team goals
Has a sense of belonging to organization
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Engagement Defined: How’re you doing?Check your level of engagement
Getting satisfaction from the tasks required in their job?
Feeling valued by management?
Contributing energetically, not in isolation, but collaboratively?
Positive about the work experience – your employer, its leaders, the work and the environment?
Ambitious for the organization?
Speaking positively about the organization’s goods and services?
Planning to continue to work for the organization?
Going beyond the stated requirements of the job and contribute ‘discretionary effort’?
Yes No
Are you…
Are you engaged?
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From Satisfaction to EngagementMercer’s Employee Engagement Model©
Engagement Model
Advocate
Motivated SatisfiedSatisfied employees perform their jobs and are satisfied with the terms and conditions of employment. However, they tend not to go “above and beyond” in their efforts.
In addition to sharing some of the attributes of satisfied employees, motivated workers contribute energetically and are highly focused individual contributors to the organization.
CommittedCommitted employees have thoroughly internalized the values and behaviors represented by the earlier stages of the engagement model, but have also forged a strong identification with the organization.
They freely contribute discretionary effort – a willingness to go the extra distance in executing projects and their regular duties. They see a mutuality of interest between his or her values and aspirations and those of the organization.
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Let’s vote: what’s your view?
Q: What can manager’s do to improve employee engagement?
Select one answer:
1. Act like cupid: every one loves a good engagement.
2. Give more work, hard work, and lots of it!
3. Use fear to scare your employees into being very satisfied at work.
4. None of the above – there is nothing a manager can do.
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From Satisfaction to EngagementWhat can managers do?
Satisfied:
Provide work tools, resources and equipment
Enhance the work environment
Reward (reward level and understanding of the rationale for reward change)
Recognize work efforts
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Motivated:
Establish fair performance goals
Communicate clear expectations
Regularly clarify priorities and feedback
Provide support by removing obstacles to optimal performance
Recognize and reward performance
Delegate work to theses employees
Support skill development
From Satisfaction to EngagementWhat can managers do?
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Committed:
Help employees build meaningful long-term careers
Ensure recognition and reward for long term commitment
Listen to employees, share insights and experience
Ensure fairness, consistency and transparency
Develop understanding of long-term vision and business plans
Promote organization values and reinforce them through management behaviors
From Satisfaction to EngagementWhat can managers do?
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Advocate: Communicate the organization's progress and
challenges Relate business results to team and individual
roles Endorse strong customer focus Share understanding of customer needs with
team Challenge and grow through delegation Establish comprehensive career development
plans Encourage upward communication Encourage innovation Recognize and reward
From Satisfaction to EngagementWhat can managers do?
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We’ve always had a policy of trying to put our staff first. The staff should come first, the customers (the public) second and your shareholders (stakeholders/ tax payers) third.
If you take that approach you’ll find that everyone wins.
Happy staff result in happy customers, lots of happy
customers result in happy shareholders.
Richard Branson, CEO Virgin Group
“”
Section IIKey Drivers of Employee Engagement
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National Differences in Engagement Drivers
Over the last several years, the Mercer’s What’s WorkingTM studies have been tracking the drivers of engagement across countries
United Kingdom
Engagement
Sense of personal accomplishment
Confidence in senior management
Opportunities for training
Paid fairly, given performance
Good reputationfor customer service
Regular performance feedback
Comparable benefits to industry
Cooperation between groups
China
Sense of personal accomplishment
Paid fairly, given performance
Comparable benefits to industry
Confidence in senior management
IT systems support business needs
Opportunities for training
Regular performance feedback
What’s working in
Hong Kong?
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Let’s Vote: What’s your view?
Q: Apart from pay, which ONE element do you think is the most important driver of employee engagement?
Select one answer:
1. Sense of personal accomplishment
2. Benefits
3. Career opportunity
4. Sufficient channels for communication
5. Confidence in senior management
6. Training and development opportunities
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Key Drivers of Employee Engagement
Although there are some country-specific drivers, a consistent set of engagement drivers is emerging globally
2007
The work itself, including opportunities to develop
Confidence and trust in leadership
Rewards & recognition
Communication
EmployeeEngagement
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Key Drivers of Engagement
Organizational Context Growth Privatisation Restructuring/downsizing Merger and integration Employee demographics
Drivers of engagement vary by …
Industry High technology Retail Financial services Professional services Civil Service
Country
Section IIICase Study – Singapore Civil Service
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The economic landscape is changing…
Strong year-on-year growth in GDP in Singapore
The implications on the employment market…
Increased growth across sectors
Competition for talent intensifying
Increasingly becoming an employee’s market
Singapore Civil ServiceWhy Engagement is so Critical…
How do we continue to retain employees in the Public Sector?
Compensation is critical, but it’s not everything
Needed to understand the drivers of employee engagement in the public sector for talent retention
??
