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    Engagement for sustainableorganisation performance

    This tool will help you:

    put engagement strategies into

    practice

    identify what your organisation does

    well and build on your achievements

    to increase engagement

    plan what else you can do with your

    people to maximise engagement.

    5526

    1 of 41

    CIPD 2011Your

    feedbackNextpage

    Previouspage viewed

    Help usingthis tool

    mailto:[email protected]:[email protected]:[email protected]:[email protected]
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    Help using this tool

    the web

    this tool

    Navigation

    To navigate through chapter headings in the tool, use the bookmarks in

    Adobe Acrobat Reader.

    To navigate through individual pages, use the icons on the bottom right of

    each page.

    LinksRed links will link you to the CIPD website or an external website.

    Blue linkswill link you to other areas within the tool.

    If you experience any difficulty with the links provided in this tool, you may

    need to update your version of Adobe Acrobat Reader. You can download a

    free update from: http://www.adobe.com/products/acrobat/readstep2.

    html

    The Adobe Acrobat Reader preferences must be set up as follows:

    Edit/ Preferences/ Internetthen you must make sure Display PDF in

    browser is checked.

    i-boxesi-boxeswill open up extra useful information in a panel when you click on

    them. Click anywhere on the panel to close it again.

    PrintTo print a page use the Adobe Acrobat Reader print facility.

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    Who is this tool for?

    HR and learning and development professionals who want to maximise engagement in their

    organisation

    managers who want to gain maximum return on the skills and abilities of their people

    HR consultants working with client organisations to build an engaged workforce

    senior managers and HR executives who are committed to embedding engagement, a must for

    sustained organisational performance.

    Benefits of using this tool

    For you

    Apply the ndings from the leading-edge Shaping the Future research about engagement and

    sustaining organisational performance.

    Review the extent to which management behaviours are encouraging engagement in the organisation.

    Identify areas where attention to engagement is needed to enhance organisation performance.

    For your organisation:

    Ensure clarity about engagement issues that affect organisational performance.

    Establish a process for re-energising engagement. Develop sustainable management practices suitable for both challenging economic circumstances

    and organisational growth situations.

    For your people:

    Unlock peoples potential, enabling them to be the best they can at work, enhancing their own

    sense of well-being as well as enabling organisation performance.

    Develop clarity on how they connect with the organisations purpose and where their

    commitments are placed.

    Enable people to understand organisational priorities and the external pressures faced in order to

    direct and manage themselves with more awareness and in the interests of well-being.

    This tool has been written by Simon Turner and Dr Valerie Anderson from the University of Portsmouth

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    Toolmap

    Help using this tool

    Benefits of using this tool

    Toolmap

    Introduction

    Instrument 1: Locus of engagement

    Instrument 2: Building engagement

    Instrument 3: Developing engaging managers

    Instrument 4: The nature of engagement in your organisation

    Your action plan

    Useful related CIPD resources

    Further reading and references

    Useful websites

    Appendix

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    Engagement is one tool amongst many in the HR professionals armoury. We are currently

    developing a range of other practical tools, directly related to other insights uncovered by the

    Shaping the Future project as important for sustainable organisation performance, namely:

    achieving alignment, agility and shared purpose

    building capability and talent to meet both short-term and long-term priorities

    making best use of performance measures and metrics.

    Engagement

    Sustainedorganisationperformance

    Capability

    and talent

    Performance

    measures

    and metrics

    Alignment,

    agility and

    shared

    purpose

    Figure 1: Key issues for sustained organisation performance

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    Whats in this Engagement for Sustainable Organisation Performance tool?

    This tool starts off by setting out why engagement is important. It comprises four separate

    instruments, each focusing on a particular aspect of employee engagement, with practicalexercises, illustrative case study examples and action planning facilities. You may find some

    instruments of more relevance to you than others, depending on how much knowledge you already

    have about engagement in your organisation. Further sources of information that you may find

    useful are also included.

    In this tool we adopt an approach known as appreciative inquiry, which involves:

    discovering and appreciating the best of what is already happening

    envisaging what could be and working with others to co-construct what should be

    planning how to sustain what will be.

    Instrument 1: Locus of engagementThis instrument provides an opportunity for you to undertake an engagement check-up to

    identify what the areas of strength are with engagement in your organisation and assess where

    engagement needs re-energising.

    Instrument 2: Building engagementThis instrument focuses on specific practices and actions that can contribute to engagement. It will

    enable you to take stock of the organisations capacity to build engagement and plan an

    appropriate way forward to envisage what should be.

    Instrument 3: Developing engaging managers

    This instrument provides a framework to help you identify current strengths and potential

    behaviours within the management population of your organisation to drive engagement.

    Instrument 4: The nature of engagement in your organisation

    This instrument examines whether engagement in your organisation is mostly of a transactional

    nature, focused on extrinsic rewards or whether a more emotional and enduring connection has

    been made by people in your organisation.

    Action planningThe tool also provides an action plan to help you identify and take forward key actions to make a

    sustained improvement to engagement in your organisation.

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    Read about employees locus of

    engagement in Birmingham City Council

    and BIG Lottery Fund.

    Instrument 1: Locus of engagement

    What do we mean by locus of engagement?The CIPD Shaping the Futureproject found that people can be engaged at different levels and with

    various aspects of the organisation or the work. These different loci of engagement are illustrated

    in Figure 2.

