MS&L Five Trends in Employee Engagement

Preparing for the Rising Tide: Five Trends Impacting Employee Engagement in 2010 March 4, 2010

Today’s Presenters Jason Anthoine, APR Senior Vice President, Employee Engagement MS&L Atlanta 404.870.6823 [email_address] Twitter: jasonanthoine Brian Burgess Vice President, Employee Engagement MS&L New York 212.468.3490 [email_address]

Our Approach to Employee Engagement

MS&L Employee Engagement Overview
MS&L is the flagship public relations agency in the Publicis Groupe communications network
The MS&L global network consists of 54 MS&L offices in 28 countries, plus an extensive affiliate network in additional markets
Centered in Atlanta and New York, MS&L’s North America Employee Engagement assignments also reach Toronto, Boston and San Francisco
MS&L Employee Engagement
More than 30 years of experience developing and delivering engaging internal and change communications programs that influence the minds, attitudes and behaviors of employees across many work environments
Services:
Strategic communications positioning and planning
Highly effective engagement programs rooted in insight-guided strategy, creativity and smart execution
Positioning and branding
Award-winning creative services
Training and education services
Measurement
MS&L Global Network

Engaging Employees Around Business  Brand  Change
Typical Assignments:
Launch new brand position and brand identity to broad employee population
Evolve brand position in order to sustain competitive advantage
Reinforce to customer-facing employees the importance of consistent delivery on the brand promise
Reigniting pride and confidence in the brand
Internal product, service and program awareness and activation
Cultivate brand ambassadors by increasing understanding of the brand position and delivery of the brand promise. Advocate the Brand Adopt Change Understand the Business Focus
Organizational restructuring and reorganizations
Mergers, acquisitions and divestitures
Workforce reductions, off-shoring or outsourcing
Business model, operational or cultural transformations
Leadership transitions
New markets, services, customers
Shifts in competitive landscape
Introduction of new technology that changes the way employees deliver services and perform job function
Internal communications audits
Vision, mission, values alignment
Align employee job functions to business strategies
Business and industry macro trends and competitive impact
Leadership/manager communications
Recruitment and retention strategies
Benefits and compensation communications
Reward and recognition programs
Health and wellness communications
Employee meetings: theme, logistics, video and presentation production, team building
Execution Goal Foster awareness, understanding and acceptance of organizational change initiatives among internal audiences. Establish clear line of sight between employees’ jobs and the company’s business objectives by influencing employees’ attitudes and behaviors.

MS&L’s Employee Engagement Drivers Engagement Clear Line of Sight Acknowledgement Access to Information Participation 1. 2. 3. 4.

Communication Facilitates Engagement Moments of Clarity Relevant Content Activated Champions Modern Mix of Channels Compelling Conversations Employee

Five Trends Impacting Employee Engagement in 2010

Social Media 1

Trend #1: A Continuing Social Media Explosion
Social media tools are impacting how companies communicate with their employees and vice versa
Some have embraced the new channels, while others look on in disbelief
Biggest impact areas for social media for the enterprise:
Mobile: SMS, apps, video
Social portals: Facebook-like communities
Innovation: employee insights and ideas
Training and development: on the go, on demand
By the Numbers:* 85% of companies use Facebook, 77% use Twitter, 58% use LinkedIn and 49% use YouTube 61% say their organizations are “poor” (34%) or “very poor” (27%) at measuring ROI *eConsultancy, The Value of Social Media Report

Trend #1: A Continuing Social Media Explosion How You Can Prepare For and Manage Social Media Strategically*
Are you ready?
It’s more the social, less the media
What’s the business purpose?
Give up control and share
Clarify roles, usage, do’s and don’ts
Softly launch the tools, then let them grow
ROE is more important than ROI
*Source: Melcrum What’s the mood of your employees? Digital Mood Indicator

War for Talent 2

Trend #2: The War for Talent With the recovering economy comes renewed interest by employees to see if the grass is greener somewhere else. Employees have endured months, even years, with no raises or advancement and have watched as their friends and co-workers were laid off. By the Numbers:* 56% of HR pros think involuntary turnover will rise this year 53% of employees are seeking better compensation and benefits 35% of employees are dissatisfied with potential career development 32% of employees said they were ready for a new experience *Survey: Society for Human Resource Management and Career.com, as cited on About.com Engagement Clear Line of Sight Acknowledgement Access to Information Participation 1. 2. 3. 4.

