Leaders and Engagement - nareit.com Gochma… · Evidence of Engagement in an Organization •A higher level of engagement is evident if employees: –Are willing to go above and

Presentation for NAREIT

Leaders and Engagement

Ilene Gochman, Ph.D.

Global Leader, Integrated Talent Management, Korn/Ferry International

October 15, 2012

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© Copyright 2012 Korn/Ferry International. ALL RIGHTS RESERVED

What’s Your Experience with Engagement?

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Agenda

• What Is Engagement and Why Does It Matter

• Engagement Drivers

• Engaging High Potentials

• Engagement and Leadership

• Building Engagement in Your Organization

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What Is Engagement?

• Employee engagement is a mind-set of taking personal stakeholder responsibility for the success of the organization and applying incremental effort aligned with the organization’s goals

• Engagement involves action and is not just an attitude or a feeling

– Attitudes such as morale (belief in an organization and its goals) and job satisfaction (contentedness with one’s job) do not involve action and should not be used as terms that are interchangeable with engagement

Source: FYI for Talent EngagementTM, Korn/Ferry International

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Evidence of Engagement in an Organization

• A higher level of engagement is

evident if employees:

– Are willing to go above and beyond

– Have their “heads in the game”

– Care about the future of the

organization

– Are receptive to organizational

change

– Are persistent

– Identify themselves with the

organization

– Seek opportunities to contribute

– Volunteer for assignments/projects

– Desire a long-term relationship (i.e.,

stay with the company)

– Are enthusiastic and energetic

• Effective employee engagement

is generally evident when:

– Employee retention is high

– Individuals are meeting or

exceeding their performance

indicators

– Employees want to improve the

business

• Evidence of lower employee

engagement could include:

– Top talent leaving the company

– Lack of increased productivity or

breakthrough ideas

– Increased mistakes on the job


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A. B. C. D.

40%

9%

27%24%

Percent of respondents

% Favorable % Neutral % Unfavorable Mean

High Potential

Not High Potential

Trust and Respect in Top Management

High Potential

Not High Potential

Personal Impact

High Potential

Not High Potential

Positive People Treatment

High Potential

Palpable Talent Management

Overall

Not High Potential

3.00

3.14

2.96

3.37

3.63

3.30

3.33

3.86

3.19

3.63

3.68

3.66

Overall

Overall

Overall

Percent of respondents

% Favorable % Neutral % Unfavorable Mean

High Potential

Not High Potential

Trust and Respect in Top Management

High Potential

Not High Potential

Personal Impact

High Potential

Not High Potential

Positive People Treatment

High Potential

Palpable Talent Management

Overall

Not High Potential

3.00

3.14

2.96

3.37

3.63

3.30

3.33

3.86

3.19

3.63

3.68

3.66

Overall

Overall

Overall

Percent favorable

40. My job is very meaningful to me. (Nature of the Job)

53. The work I do makes a meaningful difference. (Personal Influence)

5. My immediate manager welcomes my views, even when I disagree. (Immediate Manager Working Relationship)

52. Peers in this organization seek out each other for advice, counsel, and

support. (Peer Culture)

19. I find it easy to work with peers outside of my immediate work group.

(Peer Culture)

49. My immediate manager always treats me fairly. (Immediate Manager

Working Relationship)

11. The job(s) I have had and think I will have in the future here are

interesting and challenging. (Nature of My Career)

8. I have a strong network of talented colleagues throughout the

organization. (Peer Culture)

7. My job is very challenging. (Nature of the Job)

3. Senior leaders are very approachable. (Trust in Senior Leadership)

Percent favorable

40. My job is very meaningful to me. (Nature of the Job)

53. The work I do makes a meaningful difference. (Personal Influence)

5. My immediate manager welcomes my views, even when I disagree. (Immediate Manager Working Relationship)

52. Peers in this organization seek out each other for advice, counsel, and

support. (Peer Culture)

19. I find it easy to work with peers outside of my immediate work group.

(Peer Culture)

49. My immediate manager always treats me fairly. (Immediate Manager

Working Relationship)

11. The job(s) I have had and think I will have in the future here are

interesting and challenging. (Nature of My Career)

8. I have a strong network of talented colleagues throughout the

organization. (Peer Culture)

