engagement june 2010
DESCRIPTION
Second day of an in-house course delivered to line managers and departmental heads for a Midlands-based manufacturer, following positive feedback from the previous event .TRANSCRIPT
Engagement
by Fluid
June 2010
Page 3
Introduction
Page 2
Contents3-4 Introduction to Fluid5-6 Maximising engagement7-8 Unleashing the concealed
power9-10 Engagement and the
community11-14 Linking engagement with
business performance15-18 Employee surveys19-20 Succession planning21-22 Exercise A23-41 Real-life examples42-43 Measuring engagement at
New Balance44-45 The MacLeod Review46-47 Exercise B48-49 Case studies50-51 Conclusion and questions
Page 4
Introduction to Fluid• Fluid Consulting Limited (Fluid) is a specialist
human resources consultancy headed by Tim Holden MCIPD
• 10 years in banking• 10 years in Human Resources consultancy• Fluid trading since 2006• The core services provided by Fluid are:
- Retention- Selection- Attraction- Remuneration & Reward - Outplacement- Training & HR consultancy
Page 5
Maximising engagement
Page 6
Maximising engagement• Let everyone known what is expected of them• Give people the tools for the job• Give people opportunities to learn and shine at
what they are good at• Be generous but specific in your praise• Listen to your employees• Help them believe in the purpose or product of
the organisation• Encourage friendships at work
Page 7
Unleash the concealed power
Page 8
Unleash the concealed power• CATERPILLAR TO BUTTERFLY-UNLEASHING THE
CONCEALED POWER OF ITS STRATEGY• Step one-develop a unique strategy• Step two-support strategy with the appropriate
environment• Step three-sell your strategy to win emotional
commitment • Step four-keep strategy flexible
Page 9
Engagement and the community
Page 10
Engagement and the community• KEYS TO COMMUNITY• The global group• The locally loyal• The matrixed middle• HOW MUCH TO INVEST IN COMMUNITY?• What is the purpose of my community?• What business goals do I expect it to help with
me with?• How much community can I afford?
Page 11
Linking engagement with business performance
Page 12
Linking engagement with business performance 1 of 3
• B&Q• Ensure your day to day HR function works• Gain the support of senior executives and
the board• Ensure there is an honesty in your
business culture
Page 13
Linking engagement with business performance 2 of 3
• DSG INTERNATIONAL• Keep it real• Know your motive• Don’t run before you can walk
Page 14
Linking engagement with business performance 3 of 3
• AVIVA• Analyse your date with care• Consider increasing the number of surveys
you carry out• Never carry out a survey before you are
about to give bad news
Page 15
Employee surveys
Page 16
Employee surveys 1 of 3• KEY ELEMENTS• Project analysis• Communication• Questionnaire• Analysis levels• Fieldwork• Response• Data processing, analysis and interpretation• Reporting and action planning
Page 17
Employee surveys 2 of 3• ACHIEVING A SUCCESSFUL SURVEY• Senior management must be committed to the
survey• Involve employee representatives at all stages• Tell people about it by publicising the survey
through all available media• Keep it real by addressing issues of importance to
employees• Give employees prompt and relevant feedback on
the results• Act on the results
Page 18
Employee surveys 3 of 3
• If you ask a question, show you value the response
• Managers’ reactions to a survey can be as telling as the results of the survey itself
• Don’t try to use the results in isolation-they are a starting point for conversations
• Don’t assume poor response rates or poor results are a departmental problem. Isolating individuals’ results will show the real hot spots that need action.
