Benefits of Employee Engagement.

 

Benefits of Employee Engagement. 


Active personality is a factor that captures individual differences in behavioral tendencies, show positive behavior to formulate positive situational changes. Draw from Job demand-resource framework and trait activation theory shows the benefits of employee engagement (Wang, et al 2017). Employee engagement refers to the involvement and satisfaction of individuals in an organization as well as their enthusiasm for their job (Harter, et al 2017). Ex: The CEO of Starbucks, said employees are the true ambassadors of Starbuck brand, the real merchants of romance and theater (Howard, 2012).

The high degree of engagement among employees brings many benefits. According to (Lockwood, 2007) employee engagement can promote talent retention, ensure outstanding performance, cultivate customer loyalty and improve organizational performance and stakeholder value.


Six Amazing Benefits of Employee Engagement.


1. Higher Employee Satisfaction: Employee satisfaction is critical to the success of any business. High employee satisfaction rate is directly related to the decrease in turnover rate. therefore, maintaining employee satisfaction with their profession should be each employer ’s top priority (Gregory, 2011). Ex: AIA Insurance company has a strong leadership team and dedicated employees are dedicated to the company’s success, and in recent years have helped drive rapid business growth (aialife.com, 2020) .

2. Higher Retention and Lower Turnover: Employee turnover and increase retention higher Productivity: Engaged, motivated workers have higher employee satisfaction, which leads to enthusiasm in employee job role and overall company growth in the form of higher retention and lower turnover; higher productivity (Sundaray, 2011). Ex, according to Ceylon Tobacco Company people are determined, brave and strong learn quickly and respond to opportunities; and continue to promote and have results (ceylontobaccocompany.com, 2020).

3. Increased Profitability: Through suggestions, based on key factors to increase employee engagement and productivity. the organisation successfully attracted customers and employees profitability (Heymann, 2015).

4. Less Absenteeism: When employees are absent, work doesn't get done. The availability of care for sick children reduces work/family conflict which, in turn, results in less absenteeism engaged employees take less sick days—not only because employees want to be at work ( Goff, at al, 1990).

5. Increased Employee Loyalty: Maintaining the loyalty of survivors in a scaled down environment is a challenge management practitioner. Theorists suggest empowerment and rich work is the mechanism (Brian et al, 2001). Ex: LOLC Finance says LOLC business development continues to line up with emerging growth areas through employee expertise (lolcfinance.com, 2020).


Figure: 1.1 The Benefits of Employee Engagement:


Employee satisfaction participation and business sector results for increased customer satisfaction, productivity, profitability, employee turnover, (Harter, 2002).


                                                                                        Source: (Harter, 2002)


Video: 1.1 Benefits of Employee Engagement

Why is employee engagement important? The answer is simple. The company's bottom line depends on employee satisfaction and happiness. Increased satisfaction and happiness can always lead to better retention.


                                        Source: (The Benefits of Employee Engagement, 2015)



List of References

Barik, S. and Kochar, A., 2017. Antecedents and consequences of employee engagement: A literature review. International Journal of Latest Technology in Engineering, Management & Applied Science.

Goff, S.J., Mount, M.K. and Jamison, R.L., 1990. Employer supported child care, work/family conflict, and absenteeism: A field study. Personnel psychology, 43(4), pp.793-809.

Gregory, K., 2011. The importance of employee satisfaction. The Journal of the Division of Business & Information Management, 5, pp.29-37.

Harter, J.K., Schmidt, F.L. and Hayes, T.L., 2002. Business-unit-level relationship between employee satisfaction, employee engagement, and business outcomes: a meta-analysis. Journal of applied psychology, 87(2), p.268.

Heymann, M., 2015. Spotlight on service: Integrating workforce management with employee engagement to optimize customer satisfaction and profitability. Global Business and Organizational Excellence, 34(5), pp.6-12.

Lockwood, N.R., 2007. Leveraging employee engagement for competitive advantage. Society for Human Resource Management Research Quarterly, 1(1), pp.1-12.

Niehoff, B.P., Moorman, R.H., Blakely, G. and Fuller, J., 2001. The influence of empowerment and job enrichment on employee loyalty in a downsizing environment. Group & Organization Management, 26(1), pp.93-113.

Perryer, C., Jordan, C., Firns, I. and Travaglione, A., 2010. Predicting turnover intentions. Management Research Review.

Schultz, H., 2012. Pour your heart into it: How Starbucks built a company one cup at a time. Hachette UK.

Sundaray, B.K., 2011. Employee engagement: a driver of organizational effectiveness. European Journal of Business and Management, 3(8), pp.53-59.

