Employee Engagement

It is important for an organization to ensure that their employees are actively engaged with their work and have a sense of belongingness to the company. The extent of emotional commitment or a lack of it will determine the engagement level of the employees. Surveys have shown that 50% of the employees are not engaged meaning they do not feel the passion for work or emotional attachment to the organization. They will do what is told and no more. They will not act proactively to avoid problems or whole heartedly involve in the operational success. Therefore, there is a big challenge for companies to increase the level of employee engagement in the company.  

Gallup found that only about 30% of the employees were engaged (who work with passion and feel a profound connection to their company) and that 20% were actively disengaged (Those who are unhappy and spread unhappiness in the organization). Actively disengaged employees spread the negative word about the job or the organization. 

Corporates have been resorting to various ways to enhance the engagement level of their employees such as Communications exercises, reward schemes, activities to build the culture of the organization, team building activities, leadership development activities etc. It is seen that a big reason for not being engaged is the relationship that the employee has with the immediate supervisor and his/her style of functioning. It is important to have managers who are supportive and coach their team members, building on their strengths. Employees feel engaged when they are made aware of the big picture and how their contribution influences the achievement of the organizational goals. 

At Hyunadi Motor India Ltd where I last worked before retirement, periodic Employee satisfaction surveys are conducted to understand what is working well in the company and areas of improvement desired by the employee in various aspects be it their pay, the work environment or opportunities for growth. Suitable corrective action based on results of the survey helps in ensuring engaged employees.  

The company encourages employees cutting across departments to work in small project teams and rewards the entire team on successful completion. This develops a bond between employees, so essential for engagement. Annually, competitions are held during the Foundation Day of the company wherein employees participate in many team events like football and cricket and also in individual events like art and elocution . Prizes are awarded to them on a Sunday when the family members are also invited and events are organized for the family as well. 

Apart from the activites discussed above that creates belongingness to the organization, I would like to share one more initiative, which to my mind contributes in a big way to employee's bond and love for the organization. After two years as a trainee, the eligible ITI technician trainees with a good track record are offered regular appointment in the company . A function for a whole day is organized to celebrate the occasion. The parents of the tecnicians are also invited. 

The participants are picked up by the company vehicle and brought to the Hyundai campus at around 9AM. They then have breakfast at the company canteen and then move to the auditorium where number of programs are arranged for the day. The ED and VP (Production) welcome the particiants to the Hyundai plant. When I worked there, the then VP (Production)  invariably asked the technicians to stand up and then he would say " Now, turn to your parents seated beside you and thank them. They have made many sacrifices to get you to the place where you are today."  I have seen tears in the eyes of parents at this point. He would then tell the parents to continue to monitor the progress of their son. "Just because they have now got a job or may earn more than you, it doesn't mean they  cannot be guided or advised. They are still your sons. See that they do not spend money unwisely." 

There are two more sessions in the forenoon. In the first session all information about the company is given including information about plants located all over the world - Korea, Brazil, Russia, China, Turkey, Czech  and US. The aim is to get the employee and his parents to feel proud about working in an international company. In the second session an expert on family welfare shares tips to the participants on how to lead a harmonious, inclusive, family life where the parents also have the pride of place. The participants then proceed to have a special, sumtuous lunch in the canteen.

 After lunch, parents visit the shop floor and also see the place and machine on which their son would be working. At around 4PM, everyone returns to the auditorium where the formal ceremony happens, of handing over the appointment letter to the technician. He is accompanied to the stage by his parents. The parents are also given a gift as a remembrance of the happy occasion. Finally, the participants who take leave are dropped back to their place of residence. The techician onboarding program is remembered by them with fondness long after the event. The shop floor HR continues to keep in touch with the new employees to ensure their comfortable assimilation into the company. 

Case study: In July 1997,  Kia Motors UK had $10.6 Billion debt. 51% of  Kia was purchased in 1998 by Hyundai Motor Company and steps were initiated for revival of company with a new team. It was felt that Kia UK's , low employee engagement was probably both a cause and effect of the unit's poor performance.  The new HR head proposed the following:  

* Put in place new HR policies & practices including those for improving employee engagement.

* Change employee behaviour to improve performance and reduce turnover of employees

* Support parent company's strategy " Raising our competencies as a global leader in all areas."

* Set measurable objectives for better communication, recognition for good work and respect between manager and employee  

Accordingly, company sent all its managers for training under a "Leadership Development Program"  and tested the new skills with 360 degree assessment tools. Quartely "Outstanding awards" were instituted and "Kia Thank you cards" for jobs well done. Communication was improved by quarterly employee briefings and  introduction of a new corporate intranet called "Kia Vision". Other steps were taken for employee development and welfare including modification of the compensation package. The employee handbook was rewritten in line with the new cultural values. 

Results: # Employee satisfaction surveys revealed marked improvement in employee engagement, in terms of communication between employee and line manager as also improvement in respect to general behaviour.

# The employee turnover figures fell steadily from as high as 31% in 2006 to 15%in 2007, 5% in 2008 and below 2% in 2009.

# There was a 71% reduction in recruitment & turnover costs within two years - by 400,000 British Pounds. 

As may be seen  from our discussion, employee engagement is most desirable and a win- win for both the employee and the organization. Therefore companies would do well to move employees from the 'not engaged' category to 'engaged ' and reap rich dividends! 

This post is a part of #BlogchatterA2Z 2023