A Question of Engagement

Lao Tse (Laozi) is credited with saying, “Fail to honor people and they will fail to honor you.” That is no less true in a 21st century global business environment than it was in 6th century BC China. But what does it mean to “honor” people in the workforce? And how will they then honor “you” – whether “you” is the company or “you” their peer?

In any situation where people are grouped together to achieve a purpose, individuals want to know they belong. In the workplace, employees want to know that they belong to a group that succeeds – a “winning team” as described in a recent industry report. Individually, employees need to know that they are making a valuable contribution to the team, the company, and its customers.

When we honor our employees in the workforce, we are acknowledging the value they bring. We are validating their importance to us, to the project, and to the company’s goals. We are helping them become more engaged in their daily tasks and in achieving the company’s mission. And as so many research studies have shown, increased employee engagement drives bottom-line results. (Towers Perrin is but one example with their statistic of a 15% improvement in levels of employee engagement correlating to a 2% improvement in operating margin.)

At Globoforce, we believe the most effective way to honor employees is through frequent and timely recognition that is tied to the company’s values. Effective recognition also is not limited to managers recognizing peers, but allows peers to recognize each other. Employee Appreciation Day was March 7. We think that is a backward approach to recognition. We believe Employee Appreciation Day should be every day!

For the next several posts, we will be starting a discussion on what works in recognition and what doesn’t. We’ll look at what foundation you need to put in place for successful strategic recognition. We’ll hash out common mistakes we’ve seen companies make in a failed bid to honor their employees.

We invite your comments. Tell us what you’ve seen in your company – what worked, what didn’t? What left you feeling honored? What left you demoralized? What do you wish your company would do to honor you?

Boston.com Blogs About Employee Appreciation Day

Boston.com, the web site of The Boston Globe, has posted a blog entry today about Employee Appreciation Day. Check it out!

Employee Appreciation Starts with One Day

I’d like to start today’s entry with a big “Thank You” to our Globoforce team throughout the world. It is our pleasure to be working with such a terrific team of talented, committed and “engaged” people. Our success is your success and we couldn’t be where we are today without you. Happy Employee Appreciation Day to all!

As I mentioned in my postings this week, it’s important to recognize your employees on this day and even more critical to establish ongoing employee recognition efforts that build a Culture of Appreciation within your organization. Creating a work environment where people are appreciated, know that their hard work makes a difference, and internalize the company’s success as their own will propel your organization to the next level. Your company will see less turnover, more satisfied employees focused on the big picture, and ultimately experience new levels of growth and profitability.

Studies prove that effective employee engagement programs are the next significant ROI opportunity that can deliver measurable results to your bottom line. A Watson Wyatt study of three million employees showed that companies with successful employee engagement programs enjoyed a 109% three-year median return to shareholders vs. a 52% return for the same period for those companies that did not (as quoted in Forbes magazine, 2004).

Unfortunately, studies also show that only one in seven employees is fully engaged at his/her workplace – and that one in four is actively disengaged. In our view, recognition is the “Tipping Point” that makes the vital difference between employees being “willing ones” or truly “engaged” ones. As our CEO Eric Mosley once said: “The day employees think they are not going to get any recognition for doing a good job or doing extra work – that is the day they stop doing that work.”

So, use this day to take the first step to build a new, energized culture within your organization – and convert Employee Appreciation Day into a year-round Culture of Appreciation across your organization!

Make a Pledge to Employee Engagement

Employee Appreciation Day is this Friday, March 7. We’re continuing our theme of how to build a satisfied and motivated workforce throughout the year. Today, we’d like to share our five keys to employee engagement. These keys can unlock the real potential of how an engaged and energized workforce can make an indelible imprint on an organization and its profitability.

The Five Keys to Employee Engagement:
1. Build a “Culture of Appreciation” Year-Round: Use Employee Appreciation Day to kickoff a new, year-round employee recognition effort or energize your existing one. By recognizing and rewarding employees throughout the year, it creates a culture of appreciation and a highly motivated workforce within your organization.
2. Create a “Recognition Moment” through Meaningful Rewards: Giving employees the generic company watch or one-size-fits-all “gift” is an uninspiring – and often meaningless – way to say thank you. Rather, award your employees by giving them a choice of meaningful, self-selected rewards such as gift cards, quality merchandise or travel vouchers. When employees redeem their award, it will create an important “recognition moment” – with impact.
3. Empower Everyone in the Process – From the Board Room to the Mail Room: Employee recognition should not reside solely on the shoulders of management. Every person in the organization should be empowered to acknowledge their peers and co-workers for a job well done. This enables frequent recognition and engages the entire staff – not just the top 10 percent – in the process.
4. Tie Rewards to the Bigger Picture for Bigger Results: Employee recognition should be directly linked to the company’s vision/mission. This aligns the entire workforce toward achieving critical company milestones.
5. Communicate, Again and Again: Frequent program communication raises awareness, increases participation, boosts performance, and most importantly, helps develop that important culture of appreciation.

For more information, see our white paper, “Recognition: The ‘Tipping Point’ in Building Employee Engagement.” And, remember, it’s not too late to recognize your employees; begin on Friday and make it a year-long celebration of hard work and productivity.