Employee Engagement in Organisations - VaLUENTiS ??10. Employee Engagement and benchmarking ... Employee Engagement in Organisations: ... With reference 1to our Six Pillars employee engagement framework ,

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<ul><li><p>Employee Engagement in </p><p>Organisations </p><p>VaLUENTiS State of the Notion report 02 </p><p>31st March 2014 </p><p>Authors: Nicholas J Higgins &amp; Graeme Cohen </p></li><li><p>VaLUENTiS 2014. </p><p>All rights reserved. </p><p> aLUENTiS is the leading professional services firm in the field of human capital management and organisation performance, with its global headquarters based in Berkeley Square, London (www.valuentis.com). The firm, established in 2003, provides client organisations across the private and public sectors with advisory, audit, assurance, analytic and, through its business school, educational services (www.ISHCM.com). Core solutions to enhance enterprise performance focus on four core disciplines: organisation effectiveness &amp; measurement; talent management; employee engagement; and HR Functional effectiveness. Evidence based management is a core philosophy. We define all of these under the label of human capital management. </p><p>V </p><p>Symposium Events (www.symposium-events.co.uk) is the UKs leading independent producer of conferences for HR and related professions. Symposium's mission is to enable HR decision makers to develop people strategy to drive their organisation forward by creating professional and authoritative channels for communication, conversation and collaboration. </p><p>theHRDIRECTOR (www.thehrdirector.com) publication delivers informative, strategic content, written by renowned experts and highly-regarded practitioners, that is unbiased, independent and of unparalleled editorial quality. Each issue features strategic-only editorial content to support, guide and inform HR directors, providing an essential compendium on the many issues challenging HR in business today. It is uniquely placed within HR at the most senior and board level. It is the most respected independent resource for HR Directors and Senior HR Practitioners - in print, in person and online. </p><p>OsneyMedia (www.osneyhr.com) OsneyMedias purpose is to inspire and enrich the lives of senior business executives through live conferences and strategic think tanks, producing cutting-edge content delivered by world-leading speakers in highly engaging formats. </p><p>http://www.valuentis.com/http://www.valuentis.com/http://www.valuentis.com/http://www.valuentis.com/http://www.valuentis.com/http://www.ishcm.com/http://www.ishcm.com/http://www.ishcm.com/http://www.ishcm.com/http://www.ishcm.com/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.symposium-events.co.uk/http://www.thehrdirector.com/http://www.thehrdirector.com/http://www.thehrdirector.com/http://www.thehrdirector.com/http://www.thehrdirector.com/http://www.osneyhr.cpom/http://www.osneyhr.cpom/http://www.osneyhr.cpom/http://www.osneyhr.cpom/http://www.osneyhr.cpom/</p></li><li><p>The application of evidence based management </p></li><li><p>Foreword Executive summary i. Background: The Six Pillars ii. Organisations and employee engagement: The 4-ball practice model iii. The Employee Engagement Reality Matrix iv. What is Employee Engagement? The 5D framework as example Survey Results: 1. Employee Engagement: How much understanding? 2. Employee Engagement: Learning in organisations 3. Employee Engagement defined 4. Employee Engagement: How do we know were measuring employee engagement? 5. Employee Engagement definition and the ease for communication and measurement 6. The frequency of conducting employee surveys 7. Employee surveys: How many questions? 8. The evaluation of people management in organisations 9. Employee surveys: Linking to other people data &amp; organisation performance data 10. Employee Engagement and benchmarking 11. Embedding Employee Engagement Infrastructure 12. Utilising an EE Playbook 13. The competencies of people managers 14. Employee Engagement: Operating a License to Manage 15. Employee Engagement: Gauging reaction and reality 16. Employee Engagement in Organisations: The path to Play-Maker 17. Six Pillars: Common shortfalls table 18. Employee Engagement in Organisations: E3 index scoring distribution Appendices I Survey respondent demographics II Online survey question set III Reference: The concept of employee engagement (antecedents) IV Reference: People data triangulation V Reference: People and performance analytics tube </p><p>6 7 9 11 12 13 15 16 17 18 19 20 21 22 23 25 26 27 28 29 30 31 32 33 35 36 37 38 38 </p></li><li><p>Employee Engagement in Organisations VaLUENTiS market research report March 2014 </p><p>Foreword Welcome to the second published report on Employee Engagement in Organisations as part of our ongoing planned series of market investigative snapshots. The purpose of these reports is to uncover organisational reality and provide signposts for those organisations who are committed to embedding and sustaining high employee