B Corps are organized around people, planet, and profit. What does AI-based employee sentiment analysis tell us about levels of employee engagement compared to "regular" companies? https://www.aniline.io/
Powering Your Bottom Line Through Employee EngagementKip Michael Kelly
The greatest concerns of most CEOs are operational excellence, innovation, risk, the regulatory environment, and competing globally. Underpinning those areas is their primary concern—human capital. The “people thread” is what prepares an organization to compete and win. The greatest asset that organizations have is the power of their employees. Employee engagement—the emotional commitment of employees—is a tremendous competitive advantage that impacts the bottom line when strategically managed.
The majority of organizations have an opportunity to further leverage employee engagement as a business driver. A recent Gallup poll found that more than 70 percent of American workers are either actively or passively disengaged from their work. HR, talent management professionals, and business leaders need to assess (or re-assess) how widespread and entrenched employee disengagement is in their organizations and partner together to improve it.
This white paper:
- Discusses the costs of employee disengagement in organizations.
- Links employee engagement to an organization’s bottom line and offers reasons why employee engagement should be a strategic business priority.
- Offers steps that HR and talent managers can take to improve employee engagement throughout their organizations.
- Provides examples of what organizations are doing to boost employee engagement.
This document discusses employee engagement and its impact on organizational performance. It notes that disengaged employees cost organizations billions each year through lost productivity, increased turnover, and other factors. The document then summarizes several studies that found strong correlations between employee engagement and positive business outcomes like revenue growth, productivity, profitability, and safety. It provides examples of companies like Molson Coors and Caterpillar that have strategically increased engagement and reaped financial benefits. Finally, it offers four steps for organizations to monitor and improve their employee engagement levels.
This document discusses performance-driven compensation as a talent insurance policy for companies. It argues that tightly linking employee and business performance to compensation helps mitigate the risk of losing top talent. Specifically:
- Pay for performance aims to reward employees based on their impact, but cultural and implementation barriers have made it difficult for many companies. Lack of integration between performance and compensation systems also hinders pay for performance.
- Top performers and high-potential employees are most critical to retain, yet only 19% of UK companies base bonuses directly on individual performance targets tied to business goals.
- Differentiated compensation that disproportionately rewards top performers can motivate them and lower turnover risks, but requires clear goals, performance assessments, and compensation
A great white paper by BCG which quantifies mastery of people management to economic success. The six HR functions that significantly impact revenue growth and profit margins are (in order of impact):
1. Delivering on recruiting
2. Onboarding of new hires and retention
3. Managing talent
4. Improving employer branding
5. Performance management and rewards
6. Developing leadership
This document discusses a study conducted by the Boston Consulting Group and the World Federation of People Management Associations on the relationship between people management capabilities and financial performance. The study found:
1) Companies that excel in people management practices like leadership development, talent management, and performance management consistently achieved better economic performance, with up to 3.5 times higher revenue growth and 2.1 times greater profit margins.
2) Within these practices, high-performing companies differentiated themselves the most in leadership development, talent management, and performance management and rewards - doing more in these areas and doing so more effectively.
3) Specific actions taken by top-performing companies included using incentives to engage leaders in people development, taking
Productivity and Performance of Auto Components IndustryParul Singhal
1. Employee productivity increases with HR/IR capability score, according to a study of 64 auto-component companies assessed on a HR/IR capability model.
2. Leadership at different levels, especially the HR leader, is the key contributor to better HR/IR capability and higher employee productivity.
3. The study found that contract labor does not actually reduce costs as believed, but rather depresses productivity, while increasing the number of white collar employees positively impacts productivity.
The document discusses a study by The Boston Consulting Group (BCG) and the World Federation of People Management Associations (WFPMA) on the relationship between people management capabilities and financial performance. Some key findings:
- Companies that rated highly in people management topics like leadership development, talent management, and performance management experienced significantly higher revenue growth and profit margins.
- High-performing companies differentiated themselves in these three areas. They were more likely to have leadership models tied to promotion decisions, make leadership planning part of workforce planning, and tie leader compensation to people development efforts.
- They also did more to attract, develop, and retain talented people through programs for high-potential and emerging talents, and by
This whitepaper discusses employee engagement surveys and their relationship to organizational performance. It finds that regularly conducting engagement surveys is common, especially among large firms. Highly engaged employees feel proud, satisfied, committed and want to remain with their employer. The whitepaper analyzes survey results from 21 countries and finds engagement levels vary significantly, with faster growing economies generally more engaged. Drivers of engagement include inspiring leadership, recognition from managers, opportunities for growth, and work-life balance. Higher engagement is strongly correlated with better customer satisfaction, financial performance, and shareholder returns. The whitepaper concludes organizations that invest in practices promoting engagement outperform peers with lower engagement.
Powering Your Bottom Line Through Employee EngagementKip Michael Kelly
The greatest concerns of most CEOs are operational excellence, innovation, risk, the regulatory environment, and competing globally. Underpinning those areas is their primary concern—human capital. The “people thread” is what prepares an organization to compete and win. The greatest asset that organizations have is the power of their employees. Employee engagement—the emotional commitment of employees—is a tremendous competitive advantage that impacts the bottom line when strategically managed.
The majority of organizations have an opportunity to further leverage employee engagement as a business driver. A recent Gallup poll found that more than 70 percent of American workers are either actively or passively disengaged from their work. HR, talent management professionals, and business leaders need to assess (or re-assess) how widespread and entrenched employee disengagement is in their organizations and partner together to improve it.
This white paper:
- Discusses the costs of employee disengagement in organizations.
- Links employee engagement to an organization’s bottom line and offers reasons why employee engagement should be a strategic business priority.
- Offers steps that HR and talent managers can take to improve employee engagement throughout their organizations.
- Provides examples of what organizations are doing to boost employee engagement.
This document discusses employee engagement and its impact on organizational performance. It notes that disengaged employees cost organizations billions each year through lost productivity, increased turnover, and other factors. The document then summarizes several studies that found strong correlations between employee engagement and positive business outcomes like revenue growth, productivity, profitability, and safety. It provides examples of companies like Molson Coors and Caterpillar that have strategically increased engagement and reaped financial benefits. Finally, it offers four steps for organizations to monitor and improve their employee engagement levels.
This document discusses performance-driven compensation as a talent insurance policy for companies. It argues that tightly linking employee and business performance to compensation helps mitigate the risk of losing top talent. Specifically:
- Pay for performance aims to reward employees based on their impact, but cultural and implementation barriers have made it difficult for many companies. Lack of integration between performance and compensation systems also hinders pay for performance.
- Top performers and high-potential employees are most critical to retain, yet only 19% of UK companies base bonuses directly on individual performance targets tied to business goals.
- Differentiated compensation that disproportionately rewards top performers can motivate them and lower turnover risks, but requires clear goals, performance assessments, and compensation
A great white paper by BCG which quantifies mastery of people management to economic success. The six HR functions that significantly impact revenue growth and profit margins are (in order of impact):
1. Delivering on recruiting
2. Onboarding of new hires and retention
3. Managing talent
4. Improving employer branding
5. Performance management and rewards
6. Developing leadership
This document discusses a study conducted by the Boston Consulting Group and the World Federation of People Management Associations on the relationship between people management capabilities and financial performance. The study found:
1) Companies that excel in people management practices like leadership development, talent management, and performance management consistently achieved better economic performance, with up to 3.5 times higher revenue growth and 2.1 times greater profit margins.
