Drivers of Employee Engagement 

Unhappy and disengaged employees can cause chaos in a business. Productivity will suffer, goals won’t be met, turnover costs will soar, and customer relationships will feel this negative impact. Fortunately, there are many strategies to solve this common problem, but it’s often not one size fits all. A great place to start is HR outsourcing, which means putting these and other HR issues into the hands of experts, like our team at Milestone. 

It’s important to stay knowledgeable about what drives employee engagement. Maybe you’ve been searching for a drivers of employee engagement PDF to email to your upper management, or perhaps you’ve put together an importance of employee engagement PPT to review at your next staff meeting. If so, your head is in the right place. Even if you haven’t done this yet, you are here reading this blog, which shows you are trying to figure out how to improve employee engagement. Let’s review, then, the key drivers of employee engagement. 

What Are The 5 C’s Of Employee Engagement?

Understanding the driver of employee engagement is crucial for any entrepreneur or small business owner. The 5 C’s of employee engagement—Connection, Career, Clarity, Convey, and Celebrate—serve as a comprehensive guide to fostering a productive and happy workforce.

Connection:

Building a sense of connection among employees is one of the primary drivers of engagement. A strong employee-manager relationship is crucial in fostering trust and communication. This involves creating an environment where employees feel bonded with their colleagues and aligned with the company’s goals. Activities like team-building exercises, collaborative projects, and regular social events can enhance this connection.

Career:

Employees are more engaged when they see a clear path for career development. Career development opportunities significantly enhance employee experience by fostering professional growth and satisfaction. Offering opportunities for advancement, mentorship programs, and continuous learning can help employees feel more invested in their roles. A robust career development plan demonstrates a company’s commitment to its employees’ future, thus driving engagement.

Clarity:

Clarity involves ensuring employees understand their roles and the company’s vision. Embracing employee feedback is crucial in maintaining this clarity and understanding of roles. Clear communication of job responsibilities and organizational goals can prevent confusion and keep employees focused. Regular meetings and transparent communication channels are essential in maintaining this clarity.

Convey:

Effectively conveying the company’s vision and values to employees can significantly boost engagement. Leaders and managers should ensure that their messages are consistently communicated and that employees understand how their work contributes to the larger picture.

Celebrate:

Celebrating successes, both big and small, is crucial for maintaining high levels of engagement. Celebrating successes can also encourage employees to maintain high performance. Recognition and rewards for achievements can motivate employees and create a positive work environment. Regularly celebrating milestones and accomplishments reinforces a culture of appreciation.

What Are Employee Engagement Strategies Driven By?

Employee engagement is not a mere buzzword but a critical factor determining any organization’s success and sustainability. Understanding what drives employee engagement is essential, as it helps identify the key factors influencing engagement. Engaged employees are more productive, exhibit higher levels of job satisfaction, and are less likely to leave the company. But what drives this crucial engagement? Let’s explore the primary drivers in detail:

Leadership

Effective leadership is one of the foremost drivers of employee engagement. Psychological safety is crucial in fostering a supportive environment where employees can voice their opinions without fear of negative consequences. Leaders who are transparent, communicative, and supportive tend to foster environments where employees feel valued and heard. They provide direction, inspire confidence, and offer feedback, all essential for keeping employees engaged. The style and quality of leadership can significantly affect both the morale and performance of the workforce.

Purpose

Employees need to feel a sense of purpose in their work. Employees sense when they belong and have a purpose, which is crucial for their motivation and engagement. This is more than just understanding the tactical tasks they perform; it’s about recognizing how their work contributes to the overall mission and goals of the organization. When employees see a direct connection between their efforts and the company’s success, they are more likely to be motivated and engaged.

Opportunities for Growth

Providing opportunities for growth and development is crucial for maintaining an engaged workforce. Implementing effective employee engagement strategies is essential in providing these opportunities, as they help understand what motivates employees and measure their engagement levels. Employees value employers who invest in professional development through training programs, mentorship, and career advancement opportunities. When employees see a clear path for growth within the organization, they are more likely to remain committed and engaged.

Recognition

Recognition plays a vital role in driving employee engagement. It is crucial to use an employee engagement survey to capture feedback and recognize contributions. Acknowledging employees’ hard work, achievements, and contributions can boost morale and motivate them to maintain high performance. Regular, meaningful recognition can reinforce positive behaviors and create a culture of appreciation within the organization.

