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Employee Engagement What is it? How Do You Improve It? Case Studies and Best Practices

Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

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Engaged employees are more productive, contribute more to the bottom line, generate higher customer ratings, and help you attract new talent. On the flip side, actively disengaged employees cost the US approximately half a trillion dollars per year. Join us to learn the best practices from Mike Schroeder, CEO of TNS Employee Insights, on how to design employee engagement surveys, measure engagement and, most importantly, improve employee engagement in your organization.

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Page 1: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Employee EngagementWhat is it? How Do You Improve It?

Case Studies and Best Practices

Page 2: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Mike Maughan

Employee InsightsQualtrics

Mike Schroeder

CEOTNS Employee Insights

Page 3: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

How Engaged Are Employees?

If your company were a 10-person crew team, statistically speaking:

• 3 employees are rowing with all their hearts• 5 are just along for the ride, looking at the scenery• 2 are trying to sink the boat

According to Gallup’s 2013 State of the American Workplace only 30% of employees are engaged in their work.

Page 4: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Diagnosing Disengagement: Stop the Infection From Spreading

• Actively disengaged employees cost the US economy ½ a trillion dollars per year

• They are more likely to:• Steal from their employers• Negatively influence co-

workers• Drive customers awaySource: Gallup, State of the American Workplace, 2013

Page 5: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Why Organizations Care About Employee Engagement

Employee Engagement is a proven driver of:• Quality• Revenue• Customer Service• Retention• Productivity

Source: Bersin by Deloitte, Employee Engagement, August 2012

Page 6: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Why Employee Engagement Matters

#1 metric on 71% of executive scorecards

57% of HR practitioners say it’s the most important indicator of talent management success

Only 35% believe their engagement efforts lead to positive business outcomes

Source: Bersin by Deloitte, Employee Engagement, August 2012

Page 7: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Best Buy identified that a 0.1% increase in employee engagement led to an over $100,000 increase in a store’s annual operating income

Harvard Business Review, Competing on Talent Analytics, October 2010

Business Impact of Employee Engagement

Page 8: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Business Impact of Employee Engagement

Source: Gallup Business Journal, How Employee Engagement Drives Growth, June 2013

Customer Rat-ings

Productivity Profitability0%

5%

10%

15%

20%

25%

10%

21% 22%Engaged vs. Disengaged

Page 9: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Business Impact of Employee Engagement

Absen-teeism

High-Turnover

Orgs

Low-Turnover

Orgs ShrinkageSafety In-

cidents

Patient Safety In-

cidentsQuality (De-

fects)

-70%

-60%

-50%

-40%

-30%

-20%

-10%

0%

-37%

-25%

-65%

-28%

-48%-41% -41%

Theft

Source: Gallup Business Journal, How Employee Engagement Drives Growth, June 2013

Engaged vs. Disengaged

Page 10: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

TNS

Page 11: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 1: Keep the End in Mind – Link Your Survey to Your Customers

Page 12: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 2: Ask the Right Questions – Engagement vs. Satisfaction

Perspective – “Committed to our future”• How satisfied are you with your employment at the company in general?

• Do you believe strongly in and support the company's future direction?

Pride – “I like it here”• Are you proud of working for this organization and gladly tell people about it?

• Would you recommend this organization as an employer to your friends and acquaintances?

Performance – “How I behave”• People in my workgroup frequently go above and beyond the requirements of the

job

• How would you rate the engagement level of your direct colleagues within your own workgroup?

Page 13: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 3: Create an Engagement Index

Favorable pattern of response to 6 Engagement Questions:

• Highly Engaged……………………… Favorable response to all 6 questions

• Engaged ……………………………... Favorable response to 4 of 6 questions

• Moderately Engaged………………... Favorable response to 2 of 6 questions

• Disengaged………………………….. Favorable response to 0 of 6 questions

Page 14: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 3: Create an Engagement Index (cont’d)

Highly Engaged

Engaged

Modera

tely Engaged

Disengaged

0

20

40

60

80

100

Highly Engaged

Engaged

Modera

tely Engaged

Disengaged

0

20

40

60

80

100

Highly Engaged

Engaged

Modera

tely Engaged

Disengaged

0

20

40

60

80

100

Low Performing Organizations Employ:

Average Performing Organizations Employ:

High Performing Organizations Employ:

Page 15: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 4: Add Potential Driver Questions – Including a Few Customer Focused Questions

Page 16: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

The Job

My Supervisor

Senior Leadership

Capabilities

Cooperation

Company Satisfaction / Alignment

Employee Engagement

61%

49%

48%

56%

68%

62%

57%

61%

48%

47%

57%

71%

64%

56%

61%

49%

48%

57%

70%

63%

56%

Category Results

2011 2012 2013

Tip 5: Keep Reporting Simple for Managers

Page 17: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 5: Keep Reporting Simple for Managers (cont’d)

Page 18: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 6: Provide Internal and External Benchmarks

2013

Norm

Internal Best

57%

67%

77%

20%

8%

19%

23%

24%

4%

Overall Engagement

Favorable Neutral Unfavorable

Page 19: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Action Planning Prioritization Model

Tip 7: Help Managers Focus Action Planning Efforts

ADVANCED Alignment Acceptance

Confidence in Senior

Leadership Mission, Goals & Values

A

INTERMEDIATE Teamwork Cooperation

Career DevelopmentCommunications

Capabilities Compensation &

Benefits

I

BASIC The Job Environment Competent Supervisor

Feedback/Coaching Recognition

B

Page 20: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

59% | 80%

64% | 70%

63% | 60%A

I

B

Tip 8: Set Targets/Goals for Managers% Favorable | Target

Set target goals for leaders, managers, and supervisors at all three levels of the pyramid.

ADVANCED Alignment Acceptance Confidence in Senior Leadership Mission, Goals & Values

INTERMEDIATE Teamwork Cooperation Career Development Communications Capabilities Compensation & Benefits

BASIC The Job Environment Competent Supervisor Feedback/Coaching Recognition

% Favorable | Target

% Favorable | Target

Page 21: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

• Embed Action Planning into the day-to-day life of the organization.

• Share Best Practices across departments and facilities.

Tip 9: Develop and Track Manager Action Plans

Page 22: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Tip 10:Link Results to Manager and Customer Improvements

Page 23: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

NEW! Employee Engagement Booklet for ManagersSend me an email to request a few books today! [email protected]

Topics include: Recognition, Training, Teamwork, Customer Focus, Coaching and more

Page 24: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Qualtrics Employee EngagementEmployee Surveys Made Simple

With Qualtrics Employee Engagement, you get:1. Real-time results2. Sophisticated hierarchical reporting3. Individualized, custom dashboards4. Organizational structure5. Flexible form creation

qualtrics.com/ee

Page 25: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

25

Questions?

Page 26: Employee Engagement: What is it? How Do You Improve it? 10 Best Practices from TNS Employee Insights

Mike Maughan

[email protected]

Mike Schroeder

[email protected]