From casual Fridays to corporate retreats, companies spend thousands of hours and millions of dollars to develop passionate, committed employees. Yet, according to a recent Gallup poll, more than 71% of employed adults aren’t engaged at work.

In the following Q&A, Dr. Robert Hogan discusses why companies are getting it wrong, and what they can do to improve engagement.

What is engagement?

Employee engagement is a psychological state that is associated with behaviors beneficial to an organization. The psychological opposite of engagement is alienation.

Engagement has four components:
1.    Employees see their job as consistent with their self image – they like themselves when they are at their job;
2.    Employees like the job itself;
3.    Employees work hard at their job;
4.    The job gives employees a sense of meaning and purpose.

Engagement is an ideal state that is rarely ever fully realized.

Why does engagement matter for (a) individuals and (b) companies?

When employees are engaged, they work hard and take pride in their jobs. When they are alienated, they won’t and don’t.

When employees are engaged, absenteeism, turnover, and theft go down, and productivity and customer satisfaction go up. When employees are alienated, absenteeism, turnover, and theft go up, and productivity and customer satisfaction go down.

Measures of engagement are correlated with every important organizational outcome, at both the individual and team level.

A recent Gallup report indicated that 71% of employees in America aren’t engaged at work. How did engagement become such a widespread problem?

Engagement reflects how employees are treated by their immediate bosses. Because 60% to 70% of existing managers don’t understand leadership, they alienate their direct reports and staff.

What is the impact of managers’ derailers on employee engagement?

The term derailer refers to inappropriate interpersonal behavior; managers’ derailers are the principal cause of employee alienation.

Do some derailers have a greater impact on engagement than others?

The 11 derailers identified by the HDS are all associated with different forms of poor leadership, but they all have the effect of destroying employees’ trust in their boss, which then leads to alienation.

How does culture affect engagement?

Cultures that encourage trust in leadership and employee empowerment create engagement; cultures that focus exclusively on the bottom line tend to erode engagement.

What can companies do to drive employee engagement?

There are three steps to driving engagement:
1.    Conduct an engagement survey to determine where things are.
2.    Identify the managers who are killing engagement and give them some training.
3.    Tell the managers who are killing engagement that they will be evaluated in terms of their ability to create engagement.

From casual Fridays to corporate retreats, companies spend thousands of hours and millions of dollars to develop passionate, committed employees. Yet, according to a recent Gallup poll, more than 71% of employed adults aren’t engaged at work.

In the following Q&A, Dr. Robert Hogan discusses why companies are getting it wrong, and what they can do to improve engagement.

What is engagement?

Employee engagement is a psychological state that is associated with behaviors beneficial to an organization. The psychological opposite of engagement is alienation.

Engagement has four components:
1.    Employees see their job as consistent with their self image – they like themselves when they are at their job;
2.    Employees like the job itself;
3.    Employees work hard at their job;
4.    The job gives employees a sense of meaning and purpose.

Engagement is an ideal state that is rarely ever fully realized.

Why does engagement matter for (a) individuals and (b) companies?

When employees are engaged, they work hard and take pride in their jobs. When they are alienated, they won’t and don’t.

When employees are engaged, absenteeism, turnover, and theft go down, and productivity and customer satisfaction go up. When employees are alienated, absenteeism, turnover, and theft go up, and productivity and customer satisfaction go down.

Measures of engagement are correlated with every important organizational outcome, at both the individual and team level.

A recent Gallup report indicated that 71% of employees in America aren’t engaged at work. How did engagement become such a widespread problem?

Engagement reflects how employees are treated by their immediate bosses. Because 60% to 70% of existing managers don’t understand leadership, they alienate their direct reports and staff.

What is the impact of managers’ derailers on employee engagement?

The term derailer refers to inappropriate interpersonal behavior; managers’ derailers are the principal cause of employee alienation.

Do some derailers have a greater impact on engagement than others?

The 11 derailers identified by the HDS are all associated with different forms of poor leadership, but they all have the effect of destroying employees’ trust in their boss, which then leads to alienation.

How does culture affect engagement?

Cultures that encourage trust in leadership and employee empowerment create engagement; cultures that focus exclusively on the bottom line tend to erode engagement.

What can companies do to drive employee engagement?

There are three steps to driving engagement:
1.    Conduct an engagement survey to determine where things are.
2.    Identify the managers who are killing engagement and give them some training.
3.    Tell the managers who are killing engagement that they will be evaluated in terms of their ability to create engagement.

Dozens of mergers and acquisitions (M&A) occur on a daily basis in the business world. A vast majority of these deals are strategic plays designed to reduce costs, increase competitive advantage or simply buy out the closest competition. Many M&As go relatively unnoticed by the public unless an interest piece is published showcasing a $ billion headline paired with a well-known company. Unless you track these events, or their impact on everything from your cell phone bill to your investment portfolio, they can be easy to miss.