Wang, Z., Zhang, J., Thomas, C.L., Yu, J. and Spitzmueller, C., 2017. Explaining benefits of employee proactive personality: The role of engagement, team proactivity composition and perceived organizational support. Journal of Vocational Behavior, 101, pp.90-103.


Comments

  1. Hi Faiz, agreed with your points. According to George (2007), following 10 Cs needed for the employee engagement such as; Connect, Career, Clarity, Convey, Congratulate, Contribute, Control, Collaborate, Credibility and Confidence.

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    1. Hi Amila, I agree with what you stated but according to Alfes et al (2010: 2) asserted that engaged employees perform better, are more innovative than others, are more likely to want to stay with their employers, enjoy greater levels of personal well-being and perceive their workload to be more sustainable than others.

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  2. Hi Ijaz, Well said. Adding to that, Every manager wants to lead employees who are committed and connected to their work. In other words, they want a team of engaged employees

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    1. Hi Purnima, thanks for the comment. , According to the CIPD (2012: 13) to Engagement takes place when people are committed to their work and the organization and are motivated to achieve high levels of performance.

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  3. Hi Ijaz, Agreed with the argument about the benefits of employee engagement. To gear up the organization with higher profitability, the organisation’s leaders should keep the employee engagement (Kortmann et al., 2014). Bersin (2014) also mentioned the same thing differently: employee engagement positively affects the organization’s financial performance. However, it is identified that some leaders limit their focus to company products and processes than employee engagement to the organization(Hill & Birkinshaw, 2012). In addition, by collaborating with highly engaged employees, an organization can sustain life. Strive workforce is an unsurpassed asset (Rana and Chopra, 2019).

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    1. Hi Nirmika, thanks for the comment. agreed on your statement. Employee engagement doesn’t just benefit individual employees, it benefits the team. This is because engaged employees perform at a higher level. And when you have a group of engaged employees working together, the team performs at a higher level. Perryer, C., Jordan, C

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  4. hi ijaz, agree with you, adding to your points, the relationship between job and organization engagement vary in numerous ways, resulting in the inference that the psychological states which result in the two aforementioned forms of engagement and their consequences are not the same(Saks, 2006).

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    1. Hi Dineth, thanks for commenting. employee morale can be contagious. When team members are surrounded by driven and motivated peers who care about what they do, they’re more likely to feel engaged in their own role. Individual engagement leads to team engagement, and individual performance improves team performance. Lockwood, N.R., 2007.

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  5. Hi Ijaz, agreed to your points and adding to that according to Stairs and Galpin (2010) claimed that high levels of engagement have been shown to relate to lower absenteeism and higher employee retention, increased employee effort and productivity, improved quality and reduced error rates, increased sales, higher profitability, earnings per share and shareholder returns. Alfes et al (2010: 2) stated that engaged employees perform better, are more innovative than others, are more likely to want to stay with their employers, enjoy greater levels of personal well-being and perceive their workload to be more sustainable than others.

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    1. Hi Lakshan, thanks for the comment. Highly engaged employees are more efficient, and produce higher-quality work. Why? Because they’re personally invested in their job, and their performance matters to them. Gregory, K., 2011.

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  6. Hi Ijaz. I also agree with you. I'd like to add that higher productivity is one of the advantages of employee engagement. According to Wickham (2017), employers are experimenting with anything from wearable fitness trackers to a jungle of workplace plants to boost employee productivity. They are, however, disregarding the remedy right in front of their eyes: employee engagement.
    Creativity is required for today's firms to be adaptable and successful, but your managers must act as coaches to foster innovation. One out of every five employees, on the other hand, is doubtful whether their supervisor will provide regular, constructive feedback. Consistent, real-time feedback will encourage your staff to come up with new and better ideas, solutions, and products, resulting in increased production.

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    1. Hello Isuru, thanks for the review, They’re aligned with the team and business goals, and accountable for their individual contribution. This means increased productivity on your team. (Armstrong, 2009)

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  7. Good post Ijaz. Employee engagement is a key factor in determining the effectiveness of an organization. It has the capacity to influence not only staff retention, productivity, and loyalty, but also customer satisfaction, corporate reputation, and value (Sundaray, 2011).

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    1. Hi Janakan, thanks for the comment. If you want to build a high-performing team, you need your employees to stick around. It’s hard for teams to do their best work if employees are constantly cycling in and out. When long-standing employees leave, they take valuable knowledge and expertise with them.
      Schultz, H., 2012

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  8. Agreed liaz. The reason employee engagement is so important is simple: it comes with a host of benefits. These include employee employee benefits. These include employee benefits, but also benefits for teams, for managers, and for the organization as a whole (Deanna De Bara,2021).

