TALENT ENGAGEMENT ROADMAP
Am I the right person for this job?
Is my company invested in me?
Am I being paid fairly for my work?
ADP Talent Engagement Roadmap | eBook2
“ To win customers — and a bigger share of the marketplace — companies must first win the hearts and minds of their employees.”
The State of the American Workplace: Employee Engagement Insights for U.S. Business Leaders, Gallup, September 2014.
3 ADP Talent Engagement Roadmap | eBook
Contents
How Can You Influence Work Happiness, Employee Engagement and Retention? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4
Talent Retention: The Importance of a “Sticky” Organization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6
Work Happiness: Creating a Culture of Engagement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
Talent Management: Key to a Higher-Performing Workforce . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Final Thoughts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Meet Your Workforce: A Guidebook . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Research Methodology: 2016 ADP Employee Engagement Study – ADP partnered with a 3rd party market research firm, MSI International to conduct a nationally representative blind study (ADP was not named as the sponsor) of 5,000 Full-time/Part-time employees, 21 years of age or older, working in companies with at least 5 employees, in July 2016. Unless otherwise noted, the statistics and insights in this document are from the 2016 ADP Engagement Study.
How can you influence work happiness, employee engagement and retention?
Industry research studying the impact of human nature in the
workplace demonstrates time and again the link between employee
engagement and organizational success. In fact, a culture of employee
engagement can lead to up to 18% higher revenue per employee.1
New research from ADP® looked at six criteria that contribute to the
engagement levels of today’s workers:
This Talent Engagement Roadmap takes a deeper dive into three
areas critical to organizational success — talent retention, work
happiness and talent management — and how companies of all
sizes can help fi x what may be holding them back from fulfi lling
their potential.
Don’t miss an opportunity to grow your talent. Underestimating the importance of employee engagement directly impacts your organizational success.
5
1 http://www.gallup.com/businessjournal/182912/companies-missing-opportunities-growth-revenue.aspx
ADP Talent Engagement Roadmap | eBook
1. Compensation
2. Benefi ts
3. Flexibility
4. Growth
5. Recognition
6. Culture
Talent Retention: The importance of a “sticky” organization
You invest time and resources into onboarding new employees, so you want them
around for the long term. Veteran employees know your culture, operations and
policies, so chances are they’re more loyal and effective. And the costs for replacing
an existing employee can be staggering. A recent study estimated the cost of
losing an employee can be anywhere from 16% of their salary for hourly, unsalaried
employees, up to 213% of the salary for a highly trained position.2
27% of employees are likely to look for a new job in the next year — primarily for a bigger paycheck.
Those considering leaving are approximately 35% less likely to believe they are paid adequately for their performance.
All employees want as much training as possible, but those looking to leave are 2.5 times more likely to feel lack of training is holding them back.
Those likely to leave are about 40% more likely to have no input into their performance goals.
Manager recognition is lacking among those who are likely to leave — only one-third (33%) feel their manager gives them praise and recognition for a good job.
Why is retaining a valuable employee essential for organizational success? We’ve all experienced the difficulties and risk associated with a new hire.
7 ADP Talent Engagement Roadmap | eBook
Key Insight:Effective onboarding appears to be a factor in retaining employees. Those at risk of changing companies are more likely to work for employers that do not have a formal onboarding program that includes orientation, training and tools to help employees successfully “socialize” within the organization.
Talent Retention What might be broken?
2 Center for American Progress, There Are Significant Business Costs to Replacing Employees, November 2016.
Provide adequate pay for performance• Benchmark compensation to make
sure you’re competitive.
• Focus on total compensation rather
than just salary when hiring.
Highlight training opportunities• Create a mentorship program pairing
veteran and newer employees.
• Develop training modules for
employees at all levels.
Improve internal communication vehicles• Establish and promote clear career
development paths.
• Develop formal and informal
recognition programs.
ADP Talent Engagement Roadmap | eBook
Talent Retention Fixing what’s broken
8
Try Benchmarking, powered by ADP DataCloud
Try LitmosTry ADP PerformanceManagement
Work Happiness: Creating a culture of engagement
These same engaged employees may be less likely to leave and more willing to
promote your business to others.
Unhappy employees are nearly 4.5 times more likely to look for a new job next year compared to happy employees (17% vs. 74%).
Unhappy employees are more than 3 times as likely to look for a new job due to not feeling they are being paid fairly (7% vs. 24%).
Overall, unhappy employees have a far more negative view of their company’s social responsibility efforts. They are far less likely to believe their company is committed to ensuring a diverse workforce and acting ethically/responsibly.
Lack of recognition has a direct impact on happiness. Praise and recognition for a job well done is critical to driving happiness, especially from supervisors and managers. 2/3 of unhappy employees don’t feel they get the praise and recognition they deserve.
