Improving Organisational Performance by Building Emotional Resilience

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Improving Organisational Performance by Building Emotional Resilience Closing the Loop Conference 2011 Rachel Clements - Director Psychological Services

Agenda 1. Understanding Emotional Resilience What is emotional resilience? Key components of emotional resilience The benefits of emotional resilience 2. Emotional Resilience in the Workplace The costs associated with poor emotional resilience at work Psychological injury data from Australian organisations Keys drivers of poor emotional resilience The impact of poor emotional resilience at work 3. Strategies for Building Emotional Resilience Holistic approach to building a resilient workplace Individual and organisational intervention for increasing emotional resilience 2

Understanding Emotional Resilience Part 1

Emotional Resilience refers to: The process of adapting well in the face of adversity, trauma, tragedy or significant sources of stress. A person s capacity to bounce back. Coping with stressors by maintaining a level of self control. Not a trait that people do or don t have but thoughts, actions & behaviours that can be learnt & developed in anyone.

Research on Emotional Resilience Indicates that people are less emotionally resilient nowadays. Suggests that being resilient is ORDINARY, not extraordinary, in that the majority of people can develop this. Resilient people are less likely to develop mental health and physical health problems. Those who can engage and impact the environment around them are seen as most resilient. People engaged in good social support are more resilient. 5

Qualities of the Resilient Person Problem solving skills Self Worth Social Competence Optimism Well-developed support network Planning Skills Openness to change Task centred vs emotion centred Internal locus of control Purposefulness Sense of humour Looks after themselves

Benefits of High Resilience Increased job satisfaction and motivation. Increased productivity and performance. Reduction in time off work and sick leave. Increased staff retention. Improved well-being and a reduction in psychological injury claims. 7

Emotional Resilience in the Workplace Part 2: How Resilient Are We?

Statistics & Prevalence: Depression The World Health Organisation estimates that by 2020, depression will become the second leading health burden worldwide (heart disease being the first). One in five people will experience mental illness. Onset of depression for women is 18 24 years and 35 44 years in men. Depression statistics reveal a rising trend. 9

Cost of Depression It has been estimated that one person with depression will cost their organisation around $10,000 a year. 62% of people with depression don t get treatment, therefore the impact on productivity and absenteeism is substantial. Failure to recognise common depression symptoms and not knowing how to respond are also highlighted as limitations. 10

The Big Picture on Stress - SA Costs (2008/09) Total cost of mental disorder claims = $14 M Average $28, 747 per claim. Costs (2006/07) Total cost of mental disorder claims = $36.8 M Average $66, 242 per claim. Time off work 82.3% more than 20 days 51.1% more than 65 days Adapted from WorkCover SA Statistical Review, 2008/09 11

Number of Mental Disorder Claims by Industry 2008/09 - SA Industry Number of Mental Disorder Claims Community services Wholesale & retail trade Recreational, personal & other services Finance, property and business services Manufacturing Transport and storage Construction Other industries Agriculture, forestry & fishing 90 73 44 39 31 21 9 6 4 Adapted from WorkCover SA Statistical Review, 2008/09 12

Link to Employment Most depressed professional occupations: 1. Law 2. Patent Attorney 3. Insurance Underwriting 4. Accounting 5. IT Services 6. Architectural 7. Actuarial 8. Engineering 9. Consulting 10. Insurance Brokering (Source: Beyond Blue 2006) 13

The Impact of Operational Stressors Operational Stressors: Customer Aggression Work Pressure Organisational Change Conflict Stressful Incidents Workload Performance Management?? Stress Response Claim The correlation between exposure to specific operational stressors and (a) individual employee stress responses and (b) submission of workers compensation claims is negligible. Source: Dr Peter Cotton (Sept 2006)

Key Drivers of Psychological Injury Claims 1. Individual morale 2. Supportive leadership 3. Work team climate 4. Individual psychological susceptibility Source: Dr Peter Cotton (Sept 2006)

Occupational Stress..A Much Larger Issue Occupational stress and reduced emotional resilience are directly related. Psychological injury is only a symptom of a much larger systemic issue. Occupational stress is a result of broader organisational dysfunction. Therefore in building resilience, we need to tackle the real causes not just the symptoms.

