Why Employees Are Unengaged

The True Impact of Employee Engagement

 

There’s one phrase that often goes unheard in the workplace, yet has a huge impact on a company’s success: employee engagement.

Most business leaders have the mentality that they’re responsible for providing work; employees are responsible for getting it done. Under this logic, it’s up to the employees to motivate themselves day in and day out.

However, it’s practically impossible to stay motivated in an unsupportive environment (which is probably why 70% workers are disengaged from their jobs).

 

Fact: 70% of workers are disengaged from their jobs.

 

Disengagement is a defense mechanism. Employees distract themselves from what makes them unhappy (work) with other things they deem more fulfilling, like looking for new jobs, talking to friends, or watching funny cat videos.

 

“When people are emotionally invested, they want to contribute.” –Simon Sinek

 

This helpful illustration from Company Folders provides an eye-opening look at just how low employee engagement could be affecting you. (In the U.S. alone, companies could save up to $350 billion a year through increased employee engagement.)

Read on to learn what’s causing employees to disengage and how you can help them get back on track.

 

“To win in the workplace you must first win in the workplace.” –Doug Conant

 

The Secret to Higher Profits in a Digitized World

The Decline of Customer Satisfaction

Customer satisfaction is going down, not up.

How can that be in a world with unprecedented technological progress?

 

“A brand is the sum of the good, the bad, and the off strategy.” –Scott Bedbury

 

Tema Frank founded Web Mystery Shoppers International, the world’s first company to test omnichannel customer service. Her new book, People Shock: The Path to Profits When Customers Rule , shows off both her decades of business experience and the research from interviewing over 150 business leaders. She developed a formula to help businesses improve the customer experience in the midst of a digitized world.

I recently asked her about her research.

 

“The key to getting work done on time is to stop wearing a watch.” –Ricard Semler

 

What is PeopleShock?

As we automate more and artificial intelligence wipes out jobs, the smaller amount that is left for human to human interaction becomes critical. Companies that are people-focused (while using technology to support those people) are the ones that will win in an era of increasing competition and social media power. If you get the people side right, PeopleShock is your key to success. Ignore it and your company will soon be history.

 

“If you’re too busy to build good systems, then you’ll always be too busy.” –Brian Logue

 

Get the 3Ps of Profit Right

Please share your 3P Profit Formula with our audience.

Customers are cranky, and they’ve got more choices than ever before. So you’ve got to keep them happy, and that means getting all of the 3 Ps of Profit right:

Promise – Having a clear aspirational, inspirational and memorable reason for doing what you do inspires staff and customers. It also gives staff a filter for decision-making: Would their action be consistent with the company’s promise?

People – Business success comes from connecting effectively at a human level with people inside (staff) and outside your organization. Outsiders include not only prospects and customers, but people we sometimes overlook, like suppliers, distributors, lenders, investors, media and the public.

Process – As time goes by, some of the processes that got you to where you are stop making sense.  To deliver consistently great customer experiences, you have to regularly re-assess how you’ve been doing things. Start by looking at processes from a customer point of view. What do they experience? Then look at how that lines up with what you do internally.

 

“CEOs are the ones who must conduct the corporate orchestra.” –Tema Frank

 

How does this translate into higher profits?

Is a Talent Assessment Missing From Your Strategy?

This is a guest post by friend and mentor Bruce Rhoades, who retired after having run several companies. He often helps me with strategy. I am delighted that he is a regular contributor.

 

Does your organization possess the skills necessary to successfully implement your strategic plan?

 

Strategic Planning Is Not Enough

Organizations invest a lot of time, talent and money in a strategic planning process. They carefully consider market segments, opportunities, trends and competition. Then they develop strategic initiatives and projects. They examine assets, products, pricing, costs, headcount, revenue projections and develop detailed 3 -5 year projections. Sometimes shareholder value and market value models are created.

 

“One often-overlooked aspect of a talent assessment is leadership.” –Bruce Rhoades

 

I have spent considerable time with organizations on strategy, planning and process as strategy officer, as interim CEO for several companies and as a consultant. I am surprised how often the entire process misses a key element of strategy:  a strategic talent assessment.

If the organization does not actually possess the key skills to execute the strategy, what skills are needed and how can they be obtained? No matter what process is used for strategy development, a strategic talent assessment is needed before “dropping the flag” on execution.

 

“A strategic talent assessment examines the skills needed to execute.” –Bruce Rhoades

 

What is a Talent Assessment?

