Sunday, August 21, 2022

 

Nine Skills You Should Learn That Pay Dividends Forever

·        Published on July 23, 2019 Travis Bradberry - Phd

Dr. Travis Bradberry


Coauthor EMOTIONAL INTELLIGENCE 2.0 &President at TalentSmart


The further along you are in your career, the easier it is to fall back on the mistaken assumption that you’ve made it and have all the skills you need to succeed. The tendency is to focus all your energy on getting the job done, assuming that the rest will take care of itself. Big mistake.

Recent research from Stanford tells the story. Carol Dweck and her colleagues conducted a study with people who were struggling with their performance. One group was taught to perform better on a task that they performed poorly in. The other group received a completely different intervention: for the task that they performed badly in, they were taught that they weren’t stuck and that improving their performance was a choice. They discovered that learning produces physiological changes in the brain, just like exercise changes muscles. All they had to do was believe in themselves and make it happen.

When the groups’ performance was reassessed a few months later, the group that was taught to perform the task better did even worse. The group that was taught that they had the power to change their brains and improve their performance themselves improved dramatically.

The primary takeaway from Dweck’s research is that we should never stop learning. The moment we think that we are who we are is the moment we give away our unrealized potential.

“Live as if you were to die tomorrow. Learn as if you were to live forever.” – Mahatma Gandhi

The act of learning is every bit as important as what you learn. Believing that you can improve yourself and do things in the future that are beyond your current possibilities is exciting and fulfilling.

Still, your time is finite, and you should dedicate yourself to learning skills that will yield the greatest benefit. There are nine skills that I believe fit the bill because they never stop paying dividends. These are the skills that deliver the biggest payoff, both in terms of what they teach you and their tendency to keep the learning alive.

Emotional intelligence (EQ). EQ is the “something” in each of us that is a bit intangible. It affects how we manage behavior, navigate social complexities, and make personal decisions that achieve positive results. EQ is your ability to recognize and understand emotions in yourself and others and your ability to use this awareness to manage your behavior and relationships. Decades of research now point to EQ as the critical factor that sets star performers apart from the rest of the pack. It’s a powerful way to focus your energy in one direction, with tremendous results.

TalentSmart tested EQ alongside 33 other important workplace skills and found that EQ is the strongest predictor of performance, explaining a full 58% of success in all types of jobs. Of all the people we’ve studied at work, we've found that 90% of top performers are also high in EQ. On the flip side, just 20% of bottom performers are high in EQ. You can be a top performer without EQ, but the chances are slim. Naturally, people with a high degree of EQ make more money, an average of $29,000 more per year than people with a low degree of emotional intelligence. The link between EQ and earnings is so direct that every point increase in EQ adds $1,300 to an annual salary. Increasing your EQ won’t just pad your bank account, it’ll make you happier and less stressed as well.

Time management. One of the biggest things that gets in the way of effective time management is the “tyranny of the urgent.” This refers to the tendency of little things that have to be done right now to get in the way of what really matters. When you succumb to it, you spend so much time putting out fires that you never get any real work done. How many times have you left work at the end of the day, only to realize that you didn’t move the important things along even one inch? Learning to manage your time effectively frees you up to perform at your absolute highest level, and it does so every single day of your life.

Listening. This one should be easy. If we’re not talking, we’re listening, right? Well, not exactly. A lot of times, we think we’re listening, but we’re actually planning what we’re going to say next. True listening means focusing solely on what the other person is saying. It’s about understanding, not rebuttal or input. Learning how to suspend judgment and focus on understanding the other person’s input is one of the most important skills you can develop.

Listening is a bit like intelligence—most everyone thinks they’re above average (even though that’s impossible). A study at Wright State University surveyed more than 8,000 people from different verticals, and almost all rated themselves as listening as well as or better than their co-workers. We know intuitively that many of them were wrong.

There’s so much talking happening at work that opportunities to listen abound. We talk to provide feedback, explain instructions, and communicate deadlines. Beyond the spoken words, there’s invaluable information to be deciphered through tone of voice, body language, and what isn’t said. In other words, failing to keep your ears (and eyes) open could leave you out of the game.

