Karian and Box thinkBox 2015 by Karian and Box

edition six: 2015

PROVOKING THOUGHT GENERATING DISCUSSION ENGAGING EMPLOYEES DELIVERING RESULTS

Is the traditional employee survey dead?

edition six: 2015

Produced by Karian and Box Ltd 14 Clifford Street York YO1 9RD

01904 654454 info@karianandbox.com www.karianandbox.com

Guest editor in chief: Peter Crush

Editorial Team: Paul Jones Rachel Gartner Joanna Finn

Design: Steve Raw Ashley Pickering

Is the traditional employee survey dead?

Our thoughts on the future of engagement research and the most compelling research trends emerging in 2015. See page 40

In this issue… 06

Introducing this issue

Time for a rethink?

Engagement in fact

The latest facts and figures in the business and HR community

News

Driving productivity through employee ownership Corporate image and sustainability Ineffective data collection Mentoring and employee retention Is learning and development falling short?

Freedom to be flexible

Re-imagining storytelling

Getting crafty

Three day work week? Working from home? Here we consider the latest trends in flexible working and the changing nature of the modern workplace

Out with the old and in with the new, or in with the old and out with the new: reimagining storytelling for modern business

Giving employees the freedom to mould their own job descriptions could solve the problem of disengagement

Congratulations, you’ve surveyed 34 engagement. Now what?

Following up on your engagement survey

Is the traditional employee 40 survey dead? Entering a new era of engagement research: where are we headed and what parts of engagement research are we leaving behind?

Book reviews

Last word

The Psychopath Test: a journey through the madness industry by Jon Ronson Knowledge is Beautiful by David McCandless The Power of Habit: why we do what we do and how to change by Charles Duhigg The Culture Map – Breaking through the invisible boundaries of global business by Erin Meyer Eyes Wide Open by Noreena Hertz

Some final thoughts from Ghassan Karian, Managing Partner and founder of Karian and Box

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40 11

Time for a rethink?

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The world of work is changing at a rapid pace. More and more people are working remotely, crafting their jobs and workplaces are becoming increasingly â&#x20AC;&#x2DC;holacraticâ&#x20AC;&#x2122;. Methods of communication need to keep up with this rapid change in order to reach an increasingly distributed workforce and it might be time to rethink some of our most trusted communication techniques.

Introducing this issue of thinkBox

It probably passed you by but in September 2014 it was National Go Home on Time Day. Its aim was to draw attention to the fact that one in five workers habitually puts in nearly one day per week (seven hours according to the TUC1) of unpaid overtime. That’s additional graft, worth nearly £6,000, for free.

Peter Crush is an awardwinning HR journalist who contributes regularly to HR journals and national newspapers on issues related to work. Peter was deputy editor of HR magazine.

It dramatically reveals the scandal that is western, transatlantic longhours culture. But in our internet-enabled world, what’s ironic about this campaign is that it is still predicated entirely on the concept of ‘going’ to work – travelling to a concrete building to do some stuff, so that people can ultimately leave at the right time.

The only way to solve the long-hours culture is not to waste time ‘going’ to work at all – but to ‘stay’ home and do it there instead. In the future (sooner rather than later, one hopes) travelling to work will be seen as ridiculous. When O2 asked all but 125 mission-critical staff to work from home in 2012 (as part of its planning to reduce congestion during the London Olympics), its workers gained 2,000 hours they would otherwise have spent commuting – in just a single day. By avoiding the commute they achieved all they needed, and more pleasantly too. Just think of the productivity that could be gained nationally if that’s what everyone did more often. The good news – see ‘Freedom to be Flexible’, p12 – is that flexible working (working from home/staff choosing when they work their hours), is now something that is increasingly becoming a basic workplace right. But as we know, workplaces aren’t always the fastest to react to legislative change, and as staff demand that work fits into their lives (rather than the other way around), accommodating flexibility will involve a change in the way the leadership and management communicate outwardly to staff. These are big challenges communicators need to embrace. As well as wanting to work more flexibly, staff also want to craft their job roles more (see feature p13), and Gen Y want workplaces to be more holacratic (the latest management buzz that does away with hierarchy) in nature too. The upshot of all this change is that triedand-tested methods of communicating must be revised to reach an increasingly distributed workforce. Perhaps the most basic of these – the staff survey – must also be reviewed to ensure it is doing the job it was designed to do, and in this issue we pull no punches, asking whether it is ‘dead’ or not. We hope you enjoy the themes presented in this edition of thinkBox. As ever, we want to know what you think these mean for professionals like yourself.

Peter Crush Guest editor

Trade Unions Council

Introducing this issue

Engagement in fact…

Difficulty finding skilled professionals A poll by specialist financial recruitment company Robert Half has found more than 90% of HR directors still have difficulty finding skilled professionals to fill their roles.

It’s no holiday being a manager Research carried out by the Institute of Leadership and Management reveals twofifths of UK managers fail to take their full annual leave allowance. It found that during 2013 a similar proportion said they felt there was room to improve their work-life balance, while 15% described theirs as “poor.”

90%

2 in5

…managers did not use full annual leave allowance in 2013

…of recruiters check the claims made by candidates on their CVs

Threequarters don’t check candidates’ claims

According to research carried out by referencing and ID verification company Creditsafe, only 1/4 of recruiters actually check the claims made by candidates on their CVs when applying for roles.

>2%

…favour a traditional office environment

…of HR directors say they have difficulty finding skilled professionals

Low productivity is suppressing wages The Chartered Institute of Personnel and Development has discovered UK productivity is still 4% lower than it was in 2007. As such, it finds few employers have been willing to raise their starting salaries significantly. The wages of existing employees, it has found, is only growing at a very slow rate (up Productivity is still just 0.7% since 2013).

>4% …than it was in 2007

Employees would rather work remotely A report published by PwC has revealed that fewer than 2% of employees actually favour the traditional office environment. Meanwhile one in five said they favour having the option of logging-in to work remotely.

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Driving productivity through employee ownership

News

Helen Bass, HR director at nursery provider Childbase Partnership, says the employee-owned model can boost both engagement and productivity – but only if employees are clear about the true benefits of the model. Childbase Partnership is part of a small but growing band of organisations that do things a bit differently. Unlike top-down structures, it is totally ‘employee-owned’. From day one, every new employee is offered shares in the business and, regardless of whether they take any, everyone is a partner in the business, with a role in its decision-making processes. According to the recent Employee Ownership Impact Report, there is an increasing number of employees in the UK who work for employee-owned businesses.

But this is also a business model that requires the benefits and challenges to be communicated to employees. Bass says: “It’s vital employees get their heads around it as early as possible, so that they understand the potential benefits.”

Today employee-owned organisations contribute £30bn to the UK economy, which accounts for approximately 3% of GDP. To ensure this happens, a special panel (called the Partnership Council) comprises 47 employees from across the organisation that meet every quarter. Each member sits on the council for three years and is involved in all important business decisions, including company takeovers and even changes to its benefits scheme.

Bass says it “provides a forum where there is a great cross-section of opinions.” She adds: “It’s not like having a central power base that’s making all the decisions.” The popularity of the employee ownership model is hardly surprising, given the positive impact it can have on employee engagement, but there are still obstacles preventing the model from being adopted more widely. Although it is a familiar concept, information about the practicalities of implementing the model is not easily available. Iain Hasdell, CEO of the Employee Ownership Association, says government can do more to assist in raising awareness – especially in highlighting tax breaks that are available to employers organising this way.

News

Ineffective data collection a strain on resources Max Blumberg, research fellow at Goldsmiths, University of London, believes collecting data without considering its use will simply put more strain on HR departments’ already hardpressed resources.

Corporate image and sustainability Best practice in corporate sustainability is increasingly being driven by regulatory requirements as well as a desire to improve corporate image. But a new report suggests many businesses still do not have a clear enough strategy for what sustainability looks like. It finds there is a lack of effective measurement systems for their sustainable initiatives, with many only operating on the ‘border’ of compliancy. When it comes to implementing sustainability, the news from the British Institute of Facilities Management (BIFM), is not good. According to its most recent sustainability survey, it finds UK businesses are losing out on a variety of benefits by not adhering strictly enough to sustainable business practice compliance measures.

It’s clear businesses need to take a more proactive, long-term and altruistic approach to sustainability. The survey examined which elements of the sustainability agenda organisations are employing, and the impetus behind the issues that are at the forefront of business. Responses to the survey suggest businesses are simply not taking on sustainability measures for altruistic reasons, but rather as a result of external pressure. Some 78% cited corporate image as the primary reason for doing so, while 77% cited increased regulation.

According to Blumberg, assembling data for the sake of it, without first identifying the business need, is tantamount to ineffectual and will deplete already strained resources. In the report – ‘Big Data in HR: The big questions being asked’ (a whitepaper for business outsourcing provider ADP), he argues:

“The new generation of HRDs are going to have to justify why their company is spending money on human capital management.” While data collection and analytics is essential for HR departments, he says it’s only useful if proper significance is attached to it. Annabel Jones, HR director ADP UK, says: “HR is still early on in the journey when it comes to collecting meaningful data, but however good the information collected is, if HR doesn’t have someone to attach significance to it, then there is no compelling case to be made. This is particularly important when collecting predictive analytics. The data alone can’t tell the whole story.”

Despite finding demanding regulations and sustainability targets are helping to push energy and waste issues up the corporate agenda, it concludes there is still too much of a short-term view amongst senior executives. According to Gareth Tancred, chief executive of BIFM, this shorttermism is leading to “many businesses missing out on the benefits of long-term sustainability, such as increased competitive advantage, increased productivity, a reduction in costs and, ultimately, more efficiency leading to better performance”. In doing so, suggests the report, not only will organisations’ corporate images be improved, but they can also build lasting processes that will have a major impact when it comes to cost savings and efficiencies.