2) Within these practices, high-performing companies differentiated themselves the most in leadership development, talent management, and performance management and rewards - doing more in these areas and doing so more effectively.
3) Specific actions taken by top-performing companies included using incentives to engage leaders in people development, taking
Productivity and Performance of Auto Components IndustryParul Singhal
1. Employee productivity increases with HR/IR capability score, according to a study of 64 auto-component companies assessed on a HR/IR capability model.
2. Leadership at different levels, especially the HR leader, is the key contributor to better HR/IR capability and higher employee productivity.
3. The study found that contract labor does not actually reduce costs as believed, but rather depresses productivity, while increasing the number of white collar employees positively impacts productivity.
The document discusses a study by The Boston Consulting Group (BCG) and the World Federation of People Management Associations (WFPMA) on the relationship between people management capabilities and financial performance. Some key findings:
- Companies that rated highly in people management topics like leadership development, talent management, and performance management experienced significantly higher revenue growth and profit margins.
- High-performing companies differentiated themselves in these three areas. They were more likely to have leadership models tied to promotion decisions, make leadership planning part of workforce planning, and tie leader compensation to people development efforts.
- They also did more to attract, develop, and retain talented people through programs for high-potential and emerging talents, and by
This whitepaper discusses employee engagement surveys and their relationship to organizational performance. It finds that regularly conducting engagement surveys is common, especially among large firms. Highly engaged employees feel proud, satisfied, committed and want to remain with their employer. The whitepaper analyzes survey results from 21 countries and finds engagement levels vary significantly, with faster growing economies generally more engaged. Drivers of engagement include inspiring leadership, recognition from managers, opportunities for growth, and work-life balance. Higher engagement is strongly correlated with better customer satisfaction, financial performance, and shareholder returns. The whitepaper concludes organizations that invest in practices promoting engagement outperform peers with lower engagement.
The assessment measures a candidate's skills and tendencies for a new business development role through a personality assessment. It provides percentile scores for 140 skills compared to other salespeople. Scores above 70% are considered strong, with the ideal candidate having multiple skills above 70% and none below 40%. Weak areas are highlighted along with coaching tips. The assessment also evaluates motivational characteristics to help maximize motivating the candidate. The job involves selling to new customers through face-to-face meetings with the goal of expanding business. Hunters excel at continuously finding new opportunities and promoting benefits to prospects.
BALLARD INTEGRATED MANAGED SERVICES, INC. PART 2TEAM CINST.docxikirkton
BIMS is experiencing high employee turnover, low morale, and more hospital complaints. To address this, they conducted an anonymous survey of employees to understand satisfaction levels with areas like compensation, training, management, and job security. The 17.3% response rate indicates low morale. The survey included qualitative and quantitative questions to understand employee perceptions and behaviors. BIMS used different measurement levels like nominal, ordinal, and interval to code and analyze the data. However, the data needs scrubbing to address inaccuracies before presenting findings to management.
The document provides information about a career development program and assessment offered by the Sales Education Foundation and Chally Group Worldwide. The assessment is designed to help salespeople identify what type of sales role would be most suitable for them. It describes what the assessment measures, how it is scored, how long it takes to complete, and how the results are used. The assessment aims to match salespeople with major sales forces based on the skills and qualities that are the best predictive fit for success in a given role.
HUMAN PERFORMANCE
Why we hate performance management–—And why
we should love it
Herman Aguinis *, Harry Joo, Ryan K. Gottfredson
Kelley School of Business, Indiana University, 1309 E. Tenth Street, Bloomington, IN 47405-1701, U.S.A.
Business Horizons (2011) 54, 503—507
www.elsevier.com/locate/bushor
KEYWORDS
Performance
management;
Strategic goals;
Appraisal;
Feedback;
Coaching;
Human resources
Abstract Individual performance is a building block of organizational success. Not
surprisingly, virtually all organizations have in place some type of performance
management system. Yet, managers and employees are equally skeptical that per-
formance management adds value; usually, it is seen as a waste of time and resources.
We argue that the potential benefits of performance management are not realized
because most systems focus exclusively on narrow and evaluative aspects such as
performance appraisal. Herein, we offer a broader view of performance manage-
ment, including discussion of how it differs from performance appraisal. We highlight
specific and important benefits of performance management for employees, man-
agers, and organizations. We also describe research-based conclusions regarding how
performance management systems should be designed and implemented to realize
these benefits. We hope our article will demonstrate that well-constructed perfor-
mance management systems should not be hated, but rather embraced.
# 2011 Kelley School of Business, Indiana University. All rights reserved.
1. Introduction
As noted by former Siemens CEO Heinrich von Pierer,
‘‘whether a company measures its workforce in
hundreds or hundreds of thousands, its success relies
solely on individual performance’’ (Bisoux, 2004).
This view is held by many; Heinrich von Pierer is
certainly not alone in this train of thought. Results of
a survey including senior executives from the Sun-
day Times list of best employers in the United
Kingdom indicated that performance management
is one of the top two most important human re-
source management functions in their organiza-
tions. Management scholars agree (Liu, Combs,
* Corresponding author.
E-mail address: [email protected] (H. Aguinis).
0007-6813/$ — see front matter # 2011 Kelley School of Business, I
doi:10.1016/j.bushor.2011.06.001
Ketchen, & Ireland, 2007; Platts & Sobótka,
2010). Accordingly, virtually all organizations–—
ranging from universities to governmental and pub-
licly traded firms–—implement some type of system
to assess the performance of individual workers. In
fact, results of a survey of 278 organizations, about
two-thirds of which are multinational corporations
from 15 different countries, showed that more than
90% implement a formal performance management
system (Cascio, 2006). Despite the popularity of
performance management systems, dozens of stud-
ies indicate the consistent result that firms are not
managing employee performance very well. Specif-
ically, only 3 in 10 employees believe t ...
The document provides information about a career development program and assessment offered by the Sales Education Foundation and Chally Group Worldwide. The assessment evaluates individuals' skills and motivation to help identify sales roles that would be a good fit. It measures over 140 skills through questionnaires that take 60-90 minutes to complete. The results are provided along with coaching tips and information on the candidate's motivational characteristics to help maximize their sales success and growth.
The document discusses how many companies are moving away from annual performance reviews and toward more frequent, informal check-ins between managers and employees. It argues that annual reviews primarily focus on accountability for past performance rather than improving current performance or developing future skills. Some of the benefits cited for less formal check-ins include prioritizing employee development, promoting agility in fast-changing business environments, and enhancing teamwork. However, challenges remain in aligning goals, rewarding performance, and managing feedback without traditional review systems.