 Here is an abbreviated list of the largest global M&A’s from Q1 of 2011:
1. AIG: $59 billion
Acquirer: Preferred Shareholders

2. TMobile USA: $39 billion
Acquirer: AT&T

3. Progress Engery Inc.: $26 billion
Acquirer: Duke Energy Corp.

4. Fiat SpA-Auto Business: $18.5 billion
Acquirer: Shareholders

5. ProLogics: $15.2 billion
Acquirer: AMB Property Corp

In the last few months, M&A’s have also been a recent topic of conversation with multiple individuals from a consulting standpoint. Unfortunately, these have been negative experiences from the ‘acquired,’ citing example after example of poorly-managed and poorly-implemented transitions.

Regardless of the financial purpose behind M&A activity, there are still corporate citizens (aka: people) that are dramatically affected by such deals. It is only natural that employees may feel alienated in their role or fear losing their senior position to an individual with marginal experience in their area of expertise. Said differently, an acquired employee is likely to view this situation as something closely aligned with a hostile takeover rather than a merging of shared I.P. and capital in which a new more competitive company can emerge. Senior executives must then lead this transition rather than manage reactions or mitigate attrition.

Deanna Hartley, in an article from Talent Management magazine, proposes that leaders must clearly communicate the intentions behind M&A activity, expectations of value-added processes, and potential risks and opportunities to all staff members. Hartley goes on to say that a key process in communication with M&A is ensuring your message matches what employees hear or interpret. She suggests numerous top-down meetings, roundtable discussions, and exposure to leadership from both sides of the deal. Ultimately, clarity and security should be a target in the minds of upper management while stabilizing the merging of two distinct companies. As long as new business relationships form with frequent, open dialogue, there should be reduced chance for productivity to suffer.

It would not be a surprise to say that there is little emphasis on aligning corporate culture in the boardroom during M&A negotiations. Be that as it may, companies should still involve employees to gather opinions or ideas on the transition as soon as a deal is reached. Early intervention, in the form of open communication, is crucial to quiet the fears of employees on both sides of the table.
 

Dozens of mergers and acquisitions (M&A) occur on a daily basis in the business world. A vast majority of these deals are strategic plays designed to reduce costs, increase competitive advantage or simply buy out the closest competition. Many M&As go relatively unnoticed by the public unless an interest piece is published showcasing a $ billion headline paired with a well-known company. Unless you track these events, or their impact on everything from your cell phone bill to your investment portfolio, they can be easy to miss.

 Here is an abbreviated list of the largest global M&A’s from Q1 of 2011:
1. AIG: $59 billion
Acquirer: Preferred Shareholders

2. TMobile USA: $39 billion
Acquirer: AT&T

3. Progress Engery Inc.: $26 billion
Acquirer: Duke Energy Corp.

4. Fiat SpA-Auto Business: $18.5 billion
Acquirer: Shareholders

5. ProLogics: $15.2 billion
Acquirer: AMB Property Corp

In the last few months, M&A’s have also been a recent topic of conversation with multiple individuals from a consulting standpoint. Unfortunately, these have been negative experiences from the ‘acquired,’ citing example after example of poorly-managed and poorly-implemented transitions.

Regardless of the financial purpose behind M&A activity, there are still corporate citizens (aka: people) that are dramatically affected by such deals. It is only natural that employees may feel alienated in their role or fear losing their senior position to an individual with marginal experience in their area of expertise. Said differently, an acquired employee is likely to view this situation as something closely aligned with a hostile takeover rather than a merging of shared I.P. and capital in which a new more competitive company can emerge. Senior executives must then lead this transition rather than manage reactions or mitigate attrition.

Deanna Hartley, in an article from Talent Management magazine, proposes that leaders must clearly communicate the intentions behind M&A activity, expectations of value-added processes, and potential risks and opportunities to all staff members. Hartley goes on to say that a key process in communication with M&A is ensuring your message matches what employees hear or interpret. She suggests numerous top-down meetings, roundtable discussions, and exposure to leadership from both sides of the deal. Ultimately, clarity and security should be a target in the minds of upper management while stabilizing the merging of two distinct companies. As long as new business relationships form with frequent, open dialogue, there should be reduced chance for productivity to suffer.

It would not be a surprise to say that there is little emphasis on aligning corporate culture in the boardroom during M&A negotiations. Be that as it may, companies should still involve employees to gather opinions or ideas on the transition as soon as a deal is reached. Early intervention, in the form of open communication, is crucial to quiet the fears of employees on both sides of the table.
 