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Learning and development is falling short

Mentoring boosts retention – but most still don’t receive any Up to one in five employees who don’t currently have access to mentoring would welcome the opportunity, finds Penna. Lack of development opportunities is one of the top reasons employees give for leaving organisations, according to data from global HR provider Penna, in its latest Mentoring report. The research, which is based on a survey of 2,000 UK workers, finds nearly half of those surveyed say they’ve never had the opportunity to be a mentor or receive mentoring in their organisation. The research suggests many UK organisations are failing to provide adequate mentoring opportunities, contrasting, as it does, with the threequarters of Fortune 500 companies that currently have mentoring schemes.

The report argues most executives say mentoring plays a key role in their professional development. It accepts larger companies are more likely to have mentorship programmes (as a result of increased time and resources), but it also suggests SMEs should follow suit since mentoring can have a significant impact on talent retention.

According to research by L&D consultancy Profitability, learning and development activity is not delivering a tangible result for a whopping twothirds of UK organisations. The report blames a lack of necessary resources for companies’ training to truly be effectual: In Marketing, John Wanamaker (the inventor of the ‘money-back guarantee’) famously said.

“Half of my marketing dollars are wasted – I just don’t know which half!” According to a new report, the L&D profession might just have this licked. The research shows that, only 33% of people in charge of designing and delivering L&D say the money spent on it has had a lasting impact on their people or organisation. Moreover, nearly 50% said their L&D function could be made more effective. The paucity of support from business managers and leaders is cited as the primary reason for ineffectual L&D. Only 29% of respondents to the survey said they got the investment they needed to be successful. This is in stark contrast to the 50% of respondents who said L&D was “essential in the successful execution of business strategy”. The report finds e-learning continues to increase in popularity, but it also reveals practitioners are concerned about how effective it is in delivering long-term improvements in knowledge and skills. Fewer than one in ten said webinars, audio learning or online virtual learning was valuable, and only 12% believe mobile learning packages for smartphones and tablets are useful. Respondents believe “action learning” is the most beneficial L&D practice – achieved through on-the-job training, coaching-based learning, business simulations or computer games. Brian Helweg-Larson, founder of Profitability, argues L&D still has a significant role in organisations, especially in times of growth, reinvention or change, but says: “The stark conclusion we come to in our report is that, for many organisations, L&D activity is falling short of what it needs to deliver.” He adds: “While it’s good organisations say they will refocus their L&D activity in the year ahead to improve business focus, unless these new activities are aligned to the needs of the business and designed with L&D tactics which can deliver lasting impact on behaviour, knowledge or skills, then they are unlikely to deliver value.”

News

Stewart McCletchie is the former Finance Director of ntl: and Virgin Mediaâ&#x20AC;&#x2122;s ÂŁ400m service division. He started his career as a chartered accountant, holding various financial roles at KPMG. He is now a consultant supporting businesses in the contact centre, manufacturing, green energy and film production sectors. Stuart is a non-executive director of Karian and Box. stuart.mccletchie@karianandbox.com

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Carlos Slim, the Mexican billionaire and second-richest person in the world, recently called for a global three-day working week. Given most employees now need to work into their 70s to pay for a decent retirement, his belief is that governments need to radically rethink the way we balance our lives. His work-hard play-hard solution is to work three 11-hour days per week, leaving four days left for leisure time. But will it work?

Freedom to be flexible

Slim’s idea is not as far-fetched as you might think. The debate he’s raising is part of a much wider conversation employers are having about flexible working – a conversation that is happening thanks to developments in labour legislation. Since earlier this year, employees in the UK, for example, have had an automatic right to request flexible working arrangements. Previously this was restricted to those with children or caring responsibilities. This is now being copied abroad, putting increasing pressure on employers to accommodate non-9am-to-5pm lifestyles. But there is also a backlash brewing against this trend too. Last year some high-profile firms – most notably Yahoo!, Best Buy and Bank of America – all scaled back their flexible work programmes because they were judged to be ineffective. The boss of Yahoo! argued staff could only be collaborative and brainstorm new ideas if they were physically in the same room together.

Is this really a good thing for employees?

So who’s right? At a time when the 30-second commute, from bed to mobile or laptop, is eminently possible, we weigh up the pros and cons of flexible working – from both the employee’s and employer’s point of view – and suggest the best ways you can introduce a flexible work programme that aligns with the new UK legislation.

What exactly are flexible work arrangements? Flexible working allows employees to tailor their working day and week to their lifestyle. There are several types of flexible work. These include: parttime work, job-sharing, working from home, flexitime, output-focused and task-oriented work (where the employee controls how much time they devote to reaching a target), and compressed hours (working full-time hours or longer but over fewer days).

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On the whole, yes. There is a significant (and growing) body of evidence that suggests flexible working suits both sides, although some drawbacks are beginning to become evident.

Improved employee retention and company profile

Flexible working boosts productivity ‘and’ engagement

New research shows providing the option of flexible working can help to attract and retain the most talented employees.

Working remotely can – in some cases – lead to increased productivity, efficiency and engagement. In a recent study carried out by researchers at Stanford University, call centre employees in a Chinese company (selected randomly to work from home over a period of nine months) were revealed to be more productive than their non-remote peers. They were also more satisfied with their jobs and less likely to leave.

In a recent survey of over 700 MBA grads carried out by Catalyst, it was found respondents whose firms offered flexible work arrangements were more likely to aspire to seniorlevel positions than their counterparts working at firms that did not. Given recent legislation requires companies to at least consider all requests for flexible work arrangements (they can still refuse it on business continuity and a limited number of other grounds), it also makes sense to have a programme in place from the outset. It will simplify the recruitment process as well as increase the positive profile of your company for potential candidates.

A study conducted at a random Fortune 500 company found those with flexible hours and those who were working from home were more efficient and happy. When flexibility was offered, some employees felt so grateful they even ended up working more! Gallup’s ‘State of the American Workplace’ report (2013) suggests workers who work remotely for less than 20% of their time are more engaged than their peers who are onsite all of the time. It also found those who worked exclusively remotely had the same level of engagement as their non-remote co-workers. This suggests working remotely some, but not all, of the time is the optimum compromise.

The drawbacks It’s not all good news. Flexible working – particularly when it is remote in nature – can have significant drawbacks for those working in creative or collaborative industries. Last year, Yahoo! announced it would no longer allow its employees to ‘telecommute’ (work from home). CEO Marissa Mayer accused employees of not being logged into the company’s virtual private network for enough hours when they worked from home. She also felt many of the company’s best ideas came from spontaneous conversations in corridors – something impossible to happen when the workforce is scattered. For example, new app ‘Yahoo! weather’ was reportedly created after an employee from its weather team bumped into someone from the Flickr team on the Yahoo! campus.

It’s obvious increased face-time and team work are essential to the success of creative organisations. But in these cases it’s important to consider the different options available – flexible work doesn’t have to mean employees working remotely. For example, job sharing, flexitime and condensed hours could easily be used as alternative options for employees working in creative industries. All of these options would provide people with the flexibility they want in their jobs. In fact, a more intense working day might encourage more successful collaboration.

Freedom to be flexible

How to do it yourself New legislation is already in place/coming into force that requires organisations to be open to all flexible working requests [including in the UK, USA, Australia and New Zealand]. So, it is essential companies grapple with flexible working in a joined-up way. Here are some tips for putting flex into your business:

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Be clear Be clear about what types of flexible working arrangements your organisation can offer – including what can and cannot work for your specific business. It’s very important to carry out a cost-benefit analysis for different flexible working scenarios. You should also look to develop a consistent, viable policy that can be applied fairly to all employees.

Explain your reasons Remember, your answer to a flexible working request should never just be “yes” or “no”. Negotiating an arrangement that works for both sides is likely to be both necessary and desirable. It’s vital employees understand the impact flexible working could have on key business metrics and how it might impact the workload of their colleagues.

T w op t an ork ips en d ing to ga fits is e ge in b ns m w en ure en ith ef f t s y ici lex tra ou al t ib te r w o a le gy id ll . er

Have a straightforward policy and make sure it is cascaded down Base your company’s flexible work policy on the relevant legislation that applies to you, and make sure the policy is communicated to employees both verbally and in a written format. It’s vital you make sure your employees are aware of how long it will take for their applications to be processed.

Be proactive with individuals Don’t just wait for employees to ask for flexible working – make sure they are aware of all the options available to them upfront. This could help you steer staff towards solutions which you think would improve productivity and engagement.

Tie it in with other benefits Flexible working is a useful ‘give’ when you’re trying to motivate employees and can be linked to learning and development goals, for instance, where a four-day week allows an employee to pursue training that will enhance their personal or career goals on their free day, such as studying for a Masters or working on a Kickstarter.

Be fair and objective Treat all requests fairly and objectively. Even if you cannot approve a request, ensure the reasons for the refusal are explained clearly to the employee. Before you say no, bear in mind the impact flexible working arrangements can have on colleagues and team morale, and ensure that arrangements are fully explained to everyone who needs to know, while maintaining confidentiality where necessary.

Freedom to be flexible

3 The

-day week

“Long days are not necessarily bad. It depends on the way they are scheduled and how people work – such as when they take breaks and what support they receive. I suspect there is the risk people will simply work three long days but then still monitor their emails and smartphones on the other days, stretching their working week further. But at least it saves travelling every day.”

Mike Emmott

Chartered Institute of Personnel and Development

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While Carlos Slim’s idea might appear to be at the radical end of the work-life balance spectrum, it does signal what the future of work could look like. Here experts give their views on whether his proposal could ever work in practice (and what else the future might have in store).

