Cmps 20081211b Employee Engagement-What Managers Need to Know (1)

8/10/2019 Cmps 20081211b Employee Engagement-What Managers Need to Know (1)

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Brenda WilsonBusiness Leader

Human Capital

Hong Kong

Employee Engagement

What managers need to know?


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Mercer 2

Overview

Section I: What is Employee Engagement?

Employee Engagement Defined

What Managers Can Do to Improve Engagement

Section II: How to improve employee engagement in your department?

Key Drivers of Engagement

Section III: A case study in the public sector

Experience Sharing with our Project with Singapore Government

Section IV: Key Takeaways


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Section I

Employee Engagement

What is it?


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Mercer 4

Lets vote: whats your view?

Q: What is the definition of employee

engagement?

Select one answer:

1. A new management technique to get your employees to do

what you tell them the first time.

2. When two employees plan to get married.

3. An internal party for employees: Hey Joe, are you going to

that emp loyee engagement at 2:00 p.m.?

4. All of the above (they all sound good)


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Mercer 5

Engagement Defined

What is employee engagement?

A psychological state in which employees feel a

vested interest in the companys successand are

both willing and motivated to perform to levels that

exceed the stated job requirements.

Engagement fosters and drives discretionary

behavior, eliciting employees highest productivity,

their best ideas and their genuine commitment to the

success of the organization.


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Mercer 6

Engagement Defined

EngagementCommitmentMotivationSatisfactionMorale

1960 1980 2000 TIME

Enjoys the job

Is not

dissatisfied

with terms and

conditions

Not

necessarily ateam player

Strives to

achievepersonal goals

Contributes

energetically

Values

achievingpersonal goals

more than team/

organizational

goals

Proactively seeks

opportunities to servethe mission of the

organization

Willing to go the extra

mile

Is willing to withholdcriticism and/or be

constructively critical

for the good of the

organization

Loyal to

organization,optimistic for the

future

Collaborates to

achieve team

goals Has a sense of

belonging to

organization


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Engagement Defined: Howre you doing?

Check your level of engagement

Getting satisfaction from the tasks required in their job?

Feeling valued by management?

Contributing energetically, not in isolation, but collaboratively? Positive about the work experienceyour employer, its leaders, the work and the

environment?

Ambitious for the organization?

Speaking positively about the organizations goods and services?

Planning to continue to work for the organization?

Going beyond the stated requirements of the job and contribute discretionaryeffort?

Yes No

Are you

Are you engaged?


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From Satisfaction to Engagement

Mercers Employee Engagement Model

Engagement Model

dvocate

Motivated SatisfiedSatisfied employees perform

their jobs and are satisfied with

the terms and conditions of

employment. However, they

tend not to go above and

beyond in their efforts.

In addition to sharing some of

the attributes of satisfied

employees, motivated workers

contribute energetically and

are highly focused individual

contributors to the

organization.

Committed

Committed employees have

thoroughly internalized the

values and behaviors

represented by the earlier

stages of the engagementmodel, but have also forged a

strong identification with the

organization.

They freely contribute

discretionary efforta willingness

to go the extra distance in

executing projects and their

regular duties. They see amutuality of interest between his

or her values and aspirations and

those of the organization.


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Mercer 9

Lets vote: whats your view?

Q: What can managers do to improve

employee engagement?

Select one answer:

1. Act like cupid: every one loves a good engagement.

2. Give more work, hard work, and lots of it!

3. Use fear to scare your employees into being very satisfied at

work.

4. None of the abovethere is nothing a manager can do.


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Mercer 10


What can managers do?

