Why Motivation Makes The Difference

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Reynold Boyd
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1 Workforce Optimisation Employee Engagement Recognition & Reward Programs Online Learning Sales Incentives Channel Performance Customer Acquisition & Loyalty Why Motivation Makes The Difference Monday, January 11, 2016

2 What are we trying to achieve from employee engagement?

3 What s the missing piece of the engagement puzzle? What underpins engagement? How do we achieve sustainable engagement?

4 The Importance Of Right Fit Interests, Aptitudes, Skills and Competencies

5 The Importance Of Right Fit Square Pegs in Round Holes Kills Productivity 1 in 5 in the wrong job.

The Role Of Motivation Level 5 Self Level 4 Esteem Intrinsic

Promotion Achievement Rewards Level 3 Social Herzberg Key

(Hygiene Factors) Level 1 Physiological Salary Benefits Job

6 The Role Of Motivation Level 5 Self Level 4 Esteem Intrinsic Needs (Motivating Factors) Challenge Responsibility Recognition Promotion Achievement Rewards Level 3 Social Herzberg Key Factors Performance Optimisation Level 2 Safety Extrinsic Needs (Hygiene Factors) Level 1 Physiological Salary Benefits Job Security Environment Acceptance Relationships Maslow s Hierarchy of Needs

7 Intrinsic Vs. Extrinsic Motivation Intrinsic Motivation Comes from within Pride Satisfaction Enjoyment Extrinsic Motivation Comes from the outside Money (Fair Compensation) Recognition Reward

Mastery I am good at what I do and enjoy becoming even better. I Am Engaged!

8 The Secret to Sustained Employee Engagement Interest I like what I do and enjoy growing my knowledge. Mastery I am good at what I do and enjoy becoming even better. I Am Engaged! Autonomy I like to feel empowered and in control of what I do. Purpose I like to make a positive contribution to my world.

9 How Do We Make This Happen In The Workplace? Attract and employ right fit people - those who are genuinely interested in the role, work, training and career opportunities. Interest Mastery Provide a work environment which enables employees to experiment, challenge and grow their skills / experience. I Am Engaged! Give people responsibility, create a sense of ownership for their work and don t micromanage. Autonomy Purpose Enable employees to do work that matters, communicate the goals of the company and how it supports / gives back to the wider community.

10 Facts & Stats The Right Results The ROI of employee engagement has been established for some time Competitive Advantage 94% of the world s most admired companies believe that their efforts to engage their employees have created a competitive advantage (Hay). Financial Performance Organisations with engagement levels of 65% or greater outperformed the total stock market index, posting total shareholder returns that were 22% higher than average (Aon Hewitt) Productivity Businesses with the highest engagement scores averaged 18% higher productivity than those with the lowest engagement scores (Gallup)

Facts & Stats Recent Workforce Research AIM Career Crossroads Survey (February 2015) of 220 managers and supervisors... The money isn t what makes us stay in the job: Why I like my job 1.

11 Facts & Stats Recent Workforce Research AIM Career Crossroads Survey (February 2015) of 220 managers and supervisors... The money isn t what makes us stay in the job: Why I like my job 1. Work is meaningful 2. I have autonomy 3. I use my skills and experience 4. It s a positive workplace 5. There s a good level of challenge 53% want to go because 1. I want a new challenge 2. The atmosphere is toxic 3. Lack of career progression 4. Not fully using my skills and experience 5. Lack of meaningful work

Facts & Stats Recent Workforce Research Towers Watson 2014 Global Study of 32,000 employees indicates Less than half of employees believe their

employer does a good job of retaining talented employees Top Attraction Drivers Employee View Global Workforce Study 1 Base pay/salary 2 Job Security

12 Facts & Stats Recent Workforce Research Towers Watson 2014 Global Study of 32,000 employees indicates Less than half of employees believe their company does a good job of attracting and retaining the right workers: 46% say their organisation hires highly qualified employees 42% say their employer does a good job of retaining talented employees Top Attraction Drivers Employee View Global Workforce Study 1 Base pay/salary 2 Job Security 3 Career advancement opportunities 4 Learning and development opportunities 5 Challenging work 6 Organisation's reputation as good employer 7 Vacation/paid time off

13 Facts & Stats Recent Workforce Research Gallup U.S. Employee Engagement Survey (Nov 2015) of 6,751 employees reveals Only 32.1% of employees are engaged in their jobs unchanged from monthly averages since March Key Workplace Elements 1. Opportunity to do what they do best. 2. Colleagues who encourage their development. 3. Believe their opinions count at work.

14 Using recognition and reward On their own, extrinsic motivators will not deliver sustained engagement - but they can very successfully amplify intrinsic satisfaction and help drive organisational alignment and culture. Ability x Motivation = Performance

The Right Motivation How to use effective

behaviours should happen as often as they

Personal Whether as an individual or as a

15 The Right Motivation How to use effective recognition and reward: Earned Contingent on some accomplishment or achievement. Frequent Reinforcing the right work behaviours should happen as often as they arise. Personal Whether as an individual or as a team it must be tailored and mean something to them. Social Public celebration of success draws positive attention and builds on the organisation s cultural values. Immediate The more timely the recognition, the more effective the reinforcement.