“To become the absolute best place to work, communication and collaboration will be important, so we need to be working side-byside. That is why it is critical that we are all present in our offices. Some of the best decisions and insights come from hallway and cafeteria discussions, meeting new people, and impromptu team meetings. Speed and quality are often sacrificed when we work from home. We need to be one Yahoo!, and that starts with physically being together.”

Marissa Mayer CEO, Yahoo

What the experts say:

“Companies should look at this as a way of tapping into talent pools that they can’t typically attract with old-style five-day weeks. Leadership-strong businesses who adapt to this new reality will get the best talent.”

Sir Ian Cheshire

Chief executive, Kingfisher Group

“It is not clear why employees should want their leisure in bigger chunks. It sounds like a childcare nightmare. Many of the 4.5 million self-employed can already decide how to organise their time. For the rest, let’s leave it to employers and employees to sort it out.”

Philip Booth

Institute of Economic Affairs

“Carlos Slim obviously thinks a slim working week suits his businesses, but not everyone will agree. Lots of people are already working overtime for free, and this notion could make that situation worse. If an employee can re-order their work, and cram their productivity into three days, then that would be fine. But if they can’t, their wages would go down and they would be effectively paying for the extra leisure time.”

“Life is becoming more complex and workplaces will need to accommodate the changing needs of people – whether it’s because of parenting, health or ageing parents.”

John Denton

CEO and partner of Corrs Chambers Westgarth

John Philpott

thejobseconomist.org

Flexible working is no longer something that’s fringe, and whether bosses like it or not, the concept of having dispersed employees is something they will simply have to get used to. Whether demand for flexibility comes from legislation or increasing demand from staff themselves, to fit their lifestyle around their job (rather than the other way around), firms will all need to come up with a consistent communications approach for accommodating it. On balance, the research suggests that those firms who embrace – rather than resist – flexibility will be the ones who prosper – by gaining staff who will respond positively to the trust you give them. If you plan ahead and consider pitfalls early, there’s no reason why sitting at home and working cannot be as normal as sitting in the office doing the same thing.

Freedom to be flexible

Re-imagining

storytelling

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WHEN YOU READ THE WORDS ‘COFFEE’, ‘ROAST CHICKEN’ OR ‘CITRONELLA’, THE PARTS OF YOUR BRAIN THAT PROCESS SMELL You’re probablyROAST boredCHICKEN. by ‘corporate storytelling’. It’s become ARE ACTIVATED. CAN YOU SMELL IT?

one of those famous HR buzzwords. Yes, politicians, business leaders, advertising execs and social media gurus might well be united in their belief in the ‘power’ of the story, but is there a need to think about it more deeply? We believe the answer is yes, especially because it doesn’t help that most of the people who believe in stories aren’t particularly great at telling them themselves! There’s no doubt that traditional storytelling has the potential to appear distinctly low-tech in this world of shiny devices. But, let’s not forget that sometimes, the old ones are the best. With the latest advances in neuroscience all corroborating the view that narrative is hugely important in the way we process reality, we take a look at whether digital trends offer new and resonant ways to tell stories, and if it’s time to re-imagine storytelling for organisations in the twenty-first century. Here we sort out what does and doesn’t work, from the old and the new, and look at how you can re-imagine the way your organisation tell stories.

Paul Jones manages creative and strategic engagement projects and leads the Karian and Box writing team, producing incisive and actionable analysis of employee engagement research and crafting compelling stories about business strategy and change. He has a strong academic background in the humanities, taking a First in English at Oxford before coming to York to research a PhD in modern literature and teach undergraduates. paul.jones@karianandbox.com

A great story will always be a great story, so make sure you don’t let new technology get in the way of it.

Re-imagining storytelling

What neuroscience is telling us about stories In recent years experts have been able to build an ever-revealing picture of what actually happens in our brains when we engage with stories. This research concludes that stories are hugely important in helping us understand the world around us. Here’s why:

Stories stimulate the brain in a unique way

Stories give us coherence

Stories simulate reality

When we hear stories, science tells us that we don’t just use the languageprocessing parts of the brain. We’re also using the parts of the brain that process the real world. When you hear or read a description of a room or a person doing something, the parts of your brain involved in sight and movement are activated.

We need stories to structure the way we make sense of the world. Michael Gazzaniga, professor of psychology at the University of California, has conducted 50 years of pioneering research on this subject and has discovered a left-brain function that he calls the ‘Interpreter’.

As David Herman, professor of engaged humanities at Durham University, argues in his 2013 book Storytelling and the Sciences of Mind, there is a process of ‘narrative worldmaking’ at work when we hear stories or make them up ourselves. Because we engage with stories as if they are real (and need their coherence to make sense of our lives), we are, in effect, creating a ‘safe’ simulation of reality, which allows us to test things out and plan the action we are going to take.

When you read the words ‘coffee’, ‘roast chicken’ or ‘citronella’, the parts of your brain that process smell are activated. Roast chicken. Can you smell it? Leading neuroscientist Dr Paul Zak (founding director of the Center for Neuroeconomics Studies and Professor of Economics at Claremont Graduate University) has found that our brains release the stress hormone cortisol during the tense moments of a story, as well as feelgood oxytocin when there’s a happy ending. This means stories are as real to your brain as the colleague sitting across from you, or as real as either the stressful or joyous events you’ve experienced in real life. That’s pretty powerful stuff when you want to think about persuading people who work for you to share the way you see things.

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It is the Interpreter that leaps into action to join up any mental fragments we have – our memories, words or images – into coherent stories. Gazzaniga goes further than this. He believes this brain function is actually where our sense of self actually originates – it is the quiet inner voice that tells the story of who we are. That’s why Gazzaniga believes we have a hard-wired need for narrative coherence.

He thinks it evolved to help us navigate the world, to understand where we came from and where we’re heading to – either as part of a tribe or as an individual. It’s no accident that so many stories are about journeys – and that’s why stories are so powerful in talking about business direction and change.

This means stories are a critical step to taking action. For example, if your organisation is going through – or is about to go through – significant change, narratives give employees the opportunity to explore the new business strategy and plan their future in it.

Digital stories and the future of narrative The same digital technology that giving us new insights into storytelling is also radically changing the kinds of stories we tell and consume every day. Short-form social media and simultaneous, interactive multimedia means traditional, linear, page-turning stories are being transformed into lateral, democratic, continuously evolving narrative clusters, with multiple horizons of possibilities. But, before we get too excited, let’s not forget that we live in a world that still has four walls and wrought-iron cause and effect. So, if our stories are to be useful guides to our working world, then narratives must remain ‘traditional’ in certain respects. However, that doesn’t mean we can’t use new technology to shape their dissemination.

Here’s how technology is changing storytelling Storytelling is now democratic The most radical shift digital technology is causing is a movement away from the one-to-many mass media channels of the twentieth century (newspapers, radio, TV) to the many-to-many media channels of today. As Lawrence Lessig, the copyright scholar, suggests, this represents a change from a ‘read-only’ to a ‘read-write’ culture, in which anyone can write a blog or run a video channel – and the ability to do this creates an expectation of involvement. People just aren’t the passive consumers they once were.

Employee involvement is still key though. Today, business storytellers have to listen as well as speak, especially if they are communicating a hard-hitting, technical strategy. Embracing this situation will result in authentic stories rooted in the warts-and-all realities of the organisation. These are the things that are much more likely to convince and persuade.

Re-imagining storytelling

Some of the old tricks are still the best With any shift in technology comes the challenge of how to exploit its opportunities while avoiding its shortcomings (plus keeping the best of what’s gone before). And while it’s an exciting time for digital storytelling, short-form social media does pose some disadvantages – not least is the fact it can create fragmentary, unstructured experiences that are not useful for people looking for simple, usable narratives.

But, from Homer to Hemingway, the sophisticated techniques of traditional storytelling are such that we can still learn a lot about how to create compelling and authentic narratives.

Top ten tips for successful storytelling:

Show things as they really are Why are we so fascinated by the characters of a Greek tragedy or Madame Bovary? A large part of it is down to moral ambiguity – showing the good and bad sides of a character (or situation), and leaving the reader to make difficult judgements themselves about what action is right or wrong. It’s something the best in television drama does extremely well now – Breaking Bad being the obvious example. So, how can an organisation use this to its advantage? While businesses are becoming more sensitive to how messages will resonate with staff, there nevertheless remains a deeprooted reluctance by many to be completely frank about some of the more unpalatable or unpleasant facts that exist.

It’s all about structure

Creative writing courses devote entire seminars to the rigorous planning and structuring of stories, plays and novels. If you want to create a really compelling story, then follow the shapes of stories that successful writers have already used in the past. This is a great way to give your business narrative instant appeal and engage employees emotionally.

But that’s a mistake. Avoiding the “ Stories are like gardens. The front garden is how we elephant in the room can make the want people to perceive us, while the back garden is frontline into a zoo, with mistrust and rumour fuelling a lot of noise and emotion. the true depiction of ourselves. To make our stories Employees actually find it refreshing to authentic, and to get people believing in them, you hear an uncensored, authentic voice need the back-garden stories to connect with the that is brutally honest about the moral ambiguity of the current situation. So, outside world.” Nick Hennessey, professional storyteller being real about the challenges you face together is a great way to get people to buy in to your messages.

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Keep it short and sweet Employees are busy, and their attention will wane if it takes too much time and effort to read your narrative. Use two-, five- and ten-minute narratives formats to condense your story into manageable forms for different audiences. Writing multiple versions of the same story in short, medium and long versions allows you to make sure you have formats that are usable for different situations and audiences.

Combine visual and verbal content Combining visual and textual storytelling is a great way of heightening the impact of narratives. It also makes it easier for the audience to follow and understand the story, and it helps to create a longer-lasting impact.

