Businesses are still facing considerable issues attracting, recruiting and retaining staff and whilst anecdotally there is much talk about pay being a major factor, in general it is culture (or ‘how we do things round here’) which tends to be a more reliable predictor of employee turnover than financial compensation. Research by MIT Sloan for instance found that a toxic culture is 10.4 times more likely to contribute to employee churn than compensation.
So what can leaders and managers do to improve performance and create an environment in the workplace where existing employees feel motivated, engaged and committed, and which will attract skilled and ambitious new recruits?
In his book, ‘Drive’, Daniel Pink lists three elements that help to drive, engage and stimulate us to do our best work:
1. Mastery
2. Autonomy
3. Purpose
1. Mastery
In our previous blog we looked at the fact that skill development and succession remain a major issue facing employers and it has been suggested that in the next ten years, 50% of jobs will require new skills. Leaders and managers need to ensure that they are providing the tools, opportunity and encouragement to enable people to develop new skills, gain experience and continually improve.
34% of employees who left their previous job were motivated to do so by more career development opportunities
Placing a strong emphasis on learning at all levels will not only increase organisational performance and productivity, but will also improve employee engagement.
Retention rates rise by 30-50% for companies with strong learning cultures.
At QuoLux™ we can help businesses to develop leadership and management skills throughout an organisation with our new SkillBuild Framework which launches next month. We have identified 7 Skill Levels in any business ranging from junior / apprenticeships through skilled workers to first-line managers, managers and senior leaders. For every Skill Level we have created an extensive range of digital How-To guides, tools and techniques that will help a person to develop their leadership, management or teamwork skill to improve their personal and professional development.
2. Autonomy
Autonomy, or the desire to be self-directed allows people to feel that they have control over their work, choices and goals. It has a huge impact on motivation and allows employees to feel empowered and engaged.
Imagine a workplace where individuals know what their individual objectives and responsibilities are; where people are motivated and engaged to take ownership and achieve those objectives and bring their best selves to work, and where they confidently and competently solve problems, make decisions and feel able to take responsibility for their mistakes - and learn from them.
Whilst there are many decisions that will need to remain with the senior leadership team, business leaders should ensure that, where possible, decision making is delegated throughout the organisation to the lowest possible level. Meaning that decisions are made by the person who is best placed to do so. Your employees will inevitably be the ones who are closest to your customers, your processes and your products or services, which means they are usually the people with the right information to make the best decision.
3. Purpose
Purpose is what gets you out of bed in the morning, and when individuals can see how they are contributing to the bigger picture – the overall company mission, vision, purpose - they are even more effective. Professor Steve Kempster, another of our masterclass speakers, likes to remind our delegates of the story of the two quarry workers. When asked what they were doing, one quarry worker explained that they were cutting rocks, whilst the other described that they were ‘building a cathedral’. It is the second person who can see the link between their day-to-day role and the overall company goals who is more motivated and will bring their best self to work.
If you are interested in finding out more about developing your organisation to improve leadership and business performance and get the best from your team, please get in touch with Jo Draper or Stewart Barnes.
Our next effective leadership and business strategy program for senior leaders (LEAD™) starts on 28th and 29th April.