After seven seasons playing the wacky, yet lovable Michael Scott on NBC’s hit series, “The Office,” Steve Carell left the show this spring to focus on his film career. With his crazy antics and hilarious one-liners, Carell’s character enticed more than 7 million viewers to “The Office” every Thursday night. From off-the-wall impersonations to “that’s what she said” jokes, Michael Scott was a staple (no pun intended) of Dunder Mifflin, and his resignation will certainly lead to changes for the fictional company.

Like all managers, Michael’s personal values shaped the culture of the Scranton branch. One of his most fundamental beliefs was that his employees weren’t just staff – they were family, with perhaps the exception of Toby. Michael clarified during one episode that “Toby is in HR. Which, technically, means he works for corporate. So he's really not a part of our family. Also he's divorced. So he's really not a part of his family.”

Because he placed great value on relationships, Michael created an office environment that revolved around social interaction, frequent unscheduled meetings, constant communication, and spontaneous special work teams. For example, Michael held impromptu meetings on hot workplace topics including diversity, sexual harassment, and fire safety. He also assembled the Party Planning Committee to organize office events, such as birthday parties and holiday celebrations.

Another one of Michael’s drivers was the need for recognition. He sought visibility and admiration and cared deeply about having his and others’ accomplishments publically acknowledged. Michael carefully selected job titles such as “Assistant to the Regional Manager” to properly acknowledge his employees for their work roles. Also, Michael hosted “The Dundies,” an annual award show that publically recognized the Scranton staff by bestowing prestigious awards such as Whitest Sneakers, Longest Engagement, and Busiest Beaver.

After his nearly 20 year tenure (9,986,000 minutes to be exact) at Dunder Mifflin, Michael hosted his last Dundies and a new manager will take his place as the leader of the Scranton branch. Although “The Office” season finale left viewers in the dark about who the next regional manager will be, one thing is certain – a new leader will create a new office culture.

Will it be Dwight Schrute with his traditional values of reporting hierarchies, respect for authority, rules, and formality? Or will it be Kelly Kapoor with her attention to appearance and style? Perhaps it will be an external applicant with a completely different set of values and beliefs.

Regardless of the new boss’s identity, the culture of Dunder Mifflin will surely change with Michael Scott’s departure. Despite his quirks, Michael’s unique personality and value set created a one-of-a-kind office that we won’t soon forget. At least, that’s what she said.

After seven seasons playing the wacky, yet lovable Michael Scott on NBC’s hit series, “The Office,” Steve Carell left the show this spring to focus on his film career. With his crazy antics and hilarious one-liners, Carell’s character enticed more than 7 million viewers to “The Office” every Thursday night. From off-the-wall impersonations to “that’s what she said” jokes, Michael Scott was a staple (no pun intended) of Dunder Mifflin, and his resignation will certainly lead to changes for the fictional company.

Like all managers, Michael’s personal values shaped the culture of the Scranton branch. One of his most fundamental beliefs was that his employees weren’t just staff – they were family, with perhaps the exception of Toby. Michael clarified during one episode that “Toby is in HR. Which, technically, means he works for corporate. So he’s really not a part of our family. Also he’s divorced. So he’s really not a part of his family.”

Because he placed great value on relationships, Michael created an office environment that revolved around social interaction, frequent unscheduled meetings, constant communication, and spontaneous special work teams. For example, Michael held impromptu meetings on hot workplace topics including diversity, sexual harassment, and fire safety. He also assembled the Party Planning Committee to organize office events, such as birthday parties and holiday celebrations.

Another one of Michael’s drivers was the need for recognition. He sought visibility and admiration and cared deeply about having his and others’ accomplishments publically acknowledged. Michael carefully selected job titles such as “Assistant to the Regional Manager” to properly acknowledge his employees for their work roles. Also, Michael hosted “The Dundies,” an annual award show that publically recognized the Scranton staff by bestowing prestigious awards such as Whitest Sneakers, Longest Engagement, and Busiest Beaver.

After his nearly 20 year tenure (9,986,000 minutes to be exact) at Dunder Mifflin, Michael hosted his last Dundies and a new manager will take his place as the leader of the Scranton branch. Although “The Office” season finale left viewers in the dark about who the next regional manager will be, one thing is certain – a new leader will create a new office culture.

Will it be Dwight Schrute with his traditional values of reporting hierarchies, respect for authority, rules, and formality? Or will it be Kelly Kapoor with her attention to appearance and style? Perhaps it will be an external applicant with a completely different set of values and beliefs.

Regardless of the new boss’s identity, the culture of Dunder Mifflin will surely change with Michael Scott’s departure. Despite his quirks, Michael’s unique personality and value set created a one-of-a-kind office that we won’t soon forget. At least, that’s what she said.

