Employees Engagement and Loyalty

Today's business has made new and challenging demands for manufacturing organizations. Clients requirements for lower prices, higher quality and greater value are unyielding. Many companies look for quick fixes in the form of plant consolidations, expensive redesigns of operations, or relocations of their operations overseas. As most manufacturers continue to seek fractional reductions in cost, one of the most important drivers of improved business performance and profit margin is all but ignored -- the ongoing development of skills and effectiveness for all employees.

The world's most successful manufacturing organizations are able to build engaged, high performing workforces by investing in every employee. And the results are striking, as study after study has shown the clear link between employee engagement and organizational performance.

Unfortunately, employee engagement isn't a one-dimensional concept, something that can be increased simply by sending out a survey or instituting a program. Instead, organizations that are successful at increasing employee engagement realize that it requires culture change. Engagement is not accidental. There are actually three key elements that contribute to a highly engaged workforce, including having the right employees in the right jobs; leaders who are attuned to their direct reports; and systems and strategies for gaining and maintaining engagement in every organization.

Organizations must hire employees who fit the job requirements, develop leaders with the right skills and provide support through strong systems and strategies. Together, these three drivers lead to the formation of an engaging work environment. Once created, the engaging work environment has a positive impact on employee behaviors and attitudes. In particular, an engaging environment builds loyalty in employees by meeting their personal and practical needs, thus encouraging them to stay with the organization. In addition, an engaging work environment taps into employees' motivation to try harder and put forth the extra effort that differentiates organizations from their competitors.

Finally, when organizations have engaged employees, the long-term benefits translate to the bottom line. Organizations have more satisfied and loyal customers, increased profits, better-quality products or services and greater growth potential.

Today's manufacturing organizations can drive engagement by proactively leveraging these three sources of influence for change: employees, leaders, and organizational systems and strategies.

The second engagement driver is exceptional leadership. Many of the work environment factors of our model are directly affected by the quality of leadership. Leaders have the influence and power to serve as catalysts for higher levels of engagement, not only in one or two areas, but also in all aspects of leadership. Even more compelling, our own