accenture_16_08_2006

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Engagement

Nicky Squair

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Have you met these people?

Mr Engaged Mr Undecided Mr Uncommitted

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SATISFACTIONHow much people like it here

COMMITMENTHow much people want to improve business results

ENGAGEMENTHow much people want to—and actually do—improve business results

What is Engagement?

Engagement raises the bar—more difficult to engage employees,but engaged employees behave in ways that improve business results.

Engagement: The state in which INDIVIDUALS are emotionally and intellectually committed to the organization or group.

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Consistently speak positively about the organization to coworkers, potential employees, and customers.

SAYSAYSAYSAY

11

STAYSTAYSTAYSTAY

22

Have an intense desire to be a member of the organization.

STRIVESTRIVESTRIVESTRIVE

33

Exert extra effort and engage in behaviors that contribute to business success.

Our Model Of Engagement

• Increasing employee engagement will help us develop high-performing teams

• It produces behavior that will help fulfill an organization’s promises to customers—and in so doing, improve business results.

*3 step Engagement Model developed by Hewitt Associates

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For each employee, the numeric scores for the six engagement questions are averaged.

If the average score is 3.65 or higher, the employee is considered engaged. If the score is lower, they are categorized as unengaged.

The Engagement Index is then the percent of people that are considered engaged (e.g., a score of 52 means that 52 out of 100 people - or 52% - are engaged).

How Is Engagement Calculated?

Say Given the opportunity, I tell others great things about working here.

Say I would not hesitate to recommend my company to a friend seeking employment.

Stay It would take a lot to get me to leave my company.

Stay I rarely think about leaving my company to work elsewhere.

Strive My company motivates me to contribute more than is normally required to complete my work.

Strive My company inspires me to do my best work every day.

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Six Categories of Engagement

People• Senior Leadership• Manager• Coworkers• Customers

Engagement

These drivers have remained consistent over time

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People

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Six Categories of Engagement

Competitive Rewards• Pay• Benefits• Recognition

People• Senior Leadership• Manager• Coworkers• Customers

Engagement

These drivers have remained consistent over time

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Competitive Rewards

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Six Categories of Engagement

Company Practices• Policies and Practices• Diversity / Inclusion• Performance Assessment• Company Reputation

Competitive Rewards• Pay• Benefits• Recognition

People• Senior Leadership• Manager• Coworkers• Customers

Engagement

These drivers have remained consistent over time

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Company Practices

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Six Categories of Engagement

Company Practices• Policies and Practices• Diversity / Inclusion• Performance Assessment• Company Reputation

Competitive Rewards• Pay• Benefits• Recognition

People• Senior Leadership• Manager• Coworkers• Customers

Work• Work Activities• Processes• Resources

Engagement

These drivers have remained consistent over time

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Work

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Six Categories of Engagement

Company Practices• Policies and Practices• Diversity / Inclusion• Performance Assessment• Company Reputation

Competitive Rewards• Pay• Benefits• Recognition

People• Senior Leadership• Manager• Coworkers• Customers

Opportunities• Career Development• Learning /

Development

Work• Work Activities• Processes• Resources

Engagement

These drivers have remained consistent over time

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Opportunities

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Six Categories of Engagement

Company Practices• Policies and Practices• Diversity / Inclusion• Performance Assessment• Company Reputation

Competitive Rewards• Pay• Benefits• Recognition

People• Senior Leadership• Manager• Coworkers• Customers

Opportunities• Career Development• Learning /

Development

Quality of Life• Work / Life Balance• Physical Work

Environment• Safety

Work• Work Activities• Processes• Resources

Engagement

These drivers have remained consistent over time

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Quality of Life

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Engagement Drives Total Shareholder Return

(30)

(20)

(10)

0

10

20

30

40

50

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Engagement (r = .54)

5-Y

ear

To

tal S

har

eh

old

er R

etu

rn (

%)

Engagement and Business impact

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Engagement and Retention

50.00

55.00

60.00

65.00

70.00

75.00

80.00

85.00

90.00

95.00

1 1.5 2 2.5 3 3.5 4 4.5 5 5.5

Pro

babi

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to R

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ith

Com

pany

(%

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rob

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to R

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Co

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(%

)

Engagement Drives Retention

Individual Engagement RangeIndividual EngagementAverage 1.0

Individual EngagementAverage 5.0

Year 1 Engagement & Year 2 Retention

Year 1 Engagement & Year 3 Retention

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Seven Focus Areas for Engagement

1. Career Management2. Performance Management3. Compensation – including total compensation

communications4. Increase praise and recognition of our people5. Provide more direction on how to meet their

development needs6. Increase influence our executives have on important

developments7. Continue to educate people on, and build, work/life

balance practices and policies

Employee engagement scores are impacted by these seven levers.

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Lasting thought . . .

“Be the change you want to see in the world.”

-Mahatma Gandhi-Mahatma Gandhi