Satisfied:

Provide work tools, resources and equipment

Enhance the work environment

Reward (reward level and understanding of the

rationale for reward change)

Recognize work efforts


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Mercer 11

Motivated:

Establish fair performance goals

Communicate clear expectations

Regularly clarify priorities and feedback

Provide support by removing obstacles to

optimal performance

Recognize and reward performance Delegate work to theses employees

Support skill development




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Mercer 12

Committed

:

Help employees build meaningful long-term

careers

Ensure recognition and reward for long term

commitment Listen to employees, share insights and

experience

Ensure fairness, consistency and transparency

Develop understanding of long-term vision and

business plans

Promote organization values and reinforce them

through management behaviors




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Mercer 13

dvocate

:

Communicate the organization's progress and

challenges

Relate business results to team and individual

roles

Endorse strong customer focus

Share understanding of customer needs with

team

Challenge and grow through delegation

Establish comprehensive career developmentplans

Encourage upward communication

Encourage innovation

Recognize and reward




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Mercer 14

Weve always had a policy of trying to put our staff first.The staff should come first, the customers (the public) second and

your shareholders (stakeholders/ tax payers) third.

If you take that approach youll find that everyone wins.

Happy staff result in happy customers, lots of happycustomers result in happy shareholders.

Richard Branson, CEO Virgin Group


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Section II

Key Drivers of Employee Engagement


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Mercer 16

National Differences in Engagement Drivers

Over the last several years, the Mercers Whats WorkingTMstudies havebeen tracking the drivers of engagement across countries

United Kingdom

Engagement

Sense of personal accomplishment

Confidence in senior management

Opportunities for training

Paid fairly, given performance

Good reputation

for customer service

Regular performance feedback

Comparable benefits to industry

Cooperation between groups

China

Sense of personal accomplishment

Paid fairly, given performance

Comparable benefits to industry

Confidence in senior management

IT systems support business needs

Opportunities for training

Regular performance feedback

Whats

working in

Hong Kong?


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Mercer 17

Lets Vote: Whats your view?

Q: Apart from pay, which ONE elementdo you think is the most important

driver of employee engagement?

Select one answer:

1. Sense of personal accomplishment

2. Benefits

3. Career opportunity4. Sufficient channels for communication

5. Confidence in senior management

6. Training and development opportunities


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Mercer 18

Key Drivers of Employee Engagement

Although there are some country-specific drivers, a consistent set ofengagement drivers is emerging globally

2007

The work itself,including opportunities

to develop

Confidence and trust in

leadership

Rewards & recognition

Communication

Employee

Engagement


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Mercer 19

Key Drivers of Engagement

Organizational Context

Growth

Privatisation

Restructuring/downsizing

Merger and integration

Employee demographics

rivers of engagement vary by

Industry

High technology

Retail

Financial services

Professional services Civil Service

Country


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Section III

Case StudySingapore Civil Service


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Mercer 21

The economic landscape is changing

Strong year-on-year growth in GDP in

Singapore

The implications on the employment market

Increased growth across sectors

Competition for talent intensifying

Increasingly becoming an employees market

Singapore Civil Service

Why Engagement is so Critical

How do we continue to retain

employees in the Public

Sector?

Compensation is critical, but its not

everyth ing Needed to understand the drivers of

employee engagementin the public

sector for talent retention

?


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Mercer 22

Approach

In 2005, Mercer established an employee engagement survey, The SingaporePublic Sector Employee Engagement Survey (PS EES) for 20+ agencies

The survey yielded 3,743 data points, sampled from 46 individual public sector

agencies

Regression analysis was conducted to identify key drivers to engagement

Overall engagement was measured by the following four questions:

I am proud to work for my organization

I would recommend my organization to others

Given a choice, how much longer will I be working for my organization

How satisfied am I with my organization at the present time

Leadership / Climate Supervisory Practices Career Advancement Job Growth

Job Motivation Learning & Development Teamwork Workload

Engagement Rewards Performance Management & Feedback

11 engagement categories


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Mercer 23

Employee

Engagement

2007 Key Drivers 2005 Key Drivers

R=.67 R=.64

pr = partial correlation, a measure of statistical relationship

R = coefficient of determination, denotes variation of dependent variable explained by independent variables

Results

Leadership/ Climatepr = .44

Career Advancementpr = .38

Job Motivation

pr = .25

Job Motivation

pr =.34

Leadership/ Climatepr = .27

Career Advancement

pr = .26

Workload

pr = .08

Rewards

pr = .06

Compensation almost never rated in top three drivers at over 20 agencies for

senior and mid-level staff but was within the top three drivers for junior staff


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Mercer 24

Statistically significant drivers of

engagementby category

pr = .38

pr = .44

pr =.25

Employee

Engagement

The strength of leadershipin the organization

Opportunities for growth,

development and long-

term career potential

Being intrinsically

motivated by the work

you do

These items accounted for 67% of the variance in Employee Engagement (R=.67)

