THE DYNAMICS OF ENGAGEMENT:A Culture That Works

Data. Insight. Action.For Leaders Who Learn

The ADVISA Whitepaper Series

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

1

Out of 2,300 surveyed, 63% of employers are concerned about the skills gap in the United States; 49% said that they have experienced a negative impact on their business due to their job vacancies, and 25% said they have lost revenue.3

Economists generally expect the labor force participation rate to continue its gradual downtick as more and more boomers retire and more young adults delay entering the workforce in favor of undergraduate and postgraduate studies.23

Ten thousand baby boomers (born 1946-1964) will turn 65 every day until 2029.18

WHY IS EVERYONE TALKING ABOUT ENGAGEMENT?

The world of work is becoming increasingly complex and competitive. At the same

time, the labor force is shrinking as a result of shifting generational patterns and

a widening skills gap. This combination of variables has created an unprecedented

set of dynamics in almost every business environment. Ever-changing technology,

globalization, environmental concerns, resource constraints, and a host of other

issues are escalating complexity and competitiveness such that achieving business

results is increasingly challenging. Meanwhile, talent pools are shrinking.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

2

There is little doubt that over the next several decades the business environment will

continue to become more challenging, and based on fundamental demographic patterns,

the amount of available talent will continue to decrease. In the face of the dynamic tension

caused by these factors, attracting and retaining top talent is of critical importance.

Another game-changer on this shifting playing field is that most of the talent being attracted

and retained comes from the millennial generation (born 1980-1996). This generation’s beliefs

and expectations related to work and life are fundamentally different from those held by

previous generations. Gallup reports that these differences are so profound that millennials

are “altering the very social fabric of America and the world.” As a generation, millennials

seek work situations that offer attributes such as connection to meaning and purpose;

access to developmental opportunities; close connection to mentors; active coaching;

ongoing performance conversations and short feedback loops; and tight integration

between work and other aspects of life.11 According to a recent study, more than 70 percent

of millennials expect their employers to focus on societal or mission-driven problems; 70

percent want to be creative at work; and more than two-thirds believe it is management’s

job to provide them with accelerated development opportunities in order for them to stay.9

The development of high-

engagement work cultures has

emerged as a strategic response

to address both shifting workforce

demographics and the need to

achieve results in a challenging

environment. High-engagement

work cultures have been linked to

the ability to attract and retain top

performers, and an increase in the

percentage of engaged employees

has been closely linked to the ability

to achieve business results.6, 10, 19, 20

Business challenges

Escalating complexity

Increased competition

Competition for Talent

Competitive advantage ofhigh-engagement work cultures

Shrinking talent pool

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

3

WHAT IS A HIGH-ENGAGEMENT WORK CULTURE?

A high-engagement work culture engages the hearts, minds, skills, talents, and

best efforts of its personnel.

An engaged employee is a consistently high performer who is committed to the organization and willingly invests his or her talent and discretionary effort.2, 6, 13, 15, 17, 19, 25

Numerous studies have identified attributes related to a high-engagement work

culture,2, 6, 10, 15, 17, 19, 20, 21, 22, 25 with strong common themes cutting across frameworks.

For example, high-engagement work cultures often:

Foster close connections between individuals and those to whom they

look for leadership.

Provide employees with clear expectations coupled with the support

necessary to achieve them.

Recognize the importance of, and strive for, effective person-job fit.

Are recognition-rich.

Provide ample access to development opportunities and career growth.

Give opportunities for “having a voice” or inf luence.

Draw a meaningful line of sight between daily work and larger mission.

Have a strong two-way f low of feedback.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

4

Employees who are engaged are 87 percent less likely to leave than those who are disengaged.7

In 2016, 85 percent of executives ranked engagement as a top priority.24

Every 10 percent improvement in commitment can increase an employee’s effort level by 6 percent. Every 6 percent improvement in effort can increase an employee’s performance by 2 percent.7

In 2015, Gallup found that only 32 percent of U.S. workers were engaged.1

Companies with employee engagement programs achieve 26 percent greater year-over-year increases in annual company revenue, compared to those who do not have formal programs.16

WHAT ROLE DO MANAGERS PLAY IN CREATING HIGH-ENGAGEMENT WORK CULTURES?

At ADVISA, we believe that people can make or break an organization and that

leaders determine which it will be. One key impact area is employee engagement.

