1. Welcome Globoforce is the leading provider of worldwide, on-demand employee reward & recognition solutions for Global 2000 companies. Globoforce Presents a Truly Global Discussion on Employee Engagement Derek Irvine, Globoforce, is Joined By: Andy Parsley, GreenLion David Zinger, Consultant September 18 th, 2007

2. Derek Irvine VP of Marketing & Client Strategy, Globoforce A seasoned management professional with over 20 years experience working across a diverse range of industry and clients. International Management Consultant, Marketer. While working with Globoforce, Derek has specifically advised clients including: IBM, Wrigley, GE, Dow, P&G, Reuters in the strategy & implementation of their global reward and recognition programs.

3. Andy Parsley Director and Founder, Green Lion, UK Two-decades in advertising - Saatchi & Saatchi and Omnicom groups. Founded Green Lion Insights and Solutions Ltd. Member of the UKs Association for Qualitative Research Frequent contributor to BBC Radio News. Contributed to BBC TV's 2001 documentary seriesPredictions: The Future of Work. With a forthcoming eBook Unlocking the Power of People: A Practical Guide to Employee Engagement discussing employee engagement, the future of it within the workforce, and steps employers can take to encourage employee engagement

4. David Zinger, B. A., M. Ed., Consultant and Presenter 25 years experience in education and training. Employee engagement and leadership author with such blogs as: Strength Based Leadership Blog Employee Engagement Blog ½ of the Slacker Manager Blog – a blog with about 8300 subscribers. Delivered more than 1000 custom courses and seminars including : strength based leadership employee engagement crucial conversations Instructed courses in Education Psychology and Management at the University of Manitoba Developed two distant courses to teach adult educators for Western Canadian Universities.

5. What is Employee Engagement? Employee Engagement is an outcome-based concept. It is the term which is used to describe the degree to which employees can be ascribed as aligned and committed to their organisation such that they are at the most productive. ~The International School of Human Capital Management -definition released in 2006

6. Alignment High XXX X X High Low Commitment Employee Engagement Matrix (Alignment vs. Commitment) Adapted from – Journal of Applied Human Capital Management Volume 1 No 1 2007

7. Employee Engagement is more than Employee Satisfaction! Caring about: Colleagues Customers Organization as a whole Discretionary effort vs. Engagement?

8. Photo Credit: Northern Lights (Aurora Borealis) by Nick Russil http://flickr.com/photos/nickrussill/146743083/ Northern Limestone Plant Engagement for all is not necessarily looking for more discretionary effort out of people, but for Authentic effort. Engagement benefits self, organization and community Northern Enlightened Employee Engagement

9. Attendee Survey Responses In your opinion, are employee engagement programs gaining more executive mind share in your organization? Do you think an engagement program would improve the companys financial bottom- line?

10. The Service-Profit Chain Internal Service Quality Employee Satisfaction Employee Retention Employee Productivity External Service Value Customer Satisfaction Customer Loyalty Revenue Growth Profitability EngagementDeliveryOutcomes

11. Why senior executives should care about Employee Engagement– The ROE! Gallup studies proved that corporations with higher engagement levels generated: 27% higher profits 50% higher sales 50% higher customer loyalty 38% above average productivity *Gallup Q12 Survey

12. The Engagement Dividend A 15% improvement in levels of employee engagement correlates with a 2% improvement in operating margin. -Towers Perrin

13. What do Metrics Really Mean? Metrics = Score of past events Insight = Conversation about current events and feelings Satisfactionfeels good Engagementdoes good

14. Workplace Engagement Leadership Matters! If Your Manager: Primarily Ignores You Focuses on your Weaknesses Focuses on your Strengths Chances of being actively disengaged: 40% 22% 1%

15. Leaders Take Note! 1. Managers must: a) Understand employee engagement b) Acknowledge it is the biggest driver of organisational performance in the 21 st century c) Recognize its their responsibility to deliver it. 2. Giving managers leadership skills so they can: a) Buy into the Vision and Values b) Communicate the Vision and Values in a relevant, compelling way c) Be consistent and authentic in living the Values 3. Demonstrating respect 4. Enabling personal improvement

16. Leadership and engagement

18. Many studies show these essential pieces are needed too… Know your workforce What satisfies and what dissatisfies. Take the temperature of satisfaction often. Build confidence In leadership & the strategy. Inspire We all love to follow a vision. Communicate Often Think about your employees like you would your consumers. Think brand values, how to build and how to communicate them. Enhance My Value Help employees enhance their sense of value. Offer new skills, ensure sense of purpose, build a learning company. Build an Appreciation Culture Remember to say Thank You often. Be seen to offer fair and merit based total rewards programs.

19. Attendee Survey Responses What role can a strategic recognition program (one that is strongly aligned with your company mission and values) – play in a successful engagement strategy?

20. RecognitionAn Important Piece of the Puzzle Authentic recognition is vital and key. To recognize is to really see and acknowledge people. Done well in a manner thats aligned to the values of the organization, it can be the Engagement Tipping Point

21. Hi-Impact, Hi-Speed, Strategic Recognition Great Engagement Requires Know your workforce Build confidence Inspire Communicate Often Enhance My Value Build an Appreciation Culture Hi-Impact Hi-Speed Recognition Hi-Impact Recognition Anchor with the corporate vision & values Reward strategically relevant behaviours and results Brand it Promote and advertise it! Champions at senior levels Make showing appreciation a MUST do Recognize many & often Measure, track, bring accountability & methodology Hi-Speed Recognition Recognize fast & timely Quick & simple to do Make it a daily topic Use technology to quickly spot non/ reluctant participants Live, real time data & analysis Recognition Delivers Results Relevance & Meaning A conversation started Frequent interaction with this topic Appreciation Culture Vision & Values Understood & Alive Walk the Talk!

22. The Challenge 43,500+ employees 62 countries The company valued recognition, but was running 100s of different recognition programs across the world. Dows vision was for one consistent global program -- a non-cash recognition program that would have frequency of awards and encourage a recognition culture worldwide. Must Haves: Grow an Appreciation Culture Live the corporate values Fair offering globally Caters to global workforce Simple administration Excellent governance and reporting And for less money than before! Thank You In Action, Globally.

24. Strategic Recognition Globoforce Success Story: Dow Chemical Strategically aligned recognition drives the behaviors, actions and results that lead to business success. At Dow, people are recognized for their contributions. It is important that everyone understand why recognition is important, know how to recognize employees effectively, and make recognition a part of every day. -Andrew Liveris, President & CEO, Dow Chemical Co.

25. Effective Recognition Initiatives Reflects the values of the organization No Cash Incentives at a Not-for- Profit Flexibility allows each recipient a choice they value No donuts for Dieters No parking spots to bus riders Recognition reinforces the feeling of value Timeliness is essential

26. Why Now? Why Engagement? Talent Management Retention Brain Drain Recruitment Generational Gaps A New Kind of Benefit

27. People Power…an untapped potential? History… 1 st Improved Machinery 2 nd Improved Processes 3 rd Improved Information & Quality. …Whats the next Big Thing? Our last organizational resource…people! Yes! Its time to unleash the People Potential in the 21 st Century.

28. Questions? If we dont address your question today please feel free to email: Globoforce marketing@globoforce.com http://www.globoforce.com Andy Parsley andy@greenlion.co.uk http://www.greenlion.co.uk David Zinger dzinger@shaw.ca http://www.davidzinger.com

29. Thank you for spending an hour with us! We hope you enjoyed the presentation.