Saying No. Research conducted at the University of California, San Francisco, showed that the more difficulty that you have saying no, the more likely you are to experience stress, burnout, and even depression. Saying no is indeed a major challenge for many people. No is a powerful word that you should not be afraid to wield. When it’s time to say no, avoid phrases such as I don’t think I can or I’m not certain. Saying no to a new commitment honors your existing commitments and gives you the opportunity to successfully fulfill them. When you learn to say no, you free yourself from unnecessary constraints and free up your time and energy for the important things in life.

Asking for help. It might seem counterintuitive to suggest that asking for help is a skill, but it is. It takes a tremendous amount of confidence and humility to admit that you need assistance. This skill is critical because the last thing a leader wants are employees who keep on trucking down the wrong path because they are too embarrassed or proud to admit that they don’t know what they’re doing. The ability to recognize when you need help, summon up the courage to ask for it, and follow through on that help is an extremely valuable skill.

Getting high-quality sleep. We've always known that quality sleep is good for your brain, but recent research from the University of Rochester demonstrated exactly how so. The study found that when you sleep, your brain removes toxic proteins, which are by-products of neural activity when you're awake, from its neurons. The catch here is that your brain can only adequately remove these toxic proteins when you have sufficient quality sleep. When you don’t get high-quality deep sleep, the toxic proteins remain in your brain cells, wreaking havoc and ultimately impairing your ability to think—something no amount of caffeine can fix. This slows your ability to process information and solve problems, kills your creativity, and increases your emotional reactivity. Learning to get high-quality sleep on a regular basis is a difficult skill to master, but it pays massive dividends the next day.

Knowing when to shut up. Sure, it can feel so good to unload on somebody and let them know what you really think, but that good feeling is temporary. What happens the next day, the next week, or the next year? It’s human nature to want to prove that you’re right, but it’s rarely effective. In conflict, unchecked emotion makes you dig your heels in and fight the kind of battle that can leave you and the relationship severely damaged. When you read and respond to your emotions, you’re able to choose your battles wisely and only stand your ground when the time is right. The vast majority of the time, that means biting your tongue.

Taking initiative. Initiative is a skill that will take you far in life. In theory, initiative is easy—the desire to take action is always there—but in the real world, other things get in the way. There’s a big difference between knowing what to do and being too scared or lazy to actually do it. That requires initiative. You have to take risks and push yourself out of your comfort zone, until taking initiative is second nature.

Staying positive. We've all received the well-meaning advice to "stay positive." The greater the challenge, the more this glass-half-full wisdom can come across as Pollyannaish and unrealistic. It's hard to find the motivation to focus on the positive when positivity seems like nothing more than wishful thinking. The real obstacle to positivity is that our brains are hard-wired to look for and focus on threats. This survival mechanism served humankind well, back when we were hunters and gatherers and living each day with the very real threat of being killed by someone or something in our immediate surroundings.

That was eons ago. Today, this mechanism breeds pessimism and negativity through the mind's tendency to wander until it finds a threat. These "threats" magnify the perceived likelihood that things are going—and/or are going to go—poorly. When the threat is real and lurking in the bushes down the path, this mechanism serves you well. When the threat is imagined and you spend two months convinced that the project you're working on is going to flop, this mechanism leaves you with a soured view of reality that wreaks havoc in your life. Maintaining positivity is a daily challenge that requires focus and attention. You must be intentional about staying positive if you're going to overcome the brain's tendency to focus on threats.

Bringing It All Together

Research shows that lifelong learning pays dividends beyond the skills you acquire. Never stop learning.

How do you keep the learning alive? Please share your thoughts in the comments section below, as I learn just as much from you as you do from me.

ABOUT THE AUTHOR:

Dr. Travis Bradberry is the award-winning co-author of the #1 bestselling book, Emotional Intelligence 2.0, and the cofounder of TalentSmart, the world's leading provider of emotional intelligence tests and training, serving more than 75% of Fortune 500 companies. His bestselling books have been translated into 25 languages and are available in more than 150 countries. Dr. Bradberry has written for, or been covered by, Newsweek, BusinessWeek, Fortune, Forbes, Fast Company, Inc., USA Today, The Wall Street Journal, The Washington Post, and The Harvard Business Review.

