Driving Engagement and Retention through Development

In the ever-changing landscape of modern workplaces, cultivating employee engagement is fundamental to organisational success. A common error is to conflate Employee Engagement with Employee Satisfaction. One expert noted the difference like this:

“Employee Satisfaction” is “the extent to which employees are happy and contented, fulfilling their desires and needs at work”. “Employee Engagement” is defined as “the degree to which an employee is: involved in and enthusiastic about his or her work; committed to the values of the organisation; and, goes beyond the basic responsibilities to drive the business forward”.

Satisfaction is the bare minimum requirement for employees to be engaged, but engagement supercharges growth.

Companies with engaged employees surpass their competitors by an impressive 202%! Teams with engaged employees see a 81% decline in absenteeism and 18% in turnover, while achieving a rise of 18% in productivity and 23% in profitability.

On the flip-side, the consequences of lower engagement levels extend beyond productivity. There are substantial implications for employee retention. Gallup emphasises that the cost of replacing an employee goes above recruitment and onboarding, ranging from 0.5 to 2x the departing employee’s yearly salary. This should serve as wake-up-call for organisations to take Employee Engagement very seriously.

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So how does one go about raising the level of engagement in an organisation? Gallup’s Employee Engagement Survey consists of 12 questions used to measure engagement. The one we will focus on today is the connection between Development and Engagement.

In today’s corporate environment, where talent is highly valued, strategic investment in employee development is a game-changer. Continuous learning is not just a tool for skill enhancement but a practical way to foster employee engagement and retention.

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Here are just a few of the benefits of investing in Development:

Increased Job Satisfaction: Empowering employees through development opportunities establishes a direct link to heightened job satisfaction. Tailored training programs, mentorship initiatives, and skill-building workshops contribute to nurturing a profound sense of fulfilment among the workforce.

Elevated Team Collaboration: Development initiatives that encourage cross-functional learning and collaboration contribute to the creation of cohesive and high-performing teams. As employees acquire diverse skills, they become valuable contributors to collaborative projects and innovation within the organisation.

Boosted Employee Morale: The commitment to employee development becomes a clear signal of organisational dedication to individual growth. Beyond recognition programs and regular feedback sessions, implementing personalised career development plans serves as a catalyst for boosting morale and motivation among the workforce.

Increased Employee Loyalty: Employees who witness a genuine investment in their development are more likely to demonstrate loyalty to the organisation. This loyalty extends beyond immediate financial incentives, forming a robust foundation for long-term commitment. According to the 2020 LinkedIn Workplace Learning Reports, 94% of employees would stay longer if a company invested in their learning.

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Practical Ideas for Prioritising Employee Development:

Innovative Development Initiatives: In the era of perpetual evolution, organisations need to explore innovative skill development approaches. A Harvard Business Review report reveals that 75% of managers are dissatisfied with their companies’ Learning and Development (L&D) functions. It’s evident that something needs to change in the world of learning. Research demonstrates that Experiential Learning boosts knowledge retention by a remarkable 70% when compared to traditional methods. (Read more) Including innovative learning opportunities in your L&D strategy is crucial to engaging your workforce in development.

Emotional Intelligence profiling: A study conducted by TalentSmart found that 90% of top performers in the workplace have high Emotional Intelligence. EQ is a higher indicator of success for managers than IQ. And the good news is that it is something that can be developed! 71% of employers say they value EQ over IQ. Running teams and departments through EI Training, Profiling and Coaching will impact Team effectiveness, boost performance, impact leadership development and ultimately drive engagement. (Find out more)

Mentorship Programs:

Implement mentorship initiatives that pair experienced employees with those looking to develop specific skills or navigate their career paths. Mentorship not only provides valuable guidance but also fosters a culture of knowledge sharing and collaboration within the organisation.

One-to-one coaching: Executive coaching is on the rise as companies experience the impact of these interventions. When looking at some statistics of companies able to estimate their return on investment, the average ROI of coaching is 7x – with managers citing significant rise in self-confidence, work performance, relationships, conflict resolution and communication.

Team Coaching: Team Coaching establishes a secure space for open expression, risk-taking, and vulnerability, fostering trust through exercises and dialogue. Key benefits include improved communication, trust building, skill development, goal alignment, innovation, conflict resolution, increased engagement, effective leadership, enhanced decision-making, and a culture of continuous learning.

Cross-Functional Training:

Encourage employees to participate in cross-functional training programs. Exposure to different areas of the organisation not only broadens their skill set but also promotes a deeper understanding of how various departments collaborate, contributing to overall organisational effectiveness.

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Conclusion:

Investing in employee development is more than a financial transaction; it’s a strategic move that addresses the costs of turnover and enables your organisation to thrive in stead of survive. Beyond immediate financial implications, it positions the organisation for success by fostering a culture of continuous learning, which in turn leads to an agile workforce. By prioritising ongoing learning and professional growth, organisations not only retain their talent, attract high performers, but ultimitely lay the groundwork for sustained success.