Reducing Disengaged Employees
Gallup has issued their next report in their decade’s long research looking at employee engagement. The study highlights the impact of inadequate management skills on employee engagement and company revenues.
Globally, the study shows that only 13% of workers are fully engaged in their job and are outnumbered by 2:1 by actively disengaged and potentially hostile employees.
There is hope:
Organizations with an average ratio of 9.3:1 engaged to disengage employees experienced 147% higher Earnings Per Share (EPS) compared to the competition.
To win the battle for customers you need engaged employees. There are a couple of general options organizations can take:
- Some will look at training, an employee event to boost morale, or come up with a policy like flexible Fridays in summer.
- Others will see this as a strategic opportunity. They will examine the company culture, leadership and expectations in the organization and improve management selection and development.
Taking the strategic decision to go with number 2, you are more likely to find long-term sustainable success. According to Gallup, 70% of employee’s engagement or non-engagement was a result of the employee’s perception of their primary manager.
Gallup also found some insightful facts regarding managers and their abilities:
- 1 in 10 employees have the talent to manage
- 18% of current managers show a high talent to manage
- 20% of current managers have a basic level of talent
- Combined, (18+20) the 38% of managers with talent produced 48% higher profit than the average manager
These statistics become more important when you look at the impact on customers. Disengaged employees are noticeable to customers and a negative experience can offset numerous positive experiences.
When customers and employees were both engaged, the benefit to the organization was a 240% boost in performance-related business outcomes – according to the Gallup study.
How do organizations reach 147% higher EPS?
- Senior management must model winning behaviors and make the commitment to invest in their employees and put in place a culture of leading, coaching and developing management and their employees.
- Reduce Manager’s time managing and increase their time and skills in leading, coaching, and developing their people. This holds especially true in sales and marketing teams.
- Have open, honest conversations with employees about their performance – daily.
- For those serious about sustainability in engaging employees in sales and marketing - establish a sales and marketing Leadership Development Program targeting employees with management talent. Ensuring that people are “promotion ready” will allow you to find and prepare those with management talent prior to promotion.
Sure, these four steps are not easy and they will take time and have costs associated. If your organization’s goal is sustainable employee engagement resulting, take it step-b-step and get some help.
Engaged employees are happier and less likely to leave, are more productive, improve customer satisfaction and the financial health of your company.
Get started today with some help from a company with the vision to bridge your management team to your employees through the creation of Leadership, Coaching and Development culture.
By Chris Houghtaling
Study on Impact of employee Engagement by Gallup