    The Shaping the Future research found that:

    employees can be engaged with more than one locus at a time

    employees locus of engagement is not static

    employees locus of engagement may not translate to engagement with the organisation.

    Figure 2: Locus of engagement

    Engagement with

    the business

    Engagement with

    the work

    Engagement with

    the people

    Engagement with

    the future

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    http://www.cipd.co.uk/shapingthefuturemailto:[email protected]:[email protected]:[email protected]://www.cipd.co.uk/shapingthefuture
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    Getting under the skin of engagement: going beyond the surveysYou may already conduct a regular engagement survey in your organisation. CIPDguidance to HR

    directorssuggests that engagement surveys should incorporate a range of factors, such as: employeecommitment, organisational citizenship, staff satisfaction, attitudes to management, worklife

    balance and intention to leave. A range of survey instruments have been devised by organisations,

    such as Gallup Q12, the CIPD and the Institute of Employment Studies, and these are used to good

    effect by many organisations.

    Find out how to keep engagement under review.

    The Shaping the Futureresearch found that although such surveys highlight engagement levels in

    different parts of the organisation, they dont necessarily uncover what it is that employees are

    engaged with (their locus of engagement) or the intensity of that engagement. For sustainable

    performance, it is important to understand how, and with what, employees are engaged.

    The CIPD has recently commissioned a piece of work from Kingston Engagement Consortium

    examining the effect on performance of what employees are engaged with. Viewthis report.

    Your engagement check-up

    The engagement check-up provides an opportunity to explore the locus of engagement of people in

    your organisation and the intensity of that engagement. As both the locus and the intensity of

    engagement are likely to vary over time, it is important that your organisation commits to a regular

    engagement check-up to identify where attention should be focused to sustain organisation

    performance.

    You can use this instrument to initiate an engagement check-up. Choose the range of your check-

    up (the organisation as a whole; a specific business unit; specific staff groupings) and think about

    both the locus of engagement and the intensity of engagement. The statements in the check-up

    derive from our Shaping the Future research findings, reflecting the key aspects of each loci that

    employees identified with.

    Find out how NHS Dumfries and

    Galloway keeps engagement under

    review.

    Find out how Standard Chartered Bank

    keeps engagement under review.

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    http://www.cipd.co.uk/hr-resources/research/employee-engagement-hr-directors-guide.aspxhttp://www.cipd.co.uk/hr-resources/research/employee-engagement-hr-directors-guide.aspxhttp://www.cipd.co.uk/hr-resources/research/sustainable-organisation-performance-final-report.aspxhttp://www.cipd.co.uk/hr-resources/research/locus-engagement-understanding-connect.aspxhttp://www.cipd.co.uk/hr-resources/research/locus-engagement-understanding-connect.aspxmailto:[email protected]:[email protected]:[email protected]://www.cipd.co.uk/hr-resources/research/locus-engagement-understanding-connect.aspxhttp://www.cipd.co.uk/hr-resources/research/sustainable-organisation-performance-final-report.aspxhttp://www.cipd.co.uk/hr-resources/research/employee-engagement-hr-directors-guide.aspxhttp://www.cipd.co.uk/hr-resources/research/employee-engagement-hr-directors-guide.aspx
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    Your engagement check-up

    Unit or staff group being considered:

    Intensity of engagement

    1Weak 2 3 4

    5Strong

    Locus of engagement: the organisation

    People seem to relate to the values of this organisation.

    The goals of this organisation are clear.

    The organisations procedures enable committed peopleto create business advantage.

    People feel that someone or something within theirorganisation provides financial, developmental orprofessional rewards that are in their best interests.

    The purpose of the organisation is considered in terms

    of its impact on society at large.

    Senior managers lead by example.

    Locus of engagement: the people

    Managers in this organisation encourage two-way

    communication that promotes open and honestdialogue and understanding.

    People value, support and empathise with other team

    members.

    People positively relate to and with their colleagues.

    Locus of engagement: the work

    Job roles are sufficiently wide to enable people to pushback the boundaries and to work beyond their job

    descriptions.

    People initiate ideas and action to improve service

    quality.

    People identify with the values and standards of their

    profession as well as those of the organisation.

    People focus on outcomes and achievements.

    People feel concerned about decisions that affect theway they deliver services to customers.

    People identify with their business unit, rather than theorganisation as a whole.

    Locus of engagement: beyond the immediate

    People look for opportunities for career enhancementor enrichment.

    People want to focus on self-development.

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    Engagement check-up: action planning

    Reflecting on your responses to the 'check-up' exercise, make a note here of areas where action isneeded. Think about the locus of engagement and also its intensity. Identify where people have a strongneed but the organisation does not yet provide opportunities for this need to be realised.

    What you note down here will be automatically transferred to the action planning process towards theend of this tool.

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    Instrument 2: Building engagement

    OverviewResearchundertaken by the CIPD has identified a range of organisational characteristics and

    practices that are associated with engagement outcomes that include: employee involvement;

    effective communication; meaningful work; authenticity among managers; a supportive work

    environment; and assuring a good personjob fit. In addition to effective HR practices, therefore,

    organisations must address wider issues which are outlined in the IDEAL engagement framework

    in Figure 3.

