DECODING AND DRIVING EMPLOYEE ENGAGEMENT

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DECODING ANDDRIVING EMPLOYEEENGAGEMENTA step-by-step guide to employee engagementand what it takes to devise an effective strategy toensure a happier and productive workforcePowered By

EDITOR'S DESKThe ‘magic of engaged people’!In a game of soccer, when a midfielder cleverly manoeuvres the ball andpasses it on to the forward to score a goal, it depicts his immense faith inhis teammate. This ‘faith’ is built only when the team is engaged. Historyis replete with instances where a team dependent on that one ‘superstar’ haslost the game, while a weaker team has achieved victory based on the teammembers’ engagement, collaboration and synchronous communication.A winning team—on or off the field— will cultivate a culture of resilience,guts and courage led by a highly engaged workforce tied together by anattitude that ‘everyone is more or less equal’.There are many ways to build an engaged team – a transparent culture and amore participative and empowering team. However, the most important oneis to have one purpose — a common mission —and be the winner.For instance, the Southwest Airlines, which stands high on employeeengagement, has given a sense of purpose – ‘not just do the job but make adifference’— to its employees. This connects the organisation emotionallywith its employees and creates a true sense of engagement.The CEO and co-founder of Supercell, Ilkka Paananen, credits the success ofhis gaming company to its fantastic culture of operating like a soccer team —the developers are superstars and not their leaders.Exceptional talent is not enough to give the desired result. It’s also thecompany’s prerogative to establish a high level of engagement and reinforcea culture that leads to an ‘engaged’ team.We, at HRKatha, take pride in presenting some of the best practices inemployee engagement and the contours of having engaged people at work inthis e-book.We thank our partner – Vantage Circle – for its support in this endeavour.Happy reading!PRAJJAL SAHAFounder & Editor, HRKatha2 hrkatha.com

EXPERT'S DESKThere’s no doubt about the need of employee engagement.However, in our experience interacting with hundreds ofcompanies over the last eight years, what we realised wasthat companies struggle with ways to engage their employeesin a meaningful and measurable manner, particularly in thisrapidly-changing environment.Employee engagement is an all-encompassing term, andorganisations generally wonder how to break the variousinitiatives into actionable components. ‘Where do we start?What tools can help enable and sustain these initiatives?What are the new ways to engage? – are some of the commonquestions being asked on a regular basis.So, we decided to create an e-book in partnership with HRKathato help codify our knowledge and experience. It is a compilationof our learnings, our domain expertise through years ofexperience combined with some secondary research to come upwith content that is comprehensive and actionable.Hopefully, you will find answers to some of your employeeengagement questions. Employee engagement is a journey andno matter where you are today, it can always be improved. Thisis a start and we hope to keep this document dynamic in natureby updating it with more material once we get your feedback.Let’s start engaging.PARTHA NEOGCEO, Vantage Circle3 hrkatha.com

FOREWORDWhat defines the strength of the relationship betweenan organisation and its employees? The answer is,engagement. This one word can illustrate various aspectsof the relationship. An engaged employee is positive, productive,and collaborative. One who is passionate and lives the brand of theorganisation. Someone who will strive to achieve more. All of thisimproves the longevity, and greater productivity, which leads tobusiness growth.At the centre of employee engagement is experience. This is whatactually matters. It’s about how the organisation treats its employees,the culture of the organisation and how peers and leaders behave. Thericher the experience, the more engaged an employee is.So, is it about happiness? Not exactly. An employee may just be happybecause he gets to leave for home early, or he has found good friends atwork. All engaged employees are happy, but not all happy employeesare engaged.How does this happen? The answer here is the emotional connect thatthe employee has with the organisation. It defines how engaged theemployee is. That emotional connect will only happen when there is ahealthy relationship between the organisation and the employee. Anengaged employee will own the brand — he or she will go that extramile because the success of organisations is personal to them. Theywant their businesses to succeed because they associate themselveswith their company’s mission, purpose, and values at a personal level.Now this emotional connect is dependent on various factors, such astrust in leadership, reputation, good managers, quality and frequencyof communication, health and well-being.This e-book by HRKatha outlines the meaning, purpose and importanceof employee engagement along with some interesting stories of howsome successful companies have leveraged robust employee engagementas their staircase to success. This e-book will serve as a ready reckonerfor those looking to improve their business growth. The answer is inhaving engaged employees. And HRKatha tells us how .My best wishes SV NATHANPartner & Chief Talent Officer, Deloitte India4 hrkatha.com

