Disengaged staff, high employee turnover or a disconnect between leaders and their team are all a sign of an unhealthy company culture. A recent Gallup survey on employee engagement showed that organisations with high levels of engagement outperform others up to 200% in terms of growth, productivity, profitability and reduced levels of absenteeism and sick days.
The Corporate Leadership Council found that the most engaged employees are 87% less likely to leave their organisation. It’s very costly to replace employees, so it’s best to avoid the process whenever possible and create a healthy company culture. Here are five promising methods.
1. Give Feedback
A company with great culture asks their staff for feedback. This is can hard for the employees says Linda Hill, the Wallace Brett Donham professor of business administration at Harvard Business School, “The major reason people don’t give the boss feedback is they’re worried that the boss will retaliate because they know that most of us have trouble accepting negative feedback”.
However, listening to the needs, suggestions, and positive and negative feedback of all stakeholders is essential to developing a healthy company culture. There are many ways to get feedback, from employee surveys, to team meetings, to whiteboards in common areas that people can write thoughts or suggestions. Any or several of these will allow staff to have a voice and feel like they can contribute to the shared vision and company goals.
2. Change management
Change is usually estimated on how it affects the organisation and not frequently enough on how it impacts staff planning, communicating and involving employee will ease changes, and make them last. Added to this, hiring new staff to join a team should be based on qualifications and experience but it is also smart to make sure they fit into the organisations culture.
3. Pay your employees more
Paying employees above their minimum wages, especially in retail sectors have been found to increase profits. The factors for this increase include lower employee turnover, higher engagement and more drive. A relevant case study: since increasing its benefits and wages above industry standard, retail chain Costco were able to reduce employee turnover to less than 6%.
4. “Do as I say not as I do” should not apply
When the company’s personality is established, it is should be embraced by all, from entry level talent to senior executives. Management should set an example on drive, commitment and dedication.
5. Deliver great benefits
Investing in benefits such as a corporate health programs, training, speakers, paternity leave and more, makes employees feel valued and cared for.
(For 10 tips on improving employee recognition, read our guide.)
For example, a corporate health program benefits the employee but in turn will increase productivity, decrease sick days and provide a great ROI (return on investment) for any company.
Leaders need to establish holistic ways to create a healthy company culture, this allows for a happy, productive, and positive workplace, which in turn will provide greater profits.
Dr. Debra Villar is the director of Complete Corporate Wellness.