7. My job is very challenging. (Nature of the Job)

3. Senior leaders are very approachable. (Trust in Senior Leadership)

47.8%10.5%14.6%27.1%Positive People Treatment

70.7%6.3%6.3%16.7%Personal Impact

50.0%8.3%6.3%35.4%Trust and Respect in Top Management

39.6%10.4%12.5%37.5%Palpable Talent Management

Significant Favorability

Moderate Favorability

Low Favorability

No Favorability

Drivers

47.8%10.5%14.6%27.1%Positive People Treatment

70.7%6.3%6.3%16.7%Personal Impact

50.0%8.3%6.3%35.4%Trust and Respect in Top Management

39.6%10.4%12.5%37.5%Palpable Talent Management

Significant Favorability

Moderate Favorability

Low Favorability

No Favorability

Drivers

Measuring Engagement

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This behavior results in improved

performance indicators, including:

• Growth in revenue (sales per

employee)

• Profitability (income per employee)

• Customer loyalty (retention rates)

• Retention (voluntary turnover)

• Lost time (sick days and accident

days)

Engaged employees demonstrate

distinct behaviors that are aligned

with organizational goals.

They:

• are invested in organization’s

future

• are willing to do more

• are willing to go beyond

expectations

• strongly recommend the

organization

Organizations with engaged employees outperform those organizations

with less engaged employees


Why Engagement Is Important: Performance

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• Communication and Alignment with Strategy

• Trust in Senior Leadership

• Manager Relationship

• Peer Relationships, Cooperation and Teamwork

• Reward and Recognition

• Empowering Decisions and Actions

• Job Design and Support

• Career Support and Leadership Development

Engagement Drivers


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© Copyright 2012 Korn/Ferry International. ALL RIGHTS RESERVED ©2008 Korn/Ferry International. ALL RIGHTS RESERVED.

Engagement Drivers that are Critical for High

Potentials in Senior Leadership

• Trust and Respect in Top Management – Senior leaders have the capability

to effectively execute the organization’s strategies and create a culture of

trust and integrity that fosters a highly committed and performing workforce.

• Palpable Talent Management – Management is committed to and visibly

involved in the development and careers of employees.

• Personal Impact – The organization has a strong culture of employee

involvement and solicits and implements employee input. Employees

perceive that they make a real difference in their company.

• Positive People Treatment – Management throughout the organization

demonstrates sincere interest in the welfare of all employees and ensures

that they are managed fairly and given individualized consideration.

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We found that high potentials must

score higher than the rest of the

employee population on a subset

of specific engagement items or

they present a retention risk

Engaging High

Potentials

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Why High Potentials Matter High Performers are

Not Always High Potentials… … But, High Potentials are

Mostly High Performers

71% of high

performers

are not high

potentials

29% of high

performers

are high

potentials

Source: High-Potential Management Survey, Corporate Leadership Council, 2005

High Potentials

Not High Potentials

High Performers

Lo Performers

93% of high

potentials are

high performers

7% of high

potentials are

not high

performers

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• High potentials are individuals with high learning agility

• Learning agility is the willingness and ability to learn the right lessons from experience, and apply those lessons in other new, first-time situations

• Learning agility is different from “just learning” or “being smart”

Who High Potentials Are

In other words, learning agile leaders know what to do

when they don’t know what to do…

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© Copyright 2012 Korn/Ferry International. ALL RIGHTS RESERVED 7

Why is Learning Agility Important?

Source: Lombardo and Eichinger, 2004

Learning agility

Research Finding:

is the leading predictor of success

in new and leadership roles

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• Passion for what they do

• Leverage expertise

• Conscientious, structured and process-

oriented approach to situations and

people

• More comfortable engaging similar

people

• A good mentor and developer of direct

reports and others

• Passion for new ideas; visionary, out-

of-the-box thinking

• Leverage broader knowledge base

• Vary communication style and

approach to people based on situation

• Understand how to engage and

motivate a diversity of people

• Enthusiasm for change- may enjoy

leading organizational change efforts

• Can be more focused on “engaging”

self - may become bored dealing with

similar people issues over time

High Potential High Professional

Two Styles Leaders Use to Engage Others

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Which Engagement Style Does Each Leader

Likely Have?