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Approach
In 2005, Mercer established an employee engagement survey, The Singapore Public Sector Employee Engagement Survey (PS EES) for 20+ agencies
The survey yielded 3,743 data points, sampled from 46 individual public sector agencies
Regression analysis was conducted to identify key drivers to engagement
Overall engagement was measured by the following four questions:– I am proud to work for my organization– I would recommend my organization to others– Given a choice, how much longer will I be working for my organization– How satisfied am I with my organization at the present time
Leadership / Climate Supervisory Practices Career Advancement Job Growth
Job Motivation Learning & Development Teamwork Workload
Engagement Rewards Performance Management & Feedback
11 engagement categories
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Employee Engagement
2007 Key Drivers 2005 Key Drivers
R²=.67 R²=.64
pr = partial correlation, a measure of statistical relationshipR² = coefficient of determination, denotes variation of dependent variable explained by independent variables
Results
Leadership/ Climatepr = .44
Career Advancementpr = .38
Job Motivationpr = .25
Job Motivationpr = .34
Leadership/ Climatepr = .27
Career Advancementpr = .26
Workloadpr = .08
Rewardspr = .06
Compensation almost never rated in top three drivers at over 20 agencies for senior and mid-level staff but was within the top three drivers for junior staff
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Statistically significant drivers of engagement – by category
pr = .38
pr = .44
pr =.25
EmployeeEngagement
• The strength of leadership in the organization
• Opportunities for growth, development and long-term career potential
• Being intrinsically motivated by the work you
do
These items accounted for 67% of the variance in Employee Engagement (R²=.67)
A total of three items were uncovered as statistically significant key drivers employee engagement at the category level
Leadership/ Climate
Career Advancement
Job Motivation
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R²=.61
EmployeeEngagement
• I am proud to work for my organization
• I would recommend my organization to others
• Given a choice, how much longer will I be
working for my organization
• How satisfied am I with my organization at the
present time
Statistically significant drivers of engagement – by item
Item Level Drivers A total of five items were uncovered as
statistically significant key drivers of Employee Engagement at the overall level
The key drivers of Employee Engagement center around:
- The work itself giving them a feeling of personal accomplishment
- Employees’ belief that they have opportunities for growth and development in their organizations
- Employee perceptions that senior management proactively confronts issues before they become major problems
- Employee perceptions that the values of their organisation are evident in people’s actions
- Employee perceptions that their organisation has established a good reputation for customer service
Leadership/ ClimateQ. Org values are demonstrated
by employees
Leadership/ ClimateQ. Snr Mgmt does a good job of
confronting issues
Job Motivation Q. Feeling of personal
accomplishment
Career AdvancementQ. Opportunity for growth
& development
Leadership/ Climate Q. Org has established a good reputation
for customer service
pr = .24
pr = .33
pr =.16
pr = .36
pr = .18
pr = partial correlation, a measure of statistical relationshipR² = coefficient of determination, denotes variation of dependent variable explained by independent variables
Section IVClosing remarks
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Key takeaways
Compensation is important, but it isn’t everything and for the Singapore Civil Service it didn’t factor significantly in the results for most levels of the workforce.
In order to increase levels of engagement, managers need to understand the drivers of engagement.
– Are your employees satisfied, motivated, committed or an advocate for the Hong Kong Civil Service?
– What can you do to help improve your employee’s engagement?
Key drivers of engagement may vary from industries, organization contexts, and from country to country: do you know what is driving or eroding your employee engagement?
Managers can take an active role in engaging the workforce through various non-financial means leading to better performance and happier employees who advocate for the government and the public.
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Employee engagement categories
Leadership / Climate – refers to the senior management team as a whole and perceived clarity in communicating organizational strategy, ability in confronting issues, demonstrating organizational values and concern for employees as well as management of the organization as a whole
Supervisory Practices – refers to respondents’ immediate supervisor in terms of perceived competence, availability for consultation, honest communication and frequency of feedback
Career Advancement - refers to perceived opportunities in career development as well as long-term career prospects in the organization and the public sector in general
Job Growth – refers to staff perceived value of activities outside their scope of work contributing to their personal development of organizational excellence
Job Motivation – refers to perceived levels of personal satisfaction, adequate autonomy, interesting challenges and relevant use of their skills and abilities
Learning & Development – refers to staff perceived value of activities outside their scope of work contributing to their personal development of organizational excellence
Teamwork – refers to respondents’ attitude towards people in the organization and perceived levels of cooperation within the work group and across divisions/ institutions
Workload – refers to perceived reasonable levels of work, adequate manpower and ability in maintaining balance between work and personal life
Performance Management & Feedback – refers to employee level of understanding, perceived equity and flexibility of the PM system, ability to recognize and reward deserving staff and the level of feedback and communication
Rewards - refers to perceived fairness of compensation and other issues of external competitiveness and internal equity
Engagement – refers to staff level of satisfaction and pride for the organization as well as intent to stay and recommendation of the organization as a good place of employment