The document discusses how many companies are moving away from annual performance reviews and toward more frequent, informal check-ins between managers and employees. It argues that annual reviews primarily focus on accountability for past performance rather than improving current performance or developing future skills. Some of the benefits cited for less formal check-ins include prioritizing employee development, promoting agility in fast-changing business environments, and enhancing teamwork. However, challenges remain in aligning goals, rewarding performance, and managing feedback without traditional review systems.
The document provides summaries of several case studies that demonstrate the return on investment from using the EQ-i emotional intelligence assessment tool. The case studies show that the EQ-i can predict characteristics of high performers and is useful for selection, training, development and coaching. Specifically, the EQ-i identifies emotional intelligence skills that differentiate top performers and relates these skills to increased sales, performance, customer satisfaction, and decreased attrition and training costs. The documented organizations that achieved measurable performance improvements include American Express, the US Air Force, New Zealand Telecom, a debt collection agency, and CIBC.
There is a large disconnect between public perception and corporate directors' views on CEO pay. While most of the public believes CEO pay is too high, directors believe it is appropriate. There is also disagreement on how to measure corporate performance and determine CEO contributions. Directors believe CEOs are responsible for 40% of company performance, but studies show it may be much lower. No standard model exists for determining the appropriate value sharing between CEO pay and shareholder returns. This lack of agreement means controversy over CEO compensation will likely continue.
Final Presentation NotesSlide 1(2-5 minutes)KTI lost revenue.docxAKHIL969626
Final Presentation Notes
Slide 1(2-5 minutes)
KTI lost revenue and market share over the past 3 years. Sales of tape storage units are down 35%. KTI believes it needs to reduce human capital by 25% per year while maintaining the current level of production. Jan Ricter, Vice President of Human Resources for Keller Technology Inc. and the Consulting Group are key players. Jan has asked our consulting group to determine the right mix of human capital reduction and RIF strategies for KTI. Our job as consultants is to recommend a downsizing mix that Jan can use to execute the RIF.
5 elements of an effective proposal?
Goals of Proposed Effort- The goal is to make sure the Human Capital Reduction effort process goes smoothly. We need to determine the right mix of human capital reduction strategies. We also need to develop a plan to offset the negative effects caused by the reduction.
Recommended Action Plan- We need to collect preliminary data to determine what is causing the symptoms listed above. (Company records/interview key members)
Specifications of Responsibilities
Strategy for Achieving the Desired State
Fees, terms, and conditions
Mutual expectations are the outcomes of the services that the OD is going to provide to the organization stated by the client. The client further states what to expect from consultant and processes used to pursue the goals of the proposal. Encouraging clients to state what they expect in form of personal accomplishments, working relationships and outcomes facilitates the development an ideal contract.
In any project, there are various client issues which must be handled with care for the goals of the project to be achieved. One of the client issues is usually the fear of losing control of the organization to OD practitioners. The other issue is the client being exposed and vulnerable as he has allowed OD practitioners to have access to organization’s confidential information. Therefore, these issues need to be sorted before the OD practitioner can begin working on the project.
Slide 2
The presented problem is a symptom. Something is causing KTI to lose revenue. Something is causing sales of tape storage to be down.
Slide 3
Job performance is work-related activities that are expected of an employee and how well the employee performs those activities. Job performance can be measured by looking at quality and quantity of work. Each department measures performance differently. Job performance can be evaluated weekly, monthly, quarterly, or annually; depending on the work setting. Performance can be evaluated by using performance appraisals. A performance appraisal is a human resource system designed to provide feedback to an individual or group about its performance and its developmental opportunities. The performance appraisal process can be linked to a reward system. There is also a process called performance management that involves goal setting, performance appraisal, and reward systems th ...
- The document proposes a simulation of the potential results of implementing a Total Quality Sales Management (TQSalesM) approach over 4 years at a hypothetical company.
- In year 1, implementing tools like a validation study, talent audit, and customer audit could improve sales by 10.63% and increase profits by $16.16 million by replacing underperforming salespeople.
- Years 2 and 3 see continued benefits from retaining good employees, improving training, and replacing additional underperformers, with potential sales improvements of 22.65% by year 3.
More than 80% of organizations have formal or informal onboarding programs that typically begin upon offer acceptance or the first day and last less than 8 days. Providing communication, training, and resources is seen as crucial for newcomer success. Over half of organizations cite time constraints and insufficient staffing as barriers to offering more formal onboarding activities.
Myths of Employee Engagement and Leadership | InspireOneInspireone
Big data helps bust the top three myths of employee engagement and leadership. This report has used big data to shed new light on some commonly held beliefs
This document summarizes research on strategies for effectively managing employee turnover. It finds that pay level and satisfaction are relatively weak predictors of turnover. Stronger predictors include aspects of the withdrawal process like intentions to leave, job attitudes like satisfaction and commitment, and relationships with supervisors and coworkers. The document recommends assessing and managing these factors, in addition to compensation strategies like fair pay procedures and long-term benefits vesting. Non-compensation strategies for retention include clear roles/expectations, career development opportunities, and positive workplace relationships.
Compensation benchmarking case study 2014-15Varun Tandon
This case discusses a compensation benchmarking study conducted for key players in the Indian healthcare sector in 2014-15 by SDF. Data was collected from over 21,000 employees across 5 leading healthcare providers, covering 142 unique positions across 28 departments and 7 management levels. Hospitals were classified into sizes and roles were matched based on skills, responsibilities, etc. Analysis determined the 10th-90th percentile ranges for each position. Individual salaries were also compared to market rates. The study helped participants benchmark roles and compensation levels, identify variabilities, realign structures, and derive insights to make compensation more competitive.
How Opinion About Job Performance Becomes FactMiqui Mel
This document discusses the challenges in accurately measuring corporate and executive performance to determine compensation. It summarizes interviews with business leaders, academics, and commentators who express doubt that any single executive can be largely responsible for corporate success, which depends on many factors including market conditions, competitors, existing brand strength, and work of other employees. While luck and circumstances may influence perceptions of performance, some argue shareholders can reasonably assess expectations and impact of other factors when evaluating executives. Overall it casts doubt on automatically attributing corporate results solely to executives in justifying high pay.
Experts predict a wave of employee turnover as the economy recovers from the recession.
Here are five steps you can take now to prevent your best employees from riding that wave out your door.
Watson Helsby's FTSE 100 Group Director of Corporate Communications / Affairs...Samantha Rogers
The survey found that 79% of FTSE 100 companies employ a Group Director of Corporate Communications/Affairs, down slightly from the previous year. While most (77%) report to the CEO, others report to functions like HR, strategy, or marketing. Over the past year, 28% saw their remits enlarged to include areas like sustainability or marketing. Social media/digital capabilities were the most commonly cited skills directors wanted to strengthen. 52% said corporate brand had become a more significant part of their role. Remuneration varied widely, with FTSE 20 directors averaging £400,000 compared to £218,000 for those in the lower half. Budgets were largely flat or down for most respondents.
Watson Helsby's Annual FTSE 100 Group Director of Corporate Communications/Af...Nick Helsby
Each year, to enhance our executive search advisory offer, Watson Helsby publishes a FTSE 100 Group Director of Corporate Communications/Affairs Survey. This provides an intriguing picture of everything from reporting lines and Executive Committee membership to the – ever fascinating – subject of remuneration. The 2018 Survey has just been published.