    Figure 3: The IDEAL engagement framework

    Find out more about the components of

    this IDEAL engagement framework.

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    This instrument focuses on specific practices and actions that are associated with building and

    sustaining an engaged workforce. Use it to assess the extent to which your team, business unit

    or organisation is driving engagement or putting barriers in the way.

    Engagement is an issue that requires constant attention as peoples experience of the

    employment relationship is rarely static. This instrument therefore provides the opportunity to:

    take stock of the organisations capacity to build engagement organisation-wide or at the level

    of departments, business units or specific work teams and also considers ways to re-energise

    engagement where this is needed.

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    Building engagement assessmentWhere does your organisation, business unit or department stand in relation to fostering

    engagement? Use the first part of this instrumentto take stock. You can then use your responses

    to identify the priority actions to build on areas of strength or to re-energise engagement. Focus

    on the areas where your score is highest and where it is lowest. This can help you to identify

    practices that are working well, which you could share more widely with other parts of your

    organisation, as well as areas where barriers need to be overcome.

    Involvement and communication

    We provide employees withopportunities to express viewsupwards.

    Reactive decision-making occursthat does not pick up problemsbefore it is too late.

    We regularly review organisational

    communications and particularlyarrangements for listening toemployee opinions.

    We have low levels of advocacy,

    which carry the risk of creatinga downward spiral of employeeresentment and disengagement.

    Workers feeling well informedabout what is happening in the

    organisation.

    There are low perceptionsof the quality of downward

    communication.

    We keep employees in the pictureeven when there is no concrete

    news.

    Lack of fluidity in communications

    and knowledge-sharing occur dueto rigid communication channels orcultural norms.

    We use all available media to beatthe rumour mill.

    Many employees find out most

    of their information through a

    vigorous rumour mill.

    We brief line managers in full ondevelopments so they can talk totheir teams.

    There are strong perceptions thatsenior managers are remote fromservice delivery issues.

    We make use of diverse media,including social networking, to

    provide real-time communication.

    We only plan communicationsaround key business or operational

    issues.

    Leadership effectiveness

    We support line managers and

    encourage them to designchallenging jobs and manageeffective teams.

    There are inconsistent management

    styles based on the attitudes ofindividual managers, which leads toperceptions of unfairness.

    We feed engagement scores intothe appraisal process for managers,

    identifying line managers with poorleadership skills.

    We present engagement scores to

    managers.

    Authenticity

    We think about creative, non-financial ways of motivatingemployees, such as recognition

    schemes and team-building days.

    We rely on a command and controlmanagement style.

    The senior management team live

    the values and behaviours that theyespouse.

    There is a lack of consistency

    between the messages of seniormanagers and their observed actions.

    Highengagement

    5 4 3 2 1

    Lowengagement

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    Depending on the issues youve surfaced, you may want to consider new initiatives (or re-energisingexisting initiatives) to help sustain engagement. Organisations have learned the hard way that trying to

    buy engagement through expensive tactics only serves to raise expectations and can lead to

    disappointment when resources are short. However, many of the ideas listed in Box 1 below can be

    organised (not solely by HR) on a shoe-string and may well lead to a more enduring sense of engagement.

    What do we do well that we can build upon?

    1

    2

    3

    What are the barriers to engagement that we need to work on?

    1

    2

    3

    Box 1

    How feasible, practical and desirable would the following initiatives (or new

    approaches to these initiatives) be in your context?

    social events team-building days

    charity events recognition schemes

    line manager support surgeries walking the oor

    face-to-face briengs / town hall events other initiatives / ideas you may have

    Would any of these initiatives be relevant and appropriate in your departmental or organisational

    context? Use the box provided below to make notes about ways you could build engagement.

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    Building engagement: action planning

    Make a note here of any actions you wish to plan that come from your reflections on the activities in thisinstrument so far and the engagement-building suggestions. Identify what action the HR function can take;

    what actions you will need to encourage others in the organisation to take; and how you might measureprogress you have made.

    Maintaining engagement in tough times

    In difficult economic or trading circumstances, engagement issues may be severely challenged. Our

    quarterly Employee Outlooksurvey looked at employees attitudes to work in difficult times and the

    impact of the recession. This survey identified the fixed grin phenomenon, where workers tend to

    report being more satisfied during tough times, however this may be because they are satisfied

    simply to have a job. The CIPD Shaping the Futureresearch found that in such circumstances HR

    professionals and their line manager colleagues have to dig deep to ensure a balance between

    directive and empowering leadership, effective HR processes, communication about changes to the

    purpose and vision for the organisation, and support and development to enable people to manage

    in new contexts. There may be instances when organisational processes will be engagement

    neutral at best; action may be needed to enhance engagement recovery.

    Find out how Telefonica O2(UK),

    featured in the MacLeod report, is

    building engagement.

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    Faced with the need to make efficiency savings, organisations have to make difficult decisions. It is

    important to consider the impact of such decisions for employees engagement. The options shown

    in Figure 4 are often considered by organisations in difficult times. Take a few minutes to thinkabout what you are faced with. Identify what, in your organisation, are the implications of these

    actions and options for employee engagement in your organisation. Which approaches do you wish

    to avoid if possible?