While a variety of core attributes of engaged workplaces have been identified,

a fundamental theme present in virtually every framework is the ability of the

local manager to create a relationship-rich work environment.4, 6, 8, 14 In fact,

Gallup reports that managers account for fully 70 percent of the variation in

employee engagement scores across business units.5 At ADVISA, we call this

ability “connective competence,” and we believe that it provides the foundation

for increased feelings of engagement and enhanced business results. The steps for

building from connective competence to enhanced business results are mapped

out in the Connection Circle model.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

5

At the center of the Connection Circle is self-awareness. Self-awareness involves

fundamentally understanding who we are and how we are wired. It involves having as

close as possible to an in-the-moment awareness of what we are thinking and feeling, as

well as having a heightened understanding of how the behaviors that emanate from our

thoughts and feelings land on others. The power of increased self-awareness comes from

the greater capability for self-management. Self-management is all about making choices

in how we show up. Instead of always going with our hardwiring, or what is sometimes

called our “default mode,” we can become more intentional, fine-tuning and adapting

our approaches based on the needs of a specific individual or a specific situation. In

other words, we increase our available range of behaviors and responses. As we broaden

our range and self-manage more effectively, we develop our potential to engage others

more fully. Rather than interacting based on our own default mode, we are able to treat

others the way that they want to be treated, creating, in effect, a customized approach.

This leads to deeper feelings of connection, taps into intrinsic motivation, and unleashes

positive energy.

Self-Management

Engaging Others

Achieving Business Results

Self- Awareness

CONNECTION CIRCLE MODEL

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

6

Leader Employee Engagement

Ability to:• Build relationships

work environment

CustomerSatisfaction

Business Results

HOW DOES ENGAGEMENT DRIVE BUSINESS RESULTS?

Engaging others more effectively leads to an increased ability to achieve business

results. This plays out in many ways, including increased proactivity and

productivity, lowered absenteeism and turnover, and improved decision-making.

The impact of employee engagement can be seen in service quality, product

quality, and capacity for innovation — all key drivers of customer satisfaction.

Levels of customer satisfaction, in turn, have a major impact on business results.

At ADVISA, we call these linkages the Strategic Relationship Chain. This chain

is driven by a leader’s ability to build relationships and create an effective

work environment.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

7

WHAT ATTRIBUTES OF A HIGH-ENGAGEMENT WORK CULTURE DID OUR RESEARCH IDENTIFY?

We conducted a survey in which 250 front-line through midlevel managers

representing various business units of a global Fortune 500 company

were asked to identify the attributes of a high-engagement work culture.12 The

attributes identified through our survey are consistent with those found in

other engagement frameworks. These attributes provide a roadmap for building

relationships and creating an effective work environment.

Opportunities to participate

Meaningful work

An environment of mutual trust and respect

Recognition and appreciation

Clear goals and expectations

Opportunities for skill and career development

Feeling valued and known as a person

Having the resources necessary to do the job

Being part of a team

Leaders who are role models

Person/job fit

Transparent information-sharing

Developmental feedback

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

8

HOW CAN WE TUNE OUT THE NOISE AND TURN UP THE VOLUME ON ENGAGEMENT?

Based on our own research, combined with the research of others, and our

experience with more than 300 client companies, we have organized attributes

associated with high-engagement work cultures into four key categories. At

ADVISA, we call these engagement dials because they represent the focus

areas and actions that managers and companies have at their disposal as

they work to turn up the volume on engagement. The following list provides

some specific examples of actions related to each engagement dial. The

dials don’t stand alone and there is no “right” mix that works for every

organization. Each organization must tune the dials to create a unique formula

for engagement.

1 JOB DESIGN AND PERSON/JOB FIT

2 WORK /LIFE BALANCE POLICIES AND PROGRAMS

3 RELATIONSHIP WITH MANAGER AND LARGER TEAM

4 INTENTIONAL CULTURE

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

9

4 INTENTIONAL CULTURE Provide opportunities to build informal social connections at work.

Contribute to and share information about social causes that are important to people

in the company.

Provide opportunities for meaningful company-supported volunteerism.

Provide ample opportunities for personal and professional development.

Be transparent by sharing information internally regarding business goals, results, and

how key decisions are made.

Make sure that the vision is broadly communicated and clear to everyone.

Use pulse surveys to drive culture, engagement, and performance.

Clearly articulate cultural values and communicate them broadly.

3 RELATIONSHIP WITH MANAGER AND LARGER TEAM Get to know people as individuals and share information about yourself.

Have frequent (at least monthly) informal conversations about performance.

Identify and build on people’s strengths through training, job assignments, special

projects, and volunteer opportunities.

Train and encourage managers to actively use the Predictive Index Behavioral

Assessment™, or another behavioral assessment, as a management tool in order to

proactively connect with employees.

Develop a code of conduct that defines standards for positive interaction, communicate it

broadly throughout the organization, and hold people accountable to it.