Thursday, August 4, 2022

 

Confidence - Your Selling Platform



As a professional salesperson, it is almost entirely taken for granted that you will have the confidence to present your products and services in a manner that demonstrates your deep belief in their value to the customer. Isn’t that the definition of being a professional?

This belief in your company, their support systems, their competitiveness, and the actual product itself are some of the keys to your ability to display the personal confidence required to win new business in the marketplace. (There may be more issues related to a personal self-image that would require an entirely separate discourse to discuss.)

Unless you have a badly scarred conscience, your confidence can be destroyed by your lack of faith that the products and services offered by your employer are substandard and consequently not competitive in the marketplace.

Please be aware that you can set your standard far to high. There will not be perfection in everything you promote. However, it does need to perform and compete very well in the class of products where you contend.

My first experience in a professional selling job was with a major industrial and consumer products company that everyone would immediately recognize. The division that I was hired to sell for was out of their area of expertise. There were some poor decisions made regarding placing the company name on an inferior imported product.

 Even as a rookie salesperson, it did not take long to discover that not only were we not competitive from a features standpoint, but we were also badly overpriced as well. My confidence and morale were damaged to the point of draining energy from my selling efforts. I left for another sales position as soon as possible and learned a few years later that the division was sold to someone in the primary business we were attempting to enter. This new salesperson came very close to getting out of the selling profession based on my experiences and lack of faith in the products.

Here are some recommended steps to insure your “product confidence” stays high.

§  Know your products and your competition very well 

§  Keep a competitive file so you can objectively evaluate your competitor’s strengths, weaknesses, and performance claims 

§  Keep a record of your wins in the marketplace

§  Capture third party references for your own sake and your prospect’s possible review

§  Practice your presentation with a mentor or manager and video the demonstration for evaluation’s sake

§  Seek constant improvement in your sales presentation and your product confidence

§  Personally use your own product if possible or watch it perform in person

And the last comment on this topic is; There is no excuse for bending the truth in your sales role. Falsehood and cover ups will not last in the marketplace.

Good Selling

 

Salesperson Effectiveness




 

A common concern of many sales managers is the return on investment for the comp and expenses required to have a salesperson in the field. Of course, this is not universal, however for startup companies, and companies that compete in low margin industries, it is a very real concern.

This brings to mind the concept of preparation, experience, focus, human relations skills, organization and product knowledge just to name a few foundational aspects for an effective salesperson.

There are six components that every small to medium size enterprise salesperson should have acquired to be considered a master in their craft.

1.     Product knowledge

2.     Company knowledge

3.     Selling skills

4.     Industry knowledge

5.     Customer knowledge

6.     The customer’s industry knowledge

For the majority of the SMBE salespeople, a knowledge of digital marketing skills will be considered an essential element of their selling skills. Simply because the smaller firms may lack the resources to fund a complete digital marketing effort. And, let’s face it, the salesperson should know more about their customers and prospects. Consequently, it is the salesperson who should be able to draft the most persuasive appeal to those prospects.

For the new company, new territory expansion, or new product launch, the need will be to focus primarily on prospecting to gain a foothold in the marketplace.

Since no one competes as a monopoly, the strategy must include a powerful message of interruption that draws a prospect to listen to the message and take it seriously. And by seriously, that means to make a change in products or suppliers. It’s not a total dog eat dog, winner take all world, but eventually someone must come in behind the winner.  

One of the best ways to develop a powerful message of interruption is to understand your customer’s deepest concerns. Research their industry and your capabilities to understand their anxiety, fears, frustration, stress or what may provide a peace of mind for them.

Once you get a firm grasp on their concerns, you have better opportunity to reach those prospects on an emotional level. And as we all know there is an element of emotion in every decision. Do not ignore the fact that your product must compete on a functional level. There is no getting around that fact. Have a viable product or go back to square one and start over.

Allow me to give you a couple of examples to illustrate how this would play out.

When I was in the safety equipment industry there were several factors in play at all times. Number one was the basic concept of concern for the well being and productivity of the individual workers. Injuries that resulted in lost time incidents meant pain, suffering and income loss for the employee. It also included lost productivity and higher cost for the company. If the lost time incident rate was too high, it meant higher insurance costs for the employer.