    Reducing labour at any cost nottaking advantage of natural

    wastage and/or offering voluntaryredundancy terms

    Allowing short timescales to drivedecisions before considering

    alternatives

    Seeing loss of skill, knowledge andorganisational memory asinevitable

    Seeing people as cost; focusing onresource rather than potential

    Encouraging a long-hours culture

    and poor worklife balance

    Cutting back recruitment andreviewing the use of temporary staff

    Retraining employees whose skillsare no longer in demand andredeploying people to other parts ofthe organisation where possible

    Reducing or eliminating overtime

    working

    Considering short-time working ortemporary lay-offs or sabbaticals

    Figure 4: Organisational decisions that impact engagement

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    Instrument 3: Developing engaging managers

    OverviewAchieving employee engagement requires appropriate behaviours from leaders at all levels: both

    senior management and line managers. CIPD research into engaging leadershipindicates that a range

    of behaviours are important for management authenticity, including: being accessible, showing

    genuine concern and building a shared vision. Engaging leaders are seen by people as authentic if they

    display the personal qualities and core values of acting with integrity, being honest and consistent.

    Senior managers make a direct impact on engagement through the culture that is established and the

    extent to which people feel they can sign up to the mission or purpose of the organisation. Line

    managers attitudes, behaviours and performance also directly influence engagement. For example,

    our Employee Outlook: year reviewreport (2010) highlighted the importance of managers as a key

    driver of employees job satisfaction.

    The development of engaging leadership characteristics requires HR professionals to work with

    their line manager colleagues to implement and embed appropriate behaviours. This involves

    recognising the time and resource constraints facing all managers; providing relevant support and

    development; fostering effective teamwork and relationships; and encouraging managers to

    develop confidence in their engagement capability.

    Developing engaging managers: assessment of strengths and areas for developmentCIPD research into engaging leadershipand management competencies for enhancing employee

    engagementshows that management characteristics underpinning engagement comprise a

    combination of: effective interpersonal behaviours; teamworking abilities; support of employee

    development; and a focus on the long-term needs of the organisation. This instrument enables youto identify current strengths and development areas relating to the components of engaging

    management within your organisation.

    The activity is grounded in appreciating and affirming where positive behaviours are already being

    utilised and identifying the enablers in place that make these possible. This can help you to build on

    practices in parts of the organisation where engagement is strong as well as to locate areas where

    new action is required.

    Complete this exercise separately for senior leaders andthose who fulfil line management

    responsibilities, examining the behaviours each displays. Identify areas of strength and the enablers

    that encourage the positive behaviours you have pinpointed.

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    http://www.cipd.co.uk/shapingthefuture/_leadershipreport.htmhttp://www.cipd.co.uk/hr-resources/survey-reports/employee-outlook-year-review.aspxhttp://www.cipd.co.uk/shapingthefuture/_leadershipreport.htmhttp://www.cipd.co.uk/hr-resources/research/management-competencies-for-engagement.aspxhttp://www.cipd.co.uk/hr-resources/research/management-competencies-for-engagement.aspxmailto:[email protected]:[email protected]:[email protected]://www.cipd.co.uk/hr-resources/research/management-competencies-for-engagement.aspxhttp://www.cipd.co.uk/hr-resources/research/management-competencies-for-engagement.aspxhttp://www.cipd.co.uk/shapingthefuture/_leadershipreport.htmhttp://www.cipd.co.uk/hr-resources/survey-reports/employee-outlook-year-review.aspxhttp://www.cipd.co.uk/shapingthefuture/_leadershipreport.htm
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    Interpersonal

    style and

    integrity

    Shows genuine concern

    Is accessible

    Encourages questioning

    Acts with integrity

    Is honest and consistent

    Is decisive

    Treats employees fairly

    Challenges the status quo

    Communicates effectively

    Note down the best three areas

    here.

    1

    2

    3

    Note here where the best

    behaviours are occurring.

    Why do they occur here and

    not everywhere?

    Teamworking

    Inspires others

    Focuses team effort

    Networking

    Collaborating

    Manages time and

    resources

    Effectively understands,

    follows and explains

    processes and procedures

    Note down the best three areas

    here.

    1

    2

    3

    Note here where the best

    behaviours are occurring.

    Why do they occur here and

    not everywhere?

    Supporting

    employee

    growth

    Supports a developmentalculture

    Gives positive and

    constructive feedback

    Empowers employees to

    problem-solve and make

    decisions

    Offers help and advice to

    employees

    Encourages innovation

    Facilitates career

    development

    Note down the best three areashere.

    1

    2

    3

    Note here where the bestbehaviours are occurring.

    Why do they occur here and

    not everywhere?

    Focusing on

    the future

    Builds a shared vision Sets clear goals and

    objectives

    Facilitates change

    sensitively

    Resolves complex issues

    Note down the best three areashere.

    1

    2

    3

    Note here where the bestbehaviours are occurring.

    Why do they occur here and

    not everywhere?

    Leader and management strengths assessment

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    Engaging behavioursWhat areas need

    attention?How can HR help?

    What support is

    required?