Planning is key It’s integral to know who your target audience is and plan your story with the right takeaway messages for them in mind. Positioning the most important content at the beginning or end of the narrative will increase its impact as well as guarantee that it will resonate most strongly.

“ Start with a deep understanding of your audience, and ensure your story has a clear and powerful meaning – to them. Then you can set to work honing it for maximum impact.” Jennifer Aaker, social psychologist and marketer

Re-imagining storytelling

Be the jargon-buster Avoid using too many technical terms, acronyms and superfluous words. All of this can alienate and bore your audience, which will weaken the desired take-home messages. Clear, straightforward language resonates a lot more strongly than jargon ever does.

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Focus on people

Part of the reason stories have such a strong impact is because people can connect with them on a more personal level. So remember to include human elements in your story. This will help to engage your audience and ensure that your narrative has a lasting impact.

Show, don’t tell Your audience should feel involved in the story you’re telling; it should capture their attention and leave them wanting more. Simply stating facts, or telling the story as though you weren’t involved in it, will leave your audience cold, bored and it won’t create a lasting message. Don’t be afraid to use the first-person style of narrative, and tell your story in a personal, heartfelt way.

Don’t be afraid to take risks when you structure your narrative Sometimes rules you think exist don’t actually apply. For example, your story doesn’t have to be chronological or follow any particular strict order. Reordering your narrative and playing with the way you structure it can help to make it more interesting. Changing the structure is also a good way to make sure the most important take-home messages can be integrated in a way that will ensure they have the strongest impact.

Show all your colours

The most powerful stories are often the ones where success has been hard-earned and won through perseverance in the face of adversity. Don’t be afraid to share moments of doubt and vulnerability. This gives your narrative a more authentic voice, helps create empathy and gets your audience onside.

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F OUR HERI DO TA U O

better deal, a voice in the business, and showing the impact we have in our communities

SCHOOL

Case Study:

YOU SHOP…

Karian and Box created a narrative outlining the Co-operative Group’s strategy following a period of transition.

…WE SHARE

Ultimately, The Co-operative Group needed a narrative that would resonate well with their employees, helping them to understand the way the business was changing and how they fit into this strategy. The story needed to be direct, straightforward and personal.

REBUILD

The story was set up in two-, five- and ten-minute formats to facilitate conversations about the organisation’s strategic direction within different segments and timeframes. The two-minute version of the strategy is ideal for quick ‘elevator conversations’, while the five- and ten-minute versions are perfect for moments when there is time to go into more depth and detail.

THREE YEAR PROGRAMME

By creating different versions of the narrative, we ensured Co-operative’s leaders had the right tools to share the new strategy with their teams in an engaging way despite different time constraints.

REBUILDING

THE CO-OP

We have successfully completed our Rescue phase and have moved into our three-year Rebuild programme. 2015 will be a year to Reset and Prepare, in 2016 we will Relaunch to take our new purpose into action for our customers and members and in 2017 we will be delivering and preparing for our growth and Renewal. The five themes shown on our Road to Renewal are our “Vital 5” which are essential for survival and ongoing sustainability. Combined with our “Winning 10”, they will enable us to be fit and ready for our Renewal to stand out in our markets and drive sustainability.

Sustainable

GROWTH

NEW

The Road to Renewal

VITAL 5

DELIVER TRUE NORTH

CHAMPIONING A BETTER WAY OF DOING BUSINESS FOR YOU AND YOUR COMMUNITIES

CHECKPOINT 1 October 2014

ONE TEAM

Creating a new deal between The Co-op and colleagues - values, reward, capabilities, structure VITAL 5

VITAL 5

KEEPING IT LEAN

2014 ACHIEVEMENTS

Saving on costs will help us to continue to pay down our debt and allow us to focus our resources on our better way of doing business

WE’VE STABILISED THE BUSINESS Fundamental Governance Reform achieved CEO appointed Bank capital commitments met Robust action reducing net debt significantly

THERE ARE FIVE THINGS WE NEED TO DO FIRST, TO SECURE A SUSTAINABLE FUTURE FOR THE CO-OP VITAL 5

MEANINGFUL MEMBERSHIP

Giving our members a better deal, a voice in the business, and showing the impact we have in our communities

Revised funding plan for Group Pension

OUR WINNING 10

At the same time as our ‘Vital 5’, we will be working on 10 winning programmes to stand out in our markets

01. GROWING FUNERALCARE VITAL 5

FIXING THE PLUMBING

Making sure our IT and logistics are better at supporting the needs of the business

02. TRANSFORMING GENERAL INSURANCE 03. DEFINING CLS 04. MAKING THE MOST OF OUR DATA 05. REVITALISING OUR BRAND 06. CAMPAIGNING FOR A BETTER SOCIETY 07. DIGITAL TRADING 08. WORKING CO-OPERATIVELY WITH PARTNERS 09. MAKING GOVERNANCE WORK 10. LOOKING TO THE FUTURE

F OUR HERI DO TA OU

o our three-year Rebuild Relaunch to take our we will be delivering and

OPPORTUNITIES VITAL 5

GYM SCHOOL

YOU SHOP…

are essential for survival enable us to be fit and ready

REBUILD BEGINS

…WE SHARE

1 OCTOBER 2014

THREE YEAR PROGRAMME

RESCUE

RENEW

REBUILD 2018

In addition to the two-, five- and ten-minute narratives, we also created an infographic map of The Co-operative Group’s strategy to demonstrate a more visually interactive version of the narrative.

VITAL 5

DELIVER TRUE NORTH

CHAMPIONING A BETTER WAY OF DOING BUSINESS FOR YOU AND YOUR COMMUNITIES

VITAL 5

ONE TEAM

Creating a new deal between The Co-op and colleagues - values, reward, capabilities, structure VITAL 5

KEEPING IT LEAN

VITAL 5

Re-imagining storytelling VITAL 5

Jenny Hill co-ordinates the engagement and creative projects across Karian and Box. With a Masters degree in Marketing from Manchester Business School, Jenny specialises in using creative techniques to deliver commercial results. She has managed key projects and accounts for a range of clients including Warburtons, Nationwide, HSBC Group, The Co-operative, Rio Tinto and BP Group. jenny.hill@karianandbox.com

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Giving employees the freedom to mould their own job descriptions could solve the problem of disengaged employees.

For some, the very idea of giving employees control over their role (and responsibilities) is enough to strike fear into the heart of many a hardened line manager. But however counter-intuitive this might seem, â&#x20AC;&#x2DC;job-craftingâ&#x20AC;&#x2122; is on the rise, with more and more companies giving employees the freedom to edit their job descriptions and decide what it is they want to do at work. We investigate the positive impact this can have on engagement levels, and find out how managers can still maintain a healthy level of control while at the same time empowering their employees.

Getting crafty

Amy Wrzesniewski, associate professor at the Yale School of Management thinks a big idea – ‘job crafting’ (also known as job empowerment) – will soon become the norm. Not because it’s something terribly new, but because she sees it as a phenomenon that has always occurred to a greater or lesser extent. She’s conducted extensive research into the subject, and argues that when people are allowed to treat their work as a set of activities (which can be organised to align more with their individual skills and interests), greater engagement naturally follows.

Employers that are already embracing and encouraging job-crafting include technology giant Google, which offers employees time to pursue their own interests and projects (for a whole day each week), and Apple, which has its ‘Blue Sky’ programme that allows some staff two weeks off a year to spend time on their own personal projects.

As well as creating conditions for innovation, the policies at these companies are demonstrating the cultural shift now under way that sees deference to authority as old hat. Enlightened companies realise that, to engage their new workers, they need to give staff control and involvement in defining their work. This is something they will have to work particularly hard at amongst Generation Y. The way today’s young workers blur the line between their personal identity and their professional skills and ambitions is another key driver of this phenomenon.

The short answer is many. That said, job-crafting is associated with a range of benefits, including improved engagement, productivity and job satisfaction, as well as lower levels of absenteeism. Here are some of these explained. y allowing employees to B choose which tasks they focus on means work is more enjoyable and meaningful, improving motivation and retention.

T he empowerment and autonomy of job-crafting also boosts levels of trust within teams, creating a powerful upward spiral of trust between managers and employees. This will often inspire staff to give higher levels of discretionary effort (what engagement theorists refer to as ‘going the extra mile’).

rganisations can learn O much more about new and better ways of working when employees are allowed to reorganise (but not eliminate) their tasks and roles within teams.

J ob-crafting enables a better employee-job fit, the Holy Grail of engagement and HR. The only risk is if the role employees want to craft for themselves does not fit into your business objectives and structure.

Structural empowerment Let’s get down to brass tacks. To make job-crafting feasible you have to equip managers with the templates and tools they need to help employees self-assess, identify opportunities, take on new tasks and develop new skills. To help support this, cross-organisational collaboration is important. It helps pool these resources so employees know exactly where they can go within your organisation – and how they can get there. It’s worth noting that organisations with existing flatter structures and shared decision-making policies are more likely to be able to create structural empowerment.

Culture of empowerment Employees will only make the most of the opportunities they are offered through structural empowerment if they are in the right psychological state to begin with. Managers should try to create an environment where employees feel confident they can make autonomous decisions and affect real, meaningful change. Building good working relationships and giving praise where it is deserved are two types of psychological empowerment that will enable this to happen.

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From the 1930s to the early 1950s, ‘Dick and Jane’ books were standard fare when it came to helping children to read. In 1957, however, a new style of children’s book was dramatically introduced to the market. It was a book that changed everything. This was when the now famous Cat in the Hat was published – a book that was conceived by a book illustrator who decided to rethink his job and make his work more meaningful.

The story behind this story begins in 1954, when John Hersey, a Pulitzer Prize-winning American writer, published an article entitled ‘Why Johnny Can’t Read’, which argued that the Dick and Jane books used by most schools had no real story to draw students in, and as such were tedious and repetitious.