WHAT ISEMPLOYEEENGAGEMENT?Employee engagement can be tricky.While many equate engagement tohappiness, that’s not fully correct,as engagement is not just employeehappiness.Simply put, it is an instinctive feeling ofresponsibility towards the organisationyou work for. While this feeling dependson the employees’ personality and senseof purpose, companies can create anenvironment, where employees feellike taking up responsibilities. But forthat, employees need to feel as onewith the organisation. They need to beemotionally attached.The concept ofemployee engagementis sometimes confusedwith happiness,but it’s really aboutan employee’spsychologicalinvestment in theirorganisation andmotivation to produceextraordinary results. Ken OehlerAon’s Global Culture &Engagement Practice LeaderSource: Aon News ReleaseIt can be equated to the extent ofcommitment by the employees. Anemployee’s engagement depends onhow personally involved she/he iswith the business, and how much theorganisation’s success matters to her/him. Engaged employees understandhow their contribution matters in thebigger picture.5 hrkatha.com

EMPLOYEE PRODUCTIVITY ANDEMPLOYEE ENGAGEMENTTeams with high employeeengagement rates are21%28%More productive and haveLess internal theftthan those with low engagement.Source: GallupEmployees who are engaged areMore likely to reportEXCELLENT performance27%Source: GallupCompanies with engagedemployees outperform thosewithout by202%Source: Business 2 CommunityOrganizations with low employeeengagement scores sawWhen people are financiallyinvested, they want a return.When people are emotionallyinvested, they want tocontribute. Simon SinekSource: Twitter18%16%37%65%Lower productivityLower profitability,Lower job growth,Lower share price over time.Source: Queens School of Business and by the Gallup6 hrkatha.com

WHY IT ISIMPORTANT?Employee engagement levels reachedits all-time high in 2017. Experts say thereason for this could be the improvingeconomics in Asian and African regions.Yet, not many organisations understandthe importance of having an engagedworkplace. Engaged employees helpyour business achieve its goals.Engaged employees are more productive.They are motivated and success driven.According to a research carried out bythe University of Cambridge, engagedemployees are 43 per cent moreproductive than others.With engaged employees, theCompanies with employees withabove average engagementlevels will see better employeeproductivity, lower turnoverrates and higher customersatisfaction scores—allfactors that can significantlycontribute to improved financialperformance.profitability of the company alsoincreases. It affects the company’sbottom line. Wyatt Watson sayscompanies with highly engagedemployees generate 26 per cent higherrevenue per employee.When the employees are engaged,they make the company's goal theirown and stay committed to it thusimproving the rate of retention in anorganisation.It also reduces the rate of absenteeism.Engaged employees are ‘less likely tofall sick.’ A research by Gallup showsthat engaged employees take 2.7sick days per year, while disengagedemployees take 6.2 sick days.Again, in the words of Ken Oehler,“companies with employees withabove average engagement levels willsee better employee productivity,lower turnover rates and highercustomer satisfaction scores—all factors that can significantlycontribute to improved financialperformance.” Ken OehlerAon’s Global Culture &Engagement Practice LeaderSource: Aon News Release7 hrkatha.com

MYTHS ABOUTEMPLOYEEENGAGEMENTMyth #1:Sincere employees areengaged employeesRegularity at work is not the parameterto determine the capacity of anemployee to engage. Sincere employeescan be just as disengaged as any otheremployee.The very premise of an engagedworkforce is for one to go beyond whatis expected. An engaged employee ismotivated to learn better, effectiveand efficient ways to contribute to theorganisation.Myth #2:Employee engagementrequires a huge budgetEmployee engagement is perceivedas a very expensive endeavour, but itisn’t. The prime drivers of employeeengagement, such as employeerecognition, appreciation and effectivecommunication are all about companypractices/culture.8 hrkatha.com