Work Culture

The overall work culture significantly impacts employee engagement. Employee engagement through a positive work culture is essential for fostering a committed workforce. A positive, inclusive, and supportive culture where employees feel they belong can make them more committed to their roles. Elements like teamwork, mutual respect, flexibility, and work-life balance contribute to building such a culture. Companies prioritizing a healthy work culture often see higher levels of employee engagement.

What Are the Main Drivers of Employee Engagement?

There are many avenues to take when facing passive and disengaged employees, but we will focus on 6 drivers of employee engagement that we believe to be the most important. Each is a valuable ingredient for creating a work environment where employees can thrive and actively play a part in the success of your business. 

Employee retention is a critical objective for entrepreneurs and small business owners aiming to maintain a stable and productive workforce. Understanding the factors influencing retention can help increase employee engagement, which is essential for creating a positive work environment. This section explores the five main drivers that play a significant role in retaining valued employees.

1. Career and Learning Opportunities

When considering what factors drive employee engagement, opportunities for advancement are a big deal. In a study done to research the impact of employee engagement on employee performance, career opportunities were the number one motivating factor. This is understandable, as many want to advance their careers and increase their earning potential. Consistently promoting well-deserving employees from within your organization is one simple way to engage in this manner. You can also offer continuing education and mentorship programs to show employees you value investing in them. 

2. Recognition

Recognition can come in many forms. It can look like public praise in the middle of a staff meeting, a quick email of gratitude for a well-done task, or a raise to an especially hard-working employee. If your employees know that these kinds of rewards are regularly doled out to those that deserve them, the motivation to contribute and stand out increases. In a recent survey of 1,500 U.S. employees, 82% directly tied recognition to their happiness at work. When asked about their preferred methods for receiving this recognition, the majority chose financial gain in the form of a raise or bonus, but awards and visibility to higher-ups were also appealing to many. 

3. Coworker Relationships

Bullying is often associated with elementary school and lunch money. Sadly, bullies exist beyond the classroom. It can continue into the professional realm, tearing down healthy workplace relationships. Not all businesses experience this, but they might find their employees still lack interpersonal relationships that make them excited to come to work. Your employees spend a significant amount of their lives working, so it is important to fill those hours with a sense of camaraderie and mutual respect. At Milestone, we handle this in numerous ways, such as training managers on improving poor work relationships and conducting productive performance reviews. 

4. Believing in Company Values

A good business is built upon values and a mission it can stick to, including its leadership. Working for leadership that espouses values they don’t exemplify themselves can be demoralizing. Adhering to your values is not enough on its own, though. You need to instill them in your employees, and that takes more than a simple mission statement poster on the break room wall. As we stated above, one key to this is ensuring your leadership models your values. You can also incorporate your values into measurable KPIs, which is another straightforward way to consistently actualize your mission.  

5. Consistent and Quality Communication

In another survey of 1,000 employees, 91% of respondents said that their leadership lacked communication skills. When asked further what kinds of shortcomings they were specifically seeing in their upper management, the responses ranged from micromanaging to narcissism to outright bullying. An admirable solution to this issue is finding ways to open two-way streets of communication. Employees see things that leadership may miss, and vice versa. While accepting criticism is difficult, it is also incredibly important for finding your organization’s weaknesses and strengthening them. Creating opportunities to share, brainstorm, and discuss ways to improve your business makes everyone feel that their voices are heard and appreciated. 

6. Physical and Mental Wellbeing

Did you know that one in five adults experience a mental illness each year? And those with depression have a 40% higher risk of developing cardiovascular and metabolic diseases. Additionally, the World Health Organization (WHO) estimates that the economic impact of depression and anxiety costs the U.S. $1 trillion per year in lost productivity. These statistics alone show how vital the physical and mental well-being of your employees should be. Implementing required mental health training for leadership, offering mental health care coverage or access to on-staff counselors, and providing free gym membership to your employees are just a few methods for taking care of your employees in this way. 

What Are The Five Main Drivers Of Employee Retention?

Employee retention is a critical objective for entrepreneurs and small business owners aiming to maintain a stable and productive workforce. Understanding the factors influencing retention can help increase employee engagement, which is essential for creating a positive work environment. This section explores the five main drivers that play a significant role in retaining valued employees.