This has become the most comprehensive and insightful survey of its type, in terms of both the number of companies surveyed and the range of questions we ask/themes we investigate.
Findings include:
• 79% of FTSE 100s employ a Corporate Communications/Affairs Director, a decline year-on year of 2%.
• The percentage of FTSE 100 Corporate Communications/ Affairs Directors who are formal members of the Executive Committee has dropped to 49% this year (from 51%).
• Budgets are generally flat or down (90%). Given a number of factors, including the economic uncertainty created by Brexit. This compares with only 73% reporting flat or down in 2016/17.
• The year 2017/18 has, again, seen considerable change at the top, with 15 companies in the FTSE 100 making changes (vs. 20 the previous year and 16 the year before that). This means that 51 companies have changed their corporate communications/affairs director since 2015 or disbanded the role.
We would welcome any questions or comments.
Nick Helsby is the CEO of Watson Helsby, a specialist communications (external and internal) and corporate affairs/government relations executive search and leadership firm. He has over twenty years headhunting experience, in the UK, Europe, Middle East and Africa, placing senior communications, PR and corporate affairs professionals in some of the world’s leading organisations. He can be found at nickh@watsonhelsby.co.uk for any questions or comments.
The full report is available to download on http://www.watsonhelsby.co.uk/assets/files/FTSE_Report_2018.pdf
Watson Helsby's Annual FTSE 100 Group Director of Corporate Communications/Af...Nick Helsby
The survey found that 79% of FTSE 100 companies employ a Group Director of Corporate Communications/Affairs, down slightly from the previous year. While most (77%) report to the CEO, others report to functions like HR, strategy, or marketing. Responsibilities commonly include communications, media relations, internal communications, and corporate reporting. 28% saw their remits enlarged over the past year, often to include sustainability or marketing. Social media/digital skills were the most commonly cited area directors wanted to strengthen. Over half said the corporate brand had become more significant to their role. There was a decline in the percentage of directors on the executive committee (49%) and in female representation (39%, down from 51% last year).
Programming Foundation Models with DSPy - Meetup SlidesZilliz
Prompting language models is hard, while programming language models is easy. In this talk, I will discuss the state-of-the-art framework DSPy for programming foundation models with its powerful optimizers and runtime constraint system.
Your One-Stop Shop for Python Success: Top 10 US Python Development Providersakankshawande
Simplify your search for a reliable Python development partner! This list presents the top 10 trusted US providers offering comprehensive Python development services, ensuring your project's success from conception to completion.
The assessment measures a candidate's skills and tendencies for a new business development role through a personality assessment. It provides percentile scores for 140 skills compared to other salespeople. Scores above 70% are considered strong, with the ideal candidate having multiple skills above 70% and none below 40%. Weak areas are highlighted along with coaching tips. The assessment also evaluates motivational characteristics to help maximize motivating the candidate. The job involves selling to new customers through face-to-face meetings with the goal of expanding business. Hunters excel at continuously finding new opportunities and promoting benefits to prospects.
BALLARD INTEGRATED MANAGED SERVICES, INC. PART 2TEAM CINST.docxikirkton
BIMS is experiencing high employee turnover, low morale, and more hospital complaints. To address this, they conducted an anonymous survey of employees to understand satisfaction levels with areas like compensation, training, management, and job security. The 17.3% response rate indicates low morale. The survey included qualitative and quantitative questions to understand employee perceptions and behaviors. BIMS used different measurement levels like nominal, ordinal, and interval to code and analyze the data. However, the data needs scrubbing to address inaccuracies before presenting findings to management.
The document provides information about a career development program and assessment offered by the Sales Education Foundation and Chally Group Worldwide. The assessment is designed to help salespeople identify what type of sales role would be most suitable for them. It describes what the assessment measures, how it is scored, how long it takes to complete, and how the results are used. The assessment aims to match salespeople with major sales forces based on the skills and qualities that are the best predictive fit for success in a given role.
HUMAN PERFORMANCE
Why we hate performance management–—And why
we should love it
Herman Aguinis *, Harry Joo, Ryan K. Gottfredson
Kelley School of Business, Indiana University, 1309 E. Tenth Street, Bloomington, IN 47405-1701, U.S.A.
Business Horizons (2011) 54, 503—507
www.elsevier.com/locate/bushor
KEYWORDS
Performance
management;
Strategic goals;
Appraisal;
Feedback;
Coaching;
Human resources
Abstract Individual performance is a building block of organizational success. Not
surprisingly, virtually all organizations have in place some type of performance
management system. Yet, managers and employees are equally skeptical that per-
formance management adds value; usually, it is seen as a waste of time and resources.
We argue that the potential benefits of performance management are not realized
because most systems focus exclusively on narrow and evaluative aspects such as
performance appraisal. Herein, we offer a broader view of performance manage-
ment, including discussion of how it differs from performance appraisal. We highlight
specific and important benefits of performance management for employees, man-
agers, and organizations. We also describe research-based conclusions regarding how
performance management systems should be designed and implemented to realize
these benefits. We hope our article will demonstrate that well-constructed perfor-
mance management systems should not be hated, but rather embraced.
# 2011 Kelley School of Business, Indiana University. All rights reserved.
1. Introduction
As noted by former Siemens CEO Heinrich von Pierer,
‘‘whether a company measures its workforce in
hundreds or hundreds of thousands, its success relies
solely on individual performance’’ (Bisoux, 2004).
This view is held by many; Heinrich von Pierer is
certainly not alone in this train of thought. Results of
a survey including senior executives from the Sun-
day Times list of best employers in the United
Kingdom indicated that performance management
is one of the top two most important human re-
source management functions in their organiza-
tions. Management scholars agree (Liu, Combs,
* Corresponding author.
E-mail address: [email protected] (H. Aguinis).
0007-6813/$ — see front matter # 2011 Kelley School of Business, I
doi:10.1016/j.bushor.2011.06.001
Ketchen, & Ireland, 2007; Platts & Sobótka,
2010). Accordingly, virtually all organizations–—
ranging from universities to governmental and pub-
licly traded firms–—implement some type of system
to assess the performance of individual workers. In
fact, results of a survey of 278 organizations, about
two-thirds of which are multinational corporations
from 15 different countries, showed that more than
90% implement a formal performance management
system (Cascio, 2006). Despite the popularity of
performance management systems, dozens of stud-
ies indicate the consistent result that firms are not
managing employee performance very well. Specif-
ically, only 3 in 10 employees believe t ...
The document provides information about a career development program and assessment offered by the Sales Education Foundation and Chally Group Worldwide. The assessment evaluates individuals' skills and motivation to help identify sales roles that would be a good fit. It measures over 140 skills through questionnaires that take 60-90 minutes to complete. The results are provided along with coaching tips and information on the candidate's motivational characteristics to help maximize their sales success and growth.
