We now realize that profits of companies that achieve high employee engagement are 27 % higher. Their sales are 50 % higher and their customer loyalty is also higher by the same percentage. Productivity is almost 40 % above-average. Surveys conducted by Gallup, a research-based, global performance-management consulting company proved this. The business2community.com website claims that employee recognition is necessary for truly engaged employees. Awards to employees reinforce corporate values and help you clearly communicate what behaviors you want to see in your employees.
Benefits of high engagement
In the 1980s it was all about product quality and management processes. One decade later, in the 1990s, the focus started shifting to Six Sigma programs. Today most companies know that what really brings higher investment returns is the introduction of recognition programs for their employees. When your subordinates are not happy, expect higher rates of absenteeism and lower productivity when they actually come to the office. Turnover rate is more than 50 % higher in companies with low employee engagement compared to the companies with high engagement.
Promote engagement by building suitable culture
Now that we have some strong facts and numbers, how can we foster the engagement? You need to:
1) know your workforce
2) build confidence in your leadership and strategy
3) communicate properly and steadily
4) inspire others to achieve their goals and show appreciation when they succeed
So you need to understand what motivates your employees. Both cultural and psychological factors are important. Leadership skills and demonstrating commitment to the company values are key to building confidence in your staff. Constant communication brings about awareness and in the end leads to the culture of appreciation.
-jk-