Post on 28-Nov-2014
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Monetizing Engagement
Stanley Labovitz, CEOStan@Infotool-online.com
1-866-616-5552www.surveytelligence.com
All rights reserved, 2012
“If your engagement survey process doesn’t move your organization toward positive change, then somewhere along
the way you have missed a step”
POSITIVE CHANGE HAPPENS WITH ENGAGEMENT
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Engagement and the Bottom line
A 50% spread in observed performance
Companies with high levels of People
engagement improved 19.2%
Companies with low levels of People
engagement declined 32.7% Towers Watson
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Engagement and the Bottom line
The growth rate of organizations with engagement scores in
the top quartile was 2.6 times greater than organizations with below average scores.
Gallup
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Growth/Competitiveness
Engaged people are consistently more productive, profitable, safer, healthier, and
87% less likely to leave their employer.
Corporate Leadership Council
Engagement and the Bottom line
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Productivity
Want More?
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HEALDSBURG, CA, May 16, 2012
Reporting from the 2012 ASTD Conference (American Society for Training & Development):Annual losses in lost productivity from ‘actively
disengaged’ employees have risen to $328 billion.
The study compared the attitudes of ‘engaged employees’ – those who work with passion and feel connected to the
company; ‘not-engaged employees’ – unhappy employees who put time, but not energy or passion into their work; and ‘actively disengaged employees’ – employees who
are not just unhappy, but are actively acting out their unhappiness.
Still Not Convinced?
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• Businesses with more engaged employees have 51% higher productivity (Harter, J.K., Schmidt, F.L., & HayesT.L., Psychology, 2002 Vol. 87, No. 2)
• Businesses with higher engagement have 9% higher shareholder returns (Towers Watson, 2009)
• Companies with the most effective employee communication have 47% higher shareholder returns over the last five years (Towers Watson, 2010)
• Engaged employees outperform disengaged employees by 20-28% (The Conference Board)
• Organizations with engaged employees showed a 19% increase in operating income over a 12-month period, compared to a 33% decrease in companies with disengaged employees (Towers Perrin, 2008)
How about now?
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• Employer understanding of the business strategy and how their work contributes to company performance is one of the top drivers of engagement (The Conference Board, 2006)
• Almost 2/3 of all employees are 33% as productive as they could be because they don’t understand what they are being asked to do (The Conference Board, 2006)
• 80% of employees with a high degree of trust in management are committed to the organization, compared with 25% of employees with a low degree of trust (Center for Creative Leadership)
• In organizations with highly engaged employees the share prices rose by an average of 16%compared with an industry average of 6% (Serota Consulting, 2005)
• Highly engaged employees have less absence days – in average 3 to 5 days
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Engagement is one of those key Building blocks to profitability; a prerequisite to aligning your Organization to your customer
Dr. George Labovitz, Power of Alignment, Wiley 1998
Why Intertwine Engagement and
Alignment?Sustained Growth & Profit are
achieved by creating consistent alignment between “engaged”
people, AND “the business drivers” of customers, strategy and process.
Dr. George Labovitz, Power of Alignment
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Steps to Implement Engagement
and Alignment
Creatin
g
Transfo
rmatio
n
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Engagement is
culture
Alignment Is business
ImplementationIs hard
Profit
is at hand
Managers are key
“Organizations themselves need to break the gridlock of an existing culture
cycle and re-energize the people to move forward in the right direction!”
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Implementation Needs
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Managers/Supervisors Managers Control the Implementation
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People Managers Energize
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Leadership Impact on the organization
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How do you MEASURE
engagement?
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Trust and Integrity
Growth Opportunity
Pride in the organization
Relationship with Leader
Line of Sight
Nature of work
Co Worker Relationship
Personal Development
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ALIGNMENT•Communications
•Organizational pride
•Innovation
•Process
•Performance Management
•Customer Focus
•Leadership Development
•Loyalty
•Visionary Leadership
•Technology
•Great Place to Work
ENGAGEMENT
InfoTool’s Measurement System
The Engagement/Alignment Survey
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8 EngagementMeasures
12 AlignmentMeasures
Survey asked: Overall, I feel we have undergone a positive change that has improved my work
conditions : 3 selections : A Great Deal, Maybe, Not Really
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A GREAT DEAL:“Great Place to work”
High Score 88
Overall Engagement-75
Overall, I feel we have undergone a positive change that has improved my
work conditions
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NOT REALLY
“A Great Place to Work”-Low Score
of 61
Overall Engagement-48
InfoTool Survey EngineAmazingly Insightful
See Actions forEach
Workgroup
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Infotool’s Engagement & Alignment Analysis• Strength and Weakness reports for every
manager, department and job function• Performance variations• Birdseye view of culture• Action planning by importance measures• Unlimited demographic slicing• Aggregate and intersect demographic
groups
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George Labovitz: Expert in Organization Dynamics
Dr. Labovitz is the Founder and CEO of Organizational Dynamics, Inc. (ODI). He counsels corporate executives on organizational alignment and integration strategies and quality management. He is also professor of management and organizational behavior at Boston University's School of Management. He has published or contributed to management articles in Fortune, the Wall Street Journal, Quality Progress, and Quality Management in Healthcare. He is also co-author of Making Quality Work (Harper Business, 1993) and The Power of Alignment (John Wiley & Sons, Inc. 1997).
ODI was chosen by the United States Postal Service as the Quality Supplier Award Winner in the small service company category from among 60,000 suppliers. ODI's healthcare division provides Total Quality Management services to over 240 medical centers in the U.S. and Europe.
George has been a Distinguished Visiting Lecturer at the Naval, Air Force and Army War Colleges. He holds a BS from Boston University, an MBA from Boston College, and a Ph.D. from Ohio State University.
George will assist in the interpretation of Results in the Reporting stages as required.
Snapshot:
•Pioneer in OD
•Dr. Labovitz has presented keynote addresses to diverse audiences throughout the world, including
the American Hospital Association, the American College of Healthcare Executive and The Healthcare Forum.
Who We Are – InfoTool’s Team
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Stan Labovitz: Technology and Engagement Consultant
Stanley Labovitz, the architect and CEO of the InfoTool Organizational Analysis Tool, and was an active OD consultant for 15 years with Organizational Dynamics, Inc (ODI). In 2002, Labovitz founded InfoTool with a vision of providing leadership the tools to effective manage the journey to alignment. InfoTool has represented fortune 1000 companies, worldwide, with locations in five countries and has become recognized as an expert in Change Management.
Stan has employed InfoTool with Fortune 100 companies, including the Agriculture Department and the Business Transformation Agency of the DOD, Staples, Genzyme Corporation, and many others. Throughout the world, much of his work has been related to employee engagement, customer focused change behaviours, leadership and alignment including those for energy companies such as Pengrowth Oil, Projex and EPRI. He is considered as an expert by his peers in survey design, analysis and culture change.
Sted Marketing Research has obtained a license to use InfoTool under its Dynamifx name, and has crafted a set of employment engagement questions, accompanied by a codified approach to analysis and reporting.
Stan will serve as the Program’s Technology and Training Consultant, at both the Survey Process and Execution and Results Reporting stages.
Snapshot:
•Architect of the InfoTool
•Extensive experience in all aspects of employment engagement studies
•Consulted to client end-users on the tool’s execution, analytics and implementation
Who We Are – InfoTool’s Team
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