1. Employee Engagement: The Key to Organizational Success
Ron Thomas
Managing Director
Strategy Focused Group
Dubai, UAE

2. Opportunities for engaging the workforce*
63%: Employers feel strongly that their company is a “great place to work”
43%: Employees believe that this is true
65%: Employers feel that they are loyal to their employees
38%: Employees agree on loyalty
39%: Employees strongly hope that they will be working for another company in the next few years
*MetLife Benefits Study

3. Opportunities for engaging the workforce*
“Softer” areas such as culture and engagement, leadership, and development have become urgent priorities.
Culture and engagement: This year, culture and engagement was rated the most important issue overall edging out leadership
Business Challenge: Gain a clear understanding of their organization’s culture and reexamine every HR and talent program as a way
*Deloitte Human Capital Trends 2015

4. Financial advantage
A recent study by Tower Watson, found that companies with low engagement scores had an average operating margin under 10%
Those with the highest "sustainable engagement" scores had an average one-year operating margin of 27%
According to recent studies by MelCrum, 70% of all strategic and change initiatives fail, and the number one cause of that failure is the inability of leaders to evolve the mindset and attitudes of their employees

5. The Dollars and Sense of Engagement
Engagement Level
Distribution
Performance delta
over cost by engagement level
Impact on Organizational Performance
Level 4
Fully Engaged
12%
120%
14%
Level 3
Engaged
40%
Cost and value are equal
Level 2
Somewhat Disengaged
39%
80%
31%
Level 1
Actively Disengaged 9%
60% 6%
Current Performance Potential
91%

6. Engagement Business Case: Costs of Poor Engagement
Engagement Level
Distribution
Impact per Employee (combined salary 80K)
Total Impact Based on 500 Employees
Level 4
Fully Engaged
12%
$16,000 positive
$960,000 positive
Level 3
Engaged
40%
Cost and value
are equal
Level 2
Somewhat Disengaged
39%
$16,000 negative
$3,120,000 negative
Level 1
Actively Disengaged 9%
32,000 negative
$1,440,000 negative
Current Impact
$3,600,000 negative

7. Engagement Business Case: First Year Improvements
Engagement Level
Distribution
New Distribution
Total Impact based on 500 employees
Level 4
Fully Engaged
12%
24%
$1,920,000 positive
Level 3
Engaged
40%
55%
Cost and value
are equal
Level 2
Somewhat Disengaged
39%
19%
$1,529,000 negative
Level 1
Actively Disengaged 9% 6%
$960,000 negative
Current Impact
$569,000 negative

8. Managers Drive Engagement
Managers account for at least 70% of the variance in employee engagement scores across business units. *Gallup
A manager’s leadership style was responsible for 30% of the company’s bottom-line profitability! *Daniel Coleman’s Leadership That Gets Results, Harvard Business Review study

9. Drivers of Engagement: Your Managers
35% of managers are engaged
51% are not engaged
14% are actively disengaged.
50% of employees have left their job to get away from their manager at some point in their career.
Managers’ engagement has a direct impact on employees’ engagement.
Employees who are supervised by highly engaged managers are 59% more likely to be engaged than those supervised by actively disengaged managers.

10. Great Managers Talent
They motivate every single employee to take action and engage employees with a compelling mission and vision.
They create a culture of clear accountability
They make decisions based on productivity, not politics
They have the assertiveness to drive outcomes and the ability to overcome adversity and resistance
They build relationships that create trust, open dialogue and full transparency

11. Who is the manager?
Organizations often put people in managerial roles for reasons that have nothing to do with their talent to manage.
TOP TWO REASONS PEOPLE BECOME MANAGERS:
“I was promoted because I was successful in a previous non-managerial role.”
“I have a lot of experience and tenure in my company

12. The Disengaged Organization1
Disengaged Leaders 2
Disengaged Managers 3
Disengaged Employees

13. The Engaged Organization1
Engaged Leaders 2
Engaged Managers 3
Engaged Employees

14. Key to Organizational Success
Start with your Leaders
Proceed to your Managers
Remember it has nothing to do with perks