The document discusses how many companies are moving away from annual performance reviews and toward more frequent, informal check-ins between managers and employees. It argues that annual reviews primarily focus on accountability for past performance rather than improving current performance or developing future skills. Some of the benefits cited for less formal check-ins include prioritizing employee development, promoting agility in fast-changing business environments, and enhancing teamwork. However, challenges remain in aligning goals, rewarding performance, and managing feedback without traditional review systems.
The document discusses how many companies are moving away from annual performance reviews and toward more frequent, informal check-ins between managers and employees. It argues that annual reviews primarily focus on accountability for past performance rather than improving current performance or developing future skills. Some of the benefits cited for less formal check-ins include prioritizing employee development, promoting agility in fast-changing business environments, and enhancing teamwork. However, challenges remain in aligning goals, rewarding performance, and managing feedback without traditional review systems.
The document provides summaries of several case studies that demonstrate the return on investment from using the EQ-i emotional intelligence assessment tool. The case studies show that the EQ-i can predict characteristics of high performers and is useful for selection, training, development and coaching. Specifically, the EQ-i identifies emotional intelligence skills that differentiate top performers and relates these skills to increased sales, performance, customer satisfaction, and decreased attrition and training costs. The documented organizations that achieved measurable performance improvements include American Express, the US Air Force, New Zealand Telecom, a debt collection agency, and CIBC.
There is a large disconnect between public perception and corporate directors' views on CEO pay. While most of the public believes CEO pay is too high, directors believe it is appropriate. There is also disagreement on how to measure corporate performance and determine CEO contributions. Directors believe CEOs are responsible for 40% of company performance, but studies show it may be much lower. No standard model exists for determining the appropriate value sharing between CEO pay and shareholder returns. This lack of agreement means controversy over CEO compensation will likely continue.
Final Presentation NotesSlide 1(2-5 minutes)KTI lost revenue.docxAKHIL969626
Final Presentation Notes
Slide 1(2-5 minutes)
KTI lost revenue and market share over the past 3 years. Sales of tape storage units are down 35%. KTI believes it needs to reduce human capital by 25% per year while maintaining the current level of production. Jan Ricter, Vice President of Human Resources for Keller Technology Inc. and the Consulting Group are key players. Jan has asked our consulting group to determine the right mix of human capital reduction and RIF strategies for KTI. Our job as consultants is to recommend a downsizing mix that Jan can use to execute the RIF.
5 elements of an effective proposal?
Goals of Proposed Effort- The goal is to make sure the Human Capital Reduction effort process goes smoothly. We need to determine the right mix of human capital reduction strategies. We also need to develop a plan to offset the negative effects caused by the reduction.
Recommended Action Plan- We need to collect preliminary data to determine what is causing the symptoms listed above. (Company records/interview key members)
Specifications of Responsibilities
Strategy for Achieving the Desired State
Fees, terms, and conditions
Mutual expectations are the outcomes of the services that the OD is going to provide to the organization stated by the client. The client further states what to expect from consultant and processes used to pursue the goals of the proposal. Encouraging clients to state what they expect in form of personal accomplishments, working relationships and outcomes facilitates the development an ideal contract.
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Slide 2
The presented problem is a symptom. Something is causing KTI to lose revenue. Something is causing sales of tape storage to be down.
Slide 3
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We would welcome any questions or comments.
Nick Helsby is the CEO of Watson Helsby, a specialist communications (external and internal) and corporate affairs/government relations executive search and leadership firm. He has over twenty years headhunting experience, in the UK, Europe, Middle East and Africa, placing senior communications, PR and corporate affairs professionals in some of the world’s leading organisations. He can be found at nickh@watsonhelsby.co.uk for any questions or comments.
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Overview
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1. Introduction
That there is a war for talent in today’s economy is an understatement. The figures are familiar:
The U.S. Bureau of Labor Statistics noted the December 2021 unemployment rate was 3.9%,
very close to pre-pandemic levels. Two analysts from Jefferies Financial Group call today’s
employment conditions, “a labor market on fire.”1
A cornerstone of attracting and retaining talent is building employee engagement.
Engagement is reflected in employee perceptions of company attributes such as leadership
and integrity. Positive perceptions create trust between management and employees that lead
to engagement. Why does employee engagement matter? Organizations with highly engaged
employees enjoy on average 21% higher profitability, 17% increased productivity and 41% lower
absenteeism.2,3
As companies compete for talent, management teams typically look at their peers, manufac-
turing companies competing with other manufacturers, for example. But they might do better
to look at companies that have successfully built engagement. One group of companies often
overlooked are organized with a very different structure than the typical profit-driven enterprise:
B Corporations. B Corps are organized around three bottom lines: people, planet and profit.
Aniline measures employee perceptions publicly available on a wide range of social media
platforms. We use natural language processing to convert employee perceptions into structured
data that can be analyzed quantitatively. We were interested in applying our methodology to
study employee engagement levels at the Fortune 100 versus B Corps.
Our key takeaway: B Corps often outperform the Fortune 100, despite often being smaller and
less-resourced companies.
Read on to see our findings.
1 https://finance.yahoo.com/news/u-road-1950s-style-unemployment-111418196.html
2 https://news.gallup.com/poll/241649/employee-engagement-rise.asp
3 https://www.gallup.com/workplace/236366/right-culture-not-employee-satisfaction.aspx
Fortune 100 vs. B Corps:
A Study in Employee
Engagement
2. A Study in Employee Engagement
2
Methodology
The research includes 50 B Corps, each of which received at least 200 publicly available
employee reviews and all of the Fortune 100, each of which had at least 3,000 publicly available
reviews. We conducted the research in February 2022 based on reviews over the two-year
period January 1, 2020 through December 31, 2021.
Aniline tracks employee sentiment across nine categories. Brief definitions of each category are
here; more complete definitions are included in the analysis below.
• Integrity - Reflects employee sentiment about trust and fairness within the company.
• Leadership - How employees perceive leaders across all aspects of supervision and
management.
• DEI - Demonstrates employees’ views on Diversity, Equity and Inclusion (DEI) policy,
execution and commitment to women, minorities, LGBTQIA+ and other marginalized
groups.
• Workplace - Feelings about the overall work environment: physical, virtual and cultural.
• Career - Employees’ perceptions of the company’s environment regarding career
development and related capabilities.
• Work/Life Balance - Reflects employee sentiment regarding separating work from other
commitments and pursuits, e.g., providing adequate time to disconnect from work.
• Compensation - Views concerning the fairness and competitiveness of the compensation
programs.
• Benefits - Employee opinions on how they feel about the value and adequacy of the
employee benefit programs.
• Hiring - Concerns employee thoughts regarding the hiring process, e.g., was it fair and
efficient?
This analysis includes results first across all categories in the aggregate and then of each
category individually. We include a review of quartiles to offer a complete picture of how
employees of B Corps evaluate their organizations versus Fortune 100 employees. These scores
are on a scale of 0 to 100. More details on the Aniline process are at the end of this report.
Executive Summary
As the principal finding of this research, it is remarkable that B Corps are competitive and
in many instances surpass Fortune 100 companies in employees’ assessments of critical factors
such as leadership and integrity. It demonstrates that balance on people, planet and profits
based on the three tenets of performance, accountability and transparency are a potent
combination to attract and retain high-quality talent.