Trend #2: The War for Talent
Challenge
The financial crisis of 2008 and 2009 weighed heavily on employees’ morale, shareholders’ belief in the bank’s future and public sentiment. The bank needed to create hope and optimism for the future among employees and customers, and launch a journey called Citi Forward to create a new Citi where employees are proud to work and with whom customers love doing business.
Actions
Leader-Led Communications Strategy
Outside-In Learning
Use of Emotionally Compelling Video
Collaborative Exercises that Applied Learning
Manager and Employee Engagement
Ongoing Engagement and Active Listening
Results
Following the leadership launch, 100% of leaders said they had a clear understanding of Citi Forward. 96% understood how to apply Citi Forward within their business group. 95% understood their role in the process. 91% felt equipped to carry Citi Forward to their groups. And 91% said their confidence in the future of Citi was stronger now than it was before the event.
Spotlight: Engaging 34,000 Employees in Citi Forward

Markets Without Borders 3

Trend #3: Markets Without Borders
As the global marketplace continues to shrink, more companies are realizing that they have broader issues to worry about:
Different time zones
Varying cultures
Multiple languages
Recruiting and employer branding
Demographics shift
Reputation management
By the Numbers:* 6.7 billion world population 1.7 billion Internet users worldwide 1.9 million cellular phones sold worldwide…today *Source: Worldometers.info

Trend #3: Markets Without Borders We (Toyota) are a “step away from death” and “gasping for salvation.” Akio Toyoda

Change is Constant 4

Trend #4: Change Management as Business as Usual Change management is the methodology that integrates change and the ability to adapt into an organization. It is an organized , systematic application of the knowledge , tools and resources of change that provides organizations with a key process to achieve their business strategy. So…what is change management communications? At MS&L, we define change management communications as the process for addressing the "people" side of change. It creates an engaged and “change-ready” culture. Through effective and well-managed communications process people understand, accept, adopt and deliver the desired behaviors necessary for a successful change initiative.

Trend #4: Change Management as Business as Usual Managed communications during times of change build and protect reputation WHY change communications is important… It drives positive outcomes both internally and externally

Employees in WOM Strategy 5

Trend #5: Employees in Word of Mouth Strategy
Companies continue to look at how employees represent them both on and off the job. There are increasing expectations that they’ll be good ambassadors at every opportunity:
Around the brand and customers
Around corporate social responsibility and sustainability
By the Numbers: Over 430 Zappos employees are on Twitter 90% of word-of-mouth marketing is offline 1,000,000+ McDonald’s employees are members of Station M

Trend #5: Employees in Word of Mouth Strategy Spotlight: Engaging Employees to Deliver the Philips Promise Micro site for employees about Philips’ sponsorship at Sundance Film Festival. Featured online product demos, daily blog and reporter segments. Roving Reporter covered Philips events and brings “One Philips” to employees via streaming video on Xpress, Philips’ Intranet site. Experience organized by strategic area of focus, with products from all PDs intermixed to reinforce the One Philips platform. Outfitted “Simplicity Xpress” unit immersed in the Philips brand and visited 18 Philips work locations over a three month period. Activated managers using a guide book in advance so they could be the Simplicity Xpress “tour guide” for their teams. Vibrant web site, back-end sourcing and exciting creative sparked excitement and immediate engagement in the program. 1 2 3

Preparing for the Rising Tide: Five Trends Impacting Employee Engagement in 2010 Thank You for Attending!

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MS&L Five Trends in Employee Engagement

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MS&L Five Trends in Employee Engagement — Presentation Transcript