Violation of OSHA laws could mean fines and negative publicity for the employer as well. These factors could be used to generate a strong emotional interruption for our prospects. New OSHA laws were particularly impactful because that opened the door for providing new standards training and promoted the sales team as subject matter experts.

In the hard drive industry, there was a high susceptibility to product loss due to an electro-static discharge event during the manufacturing phase. Consequently, the concern over low percentage production yields drove a mandatory interest in the ionization equipment that my company manufactured. It was relatively easy to gain access to those decision makers. This was very true if there was a technical innovation in the ionization tool that made it more effective.   

This concept should allow you to think about the deepest concerns of your prospects as it relates to the products you sell. Take some time to brainstorm your approach.

As you take time to draft a new version of your approach, ask yourself how I would feel if I was in my customer’s shoes.

What would create worry and stress for them?

What happens when they don’t have funding to properly run their organization?

What do they think when they become aware of a knowledge shortage to maintain competitiveness?

What happens to them personally and professionally when they fail to hit their goals?

What really makes them angry?

What unknown causes them to worry?

What are competitors doing to eat away at their business?

What weak habits are causing them to lose productivity?

As you review these questions, I’m sure you can come up with your own questions specifically pertaining to your industry.

Consider how your overall presentation produces a solution to their frustrations, anxiety, and stresses. Then use this emotional appeal to transition into the statistics and science that proves your product is a “best fit” solution to their concerns.

When you create your best interruption message, then it is important to decide how to get it front of your prospects. Every marketer and sales guru will tell you their way is best. And they may have some valid points, however, keep in mind that they also have a strong profit motive that drives them to be biased for their method.

Keep in mind that your initial efforts are going to fall into the marketing category. It is your responsibility to get that message in front of the correct target market with multiple methods. Tools like your website, social media campaigns, webinars, newsletters, and live events are viable ways to approach your market.

In my opinion, if you are breaking the ice with your product, then nothing exceeds direct phone calls. An exception might be if you are in a situation to afford extensive click per pay ad campaigns.

Phone calls yield multiple benefits to the seller. They deliver an interruption message. They provide immediate competitive feedback, and they help refine your target market faster than most other methods. The key to this method is repetitive calls.

Obviously, this article did not address every aspect of a salesperson’s effectiveness. That could take volumes of insight and instruction. However, it does address a very important facet of the sales approach. Walk a mile in your customer’s shoes and craft your best approach.

Gary D. Seale – MBA

Principal at Trucon Communications and Consulting

 

 

 

Saturday, July 30, 2022

 

Patience

 


 

Perhaps other than practicing a relative form of truth, our prevailing business culture is marked by a lack of patience.  This microwave mentality permeates many aspects of our expectations regarding product functions, learning, sales, marketing, information availability, relationships, and the services we purchase.  Unfortunately, it also marks a number of people in our culture who seem ready to complain or explode at the slightest provocation.

 

Lest I be too quick to make a judgmental statement, we must all be careful to not condemn others so quickly.  We rarely know what mental or physical exasperations others have experienced before they lose their cool.  I once heard a respected physiologist say he had observed normally calm, rational people do the most bizarre and extreme things under the stress of heavy mental or physical pressure.  This does not excuse explosive behavior, but it does help us understand that at times pressure can cause someone to act far outside the limits of acceptable behavior. 

 

However, in this context I am referring to two different aspects of patience.  The first is the patience required to allow a maturing or learning experience take place in another individual.  The second is the patience required to finish a process.  Specifically, this is the patience required to allow for all the components to come together for a quality project or product to be produced.

 

For issues regarding a lack of patience with people, we may have to consider the possibility that the primary issue lies within the person who displays the lack of patience.  It may be necessary for those individuals to seriously consider their own lack of humility.  Many “Type A” personalities have long forgotten what it was like to be the new or inexperienced associate.  These people are so convinced that their decision-making abilities and experience are so superior that patience has be learned.  These learning experiences can be painful for both the impatient individual and the object of their irritation.  

 

This assumption of invincibility can easily lead to outbursts of anger and judgmental decisions about inexperienced or slow people.  So as not to pass judgment on strictly type A’s, it must be acknowledged that we can all loose our patience if personally impeded in achieving our professional goals.

