ENGAGE2015: The Value of Purpose Driven Engagement - Cushing Anderson , IDC

Forging an Authentic Connection: The value of “Purpose-Driven Engagement”

Cushing Anderson Program VP

Forging an Authentic Connection: The value of “Purpose-Driven Engagement”

§  Business and social trends are converging: •  Business imperatives

§  corporate social responsibility and §  economic buying decisions that consider “social impact” or “sustainability”

•  Employees §  increasingly expressing a desire to do meaningful work at firms that are

socially responsible

§  Opportunity to connect business’s strategy and employees. •  Progressive organizations can dramatically increase both employee

productivity and corporate success at the intersection of these two trends.

§  “Purpose-driven engagement”: a reinforcing bond between an enterprise’s strategy and its workforce an aligned, productive and innovative organization.

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IBM, GE, Home Depot

Examples?

The Imperative: §  The case for change, the impact on employees

§  Successful companies make frequent changes – to products, target clients, processes, and organization.

§  Allows the enterprise to iterate rapidly, learn what works, and quickly adjust to changing market conditions.


Oracle Team USA, Autos,

Airlines

The Imperative: Frequency and Size of Change

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% Sales Growth

% Growth of Fastest-growing products

% Employee productivity increase

% Profit Margin

% Revenue from new products

Employee Retention

Small Big

Frequent 24 21

Infrequent 20 17

Small Big

Frequent 27 24

Infrequent 26 24

Small Big

Frequent 22 16

Infrequent 17 15

Small Big

Frequent 30 23

Infrequent 25 20

Small Big

Frequent 25 20

Infrequent 19 16

Small Big

Frequent 66 58

Infrequent 71 81

Source: IDC Thought Leadership Practice Survey, December, 2014, n= varies by question from 1067 to 528 % change is cumulative change over prior 3 years; Retention rate is cumulative retention rate over prior 3 years

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Another Challenge: Engagement keeps changing

What is “engagement”?


Evolution of Engagement

Evolution of Work

Another Challenge: Engagement keeps changing


Evolution of Work and Employee Engagement

1920s 1950s 1970s 1990s 2000s 2010s

Age of Manufacturing

{Ford}

Age of Distribution

{IBM}

Age of Information {Microsoft}

Age of Experience

{Apple}

Employee Morale

Loyalty to reduce turnover

Reduce stress to reduce turnover Incorporate “non-

traditional” work schedules

Engage “Preferred self” to activate full performance Provide developmental

opportunities Mentally and

emotionally invested in their work to

increase performance

Authentic Engagement The Issues

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§  Core values are not commonly understood - nor are they “core” to the employee

§  Accountability and transparency: Employees want to see management setting the tone by aligning values with actions.

§  Workforce mobility + Severe skills gaps

§  But engagement does not come from a “fun” work environment.

Success is a product of purpose Not Google Effect

Authentic Engagement The Formula


Culture of Purpose

Culture of Engagement

Purpose-Driven

Engagement + =

Creating a Culture of Purpose


§  Organizations must define a purpose that operates on several levels •  STRATEGIC & TACTICAL:

descriptive (what we do) •  MISSION: aspirational

(what we want to do) •  PURPOSE: inspirational

(why we do it)

What we do

Culture of

Purpose

Why we do it

What we want to

do CVS Health

What we do

Culture of

Purpose

Why we do it

What we want to

do

Creating a Culture of Purpose 3 Steps


Identify purpose 1

Communicate it with conviction 2

Create awareness among employees 3

Creating a Culture of Engagement


Alignment

Culture of Engagement Opportunity Involvement/

Contribution

Empowerment

Creating a Culture of Engagement 4 Steps

1.  Cultivate a culture of contribution and collaboration

2.  Develop structures, processes and incentives that support both purpose, and employee embodiment of the purpose

3.  Embed purpose in every aspect of the business

4.  Communicate strategic intent and operational alignment continuously


Alignment

Culture of EngagementOpportunity Involvement/

Contribution

Empowerment

1

2

3

4 P&G Pampers

How do you create “Opportunities” for your employees?