The article argued that the whole form of educational books for children needed to change. Upon reading this, William Spaulding, director of Houghton Mifflin’s education division, challenged his friend Ted, an illustrator, to take 225 unique words that all six-year-olds knew and use them to create a “story that first-graders can’t put down”. At the time, Ted was an experienced illustrator. He had put his drawings to countless children’s books, but these were mostly books with much longer formats. They certainly never had such intense restrictions. But, he viewed this as a challenge to re-imagine children’s books and, in the process, rethink his job as both a storyteller and illustrator. Initially, Ted viewed this task as uncomplicated, and thought he would be able to finish the book quickly and with time to spare. However, as he worked, his desire to make a lasting difference became all-consuming. He grappled with the list of beginner words for almost a year and a half. The majority of the words had only one or two syllables, and there were very few verbs. Thus, the task became a sort of mission for Ted – he accepted the limitations of the list but was also adamant that he would use what he had to make something extraordinary.

He read and re-read the list, and finally gave himself an ultimatum: I’ll read it once more and if I can find two words that rhyme, that will be my book.

The two words he found were Cat and Hat. Children’s literature improved significantly following Ted Geisel’s (now known as Dr. Seuss’) publication of The Cat in the Hat in 1957. It was one of the first books that didn’t patronise children; it had whimsical illustrations, was humourous and included character development and a storyline. Children and parents alike were enamoured with it, and the book did much more than just make Dr. Seuss a household name. It revolutionised the way reading was taught and it was the beginning of the end of those boring early reads. If Ted had viewed William’s challenge as just a job, and if he hadn’t chosen to craft his job, children’s literature might still be dull and unexciting. Anything is possible when a person makes a mental shift and chooses to pursue their work with ambition and purpose.

Getting crafty

Publicise opportunities and examples

Facilitate task-swapping

Improve line manager competency

Employees have to see that job-crafting is an option – one that will require some guidance from their managers to help them think through how it applies to their own position. Publicising role-model stories (especially employee-to-employee channels, like newsletters) will help build this understanding.

Job-crafting inevitably reveals tasks that no one really wants to do. But, while it’s essential some tasks are done, it’s worth remembering that it doesn’t always matter who does them. One way to create a job-crafting culture is for managers to encourage individuals to swap tasks with each other. For example, some employees might like more social tasks, such as making phone calls or attending meetings, while others prefer more solitary, problem-solving work. Because managers will ultimately facilitate swaps, they can veto any potentially detrimental trades.

Most line managers will probably not have had experience of helping employees job-craft, but their role is crucial if it’s to happen smoothly. Trust and open and honest communication within teams are all necessary prerequisites, but by giving additional tools and training you will make it easier for managers to help employees while guarding your business priorities.

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Want to know how to give your employees the autonomy they need to shape their roles without letting your organisation disintegrate into a free-for-all? Read our top tips for the answers.

Don’t interfere too much

Don’t lose sight of the big picture

Link job-crafting to reward and recognition

While line managers and HR departments are tasked with offering useful advice and support, the whole point of job-crafting is that you’re giving employees autonomy to define their role. As long as you’ve properly clarified each job’s required outcomes (and provided adequate reasoning for why these objectives are necessary), you must let your staff go through the exercise on their own. Job-crafting is different from ‘job design’, after all. Ask yourself, who is really writing the job description?

It’s tempting to view each instance of job-crafting as about just one employee, but you’ll need to consider how each and every recrafted role could have an effect on the team as well as the wider business. This impact can be functional or psychological, and it can threaten productivity and engagement if it is not handled carefully. Once you have received the employee’s proposition, conduct a gap analysis to identify any missing functions that you may have to recruit or reassign to others to fill. Keep lines of communication open to other employees – and maintain awareness of access to the scheme.

Save having to field multiple, simultaneous job-crafting requests by positioning it as a reward for effort or achievement. Bear in mind that if employees want to job-craft then their existing roles might not be perfect for them – so you may have to reward exceptional performance in just one part of their role, instead of across the board.

While it’s not a concept many businesses will be too familiar with yet, if HR and business heads take a considered approach to it, job-crafting could well be the answer to many workplace woes. It’s well documented that one of the main reasons staff quit their jobs is because of the nagging feeling they get that expectations about their career development will ultimately be unfulfilled. Give people the opportunity to take control of their own destiny, and it could well be a winning formula. But remember, guide them through the process. Staff won’t be used to designing their own jobs, so you still have to be there to provide the support they need to do it confidently. Getting crafty

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e v ’ u o – y t , s n n e o i m t e a l g u a t g a n r e g n d Co veye at? r h u s w w o n Many companies think having the staff survey designed and completed is the hardest bit, but actually, this is only the first of many hurdles firms need to overcome. So, you’ve conducted your employee engagement survey and now have the results for your organisation in your hands. If you have used a good survey provider they’ll no-doubt have conducted some clever analytics. They might also have used them to guide you through the pages of data that now sit in front of you. But, if you think that’s where it ends, you’re wrong. This is where the real work begins.

Gavin Loftus joined Karian and Box after completing a degree in Mathematics. He applies his interest in how leadership can motivate employees together with a grounding in research and statistical methods to support on a range of client projects. He has led on projects ranging from Aviva and BP through to lastminute.com, Heathrow and Sellafield. gavin.loftus@karianandbox.com

Congratulations, you’ve surveyed engagement – now what?

You are now at a very critical point – do you: f lick through the numbers, deal with a few bad scores and put the results on the shelf (where they’ll stay until the next survey results come through)? o what most organisations do and trust that d managers across the organisation will take their own data, produce action plans and address key issues without any guidance?

Case study

Telus reveals targeted action planning makes a difference As a result of post-research action planning, one of Canada’s leading telecommunications companies recently increased their engagement levels from 53% to 83% simply by adjusting their leadership approach, increasing their focus on employee education and creating a culture of recognition.

c reate an action planning process yourself, focusing on the key learning from each part of your organisation, complete with developing timescales for communicating all these points so that all managers are bought into the process?

83%

Sadly, it’s still the case that the vast majority of organisations take the second option. They might well entrust their managers with the job of taking forward action planning and implementation of the results, but they are often given little support or guidance. This means it’s often only the best managers who succeed and take their teams with them, while managers who have not bought into the process achieve very little. It’s no wonder survey scores for these organisations will typically remain static, or at best increase by only a few percentage points when the survey is repeated six months or a year later.

Studies have shown that when employees participate in action planning sessions immediately after a staff survey, they are 10% more engaged compared to those who did not. Action planning has a positive effect on engagement because it demonstrates that employee opinions are actually taken into account in the decisionmaking process.

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53%

The

point plan It is clear that action planning is an essential part of achieving an engaged workforce and making the most of your engagement survey, but how do you go about it?

Communicate openly

Involve employees

4 5

As soon as a survey has been completed and the results have been collated, managers should share the results with their team members. They should then explain the results and discuss what they mean for the workgroup.

You’ve asked employees for their opinions, so now involve them in creating solutions led by the “people managers” across the company.

Ensure you communicate the results of the survey honestly; sharing both the areas of strength revealed and (just as importantly) the areas where things can be improved.

It is also extremely useful at this point to explain that surveys are now being used as strategic tools, drawing on employee input in order to improve organisational performance. All of your employees should have the opportunity to make recommendations about how to act on the results of your survey. Managers should make sure these suggestions are taken forward.

Less is more Survey action plans should never be built around the lowest scores, because – put simply – the lowest scoring areas may have no real impact on engagement. Smarter analytics, like strategic priority analysis, key driver analysis and employee segmentations, should be used to clearly identify the key areas for intervention.

Don’t produce exhaustive lists of action plans and to-do lists, as they will simply cause team effort to be spread too thinly to have any impact. The best action planning focuses on pivotal issues – those that are shown to have the greatest impact on levels of engagement. Focused effort on a few (three to five) areas has repeatedly been shown to have significantly more impact on colleague morale. Fewer things, done well, are also more likely to be visible to colleagues, thereby highlighting the perception that the business takes action as a result of employee surveys.

Make people managers pivotal Ultimately, managers have to ensure improvements are being generated within their own teams. However, it’s pivotal that sponsorship is given from the top (such as from the CEO or MD), sponsorship that is then managed AND monitored by a senior manager (usually the HR director).

Managers that feel engaged will get on with the job in hand. Those who haven’t bought into the process will not, so it is absolutely imperative to get these managers sold on the benefit of taking action.

Reviews: ‘people respect what you inspect’ The role of senior managers (in any survey process) is to ensure action plans are produced and regularly reviewed, revisited, updated and communicated as often as necessary. This is part of the overall engagement journey.

Doing this maintains momentum and allows managers and employees to share in a common goal. It also moves engagement away from being an event to being an ongoing business process.

Congratulations, you’ve surveyed engagement – now what?

Case study

BP action planning toolkit As part of its annual engagement research, oil giant BP recently used a comprehensive online action planning tool. Energy company BP would be the first to admit that when it came to planning the follow-up action around staff surveys, its approach had been inconsistent to say the least. In some parts of BP there was rigorous engagement planning focus, but in others there was not. It was also unclear who did what with their engagement results and what impact it was actually having. The meant visibility of its action globally was, at best, limited. That’s why, in 2011, it introduced Action Planning Tool – to enable it to create a best practice approach to action planning for managers at all levels. The online, interactive tool enabled managers to: create prioritised reports of their results, highlighting strengths and key areas for focused action provided simple, easy-to-use discussion templates for team-based action planning use a template plan with pre-prioritised areas for action, automatically related ideas for action and engagement activity involve their team in reviewing and tailoring their action plan, including enabling them to decide on additional or different ideas for action from a ‘drag and drop’ library of best practice engagement action tools.