When looking at quartile scores, among the 25% quartile (weakest performing companies
in a given category) Fortune 100 companies were stronger in nearly every category. However,
when looking at 75% quartile scores (strongest performing companies) B Corps outperformed
the Fortune 100 in every category save two.
3. A Study in Employee Engagement
3
It is remarkable that B Corps are competitive and in many instances surpass Fortune
100 companies in employees’ assessments of critical factors such as leadership and
integrity.
B Corps Outpace the Fortune 100
in Most Employee Engagement Categories
Definition
The Aniline Index is the average of the nine individual Aniline category scores (Leadership,
Integrity, etc.), representing an overall measure of employee perception.
Results Review
Despite Fortune 100 companies having vastly more HR and related resources to improve
employee engagement, B Corps and Fortune 100 companies earned almost exactly the same
Aniline Index scores, with B Corps achieving an average score of 69, while the Fortune 100
earned an average of 71.
Table 1 sets out these results together with the highest and lowest scores from the nine
categories:
Table 1: Average Scores for Select Sentiment Categories
Category B Corps Fortune 100
Composite (Aniline Index) 69.0 71.0
Highest Score Benefits: 87.7 Benefits: 90.5
2nd Highest Score Workplace: 86.7 Workplace: 89.9
3rd Highest score Career, Work Life Balance (tie):
72.0
Career: 78.7
Lowest Score Compensation: 53.8 Integrity: 54.2
2nd Lowest Score DE&I: 59.9 Leadership: 56.6
3rd Lowest Score Integrity: 60.9 DE&I: 60.7
The fact that high average scores are registered in the same three categories - Benefits, the
Workplace, and Career - in both B Corps and the Fortune 100 suggests that these elements
of employee perception are not a driver of differentiation. As we will explore in the examina-
tions of specific categories, the lowest average scores for B Corps (Compensation) versus
the Fortune 100 (Integrity) is indicative of some innate differences between how employees
perceive the two types of organizations.
These averages also distort results by diluting the results of top performers with the lower
scores, masking the distribution of scores among the continuum of results. We found that
by looking at quartile groups - that is, the bottom 25%, the next 25%, and so on - the top
performing B corps outperform the top performing Fortune 100 companies in all but one
of the nine employee perception categories, and most notably in critical areas indicative
of employee engagement and overall performance: Integrity and Leadership.
4. A Study in Employee Engagement
4
Table 2: Results of quartile groupings for the Aniline Index; each category will be presented
in this form for further analysis.
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Bottom Quartile Group
Average
49.8 59.3 (9.5)
2nd Quartile Group
Average
62.8 68.1 (5.3)
3rd Quartile Group
Average
75.0 74.6 0.4
Top Quartile Group
Average
88.5 82.1 6.4
Analysis
• Despite typically being younger and smaller companies, sometimes with less experienced
management and fewer resources for activities not directly related to product devel-
opment or sales, B Corps punch above their weight. The same management thinking that
drove participating in the B Corp process very possibly is also reflected in their leadership
style and trust generated with employees.
• While B Corps and Fortune 100 companies earned the highest scores in the same
categories (Benefits, Workplace and Careers), we believe employees’ expectations differ
among the two groups of companies, i.e., Careers to B Corp employees is more likely
to focus on fulfilling a mission versus a Fortune 100 employee that is focused on promotion
and remuneration.
• While initially it may be counterintuitive that DEI was among B Corps’ lowest scores,
it is our opinion this reflects the needs of most organizations to make more substantial
progress in this area. It is also worth noting that despite the lower score, B Corps were
statistically even with Fortune 100 companies in this category.
Despite typically being younger and smaller companies, sometimes with less
experienced management and fewer resources for activities not directly related
to product development or sales, B Corps punch above their weight.
5. A Study in Employee Engagement
5
Aniline Integrity Scores
Definition
The Integrity score reflects employee sentiment about the company’s cultural DNA concerning
trustworthiness, honesty and fairness in the way it treats its people, vendors, suppliers and
partners.
Results Review
B Corps outperform Fortune 100 companies on Integrity scores. We were not surprised given
that progressive policies around people is a central tenet of B Corps. What is somewhat
surprising is that the difference between the two groups of companies increases to more than
20 points when looking at the top quartile.. This difference shrinks when looking at the 2nd
quartile group and reverses when looking at the bottom quartile of companies (22.9 for B Corps
versus 35.8 for the Fortune 100).
Table 3: Quartile Results for Integrity Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 60.9 54.2 6.7
Bottom Quartile Group
Average
22.9 35.8 (12.9)
2nd Quartile Group
Average
49.1 48.0 1.1
3rd Quartile Group
Average
77.7 59.5 18.2
Top Quartile Group
Average
94.3 73.5 20.8
Analysis
• Integrity scores are among the lowest across the nine categories for both B Corps and
Fortune 100 companies, indicating relatively low concentration of positive sentiment
in relation to negative sentiment. It appears there is a shift in trust driven by the changing
relationship between employers and employees. Given the current labor shortage, greater
access to information and word of mouth enjoyed by employees, more information about
employers on reviews sites and social media, employees have much deeper insights into
their employers than they have in the past. Contributing to the change in the relationship
has been the long period of working remotely, which has caused employees to feel
disconnected while complicating the ability of employers to build trust and engagement.
• There is more homogeneity among Integrity scores for the Fortune 100 versus B Corps.
The difference between the top and bottom quartile group averages for the Fortune 100
is 37 while among B Corps, it’s 71, nearly double. This indicates that there is significant
weakness in employees’ opinions regarding integrity among the lowest quartile of B Corps,
suggesting some disillusionment may exist among B corp employees.
6. A Study in Employee Engagement
6
Given the current labor shortage, greater access to information and word of mouth
enjoyed by employees, more information about employers on reviews sites and social
media, employees have much deeper insights into their employers than they have
in the past.
Aniline Leadership Scores
Definition
The Leadership score is based upon employee sentiment regarding how leaders are perceived
concerning all aspects of leadership including vision, communication, execution, and
professionalism for line management and C-suite executives.
Results Review
B Corps outperformed the Fortune 100 companies in Leadership scores; B Corps also surpassed
the Fortune 100 in all but the bottom quartile. It is not surprising to us that B Corps performed
well in Leadership: the process of becoming a B Corp requires a strong vision for an organi-
zation and the ability to work within an organization to demonstrate the value of the B Corp
process and certification.
Table 4: Quartile Results for Leadership Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 64.8 56.6 8.2
Bottom Quartile Group
Average
32.7 36.4 (3.7)
2nd Quartile Group
Average
54.8 50.0 4.8
3rd Quartile Group
Average
77.4 62.4 15.0
Top Quartile Group
Average
94.3 77.4 16.9
Analysis
• It’s clear employees at B Corps are enthusiastic about their organizations’ leadership. The
difference in scores between B Corps and the Fortune 100 is 8.2, the second highest of the
nine categories. In the top quartile, the spread is 16.9, the largest of the nine categories
except for Integrity.
