Better Bottom Line Results Through Employee Engagement

1. Confidentional
Better Bottom Line Results Through
Employee Engagement

2. The People Profit Connection
Did you know…..
• 88% of engaged employees believe they
can impact the bottom line but only 38% of
disengage employee feel the same way?
(Tower Watson)
• Nearly half (49%) of employees surveyed in
are either looking for a new job plan to this
year(Deloitte)
• In world-class organizations, the ratio of
engaged to actively disengaged employees
is 9.57 to 1 but in average organizations,
the ratio of engaged to actively disengaged
employees is 1.83 to 1 (Gallup)
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3. The Engaged Organization
Employees
ManagersExecutives
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4. Employees
Employees align what they want — and what the
business needs— and then take action to achieve both
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Ownership
Clarity
Action

5. Managers
Managers understand each employees talents and skills
and match to the businesses objectives — while at the same
time creating personal, trusting relationships
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Coaching
Relationships
Dialague

6. Executives
Executives demonstrate consistency in words and
actions, communicate a lot, and align business practices and
behaviors throughout the organization to drive results and
engagement.
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Trust
Communication
Culture

7. Bob Kelleher’s- ―Louder Than Words‖
1. Link your engagement efforts to high performance – not
employee satisfaction
2. Engagement starts at the top
3. Engage First Line Leaders
4. Focus on Communication
5. Individualize your engagement
6. Create a motivational culture
7. Create feedback mechanisms
8. Reinforce and reward the right behaviors
9. Track and communicate progress
10. Hire and promote the right behaviors and traits for your
culture
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8. Key Performance Indicators
Customer loyalty/engagement
 Profitability
Productivity
Turnover
Safety incidents/Lawsuits
Absenteeism
Shrinkage
Quality (defects)
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9. Measuring Productivity
• Average Costs of an Employee
– Salary
– Benefits
• Percentage of Revenue by Employee
• Employment Costs as a % of Operating Expenses
• % of time lost to absences
• Average overtime per employee
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10. Employee Turnover/ Retention
• Total replacement hires per year
• Total cost to hire
• % of new hires achieving 6 months
• % of new hires achieving 12 months
• % of new hires achieving satisfactory appraisals
• Cost of training per employee
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11. Workplace Compliance
• Total number of complaints
• Total number of lawsuits/audits
– cost of defense as a % of revenue
• Lost time to accidents
• Training
– Measure impact of training year to year against
lawsuits and complaints
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12. Measuring Engagement Gallup Q12
1. Do you know what is expected of you at work?
2. Do you have the materials and equipment you need to do your work right?
3. At work, do you have the opportunity to do what you do best every day?
4. In the last seven days, have you received recognition or praise for doing
good work?
5. Does your supervisor, or someone at work, seem to care about you as a
person?
6. Is there someone at work who encourages your development?
7. At work, do your opinions seem to count?
8. Does the mission/purpose of your company make you feel your job is
important?
9. Are your associates (fellow employees) committed to doing quality work?
10. Do you have a best friend at work?
11. In the last six months, has someone at work talked to you about your
progress?
12. In the last year, have you had opportunities at work to learn and grow?
Reprinted with permission. Copyright 1992-1999 The Gallup Organization, Princeton, NJ. All rights reserved.
Gallup and Q12 are registered trademarks of The Gallup Organization.
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13. Measuring Engagement - My Way
1. Do you know what is expected of you at work?
2. Are you engaged in what is expected of you at work?
3. Do you have the materials and equipment you need to do your work right?
4. At work, do you have the opportunity to do what you do best every day?
5. Do you receive recognition or praise for doing good work on a daily basis?
6. Does your supervisor or another manager care about you as a person?
7. Does your supervisor or another mentor encourage your development?
8. At work, do your opinions count?
9. Does the mission/purpose of your company make you feel your job is
important?
10. Are your associates (fellow employees) committed to doing quality work?
11. Do you experience strong supportive relationships at work?
12. In the last 30 days, has someone at work talked to you about your progress?
13. Do you have daily opportunities at work to learn and grow?
14. Would you recommend this company as a place to work to your friends and
family?
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14. Resources
• Louder Than Words: Ten Practical Employee
Engagement Steps That Drive Results by Bob
Kelleher
• http://employeeengagement.com/
• http://www.gallup.com/consulting/52/employee-
engagement.aspx
• First Break All the Rules, What Great Managers Do
Differently
(http://gmj.gallup.com/content/1144/first-break-all-
rules-book-center.aspx)
• Energize Your Workplace, Jane Dutton
http://www.amazon.com/Energize-Your-Workplace-
High-Quality-Connections/dp/0787956228
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15. Questions and Answers
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QUESTIONS?

16. Contact Information
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Kathryn Carlson
kcarlson@kpaonline.com
303-228-8765