    Interpersonal

    style andintegrity

    Shows genuine concern

    Is accessible

    Encourages questioning

    Acts with integrity

    Is honest and consistent Is decisive

    Treats employees fairly

    Challenges the status quo

    Communicates effectively

    Teamworking

    Inspires others

    Focuses team effort

    Networking

    Collaborating

    Manages time and

    resources

    Effectively understands,

    follows and explains

    processes and procedures

    Supporting

    employee

    growth

    Supports a developmental

    culture

    Gives positive and

    constructive feedback

    Empowers employees to

    problem-solve and make

    decisions

    Offers help and advice to

    employees

    Encourages innovation Facilitates career

    development

    Focusing on

    the future

    Builds a shared vision

    Sets clear goals and

    objectives

    Facilitates change

    sensitively

    Resolves complex issues

    In addition to building on areas of strength, you can use this second activity to identify management

    behaviours that need attention. In addressing these questions you may wish to consider:

    To what extent are managers currently supported to develop the skills and behaviours that encourage

    engagement?

    If new learning and support opportunities to develop engaging managers are needed, what methods

    would be most appropriate?

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    Developing engaging managers: action planning

    Note down the action planning implications of your responses to the questions in both parts of this instrument.

    What you enter into this box will be automatically transferred to the action planning section towards the end

    of this tool.

    Use this link to find out how developing

    engaging managers has been tackled by a

    leading professional services organisation,

    featured in the MacLeod report.

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    Instrument 4: The nature of engagement in

    your organisationOverviewSome people find they feel engaged through the need to think hard about their job and how to do

    it better; others may find opportunities to work with others a key characteristic of their

    engagement. The CIPD Shaping the Futureresearch highlights an important distinction between

    transactional and emotional engagement. Both elements are likely to be present in feelings of

    engagement in organisations.

    Transactional engagement is contractual in nature. It leads people to fulfil basic expectations

    of getting the job done and promoting the interests of the organisation. Transactional

    engagement is grounded in what needs to be done: to stay in employment; to be promoted

    to the next level; or to fulfil ambitions outside of work through the extrinsic rewards involved.

    However, peoples willingness to perform and their prioritisation of the interests of the organisation

    may be short-lived if the extrinsic factors involved come under threat or if they identify opportunities

    to pursue elsewhere.

    Emotional engagement is more deep-seated and occurs when people identify positive feelings

    with their work and are motivated by the desire to do a good job, to work with valued

    colleagues or to do the right thing.

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    Figure 5: Transactional and emotional engagement

    Although both forms of engagement are likely to feature in most peoples work experience

    (illustrated in Figure 5) emotional engagement is the more crucial for the achievement of

    discretionary effort over a sustained period. Researchsupported by the CIPD has suggested that

    emotional engagement accounts for four times' the commitment engendered by transactional

    attachments. Research from the CIPD Next Generation HRproject emphasises the role of engagingmanagers in engendering the trust required for emotional engagement. This is particularly

    important given that our quarterly Employee Outlooksurvey has consistently highlighted a lack of

    employees trust in senior leaders.

    Find out about the different forms of

    engagement that employees discussed at

    Birmingham City Council and Big Lottery Fund.

    Transactional(rational)

    engagement

    Characteristics

    Outcomes

    Emotional(relational)

    engagement

    Characteristics

    Outcomes

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    What is the nature of engagement in your organisation?This instrument comprises two steps and requires quite a deep level of thinking. Step 1 asks you to consider

    factors that encourage both emotional and transactional engagement in your organisation. We then ask you

    to consider which form of engagement is most prevalent and the implications of this. Step 2 builds on yourreflections in Step 1, helping you to construct an inventory of engagement variables that already exist in your

    organisation as well as those you might consider implementing.

    Step 1

    Engagement, both emotional and transactional, is a two-way and dynamic process; people can engage (and

    disengage) in ways that senior managers and HR leaders may not always realise. Therefore, rather than using

    a checklist approach Step 1 consists of open questions, helping you to get under the skin of engagement.

    It encourages you to identify:

    what processes and practices you promote to encourage both transactional and emotional forms of

    engagement

    the extent to which your perceptions of the value of these processes and practices are shared by those

    on the receiving end

    the extent to which you have sufficient information to establish the fit between organisational

    intentions and employee perceptions.

    Use the prompts in Figure 5 relating to transactional and emotional engagement to get you started.

    Factors leading to transactionalengagement in your organisation/department/business unit

    To what extent are these valuedby those on the receiving end?

    Do you have sufficient informationabout the fit betweenorganisational intentions andperceived value by staff members?

    1

    2

    3

    Factors leading to emotional

    engagement in your organisation/department/business unit

    To what extent are these valuedby those on the receiving end?

    Do you have sufficient informationabout the fit between

    organisational intentions andperceived value by staff members?

    1

    2

    3

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    Should you be promoting transactional or emotional engagement?Both transactional and emotional forms of engagement are important. However, when an

    organisation relies on transactional engagement there is a risk that, when challenges occur, peoplemay shift their allegiance, resulting in lower levels of commitment and higher levels of staff turnover.

    Emotional engagementunderpins discretionary behaviour and is crucial for sustained organisation

    performance. However, emotional engagement can rise and fall in response to a range of different

    triggers. Therefore it needs to be complemented by more stable forms of engagement that are

    often linked to transactional forms of engagement.

