Developing a Culture of Collaboration Through Employee Engagement

Developing a Culture of Collaboration Through Employee Engagement HR@UW CONFERENCE Developing a Culture of Collaboration Bob Lavigna Director, Institute for Public Sector Employee Engagement

What We ll Cover 1. What is employee engagement and why does it matter? 2. Measuring engagement 3. Improving engagement 4. Creating an engagement culture 5. Role of HR

Key Take-Aways Engagement should be measured Results acted on Long-term Improvement = culture of engagement Engaged employees find personal meaning in work Employee engagement drives performance HR has critical role champion, facilitator, role model

Context Our Aging Workforce 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Under 30 30-39 40-49 50+ Federal State Local Private Source: BLS

Public Sector Organization Today Chief Engineer January 16, 2005 Director Mgmt. Services January 21, 1982 Deputy Director May 10, 1981 Director Property Services June 26, 1999 Director Engineering February 16, 1980 Director Equipment Services April 17, 1980 Director Water Treatment August 15, 1976 Director Field Services March 20, 1980 Director Transportation & Parking March 2, 1980 Director Solid Waste & Recycling December 12, 2001 Director Administration August 10, 1980

Same Organization 3 Years Chief Engineer RETIRED Director Mgmt. Services RETIRED Deputy Director Director Property Services RETIRED Director Engineering RETIRED Director Equipment Services RETIRED Director Water Treatment RETIRED Director Field Services RETIRED Director Transportation & Parking Director Solid Waste & Recycling RETIRED Director Administration

So What s It All Mean? Dramatic shifts More complicated Public sector feeling effects first Must adapt to talent market

What is Employee Engagement? Heightened connection Beyond job satisfaction Personal meaning: Pride Organization values me Discretionary effort

1. Think of a successful work group/project you led or were part of 2. Were employees engaged? 3. How did engagement impact the project? 4. What created the engagement?

Engaged Employees Have strong relationships in organization Go extra mile for customers Volunteer ideas Work hard and smart Will stay even for less money Recommend organization as good place to work Show up for work Get things done

Why Does Engagement Matter?

Key Performance Indicators Top- v. Bottom-Quartile Engagement Work Groups Profitability Productivity Customer scores Safety incidents Lost or stolen inventory Turnover (low-turnover orgs) Turnover (high-turnover orgs)) Absenteeism -70% -60% -50% -40% -30% -20% -10% 0% 10% 20% 30% Source: Gallup

Highly Engaged: 480% more committed to organizational success 250% more likely to recommend improvements 370% more likely to recommend their employer Source: Temkin Group

70 60 65 Public Sector 50 40 37 30 20 10 0 Average PART Score 8.91 11.73 Average Sick Leave Days Used 0.47 1.4 0.73 2.15 Average EEO Complaints Average OSHA Lost Time Rate Most Engaged Agencies Least Engaged Agencies Source: MSPB

Engaged public sector employees: 4 times more likely to stay in current job 5 times more likely to recommend workplaces 5 times more likely to be very satisfied

Higher levels of engagement drive: Improved employee performance to support mission More collaborative and innovative work environments Lower costs of disengagement

Towers Watson Percent who agree I can impact quality 28 50 72 I can impact cost 21 37 59 I can impact customer service 32 61 86 Disengaged Moderately Engaged Highly Engaged

Engagement Value Chain Improved engagement More trust in institutions Better performance Higher citizen satisfaction

It s About Leadership Percentage of employees answering yes to the question: If you could fire your current boss, would you do so or not? 60% 50% 51% 40% 30% 20% 23% 10% 0% 6% Engaged Not engaged Actively disengaged

35% of U.S. workers polled said they d willingly forgo a substantial pay raise in exchange for seeing their direct supervisor fired

Engagement U.S. 51% 18% 32% Engaged Not Engaged Actively Disengaged Source: Gallup

State and Local Government Source: IPMA-HR

What Do Young People Want in a Job? Creative and dynamic work environment Rapid promotion Leadership opportunities Competitive base salary Professional training and development Respect for its people Innovation Integrate personal interests/work schedule Friendly work environment High future earnings Clear path for advancement Ethical standards Leaders who will support my development High level of responsibility Secure employment.

Top Attractors 1. Secure employment: 50% 1. Respect for its people: 50% 3. Creative and dynamic work environment: 46% 4. Ethical standards: 44% 5. Leadership opportunities: 43% 6. Professional training and development: 42% 7. Innovation: 41% 7. Friendly work environment: 41% 7. Leaders who support development: 41% 10. Clear path for advancement: 38% 11. High future earnings: 38% 22. Competitive base salary: 27% 25. High level of responsibility: 24% 28. Integrate personal interests and work schedule: 22% 40. Rapid promotion: 10%.

How Do We Know If Our Employees are Engaged?

Ask Them!

