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4/22/2012
How to Improve Talent Management
and Retain Valued Employees
Best Practices to Increase Employee Engagement without Adding Cost
May 9, 2012
Jane Clark, Chief Operating Officer
M
Matt
Shefchik,
Sh f hik Managing
M
i Director
Di
WE’VE GOT A TALENT FOR BUSINESS®
Agenda
• Advantages of Employee Engagement
• Cost Effective Employee Engagement
•
•
•
•
R
Rewards
d
Work
Talent Management and Coaching
Community-Building
• Take Home Tips
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• Questions & Answers
© 2012 The QTI Group
Advantages of
Employee Engagement
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© 2012 The QTI Group
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Advantages of Employee Engagement
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• Employee engagement is a concept that is generally viewed as
managing discretionary effort, that is, when employees have
choices, they will act in a way that furthers their organization’s
interests.
• When people feel engaged in their work, they:
– Work more effectively and selflessly;
– Take actions that meet customer needs;
– Think creatively; and
– Find innumerable ways to help the company move closer
to achieving its vision.
• Affects Outcomes
– Productivity / Profitability
– Customer Service
– Quality
– Turnover
© 2012 The QTI Group
10 Things Employees Want in a Job
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Inc. Magazine
1. Purpose
2. Goals
3. Responsibilities
4 Autonomy
4.
5. Flexibility
6. Attention
7. Opportunities for
innovation
8. Open-mindedness
9. Transparency
10. Compensation
Work
Values
Control
QTI
Model
Rewards &
Recognition
Fairness
Support /
Community
© 2012 The QTI Group
The Recession: A Hurdle to Employee
Engagement
• Enormous employee engagement challenges:
– Punishing business conditions
– Successive layoffs and job freezes
– Negligible pay increases and even pay cuts
• QTI’s recent Human Resources Planning in Wisconsin Survey
– 61% were concerned about employee engagement.
engagement
– > 80% of organizations reported that employees’
engagement levels are affected by concerns over:
•
•
•
•
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© 2012 The QTI Group
Impact of the economic downturn on the organization
Reduced organization revenue/profit
Decreased job security
Diminished work/life balance and lower merit increases.
“What has been shattered in the recession is the value
proposition between employer and employee:
You do this, and I give you that.”
– Ilene Gochman, Organizational Psychologist
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Cost-effective Employee Engagement
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© 2012 The QTI Group
Capitalizing on Low-Cost Engagement
Initiatives
Lack of employee engagement can cost
organizations 35%-50% of payroll costs
• Rewards
– Differentiation /
Individualization / Not
Overpaying
– Incentives
– Administration
– Communications
• Work
– More and Better
– Flexibility
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• Recognition - Talent
Management & Coaching
– Starts with the Leaders and
Managers
– On-boarding
– Recognition
– Training and Development
• Support / CommunityBuilding
– Voice
– Social Events
© 2012 The QTI Group
Rewards
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© 2012 The QTI Group
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Rewards Differentiation
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• Rewards budgets (compensation & benefits) tend to be limited
resources; a large “expense” item of an organization
• Differentiation is key to using limited resources wisely and
keeping high-performing talent that you depend on
– No across-the-board pay increases; be more surgical
– Provide
P id ratings/merit
i /
i increase
i
distribution
di ib i guidelines
id li
– No pay? Provide your performers with additional
opportunities (training, conferences, flexibility)
• Individualization – What are the values and belief systems of
our ideal employees?
• Don’t Overpay
– Eliminate COLA’s
– Say “no” to outspoken employees, pass on some
candidates, and resist the counter-offer
© 2012 The QTI Group
Incentives
• Well crafted variable pay plans:
– Send the appropriate message to staff
– Reward top performers/teams the most
– Automatic pressure valve when times are tough
• Suggestions
– Tailor incentives to role
• Sales vs. Management vs. Production vs. Customer Service
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–
–
–
–
Payment timing matches performance period
A few, good measures
Combined measures
Maintain the currency of your plan(s)
© 2012 The QTI Group
Compensation Administration
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• Take a total rewards perspective
– Understand the relative value of rewards elements
• Don’t be like your neighbor
– Consider market targets other than 50th percentile
– Emphasize “signature benefits” or perks – sell it
• Perception of inequity affects engagement
– Tighter adherence to salary administration guidelines
– Salary structure vs. job ranges
– Forgo hiring excessively-compensated candidates
• Evaluate your programs
– Review market data and incentive program every 2-3 years
(annually for sales plans)
– Analyze meaningful compensation and HR metrics
© 2012 The QTI Group
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Rewards Communications
• Spend as much time on communications as design
• Use marketing approach to educate
• Communicate often and in different ways
• Construct compelling narrative
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© 2012 The QTI Group
Work
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© 2012 The QTI Group
Redefine Work
• More and Better
– Aligned with interests
– Task identity
– Task significance
• Challenging
– Skill variety
• Autonomy
– Intrinsic feedback
• Flexibility
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© 2012 The QTI Group
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Talent Management & Coaching
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© 2012 The QTI Group
Leaders and Manager Set the Tone
• Best if Leaders and Managers set the tone of hard work,
plus a work-life balance
– Encourage use of vacation time
– Flex schedules
– Respect and encourage what others value
– Merge it all at times
• Celebrate employees victories and significant moments at
work and outside of work, while being mindful of your
culture and their personality
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• Allow employees to have fun and connect at work
© 2012 The QTI Group
On-Boarding – Engagement from the Start