engagement. Our database has increased to 145 participating organisations of varying sizes and locations - a more reflective sample of the market place. The findings and message however reinforce that of the first report. </p><p>To recap from our first published report published back in September 2013, employee engagement has been a hot topic since the turn of the century. Many organisations have launched various initiatives under the guise of employee engagement though some with fairly tenuous links. Employee engagement as a term has generated huge interest and comment across the globe and continues to do so. But just how far have organisations got in terms of embedding leadership and management practice that enables employee engagement in improving/sustaining productivity and performance? </p><p>To restate, as evidence-based management practitioners, we have observed, alongside a plethora of successful future-leaning projects, a certain amount of confusion and misunderstanding with regard to employee engagement. From an informed knowledge perspective, sorting the wheat from the chaff requires a fair degree of due diligence. </p><p>We have consistently asked questions to fundamentals such as: What exactly is employee engagement? And what problem was it designed to solve? Whose responsibility is it in organisations? What are the key components of EE strategy and embedding it as standard practice? What are the impediments to doing so? Why definitions and measurement are critical and how do organisations evaluate progress? And so on. </p><p>Some of the answers are not always obvious nor what perhaps conventional wisdom may suggest and there remains too often a gap between organisational belief with its consequent actions and solutions to the daily conundrum of obtaining optimal employee engagement. </p><p>We would like to thank all of those organisational representatives who took the short time out to complete the survey and provide this important market data. We would also like to thank OsneyMedia, Symposium Events and the HRDIRECTOR magazine for their co-operation in carrying out the survey and their continued provision of high quality conferences, roundtables and publications that support the industry. </p><p>Nicholas J Higgins </p><p>CEO, VaLUENTiS Ltd &amp; Dean, International School of Human Capital Management </p><p>31st March 2014 </p><p>6 </p></li><li><p>Employee Engagement in Organisations VaLUENTiS market research report March 2014 </p><p>Executive Summary </p><p>Employee engagement as a concept has been with us for over 20 years. The last decade has seen an explosion of organisational intent and energy to improve employee engagement. Alongside this has been a voluminous publication of comment and expert advice, some of it informed and some of it not so informed. </p><p>But when it comes to embedding practice that optimises and/or sustains employee engagement, just how well are organisations doing? How informed are organisations in terms of their understanding of employee engagement? What is the reality in comparison to the rhetoric? </p><p>We acknowledge the limitations of any pragmatically designed online survey with regard to detailed insight, yet the results of our collated research surveys reinforce the inaugural findings in 2013. There is no doubt that the majority of organisations are embracing at least some aspects of a professional approach towards employee engagement, but the evidence does question current commitment in a sizeable proportion of them. The evidence also challenges certain areas of current practice that are driven by what can be termed conventional wisdom. Responses to the survey additionally raise some perplexing issues for many organisations in the pursuit of optimising employee engagement. </p><p>With reference to our Six Pillars employee engagement framework1, just one in fifty (2%) of organisations polled are currently, what we would term, Play-Makers those that have embedded employee engagement practice, both strategically and tactically, to the extent of effectively sustaining and/or optimising employee engagement. Play-Makers are really following the principle of the aggregation of marginal gains making connected improvements across a range of fundamental enablers inherent within the organisational infrastructure. </p><p>This suggests that there are additional steps and approaches that nearly all organisations could introduce to enhance their approaches towards defining, understanding, evaluating and enhancing employee engagement. Findings also suggest that few organisations recognise that embedding employee engagement practice in an organisation has all the hallmarks of a change programme (as we have espoused for some time), which, in some cases can be potentially transformational. Thus any engagement interventions/initiatives should incorporate time-tested change principles for embedding or sustaining of actions/enhancements to take place. </p><p>With regard to the market study results : </p><p>Critical to future progress is the underlying concept and definition