• Don’t let people explain away the results-if they do, they miss the opportunity to improve
Page 19
Succession planning
Page 20
Succession planning• CREATING A LAYER OF COMMUNICATIVE AND
ENGAGING MANAGERS• Start at the top, as managers will adopt the
behaviours of their leaders• Make sure your managers understand the
purpose and plan of the organisation• Involve them in planning the detail• Include communication in managers’ job
descriptions• Develop communication guidelines• Provide communication training• Reward effective communication
Page 21
Exercise A
Page 22
Exercise A
Page 23
Real-life examples
Page 24
Abellio 1 of 2• IMPLEMENTED A CONSULTATION PROGRAMME
TO LOOK AT BUSINESS PLANNING AND HIGH STAFF TURNOVER-bus operator, 1700 employees-WHAT IT DID
• Defined its aims and objectives as a business• Developed an employee engagement strategy• Appointed an HR Manager, part of the senior
team• Launched employee survey and award schemes• Introduced one-to-one reviews
Page 25
Abellio 2 of 2• IMPLEMENTED A CONSULTATION PROGRAMME TO
LOOK AT BUSINESS PLANNING AND HIGH STAFF TURNOVER-bus operator, 1700 employees-BENEFITS & ACHIEVEMENTS
• Attrition rates fell from 42% in 2005 to 15% in 2008
• All training is competency based and aligned to individual and organisational needs
• Absence levels have fallen from 13% to 6%• Good relationships with trade unions• Achieved Investors in People status in November
2008
Page 26
Birmingham City Council 1 of 2• IN 2006 ONLY 56% OF EMPLOYEES WERE
MOTIVATED IN THEIR JOBS, AND THE CHALLENGE WAS TO ENGAGE EVERY EMPLOYEE-council, 60000 employees-WHAT IT DID
• Brought in consultants to identify attitudes to be changed
• Identified core values of belief, excellence, success and trust (BEST)
• Involved the unions• Get senior buy-in from the outset
Page 27
Birmingham City Council 2 of 2• IN 2006 ONLY 56% OF EMPLOYEES WERE
MOTIVATED IN THEIR JOBS, AND THE CHALLENGE WAS TO ENGAGE EVERY EMPLOYEE-council, 60000 employees-BENEFITS AND ACHIEVEMENTS
• 83% of employees motivated in their job(2008)• 76% of employees highly and frequently engaged• More than 6000 service improvements
implemented, all generated by employees• £17M in increased productivity• Changed the BEST programme from a fixed-
timescale project to be part of business as usual
Page 28
Broadway 1 of 2• IMPROVE PERFORMANCE IN BEST COMPANIES
SURVEY-charity, 170 employees-WHAT IT DID• Structured briefings led to suggestions on how
the organisation could perform better• Senior management came up with a response
and action plan based on these ideas and communicated the results
• Through a progressive and well thought through HR strategy the charity has created a climate of engagement where 91% of the workforce believe they work with colleagues who are committed and professional
Page 29
Broadway 2 of 2• IMPROVE PERFORMANCE IN BEST COMPANIES SURVEY-
charity, 170 employees-BENEFITS AND ACHIEVEMENTS• 92% of the workforce believe Broadway makes a positive
difference to people’s lives• 95% of external appointments are filled after the first
attempt• Average length of stay for employees has increased from
2.2 years to four years• Sickness absence rate of 2% compared to the CIPD
average for the voluntary sector of 4%• 71% of managerial appointments made internally• Broadway receives more requests for job packs and has
the highest volume of applications compared to any other charity within its customer base
Page 30
Everest Home Improvements 1 of 2
• A NEW APPROACH TO UNDERSTANDING ENGAGEMENT WAS INTRODUCED BY THE HR & COMMUNICATIONS TEAM-construction, 980 employees-WHAT IT DID
• Identified 32 champions• Organised a workshop for the champions, asking them
to spell out what they saw as a great place to work• Had the champions help design an ongoing
programme of workshops, the results of which were fed back to other staff
• Asked the champions to help develop a cost-cutting solution, resulting in a request for people to volunteer to take pay cust-84% of workers volunteered
Page 31
Everest Home Improvements 2 of 2
• A NEW APPROACH TO UNDERSTANDING ENGAGEMENT WAS INTRODUCED BY THE HR & COMMUNICATIONS TEAM-construction, 980 employees-BENEFITS AND ACHIEVEMENTS
• £1.2M saved through salary reduction• Nearly £4M reduction in operating costs since the
programme began• Additional activities were launched to support the
programme, including the Everest Value Awards
Page 32
FMG Support 1 of 2• RAPID EXPANSION BETWEEN 2004 & 2008 CO-
INCIDED WITH HIGH ATTRITION AND ABSENCE PLUS LOW MORALE-fleet management, 440 employees-WHAT IT DID
• Implemented a reward framework linking pay with performance
• Improved operational training and introduced behavioural development programmes
• Introduced leadership and management development programmes
• Developed an internal communication platform
Page 33
FMG Support 2 of 2
• RAPID EXPANSION BETWEEN 2004 & 2008 CO-INCIDED WITH HIGH ATTRITION AND ABSENCE PLUS LOW MORALE-fleet management, 440 employees-BENEFITS AND ACHIEVEMENTS
• Attrition has fallen from 27% in 2006-7 to 25% in 2007-8
• The 2009 employee survey found that 94% of people are proud to work for FMG Support
• 91% feel there is a real commitment to the company, and 90% still want to be working there in 12 months’ time.