Although a lot of things can be donein the engagement space, many of theengagement tools are available free ofcost. All you need to do is get started!Myth #3:Employee engagementis solely HR’sresponsibilityOn the contrary, it is a collectiveresponsibility. From the top level tothe very bottom, establishing employeeengagement requires the participation ofall the people involved in the equation.While the HR function may take it uponitself to make engagement initiatives apriority, it is the collective effort thatwill bear fruit. HR can encourage teamsto suggest ideas to improve engagementwithin the organisation and implementthe best ones.Myth #4:Happy employees areengaged employeesWhile engaged employees are happyemployees, the same cannot be saidabout happy employees. It's a myththat happy employees are engagedemployees. Moreover, happiness neednot correlate with the effectiveness andefficiency of your employees.Build a happy workplace, by all means.It is vital. Then again, don’t rest yourhopes of an efficient and engagedworkforce on a happy one alone.Myth #5:Employee engagementis all theory/employeeengagement is justanother trendDespite stunning numbers and statisticsto back it up, employee engagement isstill considered a vague concept. It isbelieved that there is only so much thatcan be done in this space. Employeeengagement is often seen as an ‘in-thing’or a trend, one that is destined to go offradar in the coming years.If there is one thing that can beguaranteed, it is that employeeengagement isn’t going anywhere anytime soon. Employee engagement is real,effective and will see growth in future.9 hrkatha.com

COMPONENTSOF EMPLOYEEENGAGEMENT1.One thing that must be kept in mind isthat communication is a two-way street.To make employee communicationefficient, you must be willing tolisten to your employees. When thereis a constant and honest flow ofcommunication, you too are well awareof what your employees need, wherethey stand and can fight fire whenneeded quicker than ever.EMPLOYEECOMMUNICATION:Effective employee communicationis a building block for creating aholistic work environment. A robustcommunication strategy within theorganisation ensures your companyworks like a well-oiled machine. Itincludes the exchange of information,ideas, and feelings within theworkforce. It encourages teamwork andcollaboration in the organisation.Effective communication acts as a strongfactor in uniting the individuals anddriving them towards a common goal,that is the betterment and success of thebusiness.More importantly, when you makeefforts to keep your employees in theloop of the developments in a company,it instills a sense of belongingness inthem.10 hrkatha.com

Communication can’talways follow the topdown model. With thefluidity of informationin business today,leaders need to bemasterful listeners;they need to be ableto receive as well assend.A culture of communication is rathersimple to build and the returns areconsistent. Joseph Badaracco, professorof business ethics, Harvard BusinessSchool, sums it up best: Joseph BadaraccoProfessor of Business Ethics,Harvard Business SchoolSource: Harvard Business School, Alumni StoriesHOW TODO IT?The global digital marketingautomation company, Hubspot,for instance, is redefining themeaning of transparency inbusiness. HubSpot co-founder andchief technology officer, DharmeshShah, practices slew discussionsdirectly with all the employees. Heintroduced a programme called“Ask Dharmesh Anything” wherehub-spotters can directly interactwith him.Effective communicationbegins with transparency andhonesty. Build an open-doorculture in the workplace thatfacilitates effective flow ofcommunication.Maintain regularity whilecommunicating.Keep a healthy balance betweentalking to them and listeningto them.Use a global and standardform of communication in theworkplace. Try to keep yourmessages brief and precise.Encourage peer to peercommunication in theorganisation. Organise eventsand activities that help improveinternal communication.11 hrkatha.com

2.RECOGNITIONAppreciation is a great virtue andmakes the recipient feel appreciatedand valued. And recognitionis an effective way to do it.Employee recognition refers to theacknowledgment of an individual’sor team’s behaviour, hard work andaccomplishments, which support theorganisation’s goals and values.Brains, like hearts, go wherethey are appreciated. Robert McNamara,Fmr. American Secretary of DefenseOf the many recognitionprogrammes at Walt DisneyWorld in Orlando, Florida, oneis inspired by an employee calledFred. Fred came to represent thevalues which the company standsfor —friendliness, resourcefulness,enthusiasm and dependability(FRED). The Spirit of Fred Award hasbecome a coveted one – a plaquemounted certificate. The LifetimeFred Award for multiple recipients ofthe Spirit of Fred Award is a bronzeMickey Mouse statuette.When you recognise employees for theirefforts, they feel motivated to workharder the next time. When employeesare recognised for their good work, theyfeel appreciated. This motivates themto consistently perform their job andeven strive for greater heights. Whenthey see their contribution has madean impact on the organisation and yourecognise that, they feel good abouttheir work.When employees feel appreciated,they stay. They become loyal to theorganisation.Lack of recognition has a strongconnection with employee retention.A research conducted by Office Teamfound 66 per cent employees who would“likely leave their job if they didn’t feelappreciated.” And this number jumpsup to 76 per cent among millennials.12 hrkatha.com