• Once again, the bottom quartile of B Corps diluted the average score, but even so, were
statistically close to equal of the Fortune 100 companies.
7. A Study in Employee Engagement
7
It is not surprising to us that B Corps performed well in Leadership: the process
of becoming a B Corp requires a strong vision for an organization and the ability
to work within an organization to demonstrate the value of the B Corp process
and certification.
Aniline DEI Scores
Definition
The Diversity, Equity and Inclusion score reflects employee sentiment in areas such as DEI
policy, execution and commitment to women, minorities, LGBTQIA+ and other marginalized
groups in providing a fair, equitable and respectful workplace based on merit.
Results Review
DEI was the second-weakest performing category for B Corps and the third-weakest for Fortune
100 companies in terms of average scores. Only in Compensation did B Corps perform less
strongly, while among the Fortune 100, only Integrity and Leadership were below DEI. Fortune
100 companies were statistically tied with B Corps on average Aniline scores for DEI, as they are
for two of the quartile scores. Once again, the B Corps’ focus on “people” as part of the certifi-
cation process is likely responsible for the B Corps’ relatively high performance in DEI.
Table 5: Quartile Results for DEI Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 59.9 60.7 (0.8)
Bottom Quartile Group
Average
39.3 48.8 (9.5)
2nd Quartile Group
Average
52.8 52.8 --
3rd Quartile Group
Average
65.3 60.0 5.3
Top Quartile Group
Average
82.2 81.2 1.0
Analysis
• Both B Corps and Fortune 100 companies need to undertake more or different initiatives
to improve these scores, which indicate that many employees do not believe management
teams are doing enough to address these issues.
B Corps’ focus on “people” as part of the certification process is likely responsible
for the B Corps’ relatively high performance in DEI.
8. A Study in Employee Engagement
8
Aniline Workplace Scores
Definition
The Workplace score reflects employee sentiment concerning the overall work environment:
physical, virtual and cultural. It includes such aspects as collegiality, collaboration, teamwork,
physical workspace and worker safety.
Results Review
B Corps and Fortune 100 companies scored approximately evenly on Workplace scores.
Only in the bottom quartile of companies did the Fortune 100 outpace B Corps. In the other
quartiles, the two groups of companies were statistically equal. Workplace earned the second-
highest score from B Corp and Fortune 100 employees, just behind Benefits in average scores.
Workplace is clearly an area of strength for both groups of companies.
Table 6: Quartile Results for Workplace Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 86.7 89.9 (3.2)
Bottom Quartile Group
Average
64.5 77.4 (12.9)
2nd Quartile Group
Average
88.8 90.8 (2.0)
3rd Quartile Group
Average
95.7 94.4 1.3
Top Quartile Group
Average
98.7 97.0 1.7
Analysis
• It is likely motivators for these scores are different for B Corp versus Fortune 100 employees.
Fortune 100 employees are perhaps more driven by attractive workplaces, up-to-date
technology and other tangibles. B Corp employees are perhaps more enthusiastic about
collaboration and working toward common goals. Further study of these attributes could
reveal such distinctions, as in our piece “An Employee Perception Analysis of DE&I in the
Fortune 100” (https://www.aniline.io/blog/dei-leadership).
• As with other scores, the Fortune 100 are more homogeneous in their employee
sentiment. The difference between their top and bottom quartiles is under 20 points,
whereas it is just over 34 points for B Corps, indicating once again that poorer-performing
B Corps drag down average scores.
Workplace is clearly an area of strength for both groups of companies. It is likely
motivators for these scores are different for B Corp versus Fortune 100 employees.
9. A Study in Employee Engagement
9
Aniline Career Scores
Definition
The Career score is based on employee sentiment concerning how employees perceive the
company’s environment regarding career development, advancement opportunities, growth,
learning and training.
Results Review
Fortune 100 companies achieved a higher average score for Careers than B Corps. This is due
to the weak scores among B Corps in the bottom two quartiles. In the top quartile, B Corps
pull slightly ahead. Scores for engagement regarding Careers are among the higher of the nine
Aniline categories. It indicates that employees in each group believe their prospects for factors
such as career advancement and learning are strong.
Table 7: Quartile Results for Career Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 72.0 78.7 (6.7)
Bottom Quartile Group
Average
42.5 63.7 (21.2)
2nd Quartile Group
Average
68.3 77.3 (9.0)
3rd Quartile Group
Average
82.7 83.5 (0.8)
Top Quartile Group
Average
95.2 90.4 4.8
Analysis
• It is likely each group has distinct reasons for giving their employers high Career scores.
For the Fortune 100, it is more likely the opportunity for career advancement, promotions
and salary increases. For B Corps, it’s more likely the opportunity to fulfill goals to achieve
a better balance between people, planet and profit.
• In this category as well, the difference between the top and bottom quartiles is much
larger for B Corps than the Fortune 100.
Scores for engagement regarding Careers are among the higher of the nine Aniline
categories. It indicates that employees in each group believe their prospects for
factors such as career advancement and learning are strong.
10. A Study in Employee Engagement
10
Aniline Work Life Balance Scores
Definition
The Work Life Balance score reflects employee sentiment regarding how well the company
allows for adequate time to disconnect from work responsibilities for family and personal
interests, to refresh and recharge.
Results Review
B Corps and Fortune 100 companies scored statistically evenly on average scores, with B Corps
eking out a slight advantage among top quartile companies and the Fortune 100 pulling
slightly ahead in the bottom quartile. In this category, the B Corps’ top quartile did not outpace
the Fortune 100 significantly, nor did the bottom quartile drag down the average as signifi-
cantly as it has in other categories. Sentiments reflected in the top quartile of both B Corps and
Fortune 100 are very enthusiastic, B Corps’ and Fortune 100 top quartile scores exceed their
respective averages by more than 20 points.
Opinions on the bottom quartile are quite negative for both types of organizations. For B Corps,
the bottom quartile is almost 25 points below the average and nearly 50 points below the top
quartile. Similarly for the Fortune 100, bottom quartile scores are 19 points below the average
and 41 points below the top quartile.
Table 8: Quartile Results for Work Life Balance Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 71.4 71.1 0.3
Bottom Quartile Group
Average
46.8 52.0 (5.2)
2nd Quartile Group
Average
61.3 63.6 (2.3)
3rd Quartile Group
Average
82.3 75.4 6.9
Top Quartile Group
Average
95.3 93.6 1.7
Analysis
• Employees at both groups of companies have nearly identical sentiment about work life
balance at their organizations. Of course, that balance may actually be quite different
among companies.
• It appears management teams at many B Corps and Fortune 100 companies understand
the importance of creating a positive work life balance to attract and retain employees.
• However, given that average scores are in the middle among other Aniline categories and
bottom quartile scores are quite low, there is significant room for improvement.
11. A Study in Employee Engagement
11
It appears management teams at many B Corps and Fortune 100 companies
understand the importance of creating a positive work life balance to attract and
retain employees. However, given that average scores are in the middle among other
Aniline categories and bottom quartile scores are quite low, there is significant room
for improvement.