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    1. Hi Upeksha, Thanks for the comment. satisfied employee who’s committed to their objectives is less likely to leave. So having more engaged employees makes your team stronger, more experienced, and better equipped to hit your targets. Deci, E L and Ryan, R M (1985)

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  9. Hi Ijaz, as described by (Schrita O. and Mohamad S. 2017) employee engagement matters to both the employee as well as the organization. Employees can utilize contract agreement provisions to impede the attainment of the organizational goals and objectives. Management’s capability to leverage employee engagement strategies is essential in an organization.

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    1. Hi Ganith, Thanks for employee engagement plays a huge role in your team’s success and achievements. As a manager, it’s natural to focus your attention on your team’s goals. Reucrof, G. and Scott, T., 2015

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  10. Yes Ijaz. All jobs pay a salary, and most are competitive in the market, however, it's often the perks that retain staff. Added benefits are also often something to work towards, for example, a company car is available in the organization once employees reach a certain level. Benefits are forms of value, other than payment, that are provided to the employee in return for their contribution to the organization, that is, for doing their job (Gregory, 2011).

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    1. Hi Dileep, Team members who believe in the vision are what you need to take you there. And they will when they’re engaged in their work and aligned with your strategy. Barik, S. and Kochar, A., 2017.

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  11. Hi Ijaz, Adding more to your points, a significant relationship between employee relationship and task performance is related to the individual level of task performance (Kim and Koo, 2017). The engagement was found to be positively associated with four work-related aspects: individual morale, individual task performance, organizational performance, and extra-role performance.

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    1. Hi Thiloka, Engaged employees show up, and show up fully. Disengaged employees are more likely to miss days, and less likely to be fully present when they’re there. But when your team not only shows up every day, but shows up engaged, excited, and ready to work, it makes it easier to innovate, hit goals, and perform at the highest level. (aialife.com, 2020) .

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  12. Standing with you on this approach, would like to add further That engaged employees perform better , are more innovative than others , are more likely to want stay with their employers , enjoy greater levels of personal well being and perceive their workload to be more sustainable than others(Alfes et al,2010 ).

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    1. Hi Manoj, Thanks for the comments. Engaged employees and disengaged employees are both susceptible to workplace stress. The outcome of that stress can be different based on engagement levels, but managers also play a big role in this. (Brian et al, 2001).

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  13. Hi Ijaz, very well explained, More over there are several factors that can be identify as Career Development, Effective Management of talent, Leadership, Company Values, Policies and Practices, Ethical Behaviors, Empowerment, Fair Treatment, Performance Appraisal, Salary and other Benefits, Health and Safety, Satisfaction, Family Friendliness, Talent Recognition, Nature of Job, Communication, Emotional Factors, Productivity and Personality Factors that influence the employee engagement as well (Chandani, Mehta, Mall and Khokhar, 2016).

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    1. Hi Deshani, Thanks you for the comment. engaged employees with supportive managers, some stress at work is likely easier to manage, and could even become a motivator. The key is the support, because not only are they dedicated, they also know they’re not alone in facing challenges.(Harter, 2002)

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  14. Agreed. Further, Osborne and Hammoud (2017)'s research highlights the importance of employee engagement in driving organizational profitability and enabling customer service skills amongst its employees.

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    1. Hi Shazna, engagement that was once strong is lost, it can lead to the type of stress that can be detrimental to people’s well being. And this is especially true when employees don’t feel supported. People can’t show up at their best when they’re stressed out from work. Artz (2010)

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  15. Hi Ijaz, I find myself agreeing with your points. To add further, Salanova, Agut & Peiró (2003) state that engaged employees are usually more willing to go beyond the call of their job and go the extra mile for the sake of the company.

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    1. Hi Divakar, Thank you for the comments. Employee engagement is a crucial part of high-performing teams. Now that you know the benefits of employee engagement, you can put these suggestions into practice and watch your team thrive as a result. Alfes et al (2010: 2)

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  16. Nice Article! Find the best online employee engagement ideas and activities on the web all in one place. These ideas help you to remote your workers and make it easy to work comfortably from anywhere.

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  17. Amazing Blog! Are you searching for a monthly engagement calendar? If yes, then you’re in the right place. This calendar is a way to communicate with your employees. It's a great idea to use this as a reminder of all your company events. It includes monthly ideas and activities to enjoy with your coworkers.

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  18. Indoor Team Building Activities for employees are a incredible way to bring your teams together. Some of the most exciting team-building exercises are listed here. These activities have been devised specifically to increase employee morale.

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  19. Looking for engaging activities to do with your employees? Check out our Employee Engagement Activities Calendar! We have a wide range of activities, from team building exercises to fun social outings, that will get your employees interacting and having a great time.

    ReplyDelete

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