    In many organisations, the HR function focuses considerable attention on transactional features of

    the employment relationship and an equally hard and robust assessment of emotional

    engagement issues would be beneficial. Therefore, you may like to ponder the questions in Box 2.

    Box 2

    Getting the transactionalemotional engagement balance right

    1 Is the balance right between the degree to which you are promoting transactional and emotionalengagement? Is one part of the table more populated than the other?

    2 What are the implications of the transactional engagement you have noted?

    3 What are the implications of the emotional engagement you have noted?

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    Step 2

    Step 2of this instrument helps you build on your reflections and construct an inventory of variables

    of engagement in your organisation and ideas about other actions you may consider. This list is notexhaustive, but a suggestion of useful ideas to help build engagement. First, take stock of current

    practices that affect engagement. In order to complete the next column about the extent to

    which employees value these you may need further information from employees themselves.

    Many organisations gather this information from focus groups of employees, through regular

    dialogue with staff associations or representative bodies, or through staff surveys. When

    considering the actions you could take, bear in mind whether you think they will promote

    transactional or emotional engagement.

    Variables of engagementThe

    organisation

    has this

    We mightintroduce this

    Resources orsupport that would

    be required to

    implement this

    Yes No Yes No n/a

    Engagement with the business

    Strong company mission and vision

    Values that employees can identify with

    Attractive financial incentives (for example pension, medical

    package, education benefits, life insurance, travel insurance,

    discounts off goods and services)

    Flexible leave arrangements (for example additional unpaid

    holidays, sabbaticals, special leave)

    Strong leadership reputation

    Continued

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    Engagement with the people

    Engaging managers

    Reputation for valuing its employees

    Family-friendly practices, for example maternity/paternity

    benefits beyond statutory ones, childcare, family leave

    Wellness programmes, for example gym, company medical

    services, time for sports or outside activities

    Concierge services

    Variable pay pay for objectives, team bonus

    Attractive office location

    Dress-down days

    Continued

    Variables of engagementThe

    organisationhas this

    We mightintroduce this

    Resources orsupport that would

    be required to

    implement this

    Yes No Yes No n/a

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    Engagement with the work

    Base pay: fair pay for a fair days work

    Meaningful work

    Offers different forms of flexible working

    Engagement beyond the immediate

    Training and development options

    Career progression

    Green image and actions

    Supports local community or charity initiatives

    Variables of engagementThe

    organisationhas this

    We mightintroduce this

    Resources orsupport that would

    be required to

    implement this

    Yes No Yes No n/a

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    Once you have completed this activity, identify three to five priority areas where some new actions

    would be worth investigating or where you need more information about the potential benefits of

    such activities.

    The nature of engagement: action planningPriorities for future action or information-gathering:

    1

    2

    3

    4

    5

    What you enter into this box will be automatically transferred to the action planning section towards the end of this tool.

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    Your action plan

    Here, you can review your responses to the activities in this online practical tool and plan your next steps.

    If you have not already added ideas for action elsewhere in this tool, you can add your ideas here.

    Engagement check-up

    Building engagement

    Developing engaging managers

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    The nature of engagement: action planning

    1

    2

    3

    4

    5

    Having considered the information above, my immediate priorities for action are:

    Priority for action Support/resources needed for effective action

    1

    2

    3

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    Useful related CIPD resources

    CIPD. (2004) Reflections on employee well-being and the psychological contract.

    CIPD. (2006) How engaged are British employees?

    CIPD. (2006) Reflections on employee engagement.

    CIPD. (2008) Engaging leadership: creating organisations that maximise the potential of their people.

    CIPD. (2009) Employee engagement in context.

    CIPD. (2009)An HR directors guide to employee engagement.

    CIPD. (2010) Next Generation HR: time for change.

    CIPD. (2010) Employee engagement factsheet.

    CIPD. (2011) Management competencies for enhancing employee engagement.

    CIPD. (2010) Employee Outlook: year review.

    CIPD. (2011) Employee Engagement toolkit.

    CIPD. (2011) Shaping the Future: sustainable organisation performance: what really makes the difference.

    CIPD. (2010) Kingston Employee Engagement Consortium Project. Creating an engaged workforce:

    findings from the Kingston Employee Engagement Consortium Project.

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    Further reading and references

    MACLEOD, D. and CLARKE, N. (2009) Engaging for success: enhancing performance through employee

    engagement.London: Department for Business, Innovation and Skills.

    MACEY, W.H. and SCHNEIDER, B. (2008) The meaning of employee engagement. Industrial and

    Organizational Psychology. Vol 1, No 1, March. pp330.

    PINK, D.H. (2009) Drive: the surprising truth about what motivates us. New York: Riverhead Books.

    ROUSSEAU, D. (1995) Psychological contracts in organisations.Thousand Oaks, CA: Sage.

    WAGNER, R. and HARTER, J.K. (2006) 12: the elements of great managing. New York: Gallup Press.

    WATKINS, J.M. and MOHR, B. (2001)Appreciative inquiry: change at the speed of the imagination.

    San Francisco, CA: Jossey-Bass/Pfeiffer.

