How Employee Engagement Impacts Business Performance

Posted by PeopleFirst on Aug 29, 2019, 5:12:12 PM

 

Employee engagement hospitality

According to Gallup, a mere 13% of employees across the globe are engaged. Let’s consider the word engaged for a moment. In this context, it means someone who is interested in their work. Someone who feels like they have a meaningful connection with their organization. And an estimated 87% of people feel the very opposite of that.

What are the Outcomes of an Engaged Workforce?

Quite apart from any sentimental notions, a disengaged workforce means less revenue and decreased profitability. It’s in an organization’s best interest to apply best practice to HR. This is true for every industry. Whether you work in construction or tourism or retail, a number of key outcomes improve when employees feel like they’re in a positive work environment.

To begin with, customer ratings, safety and quality go up, and truancy, turnover and talent attrition go down. Turnover in any industry leads to reduced efficiencies and service that’s not quite at its best. This, in turn, affects customer retention. But what does it take to retain employees that you’ve invested in?

 

Cultivating an Esprit de Corps

When you give employees a say and make them feel valued, they become invested in the success of the company. They feel that they are integral to the company’s meaningful strategy and part of a bigger picture. Not a cog in the wheel but the fuel that powers change.

We never want employees to feel like they’re unable to voice their questions, opinions and ideas. Nor do we want them to feel like they’re easily replaceable or at the receiving end of unequal treatment. This scenario is the antithesis of an optimal working environment, let alone an incubator for innovation.

Corporate bonding sessions can make a difference to team spirit but the occasional pizza party does not make an engaged employee. Rather, a process of inclusion begins during onboarding. Managers need to come across as approachable. People, your human capital, are your most costly and most important of assets. Treat them well and you set a virtuous cycle in motion.

You’ll gain a reputation for being among the best to work for. Consequently, you’ll attract high-quality candidates who want to tie their names up with the brand and go the extra mile. All this adds up to a competitive advantage. It doesn’t matter if you’re a big company or a small one. You can cultivate this atmosphere of excellence.

Competent colleagues develop intra-team experience and trust over time, and pass that sense of collective effort on to new hires. These recruits want to earn the respect of their peers and are motivated to be productive. Teams proactively solve problems. Organizational cultures grounded in openness and fairness build workforces of loyal, satisfied employees that are willing to stay on during tough times.

 

Providing Opportunities for Advancement

People get bored. It’s human nature to want to experience growth and occupational development. That can happen at both an early and advanced stage of an employee’s lifecycle. Companies need to provide their employees with opportunities to upskill as well as stimulation in the form of projects that interest them. Incentives should be built into the achievement of these goals.

When personal goals align with company goals, employees live up to their true potential. There’s a difference, however, between a challenge and an unreasonable demand. The latter causes stress and discontent.

 

What Does Best Practice in HR Look Like in the Era of Big Data?

SaaS tools are not reserved for tech companies or marketing teams. Big Data is making waves in every industry. Some software vendors can now do the once costly job of an internal marketing audit at a fraction of the outsourced price. Whether you’re merging companies, managing employees in different cities or countries, or simply trying to track engagement in your start-up, technology can help.

Not only can HR tools provide companies with question templates, but they also automate translation across markets, feedback collation and analysis. The admin associated with scaling up and gaining meaningful real-time insights from huge swathes of data is out of the equation. This makes for quick, pain-free responses at decision-making levels.

Companies can stay on top of employee morale without infringing on the privacy of individuals. Peer reviews enable managers to figure out where there’s room for team education. Tool functionality and user-friendliness ensures high participation rates. Ultimately, investing in monitoring software allays the costs of attrition and promotes business objectives.

 

 

 

 

 

Topics: Performance Management

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