The Performance Optimisation Model The Right Workforce Interest Mastery Autonomy Purpose The Right Results Financial Customers Productivity

16 The Performance Optimisation Model The Right Workforce Interest Mastery Autonomy Purpose The Right Results Financial Customers Productivity Culture The Right Motivation Recognition Rewards Promotion Development Continuous Workforce Planning The Right Feedback Regular Timely Positive Personal

17 A Case Study Toyota Australia How employee engagement can drive Innovation Program Overview Over 600 Employees Ideas and Innovation-based Self Nomination Implementation Focus

18 The Barrier to Innovation

Kaizen Sprints Case Study Mastery and Purpose: Four Categories of Innovation, each reflecting Toyota s culture. All Reports and Exports are filterable by key date ranges.

19 Kaizen Sprints Case Study Mastery and Purpose: Four Categories of Innovation, each reflecting Toyota s culture. All Reports and Exports are filterable by key date ranges. Personalised view, reflecting Toyota hierarchy. The User s Ideas, that require action. Interest: Compare your Team s engagement with the whole organisation. Ideas from the Manager s Team, that require action. Mastery: Scrolling Recognition Feed, to profile recent Ideas. Interest and Autonomy: News Items to draw attention to key information.

20 Kaizen Sprints Case Study Gamification: Likes and Shares Gamification: Ranking Interest: Personal summary of activity, for the User. Mastery and Purpose: Focus on Implementation - not only Submission. Gamification: Uploaded photos in Recognition Feed.

Kaizen Sprints Case Study Autonomy: Call-To-Action for incomplete Submissions. Users are able to Submit an Idea on behalf of someone else - or a Team.

21 Kaizen Sprints Case Study Autonomy: Call-To-Action for incomplete Submissions. Users are able to Submit an Idea on behalf of someone else - or a Team. At all times, the Submitter can save, to return for completion at a later time (auto save also applies). Autonomy and Mastery: The Submitter can select the default Manager (i.e. their Manager), or select another Manager better able to assess the Idea.

22 Kaizen Sprints Case Study Autonomy: Previously entered details are visible and editable at every stage. Interest and Purpose: Key benefitting Toyota Divisions can be selected. Other, nonlisted Divisions (eg, Manufacturing) can be selected.

23 Kaizen Sprints Case Study Purpose: Only one Category can be selected. Interest: Multiple Aims can be chosen. Autonomy: Opportunity to add a new Aim if necessary.

24 Kaizen Sprints Case Study This is how easy it is to submit an idea in the Kaizen Sprints Campaign. Oh What a Feeling! Autonomy and Interest: Verbatim description of the Idea, to be used by the Selected Reviewing Manager. This also populates the Idea Synopsis, once approved for Publication. Mastery: Ideally, some indication of the Financial Benefit to Toyota is to be included. Opportunity to add comprehensive Supporting Information (Video, Word, Excel, etc.)

25 Kaizen Sprints Case Study Finally, an opportunity to Review the Idea in full, before Submitting for the selected Manager s review. Autonomy: This triggers a series of Auto s, ensuring that the next steps are carried out in accordance with the workflow.

26 Kaizen Sprints Case Study Autonomy: Every Idea (approved for Publication) can be viewed with Filters available if needed. Autonomy: Every User, has the opportunity to Like and Share every Published Idea. Purpose: The small Kaizen Sprints icon next to an Idea shows it has been Implemented. Autonomy and Interest: When Sharing, the User can select the recipient(s) and include a tailored message: I m Sharing this Idea with you because

27 Kaizen Sprints Case Study Mastery: ecertificates are earned as Ideas are Published and Implemented.

Kaizen Sprints Case Study Provides the Innovator the opportunity to keep a hard-copy of their Idea. Purpose: A full copy of the Idea is available, including all details provided by the Innovator.

28 Kaizen Sprints Case Study Provides the Innovator the opportunity to keep a hard-copy of their Idea. Purpose: A full copy of the Idea is available, including all details provided by the Innovator. Interest and Purpose: If a Manager (the Direct Manager or the Reviewing Manager) Comments, it is visible to the Innovator and any more Senior Managers. Interest and Autonomy: If their Idea is Shared, the Innovator, (and more Senior Managers) can view the audit trail. Mastery and Purpose: This Call- To-Action is only available to the relevant Reviewing Manager.

Kaizen Sprints Case Study Interest and Autonomy; This Report is Filterable, however defaults to the Whole of Toyota view. Mastery and Purpose: Reinforcement of the User s personal activity.

29 Kaizen Sprints Case Study Interest and Autonomy; This Report is Filterable, however defaults to the Whole of Toyota view. Mastery and Purpose: Reinforcement of the User s personal activity. Autonomy: Transparently displays how the Rankings have been determined. Autonomy and Interest: The User can click on any name to view all of that person s activity. Interest and Autonomy: Ranking-by-Division enables Managers to see a more concise view. Mastery and Purpose: User s place on the Leaderboard is highlighted.

30 Kaizen Sprints Case Study Motivation Makes The Difference - the ROI of Recognition In just its first 6 months, Toyota Kaizen Sprints has generated: 139 Ideas submitted 1,218 Likes (average of 9 likes per idea) 75 Shares (to 957 people) 27 Ideas either implemented or scheduled for implementation $2.5M minimum benefit identified

31 The final word Lessons from the Geese

ENGAGE BY STAGE. Research Report. Understanding how career stage affects employee engagement

ENGAGE BY STAGE. Research Report. Understanding how career stage affects employee engagement ENGAGE BY STAGE Research Report Understanding how career stage affects employee engagement BEYOND AGES: Engaging Employees at All Career Stages While companies tend to default to age as the driver in engaging