Sometimes your method ofrecognition has to be more thana ‘thank you’ or a simple ‘pat onthe back.’ Let rewards be simple —something thoughtful that hits theright spot.Employee loyalty beginswith employer loyalty. Youremployees should knowthat if they do the job theywere hired to do with areasonable amount ofcompetence and efficiency,you will support them. Harvey MackaySource: Brainyquote.comHOW TO DO IT?Every organisation is differentand so is its culture. Therefore,create a culture-specificrecognition programmematching your organisation’sculture and values.Recognise both individualsas well as teams. And do itas much and as frequently aspossible. Ultimately, recognitiondelayed is recognition denied!Recognition doesn’t always haveto come from the top. Moreoften than not, coworkers knowmore about each other than theboss. Encourage peer-to-peerrecognition.Tools, such as Vantage Circle’sreward and recognitionprogramme allow peers toinstantly recognise colleaguesindividually.Engage in year-roundrecognition. Create monthlyor quarterly awards to create aculture of recognition.13 hrkatha.com

3.LEADERSHIPIn order to understand, influence andengage people, you need leaders. Goodleaders!Employees who trust their employersare more likely to stay with theorganisation. They usually have a highermorale, which translates to higherefficiency and productivity.But it is probably the HR or the peoplemanagers who are the most importantwhen it comes to employee engagement.The HR are the middlemen betweensenior management and the employees.They are the ones actually working withthe employees, developing strategies,executing the plans.That’s why, this middle managementis referred to as the “missing linkto employee engagement.” Missingbecause not many organisationsare aware of the need for employeeengagement or unsure of the ways toexecute their engagement programme.A research by Gallup has also foundthat managers account for 70 per centof variance in employee-engagementscores.Everyone talks aboutbuilding a relationshipwith your customer. I thinkyou build one with youremployees first. Angela Ahrendts,Senior vice president, AppleSource: Quotefancy.com14 hrkatha.com

HOW TO DO IT?The first and foremost thingto do is to communicate well.Studies have shown a direct linkbetween higher engagementlevels and consistentcommunication.A good leader knows how toprioritise. The most successfulmanagers always pick andchoose their priorities and focuson those rather than trying toaccomplish all at hand. In fact,the reason why many smallcompanies fail is usually thelack of focus.Responsibility andaccountability are somequalities leaders mustpossess. Leaders withgreat accountability takeresponsibility for their actions.They try to get to the core ofwhy something didn’t workand find a solution for it.Eventually, team membersstart mirroring these traits,which results in greater overallaccountability.Delegate wisely. When youdelegate tasks, it shows that youtrust your employees. It alsomeans that you’re giving themthe autonomy and the space tomake their own decisions andget the work done.Leaders need to have teambuilding skills and the abilityto motivate. Sustainingmotivation is hard. So, leadersneed to be able to motivatetheir employees as much aspossible. Gamifying incentives,supporting their ideas,providing work–life balance aresome effective ways to motivatethem too.15 hrkatha.com

spend a large part of their waking hoursat the workplace, and hence their wellbeing is naturally influenced by the workenvironment. Promoting wellness in theworkplace is not just your financial butmoral responsibility.4.WORKPLACEWELLNESSYou can start your journey of building ahealthy work environment by creatingan employee wellness programmethat suits your diverse workforce.An employee-wellness programme isbasically the summation of all the healthand wellness initiatives taken up by anorganisation to promote the well-beingof its employees.Health and wellbeing is an integralcomponent of employee engagement.Just like one cannot separate the mindfrom the body, one cannot separate wellbeing from work life. Your employeesThe health of the employees in yourorganisation is directly linked to thegrowth of the company. It directlyinfluences productivity and theperformance level of individuals.ADVANTAGES OF PROMOTINGWELLNESS IN THE WORKPLACECorporate health and wellness programmes substantially reducehealthcare cost.Promoting health in the workplace results in a healthy and balancedlifestyle. It leads to improved sleep cycles, reduced anxiety, less stress,and improved mood. All these things collectively improve workmotivation.One of the biggest reasons

guts and courage led by a highly engaged workforce tied together by an attitude that ‘everyone is more or less equal’. There are many ways to build an engaged team – a transparent culture and a more participative and empowering team. However, the most important one is t

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