19 February 2009

Building Engagement in This Economic Crisis

How managers can maintain morale and profitability in their increasingly anxious workgroups

by Jennifer Robison
The global economy is floundering, but there’s little managers can do about forces beyond their control. There are, however, things they can do to protect their companies, their employees, and themselves. In fact, engaging employees could mean their company’s survival.
Jennifer Robison is a Senior Editor for the Gallup Management Journal.

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Reader Comments
Judy Nelson Posted On 3/12/2009 11:50:22 AM

Congratulations on an except article. It is clear, concise and obvioiusly timely. My question is: how do these techniques differ from the ones that managers/leaders should be using every day in good times and bad?

Judy Nelson, JD, MSW
Certified Professional Coach and Leadership Trainer
www.CoachJudyNelson.com

Bay Jordan Posted On 3/12/2009 12:38:20 PM

It is great to see the need for engagement continuing to be emphasised in these tough economic times, and this article is certainly packed with plenty of sound advice. But, and I am not just being cynical here, I cannot help but question how practical this advice is when companies are shedding numbers on the scale they are? (The BBC reported last week that the job losses in the US in the period were actually 4.4 million.) Assuming the cliche of an average family with 2.5 kids, means 15.4 million have been directly affected, not includingthe diminished hope for those who were already unemployed.

In an economy like this, fear is probably the biggest single factor, and any 'top-down' efforts to win employee engagement, if they have any effect at all, are likely to be very limited if:
a) The employer has already laid of people or is considered likely to do so.
b) Positive efforts to win employee engagement have not been practised previously. If they haven't this 'new leaf' will simply excarbate scpeticism.

Thus, if organisations are serious about employee engagement and retaining their competitive edge in both the short and long term, they are going to have to find new ways of building trust. This will require less top-down approaches, with greater workplace democracy, considerably improved communication with more involvement in the decision making processes by the workplace stakeholders. Perhaps now is the time to move away from terms like 'HR' and 'employees' and start moving towards recognising people for the assets they are, rather than continuing with the historical treatment of them as costs. This combined with greater worker ownership of the business, would create the highest possible level of employee engagement, and ensure they understand and are committed to doing whatever it takes to save 'their' business and spread the burden more equitably rather than leaving an unfortunate proportion to bear the full brunt.

Surely that would be better than the massive 'cost-cutting' redundancy programmes that actually compound the macro-economic problems?

Tom Short Posted On 3/12/2009 2:16:17 PM

This is a great article and advice more organizations should take to heart. We believe engagement a critical consideration in good and bad times. In good times, you need to find ways to engage your employees to compete for talent and drive commitment beyond compensation. In tough times, especially when difficult decisions are required, communication and engagement can be the difference between a demoralized and fearful team and positive and proactive team.

Engagement and culture are closely tied as well and it is never too late to start or cynical to start a program in down times. The companies that do find ways to engage their employees will weather the storm and come out stronger on the other side. It does not have to be an expensive or complicated program either - in fact I would advise against it. The best programs are ones that are used. We use a simple recognition program around saying "thank you" that encourages peer to peer communication as well as management to staff. This simple system has made a significant difference in how people feel about the company and through positive feedback can encourage and engage individuals, helping build moral, focus and a sense of connection, even in difficult times. www.kudosnow.com

Karl Buchanan Posted On 3/13/2009 8:02:46 PM

Proven Value of Focused Engagment: In April 2008, manufacturing plant management team recognized a serious risk to the future of their business, including decreased production results, increased employee disengagement, poor leader performance, and increased turnover due to dependence on a temporary seasonal workforce. After a detailed analysis, the senior leadership made a commitment to design, build, pilot, and rollout a system to attack these symptoms. Within 8-months the plant developed a synchronized and integrated Human Capital Management Performance Improvement System focused in Employee Engagement. Leader goals were aligned to match organizational goals. Scorecards were developed for key business processes and leaders were held to core metrics. A Workforce Skills Depth Chart was developed for the entire organization to track the skills required to produce value for the company. A High Performing Recruiting Profile was developed to focus recruiting efforts on the best potential employees. The New Employee On-Boarding Process was completely redesigned to include a Realistic Job Preview with an electronic application to streamline hiring. Each new employee pipeline was analyzed to determine which pipeline produced the best new hires. A Deboarding Plan was implemented to ensure that seasonal employees being laid off remained engaged in preparation for the Spring 2009 season. The program exceeded every goal in the Fall 2008 pilot -productivity increased by 13%; new worker attrition was reduced by 32%; units produced per labor hour increased 22%; and direct labor hours were reduced 6.6%.

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