Engage in formal and informal team-building activities.

Put systems in place to support managers in actively engaging people in long-term

career planning.

2 WORK /LIFE BALANCE POLICIES AND PROGRAMS Support involvement in wellness programs.

Offer some sort of flexibility in the structure of jobs (work-from-home options,

flex scheduling, job sharing, etc.).

Provide mentorship programs.

Customize benefits to meet varying individual and generational needs.

Provide ample formal and informal processes for appreciation and recognition.

1 JOB DESIGN AND PERSON/JOB FIT Use information from the Predictive Index Behavioral Assessment™ to align people and jobs.

Use our Job Assessment (formerly called the PRO) to define behavioral competencies

for each job.

Provide opportunities for people to take on formal and informal leadership roles.

Offer ample opportunities for people to participate in decisions related to their work.

Make sure the connections are clear between daily work and the big picture.

Provide opportunities for meaningful interaction with key customer groups.

Set clear goals and expectations and provide frequent feedback.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

10

ABOUT THE AUTHORFredricka F. Joyner, Ph.D., is a Senior Leadership and Organization

Development Consultant at ADVISA. She brings a deep background

of expertise, extensive practical application, and personal passion

to business coaching, leadership development, and emotional

intelligence assessment and training. Her resume includes more

than 15 years in academia, three decades in business consulting,

and many published works, as well as prestigious international

conference presentations — all of which combine to provide a robust

foundation in both theory and practice.

IN CONCLUSION

Given the dynamics of the shifting playing field, it is clear that competition for

talent will continue to heat up, further amplifying the strategic importance of

engaged work cultures. Even organizations with high engagement can’t stand still

— the field will continue to move, and the bar will continue to be raised. The

good news for managers and organizations interested in turning up the volume

on engagement is that small actions can have a large impact, especially when

applied consistently. At ADVISA, we say that your employees make or break your

organization, and that leaders have the opportunity to determine which it will

be. We encourage you to take action now to turn up the volume on engagement in

order to achieve enhanced business results.

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

11

REFERENCES

1 Adkins, A. (2016, January 13). Employee engagement in U.S. stagnant in 2015. Retrieved from http://www.gallup.com/poll/188144/employee-engagement-stagnant-2015.aspx

2 Ames, K. (2012, June 22). Loyalty, productivity and advocacy: 3 characteristics of employee engagement. a MAGAZINE. Retrieved from http://blog.octanner.com/culture/loyalty-productivity-and-advocacy-3-key-characteristics-of-employee-engagement

3 Association for Talent Development. (2016, May 1). Where have all the workers gone? TD Magazine. Retrieved from https://www.td.org/Publications/Magazines/TD/TD-Archive/2016/05/Intelligence-Where-Have-All-the-Workers-Gone

4 Baumruk, R. (2006). Why managers are crucial to increasing engagement: Identifying steps managers can take to engage their workforce. Strategic HR Review, 5(2), 24–27.

5 Beck, R., & Harter, J. (2015, April 21). Managers account for 70% of variance in employee engagement. Retrieved from http://www.gallup.com/businessjournal/182792/managers-account-variance-employee-engagement.aspx

6 Buckingham, M., & Coffman, C. (1999). First, break all the rules: What the world’s greatest managers do differently. New York: Simon & Schuster.

7 Corporate Leadership Council. (2004). Driving performance and retention through employee engagement: A quantitative analysis of effective engagement strategies [PDF document]. Retrieved from http://www.usc.edu/programs/cwfl/assets/pdf/Employee%20engagement.pdf

8 Dale Carnegie Training. (2012). What drives employee engagement and why it matters. Retrieved from http://www.dalecarnegie.com/assets/1/7/driveengagement_101612_wp.pdf

9 Deloitte. (2014). The Millennial Survey 2014: Big demands and high expectations. Retrieved from http://www2.deloitte.com/al/en/pages/about-deloitte/articles/2014-millennial-survey-positive-impact.html#

10 DiRomualdo, T. (2005, March 29). Financial Transparency is good, Performance Transparency is even better [Web log]. Retrieved from http://nextgenerationworkplace.blogspot.com/2005_03_01_archive.html

11 Gallup, Inc. (2016). How millennials want to work and live. Retrieved from http://www.gallup.com/reports/189830/millennials-work-live.aspx

12 Joyner, F.F. (2015). Bridging the knowing/doing gap to create high engagement work cultures. The Journal of Applied Business Research, 31(3), 1131–1148.

