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MOVING BEYOND EMPLOYEE ENGAGEMENT: THE EMPLOYEE EXPERIENCE INDEX

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MOVING BEYOND EMPLOYEE ENGAGEMENT: THE EMPLOYEE EXPERIENCE INDEX

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Employee engagement is often viewed as the proxy for employee well-being. The line of thinking is that if engagement is good, that means employees are good, resulting in better business outcomes for employers. But is employee engagement the best construct that employers should use to positively impact productivity and performance?

New research suggests while engagement is important, it’s only one piece of the broader picture — the entire employee experience. In reality, people want to work for a company that allows them to bring their full selves to grow and thrive. Creating this kind of workplace goes beyond just ensuring that employees are engaged — discovering the ingredients that create the most positive employee experience, then creating the conditions to cultivate them. When companies enhance the employee experience, business benefits directly.

Join Chief Learning Officer magazine and BetterUp for a lively discussion where we’ll discuss:

Key findings from our research of more than 17,000 workers.
What the Employee Experience Index is, and why you’ll want to use it.
Why the EX Index will change how you think about traditional learning & development.
Strategies for optimizing six key experience areas for better business outcomes.

Employee engagement is often viewed as the proxy for employee well-being. The line of thinking is that if engagement is good, that means employees are good, resulting in better business outcomes for employers. But is employee engagement the best construct that employers should use to positively impact productivity and performance?

New research suggests while engagement is important, it’s only one piece of the broader picture — the entire employee experience. In reality, people want to work for a company that allows them to bring their full selves to grow and thrive. Creating this kind of workplace goes beyond just ensuring that employees are engaged — discovering the ingredients that create the most positive employee experience, then creating the conditions to cultivate them. When companies enhance the employee experience, business benefits directly.

Join Chief Learning Officer magazine and BetterUp for a lively discussion where we’ll discuss:

Key findings from our research of more than 17,000 workers.
What the Employee Experience Index is, and why you’ll want to use it.
Why the EX Index will change how you think about traditional learning & development.
Strategies for optimizing six key experience areas for better business outcomes.