    Useful websites

    Employee engagement in the Civil Service

    The Institute for Employment Studies

    Employee engagement Gallup

    OCR International Employee Engagement Research

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    Appendix

    What do we mean by engagement?The CIPD Research Insight Employee Engagement in Contexthighlights how: engagement is about

    creating opportunities for employees to connect with their colleagues, managers and wider

    organisation. It is also about creating an environment where employees are motivated to want to

    connect with their work and really care about doing a good job. It is a concept that places flexibility,

    change and continuous improvement at the heart of what it means to be an employee and an

    employer in a twenty-first-century workplace.

    Engagement is not the same as satisfaction or even commitment. Satisfied employees may be

    happy but they may also be making little contribution to the organisation. CIPD advice to HR

    directorshighlights how some committed employees may be focusing on the wrong objectives. The

    concept of engagement is hard to pin down, involving a complex mix of attitudes, behaviours andoutcomes, but it is present when people willingly contribute effort and experience positive

    emotions in relation to their work and those they work with.

    Having engaged employees is important for sustained organisational performance as they are more

    likely to go the extra mile or put in extra effort. CIPD researchhas found that people who are

    absorbed in their work and committed to completing work tasks are significantly more likely tohave positive emotions at work, such as: enthusiasm, cheerfulness, optimism, contentment and a

    calm and relaxed outlook. In contrast, those who are less engaged are likely to report negative

    emotions such as: feeling miserable, worried, depressed, gloomy, tense or uneasy. Engagement

    matters, therefore, and that is why many organisations now see the value of regular engagement

    check-ups.

    We hope this tool is useful in helping you to unpick the complexities of engagement within your

    organisation and devise a plan of action to drive long-term performance.

    Figure 6: Components of engagement

    Attitudes

    OutcomesBehaviours

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    Engagement for sustainable organisation performanceA CIPD online practical tool

    Figure 2: Components of engagement

    Case studyThe Shaping the Futureresearch found that employees can be engaged on multiple levels:

    for example, with the organisation as a whole, with their line manager, with their team,

    their job role or their profession.

    Birmingham City Council (BCC)is the largest council in Europe, employing 60,000

    people. In April 2006, they embarked on the largest business transformation programme in

    UK local government a programme that is set to revolutionise the way the council delivers

    services to people who live, learn, work in or visit Birmingham. In BCC, engagement with

    the service user and to ones immediate team is strong, with a typical response from

    managers to the question about what you are engaged with being, my staff and delivering

    services. Managers feel that employees develop a particularly strong emotional

    engagement with service users in times of uncertainty, especially when there are questions

    over how the service might be provided in the future. This is manifested in a strong desire

    to maintain the quality of the care provided.

    I think they are engaged with the service that they are providing to the service user and I

    guess to some extent they are also engaged with their line managerWhilst I am not sure

    that they are necessarily engaged in the whole organisation if you like, that is their focus

    and that is what they do.

    The Big Lottery Fund (BIG)was established in 2004 following a merger of the New

    Opportunities Fund and the Communities Fund. BIG currently distributes around

    600 million of lottery funds to projects connected to health, education, environment and

    charitable purposes.

    The organisations vision is to channel funding into areas that will bring real improvements

    to communities and the lives of people most in need.

    At BIG Lottery people tended to report engagement with the nature of their work but to

    find some of the work processes frustrating:

    BIG, as an employer, is right up there in terms of engagement. However, some of the

    bureaucratic processes they have to follow are down there, so yes peoples

    engagement will vary depending on their activity or what they are doing .

    You can read more about these organisations in the CIPD Shaping the Futurereport.

    CLOSE

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    Engagement for sustainable organisation performanceA CIPD online practical tool

    Figure 2: Components of engagement

    Case studyNHS Dumfries and Galloway employs 5,000 people and provides health care and

    promotes healthy living for the 149,000 residents of Dumfries and Galloway across an

    area of 2,400 square miles. The board has undertaken a number of major change

    initiatives, including significant restructuring of job roles and responsibilities, and has

    taken a lead role in innovation to address organisational issues. Its innovative Delivering

    Dynamic Improvement (DDI) programme, investigated by the CIPD as part of the

    Shaping the Futureproject, is a case in point. This programme was designed to equip

    managers and clinical leaders with the knowledge and skills to build shared

    responsibilities for delivering dynamic continuous improvements in the servicesprovided to patients.

    There has been a huge amount of work into driving employee engagement, as this is

    seen as critical for long-term performance. The organisation as a whole scored well in

    the last Scottish Government-initiated employee survey, which compares employee

    attitudes across health boards in Scotland. The results from this survey are actively fed

    back to staff through presentations and workshops. Issues are identified, tested with

    staff groups and acted upon.

    You can find out more about these and other cases from the Shaping the Futurereport.

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    Figure 2: Components of engagement

    Case studyStandard Chartered Bank has a history of more than 150 years in banking. Its Hong

    Kong operation has made advances in driving employee engagement even in

    challenging external circumstances. Employees appreciate the importance of being

    engaged, advocating its benefits for both short-term and long-term performance. They

    have interpreted its worth for themselves, internalising the value of engagement, which

    was demonstrated by the range of answers employees gave when asked why the bank

    endeavours to engage staff. The engagement process itself is purposefully loose and

    simple, which are its strengths. The engagement survey that Standard Chartered uses is

    short and easily understood, which contributes to its high response rate. The impactplanning process that follows the survey results is owned by individual teams, who are

    able to tailor the process to their particular needs, which in turn feeds their enthusiastic

    adoption of engagement.