Creating a Culture of Engagement Opportunity

§  Delegate –Delegate tasks, accountability and responsibility. This promotes the development of management and leadership skills at every level.

§  Embrace Change –Allow latitude for employees to make reasonable mistakes in pursuit of improvement and innovation without fear of punishment. Management must help employees and teams move past failures towards future success.

§  Promote Internally First – Engagement, performance and success must be rewarded with appropriate opportunities.

§  Train – Opportunity often requires a change in skills. Training can support either professional or personal developmental needs. 42 © IDC Visit us at IDC.com and follow us on Twitter: @IDC

Adapted from http://www.hamistergroup.com/index.php/insights/entries/creating-a-culture-of-opportunity

Alignment

Culture of EngagementOpportunity Involvement/

Contribution

Empowerment

Creating a Culture of Engagement Alignment


Obvious Contribution

Alignment

Specific Contribution

Meaningful Contribution

Organization Process Function

Role

Creating a Culture of Engagement Alignment


§  Alignment makes goals more tangible and meaningful to employees.

§  This helps management remain visible and accountable

ObviousContribution

Alignment

Specific Contribution

Meaningful Contribution

Organization Process Function

Role

NASA, Virgin Group

Creating Alignment Requires Communication

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When ideas are communicated effectively, people follow and change.

— Nancy Duarte, Writer

You can have brilliant ideas, but if you can't get them across, your ideas won't get you anywhere.

— Lee Iacocca, American Businessman


Creating Alignment Requires Communication

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Complete

Concise

Considerate

Concrete

§  Solves a problem §  All the information needed

§  Doesn’t need to be “short” §  But must be on point

§  Relevant §  Contextual to needs of receiver

§  Specific §  Timely

Continuous*

Consistent* What’s Missing?


Source: Scott M. Cutlip Effective Public Relations (1953) *Me (just now)

Purpose Driven Engagement Creating


§  Identify purpose

§  Communicate with conviction §  Create employee awareness

§  Cultivate contribution and collaboration §  Support employee self-fulfillment in pursuit of purpose

§  Embed purpose everywhere §  Communicate strategic intent and operational alignment continuously

§  Reinforce the relationship of every role to purpose of organization §  Develop the skills needed to be successful in every employee

Key steps in to creating purpose driven engagement: Create Purpose

Create Engagement

Create Alignment & Opportunity

Communicating Changes

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Purpose Driven Engagement Maintaining


§  Communication relating to changes often requires more volume, through more channels, than enterprises plan for.

Push Strategy Push & Pull Pull Strategy

Purpose Driven Engagement Maintaining


Communicating Changes Push Strategy Push & Pull Pull Strategy

Regular newsletters, posters, daily or weekly briefings

"Blanket Coverage means even the most disengaged employees will get the message."

Regular, official communication from the top Informed and responsive middle management or centralized change team Answering ad hoc questions and concerns as they arise

FAQ sites, keeping middle managers informed to act as information conduits for their teams

"If employees want information they will seek it out."

US Navy

Purpose Driven Engagement Maintaining – more complicated

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Push Learning

Peer Learning

Personal Learning

Provide Promote

Pull Learning

Courses Personal Forces

Personal Choices Resources

Goal: Performance

Lear

ner C

omm

itmen

t

Business Value Source: Adapted from Jane Hart, c4lpt.co.uk

Organizational Purpose

Essential Guidance

§  The rate of change is accelerating and will impact your employees and your performance

§  Authentic engagement with the enterprise mission can create an aligned, productive and innovative workforce

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To improve is to change; to be perfect is to change often.

— Winston Churchill


Questions

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For more information on the IT Education and Certification program and published research please visit: http://www.idc.com/getdoc.jsp?containerId=IDC_P41

Cushing Anderson Program VP [email protected] 508-988-6713

Or follow: @CushingAnderson @IDCwwservices @IDC


ENGAGE2015: The Value of Purpose Driven Engagement - Cushing Anderson , IDC

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