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International Conference “ А DDRESSING QUALITY OF WORK IN EUROPE”, 18-19 October 2012

International Conference “ А DDRESSING QUALITY OF WORK IN EUROPE”, 18-19 October 2012. Employees` engagement – effects on business performance and main drivers Gergana Gancheva, PhD Candidate, SU”St.Kliment Ohridski”, g_gancheva04@yahoo.com. Contents.

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International Conference “ А DDRESSING QUALITY OF WORK IN EUROPE”, 18-19 October 2012

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  1. International Conference “ АDDRESSING QUALITY OF WORK IN EUROPE”, 18-19 October 2012 Employees` engagement – effects on business performance and main driversGergana Gancheva,PhD Candidate, SU”St.Kliment Ohridski”,g_gancheva04@yahoo.com

  2. Contents • 1. Main Research Questions and Research Database – details • 2. Employee Engagement (EE) concept 2.1. Theoretical background 2.2. Employee engagement VS Other Constructs 2.3. AONHewitt definition of EE • EE – impact on company performance • EE and quality of work • Results and trends for Bulgaria • Conclusion

  3. 1. Main Research Questions&Research database 3

  4. 2. Research Questions and database How organizations in Bulgaria improve the level of engagement of their employees? Does and How EE reflects on the overall company performance and other business metrics? 360 Bulgarian companies, 13 industries 61 273 employee opinions gathered 587 top managers 4 consecutive years - 2008-2012 What are the drivers that influence employee performance in the recent years in Bulgaria? Which factors from the working environment have impact on employee engagement?

  5. The Measurement Scale Opinions were measured on a scale of 6 (1= I absolutely do not agree, 6= I totally agree), so as to force even those to voice an opinion for whom it is harder to explain/voice what they think. 6 5 4 3 2 1 Section: About the Study

  6. 2. Employee Engagement (EE) concept 6

  7. 2.1. Theoretical background 3. Employees perspective 2. Business/Management perspective 1. Academics – Kahn, Macey, Schaufeli

  8. Organisational Citizenship Behaviour (OCB) Organisational commitment Employee satisfaction Involvement Dedication 2.2. EE VS Other Constructs Employee motivation Engagement

  9. 2.3. AonHewitt definition of Engagement(1) SATISFACTION Do people like working for this company? COMMITMENT Do employees want to contribute to the success of the company? AONHewitt ENGAGEMENT Employees do want to contribute to the success of the company, and they really act upon that?

  10. Engagement is a behavior… Engagement is the state of emotional and intellectual involvement that motivates employees to do their best work.

  11. 2.3. AonHewitt definition of Engagement(cont.) Three key behaviors cumulatively indicate strong Engagement: SAY STAY STRIVE Employees consistently speak positively about the organization to co-workers, potential employees and most critically, customers (current and potential) Employees have an intense desire to be a member of the organization Employees exert extra effort and engage in work that contributes to business success

  12. 3. EE – impact on company performance 12

  13. 3.Does Engagement Really Drive Business Results? • We have identified strong and consistent links between engagement and performance measures: • Productivity and retention • Employee commitment, in-role and extra-role behavior • Customer satisfaction and loyalty • Performance • Quality • General financial results - as profitability, revenue growth, earnings per share • Multiple lines of evidence demonstrate and support this link: • Cross-Company and Employee Engagement and Motivation research • Academic research • Case studies

  14. 3.Does Engagement Really Drive Business Results? (cont.) What links have you established to employee engagement? 41% Employee turnover Productivity 28% Retention of key talent 26% Customer satisfaction or loyalty 26% 21% Absenteeism 180° / 360° manager feedback 18% 9% Financial indicators 30% % of organisations Source: Aon Hewitt Future of Engagement Study May 2010

  15. 4. EE – impact on quality of work 15

  16. 4.EE and quality of work Engaged employees …understand the organization’s objectives and their role …passionate and enthusiastic about their work …have a strong desire to be part of the organization …motivated to go above and beyond in their jobs …have significantly better outcomes

  17. 4.EE and quality of work(cont.) Senior Leadership Strong Senior Leaders Employee Value Proposition 1.Organization is considered a best place to work 2.Organization delivers on promises to employees 3.Support learning and development of employees 1.Benefit plan meets needs well 2.Recognition for accomplishments 3.Future career opportunities 4.Paid fairly Total Reward Enabling Performance 1.Tools and resources to support productivity 2.Work processes support productivity

  18. 5. Managing Engagement among Bulgarian employees 18

  19. Bulgarian employees - 2012 Colleagues and the support they get from them Physical Work environment High Satisfaction Quality of the work equipment

  20. Bulgarian employees- 2012 Career opportunities Pay and benefits Low Satisfaction Senior Leadership

  21. Thank you! 8/15/2007 21

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