Aniline Compensation Scores
Definition
The Compensation scores reflect employee sentiment concerning the adequacy, fairness and
competitiveness of the compensation programs. Do they reflect a fair value exchange for work
and contribution to value?
Results Review
The most dramatic differences in sentiment occur in the Compensation category, both
between B Corps and Fortune 100, and within the quartiles. The B Corp average score of 53.8
was the lowest for any B Corp category (the next lowest being 59.9 for the DEI average score),
15 points below the B Corp Aniline Index score of 69.0 and nearly 20 points below the Fortune
100 Compensation average score of 72.9.
The difference between the top and bottom quartile group averages is also quite wide: 65
points for B Corps and 40 points for the Fortune 100.
Table 9: Quartile Results for Compensation Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 53.8 72.9 (19.1)
Bottom Quartile Group
Average
22.3 50.7 (28.4)
2nd Quartile Group
Average
44.0 67.8 (23.8)
3rd Quartile Group
Average
61.0 81.9 (20.9)
Top Quartile Group
Average
87.7 91.1 (3.4)
Analysis
• Within B Corps there is a misalignment of expectations between management and
employees, especially in the second and bottom quartiles. This poor showing is surprising
since prospects and employees know their organizations are often mission-driven, and
consequently in these organizations compensation expectations are naturally lower than
profit-focused companies.
• However, many of the B Corps are smaller companies and work in industries, such as retail,
where compensation for positions in sales can be quite low, so lower Compensation scores
are understandable.
12. A Study in Employee Engagement
12
• It is less surprising that the Fortune 100 companies scored at close to the overall average
score (the Aniline Index) in Compensation. The list is somewhat weighted toward tech
companies, where compensation tends to be higher than other industry averages.
Within B Corps there is a misalignment of expectations between management and
employees, especially in the second and bottom quartiles. This poor showing is
surprising since prospects and employees know their organizations are often mission-
driven.
Aniline Benefits Scores
Definition
The Benefits score reflects employee sentiment concerning how people feel about the value
and adequacy of the employee benefit programs to meet their needs throughout their life
cycle.
Results Review
Benefits received the strongest employee endorsement among B Corps, earning an 87.7
average score. This score surpasses the B Corp Aniline Index score of 69.0 by almost 19 points.
There are also very high scores in all quartiles, even the bottom quartile that has negatively
impacted other B Corp category scores.
The Fortune 100 companies enjoyed similarly strong sentiment results. The 90.5 average score
is statistically tied with the Fortune 100’s Workplace score of 89.9 and is 19 points above the
Aniline Index average of 71.0.
Table 10: Quartile Results for Benefits Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 87.7 90.5 (2.8)
Bottom Quartile Group
Average
65.3 74.3 (9.0)
2nd Quartile Group
Average
89.8 91.7 (1.9)
3rd Quartile Group
Average
97.5 97.1 0.4
Top Quartile Group
Average
99.3 99.0 0.3
13. A Study in Employee Engagement
13
Analysis
• Both types of organizations achieved remarkably strong scores from employees for
Benefits. This is surprising given the much lower scores for Compensation, especially
among B corps.
• These scores indicate management teams at both types of organizations have listened
to employees and provided benefits programs that very successfully meet employee needs.
Both types of organizations achieved remarkably strong scores from employees for
Benefits. This is surprising given the much lower scores for Compensation, especially
among B corps.
Aniline Hiring Scores
Definition
The Hiring score reflects employee sentiment regarding the hiring process. Was it fair and
efficient? Was the job ultimately reflective of the description once they were hired?
Results Review
Hiring category average scores for B Corps were 63.9, five points below the B Corp Aniline Index
composite average. While top quartile scores are strong, all other quartile scores fell under the
Aniline Index average of 69, indicating hiring practices by a large number of B Corps need to be
reconsidered.
Among the Fortune 100 companies, a similar pattern emerges. The average score for Hiring
of 64.5 is about seven points below the Aniline Index score of 71.0, and all but the top quartile
had scores below the composite average.
Table 11: Quartile Results for Hiring Category
Category B Corps Fortune 100
Outperformance /
(Underperformance) of
B Corps vs. Fortune 100
Category Average 63.9 64.5 (0.6)
Bottom Quartile Group
Average
44.6 52.2 (7.6)
2nd Quartile Group
Average
54.1 56.8 (2.7)
3rd Quartile Group
Average
66.4 66.6 (0.2)
Top Quartile Group
Average
89.9 82.4 7.5
14. A Study in Employee Engagement
14
Analysis
• It is not surprising to us that Hiring scores are a weak spot for both types of companies. It
is a tremendous undertaking to overhaul hiring processes to ensure there is no bias in job
descriptions, the interview process and other areas, as well as to ensure diversity represen-
tation. It is a testament to B Corps, which by definition work toward the triple bottom line
of people, planet and profit, that often with significantly fewer resources than Fortune 100
companies are able to perform on approximate parity - and where the best performers
from the Top Quartile are receiving high praise from the labor markets.
• Fortune 100 companies have an added burden that with offices around the world and
in many U.S. states, they often have to tailor hiring practices to each location.
It is not surprising to us that Hiring scores are a weak spot for both types of
companies. It is a tremendous undertaking to overhaul hiring processes to ensure
there is no bias in job descriptions, the interview process and other areas, as well
as to ensure diversity representation
Conclusion
Talent is the cornerstone for success in today’s knowledge economy. To attract and retain the
talent best suited for an organization, management must clearly define company mission
and values, demonstrate the leadership to successfully progress in these areas, and do so with
integrity. Whether a company with a traditional corporate structure or a B Corp —gaining and
maintaining detailed, quantifiable measures of employee sentiment will enable management
to gain a forensic understanding of how employees view their organizations, as well as their
peers. These metrics enable management to adjust policies and practices to attract and retain
employees in today’s hypercompetitive talent marketplace.
For organizations especially focused on their people, as well as interested in protecting the
planet but continuing to earn reasonable profits, Aniline scores show the B Corp certification
process and guidelines clearly achieve strong results. B Corps, while typically less resourced
than the Fortune 100, consistently earned employee sentiment scores that matched or
surpassed the Fortune 100.
B Corp certification is recognition that an organization is meeting very specific standards
of verified performance, accountability and transparency in areas ranging from employee
benefits and charitable giving to supply chain practices and input materials. The values that
B Corps hold enable them to build trust with consumers, communities, suppliers and most
importantly in today’s environment - employees. While B Corp certification may not be relevant
for every organization, it clearly provides a model for embedding purpose in the employee
value proposition for any organization eager to attract and retain employees in today’s talent
environment.
15. A Study in Employee Engagement
About Aniline
Aniline measures employee perceptions publicly available on a wide range of social media
platforms. We track sentiment across nine categories including Integrity, Leadership, DEI,
Workplace, Career, Work/Life Balance, Compensation, Benefits and Hiring. Aniline aggregates
millions of narrative employee reviews, scans them and runs them through a proprietary natural
language processing (NLP) platform that provides statistical analysis and converts reviews into a
100-point index for each of the nine categories. All perceptions are updated monthly for 70,000
companies where English language employee reviews are readily available.