High Professional High Potential

• Passion for what they do

• Leverage expertise

• Conscientious, structured and process-oriented

approach to situations and people

• More comfortable engaging similar people

• A good mentor and developer of direct reports

and others

• Passion for new ideas; visionary, out-of-the-

box thinking

• Leverage broader knowledge base

• Vary communication style and approach to

people based on situation

• Understand how to engage and motivate a

diversity of people

• Enthusiasm for change- may enjoy leading

organizational change efforts

• Can be more focused on “engaging” self - may

become bored dealing with similar people

issues over time

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Source: FYI for Strategic EffectivenessTM, Korn/Ferry International

• Listening

• Informing

• Delegation

• Conflict Management

• Motivating Others

• Building Effective Teams

• Managing Vision and Purpose

• Patience

• Developing Direct Reports and Others

• Understanding Others

Leadership Competencies

Most Associated with Engaging Employees

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Engagement Through the Talent Lifecycle

Onboarding Development

Performance

Management

Rewards &

Recognition

Deployment

• Communicate strategy and

what it means for the

individual

• Support new hires in

developing relationships

• Provide mentors and career

support

• Provide feedback on what

people are doing well and

what they could improve

• Support leaders in

developing leadership

competencies associated

with engagement

• Place people, especially

high potentials, in roles that

will stretch them and where

they will have an impact

• Have a consistent process to

evaluate people that is as

fair as possible

• Communicate results to

employees

• Align rewards and

recognition to performance

• Use multiple methods, not

just financial means

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What has worked to engage employees in

your organization?

What hasn’t worked?

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Do: Don’t:

• Develop and monitor an engagement strategy/ program as you would any other business strategy/ program

• Facilitate focused activities designed to address specific drivers of engagement that are issue areas

• Listen carefully to feedback, communicate what you heard and take action as appropriate

• Make it a “stop and start” program

• Have office parties and birthday parties as a way to drive engagement

• Ask for feedback and not “hear” it

• Say engagement is important but not “walk the talk”

• Just reward the “what”, also reward the “how”

Lessons Learned from Other Organizations

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Engagement Best Practices

• Make sure the workforce understands and work towards business objectives

• Get commitment from the top and establish Senior Leaders as the owners of the engagement strategy

– Engaged leadership fosters engaged employees

• Handle engagement with the same rigor and attention as other business strategies

• Measure engagement periodically and link specific initiatives to survey data

• Develop leaderships skills that drive engagement

• Get front-line managers involved

• Develop and implement a strategy for engaging high potentials

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• Retention

• Extra effort and initiative

• Greater contribution

• Persistence

• Organizational change leadership

• Increased engagement and loyalty

• Raise the bar on overall organizational performance

• Productivity

• Role readiness

• Attrition cost avoidance

• Customer loyalty

• Employee morale

Hi-Po Impact Business Impact

Measuring for Business Impact

©COPYRIGHT 2012 Korn/Ferry International. ALL RIGHTS RESERVED.

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Ilene Gochman, Ph.D.

Ilene Gochman, Ph.D., is a Senior Partner for Korn/Ferry Leadership and Talent Consulting and the Global

Leader for Integrated Talent Management, based in the Firm’s Chicago office.

For more than two decades, Ms. Gochman has been helping individuals, groups, and organizations improve

their business effectiveness. She has extensive experience developing human capital strategies to enhance

employee attraction, retention, and engagement; using analytics to produce data-driven change linked to

business performance; improving the effectiveness of senior leadership and board-level teams and individuals;

designing talent management strategies and programs, including succession planning, performance

management, 360º feedback, and competency development.

Prior to joining the Firm, Ms. Gochman served in several global and North American leadership roles at Towers

Watson, Watson Wyatt, and Towers Perrin. As part of her responsibilities, she led ongoing global research

efforts on how human capital practices and employee engagement impact financial performance.

Ms. Gochman has spoken at conferences around the world and is frequently quoted in business and human

resources publications. She has worked with clients across a wide variety of industries, including

manufacturing, healthcare, insurance and financial services, retail, advertising, professional services,

transportation, and logistics.

Earlier in her career, she served as director of organization planning, development, and quality at International

Paper and as an assistant professor of psychology at Rutgers University.

She is a member of the American Psychological Association, the Society for Industrial and Organization

Psychology, and the Human Resources Planning Society.

Ms. Gochman earned her doctoral degree in psychology from the University of Washington and a bachelor’s

degree in psychology from Carnegie Mellon University.

Senior Partner

Leadership and Talent Consulting

CHICAGO

[email protected]

312-526-0590

Biography

Documents

Leaders and Engagement - nareit.com Gochma… · Evidence of Engagement in an Organization •A higher level of engagement is evident if employees: –Are willing to go above and