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MOVING BEYOND EMPLOYEE ENGAGEMENT: THE EMPLOYEE EXPERIENCE INDEX

  1. 1. #CLOwebinar The presentation will begin at the top of the hour. A dial in number will not be provided. Listen to today’s webinar using your computer’s speakers or headphones. Welcome to the webinar!
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  5. 5. Evan Sinar, PhD | September 18, 2019 Ready to Move Beyond Engagement?
  6. 6. Evan Sinar PhD Head of Assessments, BetterUp Today’s speaker
  7. 7. 7 Voluntary turnover has hit an all-time high.
  8. 8. 8 Job openings, hires, and quits reached historic highs in 2018.* *Source: Bureau of Labor Statistics, Job Openings and Labor Turnover Survey, 2019
  9. 9. 9 Voluntary turnover rates have soared over the past decade. 3.4M 1.5M 2009 2019
  10. 10. 10 Massive investments on leaders responsible for controlling turnover. 10%$240BSpent globally on L&D annually Is effective
  11. 11. 11 The way we organize ourselves is going through a dramatic change. Ideas and innovation are now driven from the front line. Command and control T H E O L D W A Y Agile and innovative T H E N E W W A Y
  12. 12. 12 $21,000 $18,000 Employees crave meaningful work. Mortgage Meaningful Work Employees would sacrifice 23% of future earnings—an average of $21,000 a year—for work that is meaningful
  13. 13. 13 A more person-centric approach to defining and driving employee experience is needed.
  14. 14. “ The vast majority of organizations have failed to address the impact of personal influences and issues on employee effectiveness and engagement. – Gartner* 14 *Source: Gartner “Cool Vendors in HCM: Enhancing Employee Experience,” 2019
  15. 15. 15 Solving the whole problem requires considering the whole person Learning (Days) Learning (Days) Doing (Weeks to months) Being (Months) Assess and onboard Practice and coach Progress and measure Awareness •  Self-awareness increases •  Psychological resources develop Growth •  New mindsets and behaviors take shape Impact •  Individual well-being, performance, and organizational impact
  16. 16. 16 A science-based view of employee experience Learning (Days) Assess and onboard Research based on 17,500 working professionals spanning levels, industries, and functions. 18 Industries 9 Major Functions
  17. 17. Six components at the core of employee experience 17
  18. 18. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees are inspired to bring their best selves to work, every day. 18
  19. 19. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees approach new challenges with a positive, growth-oriented mindset. 19
  20. 20. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees believe their work matters to and positively impacts the world around them. 20
  21. 21. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees have deep and mutually-supportive connections with the work colleagues that surround them. 21
  22. 22. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees feel and foster workplace belonging and inclusivity for self and others. 22
  23. 23. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees find their work consistently energizing, engrossing and invigorating. 23 *
  24. 24. Building trust and engagement in challenging times Navigating and thriving with change Employee Experience is maximized when… Employees find their work consistently energizing, engrossing and invigorating. 24 *
  25. 25. 25 Engagement isn’t enough.
  26. 26. 26 6x Employee experience is more than just engagement. •  The links between EX and employee productivity were six times higher than for engagement alone •  Definitions of engagement that fail to incorporate the full scope of EX fall short when put to the test against key individual and business outcomes.
  27. 27. 27 Productivity The effects of employee experience Employer NPS Turnover Intention 28% 142% 37%
  28. 28. 28 Who struggles with EX most and why?
  29. 29. 29 By industry 3.88 3.81 3.79 3.68 3.67 3.65 Information Services/ Data Processing Healthcare Software and Programming Automotive Government Retail Technology and healthcare are strongest, retail and government weakest Employees in IT are 2.4x more likely to have a strong EX than workers in retail
  30. 30. 30 By function Technology is strongest, sales weakest 27% fewer sales employees report a high-quality EX compared to IT 3.88 3.86 3.71 3.70 Information Technology Human Resources Operations Sales
  31. 31. 31 Leaders are benefiting from a positive EX, but rarely cultivating it for others. 4.00 3.81 3.74 3.63 Managers of Managers Direct Manager Overall Average Individual Contributor
  32. 32. 32 What Doesn’t Drive EX?
  33. 33. 33 Tenure with a company is no guarantee. Only 2% difference between tenure groups
  34. 34. Remote work is no panacea. Workers who interact equally with colleagues remotely AND in person are 1.7X more likely to have a high EX than those who interact with others primarily remotely
  35. 35. Large and small companies struggle similarly with EX. Nearly identical levels of Employee Experience for companies < 100 and > 1000 employees
  36. 36. 36 How to get started.
  37. 37. 37 The impact of hyper- personalized learning With coachingWithout coaching 3.5x Employees who have worked one-on- one with a employer-provided coach for professional development are 3.5 times more likely to report at a higher Employee Experience Index.
  38. 38. betterup.co 38 Personalized leadership development at scale Enjoy anytime, anywhere 1:1 expert coaching Supplement growth with curated microlearnings Create a development plan and set goals Receive feedback and track progress over time
  39. 39. betterup.co Valid person-centric measurement that spans EX components 39
  40. 40. 40 Active tracking and benchmarking Benchmark employees across EX alongside key outcomes that matter the most to the business
  41. 41. Current state Companies continue throwing dollars at sales training yet many reps struggle with sustained quota attainment. Organizations often expect Sales Managers to do the coaching but they don’t have time/skills to coach effectively. Sales reps fall short of other functions in EX components Engagement, Purpose & Meaning, and Belonging. Case Example: Increase sales rep quota attainment – address EX gaps through personalized coaching. Solution & Impact Sales rep coaching program led with a whole- person assessment capturing data about mindsets and behaviors. Hone in on, via coaching conversations and learning resources, a rep’s standing on EX components. Personalized action plans for behavior change vs rep’s goals. Organizations receive aggregate reporting on EX and other outcomes spanning learning groups. This information used to compare between cohorts and benchmark against industry peers.
  42. 42. 42 Q & A
  43. 43. 43 Thank you CONTACT US www.betterup.co READ THE REPORT FOLLOW US JOIN US Webinar: The Business Case for Investing in Workplace Belonging with CLO Date: October 31st Time: 10:00am PT | 1:00pm ET
  44. 44. 45 APPENDIX
  45. 45. 46 Tenure with a company is no guarantee. 3.73 3.73 3.74 3.75 3.80 3.79 3.75 3.73 0-3 yrs 4-7 yrs 6-9 yrs 10-13 yrs 14-17 yrs 18-21 yrs 22-25 yrs 28-31 yrs Average
  46. 46. Authenticity Optimism Purpose & Meaning Social Connection Belonging and Engagement Behaviors Engagement Productivity Job Performance Job Satisfaction Outcomes
  47. 47. #CLOwebinar Register for the next webinar! The Leadership Challenge Tuesday, September 24, 2019 Webinars start at 2 p.m. Eastern / 11 a.m. Pacific Register for all upcoming Chief Learning Officer Webinars at clomedia.com/webinars

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