Simply stated, a strategic talent assessment examines the organizational skills needed to execute the strategy. It should include:

  • Necessary skills to assess the market needs, attractiveness, competition and size
  • The know-how to define, plan and price the product
  • Type of talent to actually develop the product
  • Competence needed to market, sell and deliver the product
  • Skills to provide customer readiness and adoption
  • Expertise needed to provide service to customers for products
  • Leadership talent to actually execute and deliver the strategic initiative
  • Certain cultural elements of the organization: decisiveness, accountability, delegation, results, etc.

 

“If the necessary talent is not present, the strategy is flawed.” –Bruce Rhoades

 

Performing a Talent Assessment

Ideally, the assessment should be performed when key strategic initiatives are identified. It is especially important to assure that the talent is available to assess the market and opportunity at the next level of detail before committing major resources.

The assessment should be performed at a sufficient level of detail to enable successful execution. Avoid a tendency to categorize talent at high, abstract levels. A good test for the level of detail is to imagine that you are trying to hire a person with these skills — how would you identify that the person possesses the skills? For example, do not just indicate “technology skills” but specify the exact technology skills. Likewise, do not indicate “sales” but what type of sales skills – consumer, consultative, B2B, etc.

One often-overlooked aspect of a talent assessment is leadership. Even if all the necessary talent resides in the organization, execution will fail if leadership is absent. We have all seen a sports team with an abundance of individual talent but with no leadership to get the talented individuals to perform and deliver as a team.

 

“Even if the necessary talent is present, execution fails without leadership.” –Bruce Rhoades

 

The result of the talent assessment should be a “skills gap” matrix that lists the skills currently resident in the organization and the skills needed to execute the strategy. They can even be ranked critical, important, necessary, etc. The “skills gap” matrix should be used as a guide to acquire the necessary talent.

One gap that often occurs in current strategies is when organizations want to utilize “big data analytics” in products, marketing or sales but actually have no resident skills in analytics, statistics, large database technology or modeling.

Another example is when organizations want to capitalize on “social media” but have scarce skills in the organization that actually understand how to best use social media to reach their goals.

 

“Execution before the proper skills are in place can waste resources and damage credibility.” –Bruce Rhoades 

 

How to Remedy the Strategic Talent Gap

12 Rules for Managing Your Employees As Real People

 

Think your people are your greatest asset?

Do you survey your employees but ask the wrong questions?

Is corporate engagement one of your goals?

 

Widgets, FTE’s and Assets

What I think I love most about Rodd Wagner’s new book WIDGETS: The 12 New Rules for Managing Your Employees As If They’re Real People is his clear, unambiguous writing that calls it like he sees it. He upends common practices and wisdom, throwing out what you know and replacing it with what just makes sense. Our conversation is likely to change your position on a few subjects and have you rethink your practices. It did for me.

Why did you call the book “Widgets”?

If you spend enough time at enough companies, the bad terms used to refer to people start to accumulate. “Human capital.” “Full-time equivalents” or “FTEs.” “Headcount.” “Aprons” at a home improvement store. “Blue shirts” at Best Buy. I could barely contain my shock when leaders for one temporary staffing firm referred to the people they place as “inventory.” And the department responsible for people? In most companies, it’s called “Human Resources.” At one company, a mass layoff is called a “resource action.”

These are euphemisms, and euphemisms are most dangerous when used to refer to people, because they make it easier to disregard that we are talking about someone’s son or daughter, brother or sister, and they deserve the respect and dignity of being referred to as people. I used the title “Widgets” to take a hard whack at these bad habits and all the dehumanizing practices that flow from that perspective.

 

“Your people are not your greatest asset. They’re not yours, and they’re not assets.” –Rodd Wagner

 

Lather. Rinse. Repeat.

What is wrong with many employee engagement efforts today?

Employee engagement is in a rut. It’s become hackneyed. It’s routinized.

Commission a survey. Beg people to participate. Get the results back. Distribute scorecards. Train some trainers; unleash them on the company. Cajole the CEO into using the word “engagement” in his next speech. Ask managers to do some team sessions, which maybe half will do before tucking the forms in a desk drawer. Leave the way managers are selected, coached, supported, and held accountable untouched. Let the executives feel good that they checked the employee engagement box. Go quiet for 9 or 10 months until it’s time to start the Sisyphean cycle all over again. Lather. Rinse. Repeat.