    You can find out more about these and other cases from the Shaping the Futurereport.

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    Figure 2: Components of engagement

    Components of the IDEAL engagementframework

    Employee involvement, voice and participation are frequently used terms that can be

    differently interpreted. The CIPD defines employee involvementas: a range of

    processes designed to engage the support, understanding and optimum contribution

    of all employees in an organisation and their commitment to its objectives. We can see

    involvement contributing towards the creation of an environment in which people have

    an impact on decisions and actions that affect their jobs.

    Involvement processes are closely linked with employee communicationboth downwardand two-way. The two subjects clearly have a lot in common. Another term used in

    some organisations is employee voice. Like involvement, employee voice is

    characterised in terms of two-way communications, an exchange of information

    between managers and employees or having a say' about what goes on in the

    organisation. Organisations who promote communication, voice or involvement

    recognise that much of the knowledge required for businesses to be competitive is

    actually in employees heads.

    The CIPD Shaping the Futureresearch has found that meaningfulness, and designing

    meaningful work roles, is a vital driver of engagement for employees, with most

    workers finding meaning in their work. Employees who believe that their work is

    important and that they can make a difference have much more positive perceptions

    about their work and their work environment.

    Meaningful work roles contain:

    skill variety: the number of different activities the job requires

    task identity: the degree to which a whole and identifiable piece of work is involved

    task significance: the jobs impact on the lives of others.

    The leaderfollower relationship characterised by authentic leadershipis initiated by

    the leadership attributes of genuineness, trustworthiness, reliability, compassion andbelievability. When espoused messages and behaviours are displayed in real life,

    followers are likely to feel engaged.

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    Figure 2: Components of engagement

    Case studyTelefonica O2 (UK) employs around 13,000 people in the UK and is a leading

    provider of mobile and broadband services to consumers and businesses. In 2008 O2

    was ranked as the sixth best place to work in the Sunday TimesBest Companies to

    Work For list. The Government-endorsed MacLeod report highlights steps that

    Telefonica O2 (UK) has taken to increase engagement through a commitment to

    creating the best possible employee experience. This includes: a warm welcome

    through effective induction; opportunities for development and career discussions with

    line managers at least twice each year; opportunities for skills and personal

    development and investment in the development of leadership skills at all levels of

    management; and a culture of trust where people are encouraged to suggest new

    ways of doing things through a variety of different forums, both face to face and

    online. This people focus is being maintained in spite of tough economic conditions

    through enhancing some flexible benefits, building on employee well-being initiatives

    and introducing a broad range of discounts with high street retailers. In addition

    people are encouraged to volunteer for charities and can apply for small grants for

    community projects all over the UK.

    O2s Head of Employee Involvement and Experience, Kay Winsper, says: We want to create

    an employee experience that appeals to peoples emotional and rational commitment. So

    not only will our people feel proud to work at O2 and part of something really special theyll know it makes financial and professional sense to stay here.'

    You can read more about this case and other organisational examples in the MacLeod

    report(MacLeod and Clarke 2009).

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    Figure 2: Components of engagement

    Case studyThe Government-endorsed MacLeod report highlights the case of a large UK

    professional services firm providing financial and advisory services, employing several

    thousand staff. Employee feedback revealed that managers did not have the capability

    (skills, time, attitude) to fulfil their role in developing their staff, contributing to high

    turnover. In response the organisation developed a change management and

    engagement programme for managers. This programme transformed the way the

    organisation manages its people and, in particular, has elevated the status and focus

    on effective people management.

    A key innovation was in the development of the role of the people management

    leaders (PMLs), which was introduced across all business areas. Talented individuals

    were identified as great people managers and given full accountability for people

    management activities for specific groups of people. They were supported in this by

    one-to-one coaching, annual conferences and development centres. Now this role has

    a high profile; it is valued as a form of career development and is ensuring an effective

    and authentic management approach.

    You can read more about this case in the MacLeod report(MacLeod and Clarke 2009).

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    Figure 2: Components of engagement

    Case studyIn 2006 Birmingham City Council, the largest council in Europe, embarked on a

    large-scale transformation programme, aiming amongst other things to become an

    organisation where people feel free to use their talent, creativity, energy and

    commitment to serve the public and improve services. Managers discovered that

    employees develop a particularly strong emotional engagement with service users in

    times of uncertainty, especially when there are questions over how the service might

    be provided in the future. This is manifested in a strong desire to maintain the quality

    of the care provided to service users. Front-line staff are keen to go the extra mile to

    ensure that a good-quality service is maintained, despite fewer resources being

    available. Elsewhere, engagement with the whole organisation is of a different, more

    transactional nature, with people asking for more attention to be given to upward

    communication.

    At BIG Lottery Fund the organisation established in 2004 to co-ordinate distribution

    of lottery funds to health and education engagement is seen to be a major driver of

    sustainable individual and organisational performance. Feedback at BIG showed that

    people feel that there are different levels of engagement in different areas of the

    business. In some areas, emotional forms of engagement are dominant but a more

    transactional engagement with other features of the work is prevalent in other areas.

    You can find out more about these and other cases from the Shaping the Futurereport.

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