Work happiness is a strategic imperative. Happy employees are engaged employees — providing a sense of purpose and meaning that drive productivity and enhance effectiveness.
ADP Talent Engagement Roadmap | eBook
Key Insight:Unhappy employees are more than 3 times as likely to lack a recognition program at their company.
Work Happiness What might be broken?
Happy
Unhappy
Formal program only
Informal program only
Both formal and informal
No recognition program
17%
11%
9%
17%55%
46%
16% 16%
10
ADP Talent Engagement Roadmap | eBook
Work Happiness Fixing what’s broken
Know your employees• Have mechanisms in place to
understand how employees defi ne
“a better work environment.”
• Offer structured mechanisms —
surveys, Town Hall meetings, and
advisory boards — for employees to
share their feedback and ideas.
Create awesome bosses• Invest in leadership training for new
and seasoned managers alike.
• Include employee happiness as a
component of managers’ evaluation
and compensation processes.
Highlight your commitment to social responsibility• Make your commitment to diversity,
philanthropy and environmental
stewardship part of your
organization’s mission statement.
• Offer frequent opportunities for
employees to volunteer individually
and as teams.
11
Try Compass
Talent Management: Key to a higher-performing workforce
Effective talent management flows from your organization’s mission, vision, values and strategic goals. It enables every employee to see exactly how they fit into the organizational puzzle and feel as if they are part of the bigger picture.
ADP Talent Engagement Roadmap | eBook
Key Insight:Participation in setting goals can help drive a positive view of employee engagement – those with a negative view of talent management are more than 3 times as likely to not have any performance goals set and are nearly twice as likely to not take an active role in setting goals.
Talent Management What might be broken?
Happy
Active role in setting my performance goals
Active role in setting some performance goals while other goals are assigned without my input
Performance goals assigned to me without my input
Have no performance goals set
60%18%
11%11%
13
Are far less likely to receive useful and constructive feedback, effective evaluations, and career development guidance.
Are far less likely to feel that any training offered is relevant and helpful now and in the future (8% vs. 66%).
Are far more likely to work for a company that does not take the time to effectively onboard new employees (12% vs. 67%).
Are far more likely to work in companies that do not offer benefits and perks employees find important (i.e. flexible work hours).
Unhappy
22%
18%
24%
36%
Employees with a negative view...
Begin with the basics• Your talent management strategy
should be aligned with your
organization’s mission, vision and
value statements.
Implement or expand training programs• Offer leadership and career
development opportunities in
addition to job-specifi c tactical
training.
ADP Talent Engagement Roadmap | eBook
Talent Management Fixing what’s broken
Managers play a critical role in driving engagement and must be active participants in employees’ career development
• Only 40% of employees feelthat their manager encouragesand supports their professionaldevelopment and growth — thisfeeling is especially true amongGen Xers and Baby Boomers.
• Two-thirds of all employees feelmotivated when they receive on-going feedback but only one-quarteror fewer unengaged employeesreceive feedback, praise or careerdevelopment support.
• Employees should have a roleand participate in setting yearlyperformance goals and objectives— one-quarter of unengagedemployees have no performancegoals and signifi cantly fewer (thanengaged employees) have an activerole in setting their goals.
• Lastly, managers need to recognizeemployees’ accomplishments andsuccesses — verbal praise goes along way.
The role of the manager in driving engagement
14
• Benchmark your employee benefi ts
package to stay current on
high-value offerings including
comprehensive health benefi ts,
fl exible spending accounts and
discount programs.
• Create a recognition and rewards
program around the completion of
educational and training sessions.
Try Globoforce
Try Compass
Try Benchmarking, powered by ADPDataCloud
Try AIRS Training
ADP Talent Engagement Roadmap | eBook15
Make performance evaluationsmore collaborative• Give employees an active role in setting their yearly
performance goals and objectives.
Employees need to know where they stand• Consider implementing standing weekly or monthly
one-on-ones between employees and managers to
share constructive feedback, offer suggestions for
improvement and provide employees an opportunity to
ask managers for help, guidance and support if needed.
Talent Management Fixing what’s broken
• Provide managers with tools to make it easier for them
to provide their employees with opportunities for
development and timely praise and recognition.
Try Globoforce
Try ADP Performance Management
To increase engagement of employees, the ADP research findings
suggest that companies must take a holistic, sustained approach in
fostering a work environment where employees feel they count, are
connected to the larger mission and have a sense of purpose — that they
are not just earning a paycheck. This approach should enhance
employees’ professional and personal lives in which they “work to live”
and not the other way around.
If companies can instill these feelings in all employees, they can
sustain a far more productive, profitable and innovative organizational
model. To help you do this, ADP research has identified 6 personas that
may exist in your organization.