Engagement Survey Questions Pride in work or workplace 1. My organization is successful at accomplishing its mission 2. My work unit produces high-quality products and services 3. The work I do is meaningful to me 4. I would recommend my organization as a place to work Satisfaction with leadership 5. Overall, I am satisfied with my supervisor 6. Overall, I am satisfied with managers above my immediate supervisor

Engagement Survey Questions Opportunity to perform well 7. I know what is expected of me on the job 8. My job makes good use of my skills and abilities 9. I have the resources to do my job well 10. I have sufficient opportunities (e.g., challenging assignments/projects) to earn a high performance rating Satisfaction with recognition received 11. Recognition and rewards are based on performance in my work unit 12. I am satisfied with the recognition and rewards I receive for my work

Engagement Survey Questions Prospects for personal and professional growth Positive work environment and teamwork 13. I am given a real opportunity to improve my skills 14. I am treated with respect at work 15. My opinions count at work 16. A spirit of cooperation and teamwork exists in my unit

How Engaged Are You?

1-3 = Not Engaged 3-4 = Somewhat Engaged 4-5 = Engaged

Taking Action on Survey Data Measurement Without Targeted Action is Useless Another Survey? Don't Ask If You're Not Ready to Fix the Problems You Said, We Did

What Organizations Have Done to Achieve High Levels of Engagement

Strategy Building Engagement Leadership Hiring Onboarding

VCFA Model Strategic Goal Recruit/retain best faculty and staff, reward merit VCFA Strategic Priority Create environment of respect and inclusiveness through opportunities for employee engagement HR Design Vision Efficient and effective HR system, serving University, employees and WI citizens 21st - Century Workforce Right Talent Engaged Diverse Adaptable

Minneapolis Goal: A City that works City government runs well and connects to the community it serves Engaged and talented employees reflect our community, have the resources they need to succeed and are empowered to improve our efficiency and effectiveness

Memphis Human Resources Division We are comprised of HR professionals dedicated to building an engaged workforce to make life better for all Memphians, every day

Onboarding Model

Supervision Manage performance effectively Make sure employees know what is expected and how work links to mission Meet regularly with employees Provide opportunities to grow and develop Conduct at least semiannual discussions about performance, strengths and developmental needs Hold employees accountable deal with poor performance.

Management/Supervision Hold supervisors accountable for engagement Select supervisors to supervise and build engagement Provide training, resources and support Develop competencies around engagement

VCFA Managerial Competencies Provides strong and effective leadership to ensure work unit is high-performing and achieves its mission Creates positive climate sets clear strategy, goals and expectations; honors core values; provides regular feedback and support; recognizes and rewards performance Supports and assists employees in learning/development Creates an inclusive work environment Provides leadership; participates in hiring, staffing and onboarding that contribute to engagement and inclusion

Behavioral Examples Develops and communicates mission, direction, priorities, goals and actions that link to larger mission/strategy Establishes metrics to assess individual/organizational performance Holds self/others accountable for highquality, timely, cost-effective results Communicates in a way that is transparent, informative and clear Empowers others to make good decisions Solicits feedback, creates environment where others can speak and act Deals effectively and fairly with performance and personnel problems Sets employee expectations; provides feedback, coaching and evaluations Encourages risk-taking, supports creativity and initiative Develops fair and transparent recognition/rewards systems Facilitates learning and development by assigning work that enhances knowledge and experience; provides access to development resources Builds positive, cooperative, team environment; helps teams succeed Shows care/concern for employees

Building Engagement Communicate Connect work to mission Appreciate and recognize Listen my opinion counts Respect work/life balance.

I help send men to the moon

Recognition UWHC Recognize employee achievements at staff meeting Surprise employee with Post-it note of thanks Put thank-you note on department bulletin board Compliment employee within earshot of others (and word will spread) Mail handwritten note to employee s home Send department-wide email praising individual employee or team Start meetings by recognizing employees, and ask employees to recognize each other Pull employee aside and ask for his/her opinion

Dimensions of Wellness Career Physical Spiritual Environment Financial Emotional Social and Cultural

Engagement Culture Set of accepted organizational values, behaviors, and practices that promotes increasing levels of engagement as a cultural norm

Engagement Culture Engagement business case broadly understood Leaders/managers work together to drive engagement Engagement linked to mission, critical business outcomes Engagement visible across organization (not just HR program) Engagement regularly measured/analyzed and action taken HR components linked to engagement Robust communication strategy, especially by leaders

HR Role in Building Engagement Champion engagement Facilitate the process Identify organization-wide issues and lead action Be a role model Drive cultural change

Resources Bob Lavigna Director, Institute for Public Sector Employee Engagement rlavigna@cpshr.us, 608-395-8472 Nai-Fen Su UW-Madison EID Coordinator, OHR naifen.su@wisc.edu, 262-5331 Molly Heisterkamp UW-Madison Employee Wellness Coordinator, OHR mheisterkamp@ohr.wisc.edu, 262-1769