Action Planning Tool takes managers through each step in the process and provides clear guidelines for how to plan and implement action, based on survey scores. Thanks to its dedicated log-in area, senior HR and communication managers responsible for the research can review which parts of the business are, or are not, in action planning mode. Additionally, the tool allows stakeholders to transparently obtain an overview of what teams are action planning, and they can see, for instance, which are the most common actions being taken in different parts of the business. After two years or more of using it, the tool now has the functionality and power to enable an organisation to track how particular actions are affecting levels of engagement.

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Organisations that follow our five steps demonstrate significantly greater progress towards improved engagement levels (and at a much quicker rate) compared to those who simply leave it up to individual managers. Don’t forget, there are many more reasons for taking decisive action on survey data: it avoids succumbing to decreased response rates in the future; it avoids the feeling staff can sometimes have of broken promises; and last, but not least, it just makes sense. Otherwise, you’ve wasted a huge amount of time and investment doing a survey in the first place.

Congratulations, you’ve surveyed engagement – now what?

Is the traditional employee survey dead?

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Jessica Wiegand has a strong academic background in economics, business and environmental management. She has a Masters in Research and, since completing her PhD in 2010, has led on a range of Karian and Box projects. She has most recently successfully managed major quantitative and qualitative research projects for clients such as HSBC, Nationwide and Heathrow. jessica.wiegand@karianandbox.com

Shocking though this question might seem, many in the communications and HR profession will know there has been considerable debate about the effectiveness of engagement surveys. The phrase ‘engagement surveys are dead’ has begun to circulate more frequently, as executives whether standard techniques are meeting the needs of their businesses. So what’s the answer? This article debates whether traditional engagement research works. We also cover alternative approaches, with examples of the latest best practice.

Is the traditional employee survey dead?

What are we talking about? Traditional engagement surveys, wheeled out by many research agencies, generally take the form of large-scale questionnaires (50-100 questions), resulting in mostly quantitative research. They are the Clapham omnibus of surveys, covering a range of topics to uncover a set of insights for an organisation. These differ from the historic alternative – qualitative research, which normally takes the form of 1-2-1 interviews, focus groups or online discussion forums. These use open questions to elicit more in-depth, free-ranging feedback from participants.

There’s no doubt about it, the way people work is changing. Modern technology, economic instability and pressures on efficiency and profitability are all impacting the structure of the workplace and the attitudes of employees within them. Now, more than ever, it is imperative organisations have the appropriate tools to engage their employees and ensure they are getting what they need to do their jobs effectively. 42

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With change now a feature of business life, it’s only natural to assume that the techniques used for evaluating engagement should evolve and keep pace with the moving times we’re in. This article debates whether traditional engagement research works. We also cover alternative approaches, with examples of the latest best practice.

Going through the motions? At the heart of the debate around the effectiveness of employee engagement research is whether this traditional (mostly quantitative) research still works. However, perhaps a better starting point for discussing this debate is looking at what research is actually being conducted for.

Many organisations feel obliged to conduct engagement surveys. They go through the motions, to give the illusion to staff that they belong to a workplace where they are listened to. Senior managers will review the results, often getting stuck into the minutiae of what a particular data point means, without seeing the big picture and taking meaningful decisions which address the findings. They then put it to bed for another year or so, to get back to the everyday business of running the company.

Some organisations will have a strong culture of action planning, where local managers take on responsibility for identifying areas where they and their teams can improve. Others will see it as a bewildering burden, as yet another formulaic activity they need to be seen to be doing. Like fire alarm exercises, everyone knows they’re important and everyone trudges outside, but no one really thinks too hard about what the implications would be if there was a real fire.

A handful of organisations do, however, take the engagement challenge to heart. Senior leaders believe in it. Not only do they want to know what employees are thinking, they want to know what they are feeling and doing. Here, leaders will want to use employee research to meet five important goals:

The business performance need Identifying any early-warning signals that might lead to group-wide poor performance. They know full well that low levels of engagement and morale correlate closely with poor customer service, high absence rates, high employee turnover and poor scores on other business KPIs.

The burning platform Especially during times of change, organisations will want to know whether their people ‘get it.’ Do they understand the direction of the business? Do they know what they have to do? Do they know the journey they need to take to get there? Insight into these questions can help refine and target communications so that they create better management action and better alignment to change.

The employeremployee bond These are the indicators which contribute to making the workplace a happier place, where colleagues come to work motivated and are up for a challenge. Here staff are clear what their tasks are and they are willing to go the proverbial extra mile.

The leadership need Most managers do not become leaders overnight. They have to work at it and they need to have access to the right kind of research reporting (at the manager level). Only then can they develop the self-awareness and insight they need that enables them to focus on the way they manage, engage and lead.

The listening curve Conducting surveys sets expectations about what might happen. The mere act of surveying indicates ‘potential’ listening. Evidence shows that employees are much more engaged if they feel they are listened to. As such, surveys play an important engagement role in themselves. This is, however, based on a few big ifs: if they see the results of the survey, if they are subsequently involved in discussions about it and if they see tangible change based on the findings.

Is the traditional employee survey dead?

Employee engagement surveys are still useful

While our workplaces are evolving traditional engagement surveys still play a vital role in achieving an engaged workforce. However, it is important to recognise they are not a one-off solution to disengagement. They need to be part of a wider engagement programme in order to be truly effective.

Pros and cons of traditional engagement research The Benefits Traditional, mostly quantitative surveys, are useful because they are cost-effective and relatively easy to administer. Stakeholders, managers and employees find the results relatively easy to interpret, unless the research agency behind it blinds them with unnecessary science and overcomplex reporting. Surveys provide a good overall picture of what is happening within organisations, and they are useful to establish where focusing on improvement is necessary. On a large scale, surveys are essential for providing analysis into what is driving engagement at an organisational level. Surveys allow organisations to see where breakdowns in connections between employees and management have occurred/are occurring.

The Limitations ne of the main weaknesses of quantitative research is O that it can be all too easy to forget that there are people behind the numbers. For example, if 75% of employees say they feel fairly treated by their manager, it is – understandably – considered a good score. However, in these circumstances, it is all too easy to forget the 25% of staff who have expressed dissatisfaction with management. Ironically, surveys can have the effect of failing to improving employee-management relationships for those employees who are unhappy. nother downside is that employers can often get A inaccurate or completely untruthful answers. Even if the employer promises anonymity, some employees may play it safe and avoid giving frank opinions about the work environment to avoid the chance that they might be identified by the research. ultiple choice-style question and answer formats can M lead to unclear data because options can be interpreted differently. For example, the answer option “agree” may represent different things to different subjects, and have its own meaning to each individual respondent. “Yes” or “no” answer options can also be problematic. Respondents may answer “no” if the option “only once” is not available, for example.

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â&#x20AC;&#x153; The tyranny of the majority is now generally included among the evils against which society requires to be on its guard.â&#x20AC;? John Stuart Mill On Liberty

Is the traditional employee survey dead?

Pros and cons of qualitative research The Benefits Qualitative research is extremely useful because it gives organisations an idea of what employees are thinking and feeling. I t provides richer insight into any underlying reasons that are encouraging and discouraging engagement on a more individual basis. Sometimes, qualitative research is less expensive than quantitative research, because organisations donâ&#x20AC;&#x2122;t need to recruit as many participants or use extensive methods. Qualitative research offers flexibility in terms of location and timing. Firms donâ&#x20AC;&#x2122;t always need to interview large numbers of people all at the same time.

The Limitations his style of research is difficult to coordinate on a large scale, T and can be costly if conducted at such a scale. I t does not work well if it is necessary to back up a question numerically, since this type of data is difficult to quantify. Reporting on lots of qualitative feedback without simply providing a heap of quotes requires skill. Defining grouped themes from all the words and using example quotes can overcome this. Many stakeholders do not understand its value. For instance if they are used to receiving research results which tell them XX% of their 1,000 employees think something, they will query whether a handful of quotes and related findings can be as informative and definite. They may then question its credibility. ou cannot generalise your findings to any broader audience Y or the public in general.

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â&#x20AC;&#x153; Qualitative research provides richer insight into any underlying reasons that are encouraging or discouraging engagement on a more individual basis.â&#x20AC;?

Is the traditional employee survey dead?

Working together

The reality is that both quantitative and qualitative employee research techniques are best suited when used alongside each other. Combining the two methods is effective because each style of research addresses the weaknesses of the other. Quantitative research gives you broader insights and useful statistical data, while qualitative allows you to delve deeper into why particular responses might have been given. For example, if the quantitative questions in a survey demonstrate there is a lack of support for a particular strategy within your organisation, qualitative research would give you the opportunity to see what is specifically behind this lack of support.

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What people are saying The chart on this page shows the links between employee sentiment and perceptions of communications and engagement. The analysis was carried out in three steps.

Finally, the scores were plotted on the chart below. The size of the bubbles represents the proportion of employees who identified that theme.

Firstly, employee responses to the question ‘What would you change to make the business an employer of choice?’ were coded into common themes.

Insights are provided below, together with the demographics where the group of employees who identified the theme are more likely to be found.

Secondly, the data was analysed to determine the Communications Index and Engagement scores for the groups of employees who identified each theme.

Communications index vs engagement 100% Increased job security and organisational stability

Communications Index

90%

Ensure adequately resourced

80%

Improved systems and processes Improved internal working culture

Improved working conditions and environment

Wider product development Increased business growth

Empower staff

More honest communications

70%

Wouldn’t change anything

More effective management

60%

Customer service

CSR/ Charity Defined strategy

50%

40% 35%

Increased respect and recognition of employees

45%

Fairer remuneration & reward More career development & promotion opportunities

55%

Organise workload

More training

Global average engagement, 59%

65% Engagement

75%

85%

95%

More effective management, honest communications and employee recognition

More career development opportunities and fairer remuneration and reward

Customer service and wider product development

Wouldn’t change anything

Almost three in ten employees would like to see improvements in their interactions with leaders. These groups of employees are the least engaged and perceive overall communications effectiveness the least positively. They are also the least motivated to contribute more than is required.