Last month, Hogan celebrated its annual Hogan Game Day competition, a team-based version of the popular game show “Minute to Win It” that is a much-anticipated event at our Tulsa office.

In the week leading up to Game Day, and the week that followed, the halls were alive with spirited banter (and sometimes outright trash-talk). Our elite marketing team, which planned the event, kept the list of games close to its vest, and for good reason. There are those competitively spirited individuals at Hogan who would have mastered each challenge before Game Day actually took place! Needless to say, Game Day is a big deal around here. And even though my team took last place, my experience far outweighed earning a trophy.

To kick off the event, each employee was randomly assigned teams and tasked with generating a team name (we were Hogan’s Heathens) and deciding who would participate in each event:

Game 1: Stick To It – Two team members, a thrower and catcher, bounce ping pong balls across a table and catch them with a pair of lint rollers. Three balls per roller, one minute to win it.
Game 2: Hanky Panky – One team member pulls out an entire box of tissues, one at a time, in one minute.
Game 3: Breakfast Scramble – One team member solves a puzzle consisting of the front of a box of cereal cut into perfect squares in less than one minute.
Game 4: Dizzy Mummy – Two team members, a holder and turner, wrap a roll of toilet paper around the turner in under one minute.
Game 5: Triple Pong Plop – One team member bounces ping pong balls on a plate and into a fish bowl.
Game 6: Face the Cookie – One team member places an Oreo on their forehead and, without using his/her hands, moves the cookie into his/her mouth.
RELAY: Five team members push a lemon across a 10-yard section of the parking lot with chopsticks. The first team with all members down and back won.

Some would suggest such team-building activities are wasteful, but consider the employee whose only workplace social incentive or team-building event is a break room birthday party or casual Friday. Now consider workers at Apple, Google, Facebook, or other unconventional workplace where a shift in corporate culture – the addition of office game rooms, flex time, office pets, happy hours, or casual dress codes - makes their work lives more enjoyable.

And these initiatives aren’t just to attract quality employees – though applicants are beating the door down to work there – they are examples of low-cost agendas that seriously drive engagement and pride through higher employee satisfaction.

It wouldn’t be appropriate for every business to install a basketball court in its offices, but that doesn’t mean it can’t do something for its people. Creating creature comforts at work not only increases satisfaction, but it also motivates employees to work harder. It’s common to see workers at many of these workplaces voluntarily burning the midnight oil. What motivates your staff?
 

Last month, Hogan celebrated its annual Hogan Game Day competition, a team-based version of the popular game show “Minute to Win It” that is a much-anticipated event at our Tulsa office.

In the week leading up to Game Day, and the week that followed, the halls were alive with spirited banter (and sometimes outright trash-talk). Our elite marketing team, which planned the event, kept the list of games close to its vest, and for good reason. There are those competitively spirited individuals at Hogan who would have mastered each challenge before Game Day actually took place! Needless to say, Game Day is a big deal around here. And even though my team took last place, my experience far outweighed earning a trophy.

To kick off the event, each employee was randomly assigned teams and tasked with generating a team name (we were Hogan’s Heathens) and deciding who would participate in each event:

Game 1: Stick To It – Two team members, a thrower and catcher, bounce ping pong balls across a table and catch them with a pair of lint rollers. Three balls per roller, one minute to win it.
Game 2: Hanky Panky – One team member pulls out an entire box of tissues, one at a time, in one minute.
Game 3: Breakfast Scramble – One team member solves a puzzle consisting of the front of a box of cereal cut into perfect squares in less than one minute.
Game 4: Dizzy Mummy – Two team members, a holder and turner, wrap a roll of toilet paper around the turner in under one minute.
Game 5: Triple Pong Plop – One team member bounces ping pong balls on a plate and into a fish bowl.
Game 6: Face the Cookie – One team member places an Oreo on their forehead and, without using his/her hands, moves the cookie into his/her mouth.
RELAY: Five team members push a lemon across a 10-yard section of the parking lot with chopsticks. The first team with all members down and back won.

Some would suggest such team-building activities are wasteful, but consider the employee whose only workplace social incentive or team-building event is a break room birthday party or casual Friday. Now consider workers at Apple, Google, Facebook, or other unconventional workplace where a shift in corporate culture – the addition of office game rooms, flex time, office pets, happy hours, or casual dress codes – makes their work lives more enjoyable.

And these initiatives aren’t just to attract quality employees – though applicants are beating the door down to work there – they are examples of low-cost agendas that seriously drive engagement and pride through higher employee satisfaction.

It wouldn’t be appropriate for every business to install a basketball court in its offices, but that doesn’t mean it can’t do something for its people. Creating creature comforts at work not only increases satisfaction, but it also motivates employees to work harder. It’s common to see workers at many of these workplaces voluntarily burning the midnight oil. What motivates your staff?