JacketBut the most pernicious problem with engagement initiatives today is the way some consultancies and companies talk about the people who are neglected and, when the survey comes around, tell the truth. So-called “disengaged” employees are vilified, their motivations and character questioned. They’re said to be “more or less out to damage their company” or trying to undo what the more “engaged” accomplish. Our research contradicts these assertions that those who are most frustrated are some kind of “cancer” inside the organization.

Of course, recognizing that they will be suspect if they give low marks to their company, many employees have realized it’s career suicide to tell the truth. So they don’t. Who would under those circumstances? “Just mark five to survive,” one admin advised her colleagues. In many places, it’s now difficult if not impossible to even get a true measure of engagement. That’s the mark of a fundamentally flawed and broken system.

 

If an employee does not give high marks on a survey, look first at the manager, not the employee.

 

Inside the Head

Getting inside their heads is your first rule. It’s individual; it’s unique; it takes up significant time. And yet, it’s the most important of all. Would you share why this rule is the first?

I’ve been fielding and analyzing employee surveys and other data from more than a decade-and-a-half. Every time I plot the numbers on a new study, the first thing that strikes me is the massive range in individual responses. You simply cannot predict how a person will feel about his or her job based on generation, age, gender, race, tenure, industry, company, or any of the other group statistics that are used so often to stereotype employees.

Engagement is an individual phenomenon. Everything – how much money people want, what they consider a cool place to work, how they like to be recognized, what they envision for their future – is unique to that person. Therefore, applying all of the other New Rules depends on first understanding that one person and responding to his or her personality and ambitions. This is the reason that every good piece of research on employee engagement finds that a person’s direct supervisor is one of the key players. That manager is in a unique position to know the employee well and match him or her with the resources and opportunities inside the company.

 

“When recognition is common, employees develop resilience against adversity.” –Rodd Wagner

 

Best Friends at Work

Having a best friend at work appears in most surveys, and we repeatedly hear that it is critically important. You argue otherwise. Help us understand.

First, asking about friendships – particularly sticking your nose in an employee’s “best” friendships – is quite intrusive when the relationship between company and worker is increasingly transactional. One week you’re asking about their best friends, the next week you’re sending a few thousand of them home with severance packages. So if they either had best friends at work or were the best friends of someone still there, you’ve opened yourself to some well-founded criticism that you abused their trust.

More important, in the studies my teams and I have conducted, the “best friend” concept does not hold up well in driving results compared with more

business-related questions such as trust in leadership, perceived future of the company, and collaboration. Asking about those is your business and is better connected to your results than asking what The Washington Post once called a “high school” popularity question.

 

“Transparency tells people you trust them and you can be trusted.” –Rodd Wagner

 

What can a professor teaching more on the left side of the classroom teach us about motivating teams?

How to Create a Winning Business Culture

This is a guest post by Sandra Mills. Sandra specializes in covering management topics that are relevant in business and healthcare. She has managed both large and small projects on a number of occasions. You can follow her on Twitter or Google+.

When you’re trying to grow a successful business, attitude is often more important than specific skills and experience.  Someone who is eager to learn can easily be trained to meet your business’s needs, but someone who will only do the minimum to collect a paycheck will never help your business grow. Here are 6 ways to build a winning culture that will drive success.

 

1. Set clear goals

Employees who are eager to please can’t improve if they don’t know how you’d like them to improve. Broad statements such as, “Get better,” or, “Increase profits,” don’t provide a clear direction for them to follow.  A specific goal such as, “increase sales by 5%,” gives your employees a visible target to shoot for.  Once that goal is set, they’re more likely to know exactly what needs to be done to reach it.  Even if they don’t, they’ll at least know where to start to get there.

 

2. Make sure goals are reasonable

The goals you set can’t be too high or too low.  If they’re too low, they’ll be easily attainable and will create a culture of complacency instead of one of growth.  If they’re too high, employees might initially be motivated but then quickly realize they may never get there.  When that happens, morale will drop, productivity may return to or drop below previous levels, and future goals will likely be ignored.  Encourage employees to write down goals to stay focused. SMART goal planning (Specific, Measurable, Attainable, Relevant & Timely) can keep goals challenging but reasonable.  Encouraging goals to be written down will keep them measurable and in focus as well.

 

3. Don’t lose sight of the big picture

The best employees still need a strong leader in order to function well within a company. When you’re setting your goals, always think about where you want your company to be in five or ten years.  For example, sacrificing quality may increase profit margins now but may also lead to customers who leave and never want to come back.  Try to make all decisions from the top down.  Come up with a true vision for your company, the main ways to achieve it, and then set specific steps employees can take to get there.

 

4. Promote responsibility