The majority of employees raised concerns over remuneration and reward and the opportunity for career development opportunities at Aviva. These employees are not however the least engaged, or have the most negative perceptions of communications. Nonetheless, they remain below the average engagement score.

Although only a small proportion, the employees who identified these themes are the most engaged and most positive employees. These employees are more like to feel that they contribute to the bussiness’ success and are involved in decisions which affect them.

Those employees who say that they would not change anything are unsurprisingly the most engaged and positive about communications.

Example report only – no real data used

Case study When staff were asked what the one thing was they would change to make the business an employer of choice (as part of their annual engagement research), the themes that emerged provided numerous opportunities for the financial services business to increase workplace satisfaction. In fact, even more value was extracted when open question themes were plotted against an engagement and a communications index.

The results showed employee groups with low engagement and low communications scores had focused suggestions on improving their working experience. As engagement and communication scores increased, the focus shifted to suggestions about how to improve business processes, customer services and product development. It dramatically proves that by ensuring the basic needs of employees are met through engagement and communication, this switches the focus from the employees themselves to the wider business culture and performance.

Is the traditional employee survey dead?

Compliance team

xx% Quistio. Dit es am, iniae nitis non excea aliam ut optate nim verferc hillab int alitatur simincias aut lit eaquistrupta perovid quam, omnihicae nullendu.

Quistio. Dit es am, iniae nitis non excea aliam ut optate nim verferc hillab int alitatur simincias aut lit eaquistrupta perovid quam, omnihicae nullendu.

Pride Employees were asked whether they are proud of working for BP. Those who answered positively, were also asked what one achievement by BP over the previous year they are proudest of. Employees who answered negatively were asked to explain the reasons why they are not proud. Both sets of responses have been grouped into a series of themes and are outlined below. What are the BP achievements you are proudest of…

Why are you not proud of working at BP…

Dit es am, iniae nitis non excea aliam ut int lit

89%

78%

Dit es am, iniae nitis non excea aliam ut int lit

98%

87%

Dit es am, iniae nitis non excea aliam ut int lit

67%

56%

Dit es am, iniae nitis non excea aliam ut int lit

76%

65%

Dit es am, iniae nitis non excea aliam ut int lit

45%

54% Dit es am, iniae nitis non excea aliam ut int lit

Dit es am, iniae nitis non excea aliam ut int lit

34%

43%

Example report only – no real data used

Case study As part of its annual engagement research, employees were asked an extra qualitative question to dig deeper into the feelings of pride people felt while working at BP. Those that felt proud to work for BP were asked to give examples of the achievements at BP they were most proud of. The findings allowed the business to positively share these across the business. Moreover, those that did not feel proud still had an opportunity to give their reasoning. This further insight allowed the business to take targeted action to improve pride in working for BP.

thinkBox

Case study Analysis of both the quantitative and qualitative data from the businessâ&#x20AC;&#x2122; quarterly Snapshot research gives a real insight into how perceptions of the types of communications colleagues receive from their senior leaders directly impact their trust in those leaders.

hen asked to describe positive W experiences of senior leader communications, the group of colleagues who identified direct, faceto-face and two-way communications were more likely to trust their senior leaders to do what they said they would. nderstanding the communication U styles which resonate most strongly with their colleagues allows the business to focus the way it communicates with employees and ultimately increase trust and support for the business.

The impact of different types of leadership communication The verbatim feedback asking colleagues for examples of positive senior leader communications was analysed to determine the perceptions of the group of colleagues who identified each method of communication.

Emails from Management

Global intranet

The chart below shows the positive perceptions of leaders doing what they say they will for colleagues who experienced different methods of leader communication.

Colleague meetings with senior management

Webexs

Cultural transformation workshops

Personal blogs

All employee calls Cultural transformation workshops

Townhalls and plenary sessions

Emails from Management Webexs

Performance huddles

Blog's

Avivaworld

Informal and open sessions

Colleague meetings with senior management CEO/Senior visits TownhallsManagement and plenary

Performance huddles

sessions Informal and open sessions

CEO/Senior management visits All employee calls

62%

67%

72%

77%

82%

87%

Senior leaders in my part of the business do what they say they will

Insights The analysis on this page highlights the importance of more personal, interactive and face-to-face leadership communications. Communication types which fall into those categories correlate more strongly with colleagues believing that senior leaders in their part of the business do what they say they will.

For example Senior management emails and articles from leaders on the Global Intranet are those which correlate least positively with colleagues saying that leaders do what they say they will.

Emails

Informal and open sessions

Leaders do what they say they will

62%

83%

Example report only â&#x20AC;&#x201C; no real data used

Is the traditional employee survey dead?

Employee surveys should arguably be viewed as one of a number of useful tools to create an engaged workforce.

Other new tools and techniques which measure happiness, alignment and job satisfaction in real time are beginning to be used by organisations. By tracking employee attitudes, these tools have tremendous potential for measuring (and improving) employee engagement. Here are some of the most interesting examples:

Mood tracker apps There are some new tools that now provide ongoing feedback and insight from colleagues. These are day-to-day apps that allow employees to openly express their moods or feelings. Already they are being used by some businesses, and they can be used to: r ecognise colleagues source ideas and solutions which support the achievement of our business priorities identify areas for future communication and engagement focus. Available as an Apple/Android app, as well as a simple online, desktop widget, staff from across the business can receive monthly prompts via email and/or SMS linking them to it. Firsttime users are asked their first name and a couple of simple demographic questions. Individuals can then add their email address to receive follow-up prompts and related information.

thinkBox

Here are some examples of what employees are asked each month: one core question and one of three rotating questions. This is followed by one of two supplementary questions: What’s making you happy working here at the moment? (positive choices 4-5 in the core question). What’s annoying you at work right now? (negative choices 1-2). Each month staff are also asked one of three questions on a rotating basis.

Month 1

What one question do you want answered in communications from your part of the business over the next few months?

Month 2

Which of your team is doing a great job this month and what are they doing that’s great?

Month 3

What one idea or solution would help us achieve… [specific business priority goes here]?

Case study Car manufacturer Toyota is another company that recently implemented a mood tracking app – this time it is called the ‘Niko Niko Calendar’. When managers or leaders set up an account, they decide what questions they want to ask their team and when they want the questions to be asked. A calendar is then created and each team member regularly tracks their mood on the calendar by choosing either a happy, neutral or frowning smiley for that day. According to Niko Niko’s co-founder, Max Webster, the app makes it easy for leaders to gather a pulse about how their team feel each day or each week. Leaders can then use this regular feed of information to optimise the way they work.

Rapid pulse surveys Traditional surveys typically take place at a set time, each year, year after year. As a result, numerous internal and external events that can impact engagement will get missed. Rapid pulse surveys solve this problem. They take no more than three to five minutes to complete but they provide ongoing snapshots of employee sentiment. They can also be run at regular intervals, allowing organisations to check in with employees when there are major events taking place. Rapid pulse surveys are a particularly useful solution, since they efficiently allow organisations to accumulate feedback about how their employees are feeling on a frequent basis.

Case study In 2004, UK wholesale gas and electricity commodity costs rose substantially and as a result, all energy suppliers / retailers had to pass on increased costs to customers. A larger than expected consumer price rise left British Gas exposed to aggressive competitor marketing and PR. The business had to counter competitor activity in the market – defending its customer base.

The ‘pulse’ of the organisation was taken at fortnightly intervals. A simple online and telephone research process was used to survey a rotating and representative sample of employees giving leaders insights into what messages were and weren’t resonating with employees, employee mood, feedback on what customers were saying and reactions to leadership decisions and communications.

Employees were seen as playing a critical role. They needed to understand the reasons for the price rises, be on-message when talking to the company’s 18 million customers and be at the forefront of the battle to retain existing customers and sign up new ones.

The form of the research enabled leaders to react quickly, allowing them to draw on employee responses when action planning and tailoring communications. The campaign received significant internal acclaim from the British Gas leadership team for adding real value to the business, helping the company sign up one million price protection contracts.

Is the traditional employee survey dead?

Online panels and focus groups A concept that has increasingly gathered pace over the last twelve months has been socalled “always-on” employee research i.e. employee opinion that is continuously gathered rather than opinion that is gathered at specific points in the year (as a traditional survey would). The most common way of doing this is to develop an employee panel. Panels differ from a traditional survey because they comprise a dedicated group of individuals who have agreed, and signed up to take part in, a range of research and consultation exercises.

thinkBox

The process is usually self-selecting and communication at the beginning of the process is vital. Recruitment, communication and participation typically takes place via an online platform. A further advancement of this concept are employee communities where employees become part of a solution process by being part of chat rooms, developing new products or services, commenting on company developments, as well as taking part in research. In comparison, panels are usually a “one-way” communication route, with panellists taking part in research as requested.

Panels and communities have a number of positives: Higher respondent participation rates: Panellists feel a sense of obligation that is established at the recruitment phase. Opinions reflect the population: The panel will be built to encompass colleagues, contractors and customers and will be an “up-to-date” viewpoint. Efficiency: Once the initial set-up phase is complete, panellists can be surveyed regularly (within reason). A bility to track: The same panellists can be used in future surveys, providing the ability to track attitudinal changes over time and build in other measures such as individual performance metrics. Potential cost savings: Because the setting up of the panel is conducted only once, future investment can focus on smarter research and analysis.

