Motivation, rewards decoded
Matti
Willis Towers Watson is the leading human capital and benefits consultancy firm in the Philippines.
James Matti, Head of the Philippine Consulting Office, shares his thoughts on motivating people and understanding rewards.
Q: What’s the latest thinking on how to motivate and engage employees?
After decades of emphasizing employees’ responsibility to both know their customers’ needs and meet them, many employees are starting to expect the same from their employers.
From the same study, 70 percent of employees agree that their organization should understand employees to the same degree that employees are expected to understand their customers.
However, fewer than half (43 percent) report having an employer that understands them in this particular manner.
There are low levels of highly engaged workers and close to a quarter of employees are disengaged. More than ever, it is essential for companies to understand the vital factors that drive sustainable engagement.
Willis Towers Watson research has shown that there are three measurable elements essential to sustainable engagement: (1) Traditional engagement—employees’ willingness to expend discretionary effort on their job; (2) Enablement— having the tools, resources and support to do their job effectively and (3) Energy—having a work environment that actively supports physical, emotional and interpersonal well-being.
Sustainable engagement requires strong and pro-active leaders and managers. In companies where both leaders and managers are perceived by employees as effective, 72 percent of employees are highly engaged. For employees to remain with an organization, they must have the confidence in the ability of their top leaders to motivate and guide them in today’s dynamic and volatile business environment.
Q: What motivates different segments, say millennials, managers, sales or OFWs?
Based on the 2014 Global Workforce Study:
Regardless of employee age, base pay is universally ranked first as an attraction and retention factor.
Career advancement opportunities was ranked by most age groups i.e. below 30 y.o., 30-39 y.o. and 40-49 y.o. as the second reason why employees stay in the company.
It is different for 50-year-olds and above employees who ranked trust and confidence in senior leadership as their second most important retention factor.
Interestingly, one’s length of commute is a retention factor for millennial employees i.e. 30 years old below. This is particularly prevalent in the Philippines.
Attracting and retaining critical-skill employees, high-potential employees and top-performing employees is a consistent challenge for employers in the Philippines and throughout Asia Pacific. It is clearly evident that embedding relevant learning and development programs in one’s organization is vital to retaining and engaging millennials. Moreover, by providing them with a constantly interesting and stimulating job assignment or project likewise incentivizes them to stay and commit themselves to their chosen firms.
Q: How should a company look at acquisition and retention?
A significant number of organizations are missing out on a golden opportunity to increase employee engagement, attract and retain top talent, or even improve financial performance, according to our latest Change and Communication Global ROI Research Study.
One of the reasons is that less than half the companies surveyed have a long-term plan for getting the most from their employee value proposition (EVP)—the employment deal that defines what an employer expects from its employees and what it provides in return.
Willis Towers Watson’s research shows organizations that use their EVP most effectively are five times more likely to report their employees are highly engaged and twice as likely to report achieving financial performance significantly above their peers when compared to companies that use their EVP less effectively.
Essentially, the precious matter being created is the EVP, which is a powerful tool for attracting, retaining and engaging employees. Better alignment between the EVP and the company brand can lead to improved employee line of sight, encouraging employees to adopt those key behaviors that will deliver on the brand.
The EVP tool is a powerful management tool when used and communicated effectively. Among firms that offer rewards, improving communication of those rewards can have a greater impact on employee satisfaction than investments in making the rewards richer.