In the next section of this roadmap — MEET YOUR WORKFORCE: A
Guidebook— you will gain insight about the personas to help you
understand and address their needs, aspirations and connect with them
at each touchpoint:
How they feel.How do their emotions influence their decision?
How they think.How does their mind rationalize decisions?
How they act.Where can we connect with them? What moves them?
Final thoughts on work happiness, employee engagement and retention
ADP Talent Engagement Roadmap | eBook16
BethBest of Both Worlds
EllaEnabling Others
CarlosCan Do
PaulPassing Time
MikeMaking Do
MEET YOUR WORKFORCE
TracyTreat Me Right
Find Out What Drives Engagement in Your Organization
Paul Passing TimeLeast dynamic and emotionally-involved worker. For Paul, the status quo is fi ne. He is mainly working just for the paycheck and not interested
in company initiatives beyond immediate work, including:
communications, morale and team building activities. Paul has
not bought into the company vision and does not necessarily
view himself as part of the team. Given his outlook, to Paul
“work is work” and it’s not important that it be enjoyable.
Check out these apps to address Paul’s engagement needs:
18ADP Talent Engagement Roadmap | eBook
Learn More About Paul ›
Note: Person referenced above is for illustrative purposes and not based upon an actual person.
LifeMart
Engagedly
FlexWageCore ID
REFIND
Motivaction
Ella Enabling Others
She is productive, effi ciently using her time and not likely to put
things off until the last minute. Always striving for improvement,
Ella loves learning new things and generally wants to be
acknowledged for her contributions.
Check out these apps to address Ella’s engagement needs:
19ADP Talent Engagement Roadmap | eBook
To Ella, it’s about relationships at work. A socializer and a bit of perfectionist, she wants to be the best in everything she does while making sure that everyone gets along.
Learn More About Ella ›
Note: Person referenced above is for illustrative purposes and not based upon an actual person.
AIRS Training
TalentGuard (Career Pathing)
Litmos
Bonusly
MeetBetter
Tracy Treat Me Right
She has the longest work tenure and is committed as long as
she feels her company treats her right. She is a steady performer
and not necessarily looking to “change the world.” Enjoyment at
work is a strong consideration, as well as small acts of kindness
and rewards that make her feel appreciated while enhancing her
below average income.
Check out these apps to address Tracy’s engagement needs:
20ADP Talent Engagement Roadmap | eBook
Working in a smaller, less structured company, Tracy does not crave public recognition but does want two-way communication and open and honest dialogue with her employer.
Learn More About Tracy ›
Note: Person referenced above is for illustrative purposes and not based upon an actual person.
Deputy
Spotlight
ADP PerfomanceManagement
ReviewSnap
Engagedly
Globoforce
Carlos Can Do
He approaches work on multiple dimensions, placing relatively
less emphasis on tangible employer offerings, such as
compensation and benefi ts, while having greater focus on
growth, social responsibility, and employee onboarding.
Check out these apps to address Carlos’s engagement needs:
21ADP Talent Engagement Roadmap | eBook
Carlos is a young, confi dent go-getter. He sees himself as a cutting edge team player and is motivated by the recognition and growth opportunities at his company.
Learn More About Carlos ›
Note: Person referenced above is for illustrative purposes and not based upon an actual person.
ADP Compass
Litmos
Sapling Onboarding
ADP Onboarding
Mike Making Do
He is not overly interested nor is he expecting two-way
communication and open feedback with his employer. He is
less satisfi ed with his employer and is not likely to recommend
his company to others.
Check out these apps to address Mike’s engagement needs:
22ADP Talent Engagement Roadmap | eBook
Mike is a baby boomer working in operations. He is making do on his own and has little expectations of his company.
Note: Person referenced above is for illustrative purposes and not based upon an actual person.
Learn More About Mike ›
Engagedly
Makeshift
Motivaction
Globoforce
REFIND
Beth Best of Both WorldsA hard working professional trying to balance work and home responsibilities, Beth desires fl exibility in her work situation.
Having young children to care for, the ability to manage her
hours and work locations is an important factor in achieving
work-life balance. At the same time, she does not want to
compromise growth opportunities that allow her to increase
her income. She aspires to have it all.
Check out these apps to address Beth’s engagement needs:
23ADP Talent Engagement Roadmap | eBookNote: Person referenced above is for illustrative purposes and not based upon an actual person.
Learn More About Beth ›
Lifecare EAP
Litmos
ADP Time and Labor Management
MeetBetter
Deputy Makeshift
The ADP logo, and ADP are registered trademarks of ADP, LLC. All other marks are the property of their respective owners. Copyright © 2017 ADP, LLC.
Understand more about your workforce and how to promote employee engagement at
EngagementMeter.ADP.com