A total of three items were uncovered as statistically significantkey drivers employee engagement at the category level

Leadership/ Climate

Career Advancement

Job Motivation


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Mercer 25

R=.61

Employee

Engagement

I am proud to work for

my organizat ion

I would recomm end my

organizat ion to others

Given a choice, how

much longer wi l l I be

work ing for my

organization

How s atisf ied am I with

my o rganization at the

present time

Statistically significant drivers of

engagementby item

Item Level Drivers A total of five itemswere uncovered as

statistically significant key drivers of Employee

Engagement at the overall level

The key drivers of Employee Engagement

center around:

- The work itself giving them a feeling

of personal accomplishment

- Employees belief that they haveopportunities for growth and

developmentin their organizations

- Employee perceptions that senior

management proactively confronts

issuesbefore they become major problems

- Employee perceptions that the valuesof

their organisation are evident in peoples

actions- Employee perceptions that their

organisation has established a good

reputation for customer service

Leadership/ ClimateQ. Org values are demonstrated

by employees

Leadership/ ClimateQ. Snr Mgmt does a good job of

confronting issues

Job MotivationQ. Feeling of personal

accomplishment

Career AdvancementQ. Opportunity for growth

& development

Leadership/ ClimateQ. Org has established a good reputation

for customer service

pr = .24

pr = .33

pr =.16

pr = .36

pr = .18

pr = partial correlation, a measure of statistical relationship

R = coefficient of determination, denotes variation of dependent variable explained by independent variables


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Section IV

Closing remarks


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Mercer 27

Key takeaways

Compensation is important, but it isnt everythingand for theSingapore Civil Service it didnt factor significantly in the results for most

levels of the workforce.

In order to increase levels of engagement, managers need to

understand the drivers of engagement.

Are your employees satisfied, motivated, committed or an advocate forthe Hong Kong Civil Service?

What can you do to help improve your employees engagement?

Key drivers of engagement may vary from industries, organization

contexts, and from country to country: do you know what is driving or

eroding your employee engagement?

Managers can take an active role in engagingthe workforce through

various non-financial means leading to better performance and happier

employees who advocate for the government and the public.


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Contact

Brenda Wilson

Human Capital, Hong Kong

Tel +852 2115 3312

[email protected]


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Mercer 29

Employee engagement categories

Leadership / Climaterefers to the senior management team as a whole and perceived clarity in communicating organizationalstrategy, ability in confronting issues, demonstrating organizational values and concern for employees as well as management of the

organization as a whole

Supervisory Practicesrefers to respondents immediate supervisor in terms of perceived competence, availability for consultation,

honest communication and frequency of feedback

Career Advancement -refers to perceived opportunities in career development as well as long-term career prospects in the

organization and the public sector in general

Job Growthrefers to staff perceived value of activities outside their scope of work contributing to their personal development of

organizational excellence

Job Motivationrefers to perceived levels of personal satisfaction, adequate autonomy, interesting challenges and relevant use oftheir skills and abilities

Learning & Developmentrefers to staff perceived value of activities outside their scope of work contributing to their personal

development of organizational excellence

Teamworkrefers to respondents attitude towards people in the organization and perceived levels of cooperation within the work

group and across divisions/ institutions

Workloadrefers to perceived reasonable levels of work, adequate manpower and ability in maintaining balance between work and

personal life

Performance Management & Feedbackrefers to employee level of understanding, perceived equity and flexibility of the PM system,ability to recognize and reward deserving staff and the level of feedback and communication

Rewards -refers to perceived fairness of compensation and other issues of external competitiveness and internal equity

Engagementrefers to staff level of satisfaction and pride for the organization as well as intent to stay and recommendation of the

organization as a good place of employment

Documents

Cmps 20081211b Employee Engagement-What Managers Need to Know (1)