of employee engagement itself. Roughly four in ten (41%) organisations said they used a definition of employee engagement, but responses to a further question on the basis for measurement revealed a very worrying outcome, raising doubts with significant implications. Despite the wide-spread use of employee engagement as a concept, it would appear that very few organisations have a grounded definition of employee engagement that is consistent with or utilises prior empirical theory. This inevitably leads to the problem of grounded understanding, effective measurement, communication, learning and subsequent application. </p><p>With clear linkage to this finding, only one in four (25%) organisations reported that employee engagement was understood across managers and employees. A further 12% of organisations identified with the statement that employee engagement was understood across the majority of managers. Combining these answers provides a further disappointing finding: it suggests that a majority of organisations recognise manager understanding is, at best, patchy. </p><p>(continued overleaf) 1 (i) Understanding ; (ii) definition; (iii) measurement wisdom; (iv) actioning infrastructure; (v) playbook; (vi) competent leader-managers. </p><p>7 </p></li><li><p>Employee Engagement in Organisations VaLUENTiS market research report March 2014 </p><p>Allied to this, just one in five organisations (19%) has some form of development programme explicitly providing learning relating to employee engagement. However, half of organisations (49%) do not currently provide structured learning on employee engagement, reinforcing why its understanding in organisations is not consistent or wide-spread (stemming from definitional challenges as noted on the previous page). </p><p>On the subject of conducting surveys, just over half of organisations (54%) conduct surveys on an annual or more than annual basis (i.e. quarterly or six-monthly). The rest conduct surveys of a longer frequency or on an ad hoc basis, raising the issue of perceived lack of organisation commitment or interest and the problem of obsolete data if this is combined with other performance metrics. There is considerable diversity in the number of questions asked in employee surveys though three quarters of organisations (70%) use greater than 20 questions. </p><p>Just under one in two organisations (48%) link their employee survey data with other people data, whilst this drops to one in three (35%) who link their employee survey data to other organisation performance data. The answers to these two questions are encouraging (notwithstanding the points above) and appear to confirm that organisations have increased their focus on creating greater linkage between employee survey findings and other data. Just over half of organisations (55%) benchmark their employee engagement both internally and externally, whilst a further one in five (18%) benchmark internally only. </p><p>With regard to embedding employee engagement actions through an integrated infrastructure, just one in six (16%) organisations use what can be described as an integrated approach utilising the various enablers (infrastructure) in a joined-up fashion. Almost half of organisations (46%) do make use of an action plan off the back of survey results a more limited approach which can easily lapse into or be perceived as, what we term, Pump and dump. </p><p>One in five (20%) organisations provide development to all managers and continue with ongoing programmes. The rest provide development/training but to lesser, varying degrees. Only one in ten (11%) organisations utilise an employee engagement playbook to codify approaches and understanding, either fully or in part, with a similar limited number of organisations (14%) operating a license to manage system for people managers. </p><p>In conclusion, Employee engagement in its application appears to have taken a meaning that is all things to all people with the result that it risks becoming an abstract or indeterminate phrase to use professionally. To take a parallel from Finance, the accounting concept of profit has varying technical interpretations and calculations, but crucially, these are all derived from the same underpinning accounting theory. Our survey findings suggest that employee engagement in many cases lacks this robustness, potentially undermining the good efforts in measurement, enhancement and education that some organisations undertake. In line with this, the market study shows that some organisations survey their employees with measurement approaches that are limited or lack sufficient question depth for insight. </p><p>If this is the case, then three key risks emerge: </p><p>(i) Efforts to link employee engagement to organisation people/performance data will be undermined and most likely fail to meet expectations potentially dampening organisational interest in what should be seen as a core component of organisation measurement. Similarly, external benchmarking without consistency of core concept becomes a relati...</p></li></ul>