SETU J. November 1, 2012 No. 29 If you want to get ahead be a bridge Synergy*Excellence*Transformation*Unlearning

Transcription

1 SETU J November 1, 2012 No. 29 Synergy*Excellence*Transformation*Unlearning Employee Engagement A key to nurture a productive workforce SIBM, Pune SETU November 1, 2012, No 29

2 EMPLOYEE ENGAGEMENT Employee engagement is an umbrella term that captures any number of factors including job satisfaction but it's important to recognise that different factors lead to different outcomes Given that employee engagement is an idea that helps develop strong positive attitudes among people towards their work and their organisation, and this plays a major role in ensuring that they give their best even when times are tough, surely we need to improve it now more than ever.

3 EMPLOYEE ENGAGEMENT The distinctive feature of employee engagement as an idea is that it pulls all of these positive job and work attitudes together under one umbrella. Advocates argue that the research clearly shows that when employee engagement is high, organisations do better. Engaged employees lead to better business outcomes. In fact, according to Towers Perrin research companies with engaged workers have 6% higher net profit margins, and according to Kenexa research engaged companies have five times higher shareholder returns over five years.

4 EMPLOYEE ENGAGEMENT IN WORKPLACE How does employee engagement lead to higher stock prices? The ROI of engagement comes from the Engagement-Profit Chain: Engaged Employees lead to higher service, quality, and productivity, which leads to higher customer satisfaction, which leads to increased sales (repeat business and referrals), which leads to higher levels of profit, which leads to higher shareholder returns (i.e., stock price)

5 EMPLOYEE ENGAGEMENT APPROACHES Beyond initial recruitment and induction, employee engagement activities can be broken into a number of groups. These include: Communications activities Reward schemes Activities to build the culture of the organisational Team building activities Leadership development activities

6 EMPLOYEE ENGAGEMENT APPROACHES Culture: It consists of a foundation of leadership, vision, values, effective communication, a strategic plan and HR policies that are focussed on the employee. Commitment - It is the foundation of engagement. Employees with high level of organisational commitment are willing to exert considerable effort for the organisation and make discretionary contributions. Co-operation - It encompasses positive relationship among employees within a group. It is the inherent willingness of individuals working in a team to pull in the same direction and achieve organisational goals. Taking responsibility - Taking initiative and responsibility to become a part of the solutions is an important ingredient of engagement. For an employee to display loyalty towards his organisation, the first thing he needs to do is to take responsibility. Employees who feel empowered have a sense of belonging and excitement about their jobs, they feel engaged at an emotional level and are willing to give their best all the time.

7 Example of Best practices of Employee Engagement Google : Ideas Above Hierarchy

8 EMPLOYEE GOOGLE Casual Culture, Serious Purpose: Colourful ambience, home like freedom, designer furniture, and team meetings at gym or cafe is how one would like to describe Google Offices. But such rainbow immersed offices must not give an impression than seriousness of purpose is being traded off. Ideas Come From Everywhere: Google has this great internal list where people post new ideas and everyone can go and see them. It is like a voting pool where every employee can opine how good or how bad an idea is and such comments lead to new ideas. A License to pursue your dreams: Since the year 2000, Google lets engineers spend 20% of their time working on whatever they want, with a trust that they are building interesting things. Such, trust and freedom let to the birth of Google News

9 EMPLOYEE GOOGLE Share as much Information you can: Google shares heaps of information with all its employees, across the company through its intranet MOMA. This enables employees to have an insight into what s happening with the business and what s important. Back to School: Google freely supports employees to further pursue education in advance degrees both in part time and full time modes. Google not only provides financial assistance but also get necessary time away from work. You`re brilliant, we`re Hiring: Google involves virtually into everything including writing job ads for engineers. This is followed by a rating by the employees to decide the best content. The company firmly believes that employee know best, what is that unique aspect about their company that will attract new people to work for Google.

10 If you have liked reading this issue or otherwise please do write to the SETU team: References: SETU is a monthly electronic publication of SIBM. SETU is published by Director, SIBM, Pune distributed by SIBM, Pune free of cost to corporate patrons with a view to share knowledge and perspectives only. Due care has been taken to ensure that the information published herein is correct and to mention sources of information. The editorial team and publishers take no responsibility for any damage resulting from inadvertent omission or inaccuracy in the publication. The views expressed in this publication are not necessarily those of SIBM, Pune. Website: Past issues are archived on the website. sibmsetu@sibmpune.edu.in Credits for this issue: Prof. Deepika Pandita. SETU Team: :Dr. Amita Shiroor, Dr. Tarun Kushwaha, Dr. B. Vinod Cadambi, Ms. Shilpa Ravalallu, Mrs. Saee Gokhale, Mr. Nilesh Kadam.