Measuring Employee Engagement Nick Howard Director, EMEA Employee - PowerPoint PPT Presentation

Measuring Employee Engagement Nick Howard Director, EMEA Employee Engagement, Edelman 1

Employee engagement is more important than ever 2

Focusing on employees is more important than ever given the current global landscape of trust 3 3

The link between employee engagement and business performance has been well proven • Organizations with high levels of engagement (65% or greater) continue to outperform the total stock market Barometer and posted total shareholder returns 22% higher than average in 2010. (Aon Hewitt, Trends in Global Employee Engagement, 2011) • Organizations with highly engaged employees achieve a seven times greater 5-year total shareholder return than those whose employees are less engaged. (Kenexa Research Institute, The Impact of Employee Engagement, 2009) • Engaged organizations have 3.9 times the earnings per share (EPS) growth rate compared to organizations with lower engagement in their same industry . (Gallup, 2009) 4

Engaging employees has never been more difficult 5

But there’s an ‘engagement divide’ between what employees want and what companies deliver Typical companies deliver… Typical employees want… VS. 6

Employee engagement is about creating connections that increase trust and accelerate business performance Create To create meaningful behaviour connections change, with and increase trust between and accelerate employees business and other performance stakeholders 7 7

Engaged employees accelerate business performance by… Going beyond Staying focused on Working together as Enthusiastically and what’s required of strategy execution a mobilized appropriately them to create during times of workforce with a advocating for maximum value change or challenge shared purpose company Discretionary Focused Aligned Advocacy Behaviour Behaviour Behaviour Behaviour Employees who are Employees who Employees who connected with the are connected are connected with company with each other outside world 8 8

Research methods must change to reflect the new reality 9

Traditional employee engagement measurement techniques are not fit for today’s purpose From… To… HR process and practice Communication narrative-based Archaic employee interactions New means of connection Questions and answers Sustainable ongoing communities Attitudes and opinions Behaviours and actions Long, drawn out process Real-time insight Internal-only focus Link to external drivers of trust Over-complicated outputs Simple, consumer-based insight 10

Discussion 11