Case study The Exchange platform was set up in 2013 to help foster a more collaborative and open community at HSBC, encouraging active listening and more two-way dialogue across the business. Open agenda meetings are held across the business globally, where employees can discuss any work-related topic in a non-hierarchical format. Following these meetings, managers input their minutes and the sentiment of the meeting on an online portal. This data is then collected and analysed, providing rich insight into how employees are feeling about topics ranging from business strategy to the facilities they use on a day-to-day basis.

This research has evolved to include both detailed quantitative and qualitative analysis and has provided actionable insight on how employees within HSBC feel about their working environment and the wider business strategy.

Who is having conversations in Q3?

Reported Exchange participants

Reported Exchange participation rates over the last year 80,000

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60,000 40,000 20,000 0 Q1’13

Q2’13

Q3’13

Q4’13

Q1’14

Q2’14

Q3’14

Breakdown of reported comments by: Country

Breakdown of reported comments by: Global Business/ Function/HTS

FRA 123

MEX 123

EGY 123

OMN 87 BGD

GRC

MLT

BHR

LBN

LUX

ITA

BRA 123 ZAF 123 ARG 123

UAE 123

QAT 123

HKG 123

TWN 123

VNM 123

PHL 123

SGP 123

IDN 123

IND 123 LKA 123

Adoption rate†

USA 123

Others

CHN 123

TUR 123

Comments*

CAN 123

KOR 123

POL 123

Difference on Q2

UK 123

Meetings

Q3’14

GPB GBM RBWM CMB

456 456 456 456

78 78 78 78

910 910 910 910

11.12% 11.12% 11.12% 11.12%

ASP EUR LATAM MENA USA CAN

456 456 456 456 456 456

78 78 78 78 78 78

910 910 910 910 910 910

11.12% 11.12% 11.12% 11.12% 11.12% 11.12%

Comms Fin HR IA Leg Mkt Risk HTS

456 456 456 456 456 456 456 456

78 78 78 78 78 78 78 78

910 910 910 910 910 910 910 910

11.12% 11.12% 11.12% 11.12% 11.12% 11.12% 11.12% 11.12%

Grand total

456

910

11.12%

THA 123 MYH 123

AUS 123

Example report only – no real data used

Is the traditional employee survey dead?

Book reviews

The Psychopath Test: A Journey through the madness industry

Knowledge is Beautiful

By Jon Ronson. Picador, 2012.

By David McCandless

It’s a thought that’s occurred to us all: could my boss actually be a psychopath? Could it be possible that individuals with psychopathic tendencies slip through the net and roam unhindered in society at large, perhaps even flourishing and rising to positions of prominence and prestige? And does this mean that society is less rational than we think and the way we live and work is more than a little insane?

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These ideas fuel Ronson’s gonzo quest in search of psychopaths and the psychologists who treat them, within what he calls ‘the madness industry’. After emerging from a psychology workshop as a ‘trained psychopath-spotter’, Ronson wittily exposes how the characteristics listed in what he calls the ‘psychopath test’ – the Hare Psychopathy Checklist Revised , used for assessing this type of mental illness – are to be found in people all around us to varying degrees, not least among senior leaders in the corporate world. However, it’s telling that the eminent psychologist Robert Hare, who Ronson interviewed for the book, has since issued a ten-page rebuttal criticising The Psychopath Test as ‘frivolous, shallow and professionally disconcerting’. So, while it might be fun to try to spot the office psychopath, it’s probably less than helpful. Hare raises the incisive point that psychopaths are really defined by the amount of harm they inflict on the people around them, not just the superficial checklist of characteristics in Ronson’s ‘psychopath test’. Unfortunately, then, it looks as though your manager probably isn’t a psychopath after all. Which may well be a scarier conclusion.

In this much anticipated follow up to Information is Beautiful, David McCandless uses his well known and eyecatching data visualisations to provide insight into how the world works. McCandless recognises that we live in an age of information overload, and that while the vast amount of data being generated has infinite potential, it is difficult to grasp in any other way than visually. The graphics in Knowledge is Beautiful are everything you’d expect from a book by David McCandless – sharp, visually arresting images that both distil information and stand alone as artworks in their own right.

The Power of Habit

The Culture Map

Eyes Wide Open

By Charles Duhigg

By Erin Meyer

By Noreena Hertz

Habits shape us as human beings. Performing complex tasks unconsciously, only because we’ve done them repeatedly, is a key aspect of our development. Habits also have a dark side, however.

Are American business people really more direct? Do the Chinese not say much at all? And are the French always confrontational? The answer is yes, but also no according to INSEAD professor Erin Meyer, in her brilliant new book The Culture Map.

We’re living in an ever-more confusing world, that makes it harder to make ‘better’ or ‘smarter’ decisions, says self-help-cum-business guru Noreena Hertz.

A person can just as easily form bad habits as they can good – overeating, smoking and chronic lateness are just a few examples of those less savoury habits that most of us may not like admitting we have. Charles Duhigg has written an insightful book examining how habits can revolutionise individual lives, businesses and the world. He draws on hundreds of scientific papers and interviews with countless experts. The Power of Habit is not a self-help manual. Rather, it delves deep in to the science of habit formation and change.

Meyer argues that perceptions of culture always arise from the point of view of the person viewing it, so while Brits might describe their Chinese colleagues as shy, their Chinese counterparts may view their British colleagues as boisterous.

We should all be aware of bogus precision, summaries (even book reviews), and so called ‘lessons we can learn’, because nothing is ever (she says) as absolute as you think. A nightmare for communications people, or a wake up call? You decide!

Book reviews

Last word… ‘Holacracy’

What is it about HR that makes it so susceptible to buzz phrase after buzz phrase? Engagement, resilience, wellness, mindfulness, they’ve all become a part of HR’s vocabulary – even though many in the profession may still grapple to understand what some of them actually mean. So if you’re suffering from buzz-phrase fatigue, we’ll understand if you want to turn away now. But before you do, you might just want to read on – because there’s another concept on the horizon, but this time there is a growing consensus that it might just have more substance than all of the others that have come before it. It’s summed up in a single word – Holacracy – and if you haven’t heard of it before, then there’s a very real chance you will do in the immediate future. Put simply, Holacracy (which comes from the Greek word holon, meaning ‘a whole that’s part of a greater whole’), Ghassan Karian began his is a system of organising people that has the potential career in PR, for the Labour to change the way we think about work. In Holacratic Party and as Head of Media Relations for Saatchi and organisations, formal job titles, management layers and Saatchi PR agency, Rowland traditional hierarchies cease to be. Work is organised into Communication. After spending either separate or overlapping circles. There is no need for 12 years in-house, with roles job titles because staff are invited to join or leave circles including Director of Internal according to what relevant skills they can bring to them. Communication for British Gas, For one circle they may simply offer ideas; in another it ICI plc and Rolls-Royce plc, might be marketing skills; for another, it could be more Ghassan founded Karian and behind-the-scenes organisation. But, through this system, Box in 2006. not only is organisational transparency unavoidable (because staff are held accountable to all their co-workers), ghassan@karianandbox.com work has the potential to reach a much higher standard because in each circle there is a more raw, in-built desire for people to do well. If you think this all sounds crazy, it’s not as oddball as you may think. Last year Tony Hsieh, CEO of 1,500-strong Las Vegas-based clothing retailer Zappos (part of Amazon) announced he would be running his business like this for all staff by the end of 2014. In the UK, there are already companies operating in this way – including aerospace design company Matt Black Systems. Here, employees don’t have a traditional ‘boss’ and no one has ‘targets’. Instead everyone operates as a single-person ‘cell’, responsible for their own profit and loss. Staff lease software, space and even training from a central budget, but after that they’re left to just get on with things, including what to invent. They are encouraged to ask their co-cell employees to lend their expertise on particular projects, as and when the need arises. The idea is that when this colleague wants help back, the favour is reciprocated.

thinkBox

It may sound like a recipe for disaster, with lots of people all doing their own things, but the proof is in the pudding, and since Holacracy was implemented at Matt Black, the company’s productivity has been 300% higher and profit margins are up 10%. If you still think this has no relevance for you, perhaps you should think of it like this: work is already becoming more and more project-based. Work is already becoming more distributed and non-geographically specific. Work is already being designed to borrow the skills of people (experts), as and when they’re needed. You may think it’s a buzzword, but the principles it describes are starting to become normal. In this context, Holacracy is important to understand because it throws up new challenges for leadership and communicating the common purpose of organisations.

In companies where power is distributed there will only be a requirement for more – not less – communication, and communication that is more consistent and functional, where everybody knows how their small part combines to form the greater whole. Where work is increasingly about a collection of individuals collaborating in order to get a job done, the role of leaders will be to communicate only where necessary – but it’s a task that requires judgement; ensuring the corporate goal is not under-explained. This will require knowing when to communicate, but when to let staff ‘get on’ with things. It will be a balancing act between under-, and overcommunication, of an interplay between entrusting staff to follow their own direction, but also making sure they don’t stray too far from the company path. Some might say this is what all good communication is about anyway. But in a potentially more holacratic world, all the things that comprise good communication arguably need multiplying again, up to another level, to make describing the direction and the purpose of the business even more obvious to employees. Leaders will need greater clarity of vision, and communications will need to move to being more ‘altru-centric’ (what do staff need from me?), rather than ‘ego-centric’ (what can I get from staff?). It may not be something all companies want. Selfdetermination won’t suit all companies, and all staff. Many will still demand the typical command and control relationship traditional work models still have. But amongst others, including Gen Y, who crave more freedom, this might just be a model that works. Holacracy is coming. It may take a while to organise itself, and it may not be dominant in all sectors, but in the knowledge economy it could well be the answer staff have been looking for. So, perhaps the bigger question going forward will be not whether you’ve heard of it, but whether you will start to action a new, more improved way of communicating.

Last word