Causes of Psychological Injury Latest Research

Work Related Factors Source: Centre for Corporate Health, Analysis of Psychological Injury Claims 1999-2009 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% Interpersonal difficulties/conflict Critical incidents Management Behaviour High workload Internal Investigation Performance Management Management Decisions Organisational Change Person/job fit Whistleblower Frustrations with "System" 18

Personality Factors Source: Centre for Corporate Health, Analysis of Psychological Injury Claims 1999-2009 30% 25% 20% 15% 10% 5% 0% Hyper-sensitivity Aggressive Depression/Anxiety Dependent Perfectionistic Obsessive Poor Coping Skills Paranoid Borderline Narcissistic 19

Hypersensitivity Prevalent in 15-20% of the population Strong sense of entitlement Mood swings Correlated with creativity Can cost organisations $22,000 per year Source: Dr Peter Cotton (2011)

Withdrawal Behaviours Turnover Discretionary absenteeism Lateness Organisational cynicism Psychological injury claims Source: Dr Peter Cotton (2011) 21

Counterproductive Behaviours Property Theft Destruction Misuse of property or information Work Efficiency Misuse of time and resources Poor attendance Presenteeism Drug and alcohol use Performance management Interpersonal Incivility Bullying and harassment Conflict Favouritism Aggression Organisation Gossip Blaming behaviours Grievances Source: Dr Peter Cotton (2011) 22

In Summary. We can look at emotional resilience trends from mental health and psychological injury research. Poor emotional resilience is caused by: - Management competency - Team relationships - Individual competency 23

Strategies for Building Emotional Resilience Part 3

Holistic Approach to Building Emotional Resilience Organisational Factors Organisational Culture Work Team Climate Policies/Systemic issues Recruitment and Staff Selection Work/Life Balance Organisational Managerial Team Individual Managerial Factors Managerial Competence Constructive Leadership Managerial Pressures Individual Factors Individual Morale Individual Resilience Individual Skills Coaching Person/Job Fit Mentoring Support for Outside Factors Team Factors Workplace Relationships Interpersonal Conflict Teamwork 25

Individual Intervention Emotional Resilience Training Mindfulness based training Cognitive/positive psychology Practical behavioural skills to manage workplace/personal situations Skills Based Coaching Identifying appropriate areas for 1:1 skill development Vocational/Career Assessments Can be used for development purposes Can be used for career uncertainty Mentoring programs Employee Assistance Programs (EAP) 26

Team Intervention Develop stronger interpersonal relationships Make time to connect with your immediate team Make regular times for meetings, networking or contact Observe and support each other Team development via skills based learning Understanding individual differences Improving communication, decision-making and problemsolving skills Understanding and managing conflict Rejuvenation workshops Developing team charter 27

Managerial Intervention Management Training/Coaching Developing constructive leadership styles The use of 360-degree appraisals Skills Based Coaching Managing conflict/grievances Effective performance management Managing mental health issues at work Development of a coaching/supportive management style Holding honest and authentic conversations Managing change 28

Organisational Intervention Policies and procedures that support emotional resilience Performance management Bullying and harassment Grievance/dispute handling Work/life balance initiatives Employee Assistance Programs Fitness programs ie. team sports, gym memberships Healthy eating programs Health/well-being checks 29

Organisational Intervention (cont.) Recruitment and Staff selection The use of psychological assessments Behavioural interviewing Trial /contract period Effective Intervention Initiatives: Mediation/dispute resolution Psychological assessments Organisational Assessments: Culture and climate surveys Stress risk assessments 30

In Summary Emotional resilience is a significant issue affecting individual and organisational functioning in today s fast-paced, complex work environments. We need a holistic approach to building emotional resilience. Leadership and culture are key to building emotional resilience at work. 31

Thank You For Further Information, please contact: Rachel Clements: Ph. 02 8243 1500 rclements@cfch.com.au