Page 34
HM Prison Morton Hall 1 of 2• IN 2008 SICKNESS ABSENCE AVERAGED 10.9 DAYS
AND ONLY 65% OF THE WORKFORCE COMPLETED THE ANNUAL SURVEY-prison, 226 employees-WHAT IT DID
• Implemented sick meetings for employees returning from sickness absence
• Arranged for the HR business partner and the performance management team to manage employee sickness
• Introduced one-to-one wellbeing clinics with an occupational health adviser
• Set up an employee survey team• Arranged employee consultation events
Page 35
HM Prison Morton Hall 2 of 2
• IN 2008 SICKNESS ABSENCE AVERAGED 10.9 DAYS AND ONLY 65% OF THE WORKFORCE COMPLETED THE ANNUAL SURVEY-prison, 226 employees-BENEFITS AND ACHIEVEMENTS
• By the year-end 2008-9 sickness absence had fallen to 5.2 days, the lowest of any UK prison
• Attrition for the same year fell to 10• 103 employees did not take sick leave• 78% of employees completed the survey• 89% of employees were clear about what was
expected of them in their job
Page 36
Heart of England NHS Foundation Trust 1 of 2
• MERGER RESULTED IN THE NEED FOR A ‘ONE TRUST’ CULTURE-NHS, 10000 employees-WHAT IT DID
• Series of events hosted by the Chief Executive, bringing together more than 3000 employees
• On-site Q&A sessions hosted by the Chief Executive, plus a FAQ newsletter and regular email communication
• Designing and implementing the first local employee survey in the NHS
• Creating a dedicated jobs unit to support employees during the restructuring
Page 37
Heart of England NHS Foundation Trust 2 of 2
• MERGER RESULTED IN THE NEED FOR A ‘ONE TRUST’ CULTURE-NHS, 10000 employees-BENEFITS AND ACHIEVEMENTS
• The trust saved £750000 on redundancy costs making only six redundancies rather than an expected 50
• Achieved £3M in efficiencies by reducing back-office posts
• Engaged and developed leaders to effectively manage the human aspects of large-scale organisational change
• Collected valuable intelligence on employee perceptions of the trust-75% of the workforce would recommend the hospital for treatment
• The Trust was awarded ‘Top Employer’ status by The Guardian
Page 38
Iceland Foods 1 of 2• IMPROVE ENGAGEMENT LEVELS TO ENCOURAGE
RECOVERY OF THE BUSINESS-retail, 16000 employees-WHAT IT DID
• Improved annual employee survey to monitor levels of engagement rather than satisfaction, allowing an independent company to manage it
• Use of 360 degree feedback to ensure its leaders demonstrate the right behaviours and all employees must work towards key performance indicators
• In addition there is a forum for retail employees where representatives from each store share concerns, with the information passed on to regional and national meetings where the Board of Directors attend to listen to views/ideas
Page 39
Iceland Foods2 of 2• IMPROVE ENGAGEMENT LEVELS TO ENCOURAGE
RECOVERY OF THE BUSINESS-retail, 16000 employees-BENEFITS AND ACHIEVEMENTS
• Employee survey response increased over three years from 74% to 91%
• Focus groups were held to address areas of poor engagement
• Latest survey gave an engagement score of 76% with 58% classed as highly engaged
• Employees agree positively with statements such as ‘I feel a strong sense of family’, ‘My manager motivates me to give my best every day’ and ‘I feel proud to work for this organisation’
• Reduction in absence and staff turnover• Accreditation in Best Companies to Work For
Page 40
Intercontinental Hotels 1 of 2• DEVELOP VALUES TO DRIVE A DISTINCTIVE AND
DIFFERENT STYLE OF SERVICE-hotels, 130000 employees-WHAT IT DID
• Ran 70 workshops in 20 countries with more than 1000 people in just one month. This led to the creation of five core values called ‘Winning Ways’ which were launched at a leadership conference by the company’s CEO. The values were then communicated to the whole company using workshops designed to bring the values to life. Other initiatives included: a ‘jigsaw challenge’ where hotels could submit examples of Winning Ways behaviour a ‘chase the extraordinary’ tour of IHG hotels in the US, which invited more than 10000 people to pledge to live the Winning Ways
Page 41
Intercontinental Hotels 2 of 2• DEVELOP VALUES TO DRIVE A DISTINCTIVE AND
DIFFERENT STYLE OF SERVICE-hotels, 130000 employees-BENEFITS AND ACHIEVEMENTS
• Employee engagement jumped by 8.5% over six months
• Engagement among managers rose 6% over the same period
• 80% of employees will put in extra effort based on the impact of the new values set
• 80% said they see people around them living the Winning Ways, and 83% said they see their manager living them
• 82% would recommend it to others as a good place to work
Page 42
Measuring engagement at New Balance
Page 43
Measuring engagement at New Balance
• Each point is marked out of ten so that the overall index provides an engagement rating:
• 100-120 Outstanding• 80-100 You are doing OK• 60-80 Halfway there• 40-60 Challenging times• 0-40 Dangerous times
Page 44
The MacLeod Review
Page 45
The MacLeod Review
• RECOMMENDATIONS• National campaign on engagement• Senior sponsor group to raise awareness. • Support for employers, including case studies
and coaching advice made available from March 2010.
• Existing government resources including Acas, UKCES and Sector Skills Councils should be aligned to provide better support in developing skills needed for engagement.
Page 46
Exercise B
Page 47
Exercise B
Page 48
Case studies
Page 49
Case studies
Page 50
Conclusion & Questions
Page 51
Conclusion
• Summary• Questions