13 Kruse, K. (2012, June 22). What is employee engagement. Forbes Online. Retrieved from http://www.forbes.com/sites/kevinkruse/2012/06/22/employee-engagement-what-and-why

14 Lupfer, E. (2013, September 26). Ten employee engagement ideas that get serious results. SocialMedia Today. Retrieved from http://www.socialmediatoday.com/content/10-employee-engagement-ideas-get-serious-results

15 Management Study Guide. (n.d.). Characteristics of engaged workforce. Retrieved from http://www.managementstudyguide.com/characteristics-of-engaged-workforce.htm

16 Minkara, O., & Moon, M.M. (2015, September 17). Employee engagement: Paving the way to happy customers. Retrieved from http://www.aberdeen.com/research/10985/10985-rr-customer-employee-engagement/content.aspx

17 O’Boyle, E., & Harter, J. (2013). State of the American workplace: Employee engagement insights for U.S. business leaders. Washington, DC: Gallup.

18 Pew Research Center. (2010, December 29). Baby boomers retire. Retrieved from www.pewresearch.org/daily-number/baby-boomers-retire/

19 Roth, T. (2014, November). Employee engagement: The leader’s role. Retrieved from https://www/wilsonlearning.com/documents/misc/TomRothNovember2014.pdf

20 Rucci, A. J., Kirn, S. P., & Quinn, R. T. (1998). The employee-customer-profit chain at Sears. Harvard Business Review, 76(1), 82–97.

21 Ryan Group, Inc. (n.d.). Employee engagement assessment. Retrieved from http://www.ryangroup.contentshelf.com/

22 Scholtes, P. R. (1998). The leader’s handbook: A guide to inspiring your people and managing the daily workf low. New York: McGraw-Hill.

23 Soergel, A. (2015, July 16). Where are all the workers? U.S. News & World Report. Retrieved from http://www.usnews.com/news/the-report/articles/2015/07/16/unemployment-is-low-but-more-workers-are-leaving-the-workforce

24 Schwartz, J., Bohdal-Spiegelhoff, U., Gretczko, M., & Sloan, N. (2016, February 29). The gig economy: Distraction or disruption? Global human capital trends 2016. Retrieved from http://dupress.com/articles/gig-economy-freelance-workforce/

25 Williams, R. (2010, January 4). Employee engagement: Define it, measure it, and put it to work in your organization. Retrieved from http://www.workforce.com/articles/employee-engagement-define-it-measure-it-and-put-it-to-work-in-your-organization

AD

VIS

A |

The

Dyn

amic

s of

Eng

agem

ent:

A C

ultu

re T

hat

Wor

ks

Cop

yrig

ht ©

AD

VIS

A 2

016

12

ADVISA: WHERE LEADERSHIP LIVES AND PEOPLE THRIVE

For over 30 years, ADVISA has delivered insightful data, training, and consulting services to

growing businesses and leaders. We’ve made it our life’s work to improve people performance to

make your workforce work better. We leverage proven science and technology to provide reliable

data that empowers you to:

Hire the right talent.

Engage your people.

Develop future leaders.

Grow your business.

BIG CLIENTS. SMALL CLIENTS. WE LIKE THEM ALL.ADVISA acts as a trusted partner and advisor to over 300 clients across the country, ranging in

size from 10 to 130,000 employees.

Each of our clients works with a dedicated management consultant and a client service team

that advises and supports the client journey from the launch of a new project through its

implementation and evaluation. How do we do this? Three key strategies (and lots of big thinking).

1 DATAWe have a deep understanding of behavioral analytics. We are experts in the Predictive Index®

system — including the new Predictive Index Learning Indicator™ cognitive assessment; the

EQ-i® 2.0 emotional intelligence assessment; and the Customer-Focused Selling™ system. We

empower leaders with the data, skills, and insight they need to play to their strengths, create high-

performing teams, and build healthy work cultures.

2 TRAININGWe customize materials, training, and coaching sessions to meet your needs. No client is exactly

the same, and therefore no project is exactly the same. We train groups of all shapes and sizes to

improve people performance. We’re nimble enough to customize our work to be directly applicable

to your team, and we’re smart enough to know when to pivot if something isn’t going exactly right.

3 CONSULTING SERVICESWe’ve gathered a talented team. No matter the project, ADVISA takes a team approach to our

partnership with your organization. Whether you’re working one-on-one with an executive coach,

meeting with a consultant, being trained by a training specialist, or being helped by a client

service member, we’re all committed to client success. Our team represents decades of business

experience and a wealth of knowledge and skills that are at your fingertips. We offer high-touch

learning and development opportunities and real-time support.

READY TO TALK ABOUT YOUR BUSINESS? Contact us: P: 317.574.1550E: information@advisausa.comwww.advisausa.com