Introduction What is Employee engagement? Key drivers “Putting the Service-Profit Chain to Work” and it’s model Managers and employee engagement
Employee engagement – what is it? The Conference Board - “Employee Engagement, A Review of Current Research and Its implication” 12 studies in 2002-2006 Different definitions and 26 key drivers of engagement
Definition Employee emgagement is a heightened emotional connection that an employee feels for his or her organization, that influences him or her to exert greater discretionary effort to his or her work.
Key drivers Trust and integrity Nature of the job Line of sight between employee performance and company performance Career growth opportunities
Key drivers 5. Pride about the company 6. Coworkers/team members 7. Employee development 8. Relationship with one’s manager
Employee engagement is a big deal Retention Turnover Productivity Customer service Loyalty
The Service-Profit Chain model Employee Satisfaction Employee Retention Service Value Employee Productivity Customer Satisfaction Customer Loyalty Profitability Growth
Engaged employees create loyal customers who in turn create bigger profit The first priority – the people who work for the companies customers shareholders Low level of EE = profit Operating margin Above average level of EE = profit operating margin
Conclusion EE has many definitions. There are 8 main key drivers. EE is NOT just a trendy concept. EE creates loyal customers who in turn create bigger profits. Management behaviour has effect on EE.