Do You Agree Employee Engagement Levels Drop During Organisational Change?

October 28, 20168:00 am931 views

While many executives might already be aware that employee engagement level drop significantly and their confidence in the organisation gets impacted during times of change, such as a new CEO at the helm.

A recently released report by the Hay Group division of Korn Ferry titled, One Definitive Guide to Engaging Through Change,  provides tips on how to successfully engage and enable employees during these situations.

Analysing global employee opinion database with responses of more than six million employees across the globe and comparing them with organisations undergoing large-scale change with global averages, the data indicates that employee engagement lowers during a CEO or leader change.

Impact of change in leadership at the helm are:

  • Company’s ability to retain high-quality employees is 27 percent lower than the global average.
  • Employees should be encouraged to take reasonable risks such as trying new ideas or ways of doing things. This is 18 percent lower than the global average.
  • The company when effectively organised and structured is 13 percent lower than the global average.
  • Poor performance generally addressed effectively is 16 percent lower than the global average.
  • The company if effectively managed and well-run is 11 percent lower than the average.
  • The company keeping employees informed about the performance of business is 19 percent lower than the global average.

“Given the fact that 2015 was a record year for corporate mergers and acquisitions, the issue of change at the top is a very real possibility for organizations. And while no two changes are the same, many factors influence whether they succeed or fail,” said Mark Royal, Senior Director, Korn Ferry Hay Group.

“But we know from our work with clients across the globe that there are distinct ‘dos’ and ’don’ts’ to help leaders engage and enable their people.”

See: 5 Terrific Ways to Increase Employee Engagement

Experts recommend some tips for leaders to successfully engage employees:

  • Engage before the change – Work to develop strong engagement levels before change to help weather the storm.
  • Make communications crystal clear – At the start of a change event, commit to working with your leaders and internal communications team to create frequent, clear and consistent communications.
  • Set leaders up for success – Coach and develop leaders, and help them understand their personal role in change.
  • Support and equip managers – Make sure managers have the tools, skills and ideas to engage their teams.
  • Involve your people – Change impacts the entire organization. Develop ways to retain the best and brightest talent.

“Change can make the future look less certain, which gives your competitors a great opportunity to try to snatch your best people,” said Royal. “Make sure you know who your high performers and high potentials are, then think about proactively engaging them. This is especially true for new hires, who may have signed up to work for a very different organization from the one it’s about to become.”

Also read: How Does Workplace Satisfaction Help Boost Employee Engagement?

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