Career Development

Career development opportunities are pivotal in ensuring employees feel valued and capable of growing within the company. Inspiring employees through career development opportunities can significantly drive engagement and motivation. Providing training programs, mentorship, and clear career paths fosters a sense of progression and self-improvement. An organization that invests in its employees’ career growth demonstrates a commitment to their professional and personal development, enhancing retention.

Work-Life Balance

The modern workforce increasingly prioritizes work-life balance as a key factor in choosing where to work and whether to stay. Flexible working hours, remote work options, and understanding personal time off needs contribute significantly to employee satisfaction. A company culture that respects and actively supports work-life balance fosters healthier, more loyal employees.

Management Support

Effective management support is another crucial driver. Employees who feel supported by their managers are likelier to remain with the company. This encompasses regular feedback, open communication channels, and approachable and empathetic managers. A supportive management team helps employees navigate challenges and fosters a positive work environment.

Compensation

While it’s often said that money isn’t everything, fair and competitive compensation is undeniably a key driver of employee retention. Compensation should reflect the market rates and factor in additional benefits, such as health insurance, retirement plans, and bonuses. Ensuring employees feel financially rewarded for their contributions helps mitigate turnover.

Work Environment

The overall work environment significantly affects employee retention. This includes both the physical workspace and the organizational culture. A positive, inclusive, and safe environment where employees can collaborate and innovate freely is essential. Creating a workplace that fosters respect, diversity, and well-being will help retain a dedicated workforce.

What Are The 12 Elements Of Employee Engagement?

Understanding the 12 elements of employee engagement drivers is pivotal for creating a vibrant and productive workplace. These elements help assess and improve employee engagement, which in turn drives performance and retention.

1. Clear Expectations

Employees with clear expectations from their roles tend to be more focused and productive. When clearly communicated goals and objectives, employees can align their efforts toward achieving organizational success.

2. Necessary Materials and Equipment

Ensuring employees have the necessary materials and equipment to perform their jobs efficiently is a fundamental engagement component. This means providing modern tools, technologies, and resources that enable them to do their best work.

3. Opportunity to Do What They Do Best

Leveraging the unique strengths of employees is crucial. When individuals are given opportunities to utilize their strengths and excel in areas where they perform best, it boosts their confidence and engagement levels.

4. Recognition for Good Work

Recognition is a powerful motivator. Regularly acknowledging and rewarding good work uplifts morale and encourages employees to maintain high-performance standards.

Caring About Me as a Person and Psychological Safety

Employees want to feel valued not just as workers but as individuals. Showing genuine care and concern for employees’ well-being fosters a loyal and engaged workforce.

6. Encouraging My Development

Opportunities for professional development and growth keep employees motivated. Providing training, mentorship, and career advancement opportunities helps in retaining top talent.

7. My Opinions Seem to Count

Employee engagement is significantly higher when their opinions are valued and considered. Creating a workplace where feedback is encouraged and acted upon can make employees feel more involved and important.

8. Company Mission/Purpose

An understanding of the company’s mission and purpose connects employees more deeply to their work. Employees who resonate with the organizational values and goals are more committed and engaged.

9. Committed to Quality

Encouraging a culture of quality and excellence ensures that employees take pride in their work. When quality is a shared value, it positively influences employee engagement.

10. Best Friend at Work

Building strong interpersonal relationships at work can significantly enhance engagement. Employees forming meaningful connections results in a more supportive and collaborative environment.

11. Progress

Tracking and celebrating progress is crucial. Regularly reviewing and acknowledging advancements motivates employees to continue striving toward their goals.

12. Opportunities to Learn and Grow

A dynamic and ever-evolving workplace that offers continuous learning and growth opportunities keeps employees engaged and excited about their roles.

Integrating these principles into your business strategy will maximize your team’s potential. Partner with Milestone for comprehensive Accounting, HR, and Payroll services tailored to the dynamic needs of high-growth businesses and nonprofits. With Milestone’s unmatched expertise, elevate your back office functions to a strategic advantage.

Milestone: A Driver of Employee Engagement

A business will flourish when employees are involved and happy. These 6 drivers we have mentioned are important to understand if your employee engagement is suffering. We have spent years at Milestone cultivating HR techniques that drive employee engagement and lead to prosperous outcomes for our partners. After learning about your team and what their specific needs are, we use those insights and wisdom from our prior experiences to create strategies that positively impact your business. 

Eager to boost your employee engagement? Contact us today for this and our many other HR solutions!