...and How Small Businesses Can Compete
Introduction
In today's rapidly changing workplace, organizations of all sizes must find ways to attract and retain top talent, increase productivity, and enhance customer service. One key factor that can impact all of these areas is employee morale. Companies that prioritize employee engagement and satisfaction tend to have higher productivity, lower turnover rates, and better customer service. Progressive companies have long utilized employee engagement surveys and other methods to measure employee morale to achieve these benefits. By gaining valuable insights into employee satisfaction and well-being, these companies can identify areas for improvement and take steps to create a more positive and supportive work environment. In this article, we will explore the benefits of measuring employee morale, the different methods used to measure it, and how progressive companies are leveraging this information to gain a competitive advantage in the modern workplace.
Common Ways in Which Companies Measure Engagement
Employee engagement surveys: Employee engagement surveys are commonly used to measure employee morale. These surveys typically ask employees to rate their satisfaction with various aspects of their job and workplace, such as their supervisor, workload, and compensation. Research has found that these surveys can provide valuable insights into employee morale and help organizations identify improvement areas.
Absenteeism and turnover rates: High rates of absenteeism and turnover can be an indication of low employee morale. Research has found that tracking these metrics can help organizations identify potential issues with employee morale and take steps to address them.
Performance metrics: Research has found that there is a positive correlation between employee morale and job performance. By tracking performance metrics such as productivity, quality of work, and customer satisfaction, organizations can gain insights into employee morale and identify potential areas for improvement.
Employee feedback and suggestions: Asking employees for feedback and suggestions can be a valuable way to gauge employee morale. This can be done through surveys, focus groups, or one-on-one meetings with employees. Research has found that employees who feel that their opinions are valued and that they have a voice in decision-making tend to have higher morale.
Social media monitoring: Social media can provide valuable insights into employee morale. By monitoring social media platforms such as Twitter and Glassdoor, organizations can gain insights into what employees are saying about their workplace and identify potential areas for improvement.
We would encourage companies that have the resources to build a comprehensive employee engagement monitoring program to do so while remembering that a comprehensive monitoring program is only the beginning. Companies must do something with the data that is collected. Several years ago I worked for a company that did a great job getting employee surveys out about every other year. They also did a great job getting the results to the leaders in the organization who could do something about it. What they didn’t do well was create an effective response to the data that was collected, nor did they create an expectation that the leaders within the organization should be held accountable for action or inaction around the results of the surveys. Over the years, the level of cynicism about the surveys grew, as did the negative feedback. Some of my peers even called it the “employee disengagement survey.” Ouch! That was in a large corporation with virtually unlimited resources to build whatever program they wanted around engagement. Considering the money they didn’t bother to spend to fix the issues the surveys uncovered, I find it likely that, by doing nothing, they ultimately chose the most expensive route of all. It’s interesting to note, that well-informed, well-trained and well-rounded leaders are the best antidote to disengaged employees.
Fostering Engagement: Where Small Businesses Have a Distinct Advantage
When it comes to small businesses, it is clear they can’t compete on this level with large corporate entities in terms of detailed and expensive systems and programs. With limited resources, they may face challenges in measuring employee engagement, but there are several clear and compelling advantages they can leverage to foster a more engaged workforce. Here are seven virtually free advantages small businesses may have when it comes to employee engagement:
Access to the Owner: Employees of small businesses often have incredible access to the owner, hopefully, a well-informed, well-trained and well-rounded leader. They may often work side by side with the owner daily. This gives the owner countless daily opportunities to positively impact employee engagement.
Direct Communication: Forget the extra memos and the extra meetings! I don’t know a small business owner who isn’t direct and up-front with their employees, constantly giving feedback and generally letting their employees know where they stand. If anything, we have done significantly more work in honing communication skills with our small business clients to be more effective by being more positive. Nonetheless, having strong and direct communication from a business owner, especially that which doesn’t spew out in overly negative ways, generally leads to more engaged employees.
Quicker Decisions: Leave the red tape at home. Generally speaking, small business owners can say “yay” or “nay” very quickly and without levels and levels of approval required. This helps to solve issues quickly and doesn’t leave your employees wondering. After a decision, hopefully, with the appropriate amount of debate and robust discussion, employees can get right back to work, often heading in the right direction!
Stronger Sense of Community: That’s right! Small businesses often have a tighter-knit community and culture than larger corporations. This can create a stronger sense of connection and loyalty among employees, which can increase engagement and job satisfaction. Smart small business owners work on culture and community every day!
Greater Flexibility: Small businesses may have greater flexibility in terms of work arrangements, such as telecommuting or flexible scheduling. This can help to accommodate employees' individual needs and preferences, leading to higher levels of engagement and loyalty.
Opportunity for Growth: Small businesses may offer more opportunities for employees to take on new responsibilities, develop new skills, and advance in their careers. This can help to increase engagement and job satisfaction, as employees feel that their work is valued and that they are making meaningful contributions to the organization. The best part is that small business owners can do this often without damaging their employee's psyches with endless interviews to get that promotion. A simple, well-written and mutually agreed-upon plan is a great way to help your employees advance.
Stronger Alignment with Company Values: Small businesses may have a clearer and more authentic set of values that are more directly aligned with the owner's vision and mission. This can create a stronger sense of purpose and meaning for employees, which can increase engagement and job satisfaction.
By leveraging these advantages, small business owners can create a more engaged and productive workforce, despite limited resources. By fostering a positive work environment, valuing employees' contributions, and providing opportunities for growth and development, small businesses can create a competitive advantage in the modern workplace.
July 2023 MSBC Group Inc.
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