Align Your Organization to Create Exceptional Results
How do leaders align and engage a workforce in the midst of uncertainty?
Authors Kay Kendall and Glenn Bodinson are expert Baldrige coaches. They studied more than two dozen organizations that delivered exceptional results following the Baldrige Criteria, key principles derived and championed by Malcolm Baldrige in the mid-1980s to improve productivity and competitiveness. Their research was supplemented by talking with more than fifty CEOs to gain insights on performance excellence. I recently asked them about their work and their new book, Leading the Malcolm Baldrige Way.
What do readers, who may not know Malcolm Baldrige, need to know before picking up your book? How will studying the Malcolm Baldrige Way help business leaders?
Malcolm Baldrige was a very successful businessman before Ronald Reagan tapped him to be Secretary of Commerce. He was deeply concerned about the future of manufacturing in America. At that time, the 80s, Japan was dominating in the automotive and electronics manufacturing industries. Both of those industries – and others in America – were being plagued by poor quality, and consumers were making choices to go with Japanese products. Secretary Baldrige championed an effort to establish a presidential award based on rigorous standards that would recognize manufacturing and service organizations that achieved high levels of performance. After Baldrige’s untimely death, President Reagan decided to honor his friend with what became known as the Malcolm Baldrige National Quality Award. Studying Leading the Malcolm Baldrige Way will help business leaders in any industry, in any situation – flourishing or in peril – learn how to align their employees to deliver exceptional results.
Why Engagement Matters
To those who think culture is soft, what statistics can you share that demonstrate engagement matters?
One study showed that companies with high levels of employee engagement have five times higher shareholder returns over five years. There is also clear evidence that engaged employees create loyal customers. If that isn’t compelling, consider the flip-side of engagement. Statistics from a recent article in Harvard Business Review cited, “Disengaged workers had 37% higher absenteeism, 49% more accidents, and 60% more errors and defects. In organizations with low employee engagement scores, they experienced 18% lower productivity, 16% lower profitability, 37% lower job growth, and 65% lower share price over time.” Those are staggering costs for organizations.
Engagement is the rage these days in leadership circles, yet still many leaders don’t work on engagement. Why is this?
Honestly, we don’t understand it. The evidence that engagement matters and impacts bottom-line results is clear. There is also the notion that treating employees as valued assets is what leaders as decent human beings ought to do. In the latest recession, we saw a lot of leaders with an attitude of “My employees should be grateful just to have a job.” As the economy picked up, we saw many employees jump ship as soon as there were opportunities to work for an organization with a better culture, where they were treated as valuable contributors to the mission and vision.