It’s the First Day of the Rest of Their Lives
Set the Tone from Day One
Final step of recruitment – continue courting
Reassure the employee they made the right choice
Have an organized, clear process
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• Provide a self-service component
• Show the potential for growth and continued challenge
• Demonstrate your corporate culture
© 2012 The QTI Group
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Recognition - Show them You Notice/Care
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• Formal
– Expansion of duties or scope
– Promotions, re-assignments, or re-titling
– Incentive and bonus plans
• Informal
– Say thank you in person
– Email to announce the accomplishment
– Recognition in Company newsletter, intranet, or at
Company meetings
– Wall of fame: celebrate accomplishments large and small
– Personal, handwritten note written to the employee
– Take the employee or group out to lunch
© 2012 The QTI Group
Training & Development
Training and development is not limited to expensive hosted
seminars or moving up the career ladder
Overlooked cost-efficient development and training:
• Expansion
E
within
h employee’s
l
’ current role
l and
d
responsibilities
• Look to your internal experts to train your internal staff
• Free workshops and webinars offered by vendors
• Bring the expert to your workplace
• Employee coaching and performance management
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© 2012 The QTI Group
Benefits of Coaching and Appraising
Employee Performance
Build Community, Improve Results, and Give Recognition
• Gives managers and employees an opportunity to
1) Celebrate the wins and encourage continued strong efforts
p
2)) Address areas of issue and for improvement
3) Discover growth and career opportunities
• Employees want to be part of the bigger picture
• Allows the employee to give feedback on themselves and
their supervisor
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© 2012 The QTI Group
• Basis for recognition, promotion, termination, or lay off
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Being an Effective Coach Does Not Cost
Anything
•
•
•
•
•
•
•
•
Listen
Build on employee strengths
Empower employees and hold them accountable
Demonstrate trust by delegating appropriate
d
duties/responsibilities
/
bl
Serve as role models and mentors
Provide continuous feedback
Build trust
Reinforce/reward what is important
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© 2012 The QTI Group
Community Building
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© 2012 The QTI Group
Voice
• Ask for feedback and respond to it
• Give employees an opportunity to express opinions
• Various venues
– Open Door
– Town Hall Meetings
– Engagement Survey and Engagement Committee
• Intranet / Newsletters
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© 2012 The QTI Group
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Put the Fun Back Into Work
• Brown Bag / Lunch-N-Learns
• Social Events outside of the workplace
• Birthday and anniversary celebrations
• Not-for-Profit or philanthropic teams and events
• Small celebrations in the offices: before a trip, new client,
birth of baby, wedding
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© 2012 The QTI Group
Takeaways
1) Invest in your biggest asset: your employees
2) With engagement, your return on investment is
exponential
3) If you wish to go quickly, go alone. If you wish to
go far, go together. African Proverb
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© 2012 The QTI Group
Conclusion & Thank you!
We’ve got a talent for business.®
We’ve got a talent for business.®
Jane Clark
Matt Shefchik
Chief Operating Officer
QTI Human Resources
Managing Director
QTI Consulting
(608)204-6294
[email protected]
@
www.qtigroup.com
608-663-4801
[email protected]
@
www.qtigroup.com
The QTI Group is the talent expert
who understands, advises and connects,
so that its customers
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can adapt, grow and succeed.
© 2012 The QTI Group
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Speaker Biography
Jane Clark, J.D.
Chief Operating Officer
Jane is Chief Operating Officer of QTI Human Resources. She has extensive human resources experience, in additional to private law
firm practice experience. Jane has experience with exempt and not-exempt employees, labor relations, benefits design, selection and
administration, formulation of employees handbooks, policies and forms, disciplinary investigations, harassment and discrimination
investigations, unemployment hearings, FMLA administration, OSHA inquiry management, and responses to employment-related
inquiries from state and federal agencies.
Jane graduated from Amherst College cum laude and the University of Wisconsin Law School. She is a member of the Wisconsin Bar
Association, TEMPO, and Greater Madison Area Society for Human Resource Management (GMASHRM). She was an InBusiness
Madison “40 Under 40” recipient and is an active statewide volunteer on educational, political, preservation, women’s and children’s
issues.
Contact Jane at [email protected] and (608)204-6294
Matt Shefchik
Managing Director
Matt is Managing Director of QTI Consulting. He has been involved in compensation and human resources management projects for
over ten years. Specific areas of concentration focus on employee and executive compensation, job evaluation, global pay development,
succession planning, and HR metrics. His experience in consulting includes manufacturing, technology, health care, not-for-profit, and
banking industries. Matt has also managed the compensation function at a large Madison-based insurer under outsourcing arrangements.
Matt is also a member of Van Mell Associates' Question-Based Business Planning team of experts. The team of experts include
professionals from 5 business disciplines who combine their unique perspectives to help businesses and organizations get their managers
working together toward common goals.
Matt graduated from University of Wisconsin-Madison School of Business with a Bachelors of Business Administration degree, double
majoring in Management & Human Resources and Marketing. He is active in the Milwaukee Area Compensation Association and The
Greater Madison Area Society for Human Resource Management and holds his Professional in Human Resources (PHR)
certification. He is an active community volunteer with social service agencies.
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Contact Matt at [email protected] and (608)663-4801
© 2012 The QTI Group
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