 

To combat this tendency, those of us that fit into the “experienced category” must learn to walk a mile in the other’s shoes and be objective about performance expectations.  Of course, continuous communication is necessary to inform newcomers about production benchmarks.    

 

Patience also has a strong element of gentleness and truthfulness about it.  Just as it is unnecessary to explode at a lack of performance, it is also unprofessional to allow a lack of performance to go on without the proper instruction or retraining.  

 

Project completion is also an area that requires professional and personal patience.  As business managers, we should be practicing objective evaluations about the capital projects recommended to our employers.  Return on investment evaluations in conjunction with the long-term strategies and goals of the company must be used to make these decisions.

 

As with many new initiatives, the initial sailing is not always smooth and there is some level of discouragement midway through the project.   To allow temporary setbacks and our emotions to cause the cancellation of worthwhile projects is a strong sign that patience is lacking.  Frustrated decision making creates bad morale, lost opportunities and at the very least, vacillation that leads to delays in completion.

 

To combat these potential cuts and run temptations, have a strong vision of the success of the new business undertaking.  Foreseeing the rewards through the construction phase will create patience and perseverance.   Have confidence in your initial project analysis and take the setbacks as part of the project’s steps to completion.

 

Application:

 

Has your career been marked by impatience that created barriers to the success of others and yourself?  Work diligently to walk a mile in another’s shoes and visualize the successful outcome of your goals to combat your lack of patience.


Author:

Gary D. Seale - Principal 

Trucon Communications and Consulting

512-529-7045  www.truconbd.com

 

Saturday, July 23, 2022

 

A Success Formula for Life





 

Point Number One

 

Take 100% responsibility for everything you experience in life.

This is an absolute statement that has to create a huge question in your mind. Everyone clearly know that you are not responsible for everything that happens in your life. You did not choose your parents, siblings, the country you grew up in, or even the culture that surrounded you. This is specifically true until you reach your late teenage years and begin to make decisions for yourself.

What it does say to me; is that we are responsible for the responses we have to everything that we experience in life. Literally every material procession can be taken from you, you can lose your health, you can lose your relationships, you can lose your position, however no one can rob you of your perspectives, values and beliefs.

Once you take responsibility for everything you experience and understand the vicissitudes of life, then you can determine to take responsibility for how you react. Life with this perspective is all about choices. And taking responsibility is a wise choice that leads to long term benefits.

We all know the law of cause and effect. We choose to drive impaired, speed and drive recklessly, then there is a high probability of having a serious incident. We chose to live a totally irresponsible lifestyle and we lose the trust of our family, friends, employers, and the law.

I was raised in a United Auto Workers union family. There was a strong bias against General Motors and local management. The union installed a psychic determinism attitude that stated the company (GM) is holding me back and I have no power to oppose it. When I worked my way through a business degree, I began to change my attitude. It became very clear how difficult it is to make a viable profit in our competitive business environment.

As employees we do have a choice of where to work and the attitude we’re going to have about our work and life situation. You can literally decide to change and make steps to implement your decision. Your changes may not happen as soon as you would like, but the determination to take ownership of your situation may be one of the most important decisions you can make in life.     

Point Number Two

Everything you think, say and do needs to be intentional, aligned with your highest purpose, your values and your goals.

As a human being, you are in procession of one of the most powerful tools in the   universe. Your brain has billions of neurons and the capability of creating memories and templates under which you can operate under.

You have the capability to establish a resolve to stick to your stated purpose in life, which results in a set of values, which eventually aid you in reaching your goals.

When faced with a decision; the “proverbial fork in the road”, you can make a decision to compromise or live out your values in an intentional manner.

Don’t be concerned about being tempted, We are all tempted!

As we all know temptation confronts everyone on a daily basis. It is the strength of your resolve to be aligned with your purpose, values and goal achievement that allow you to resist the temptation.

Small compromises can seem inconsequential at first but can easily lead to a bigger compromise that leads to a failure. A great example is our food intake. How easy it is to revert to a high carbohydrate diet when we know its ultimately not good for us!

But it tastes so much better, and I deserve it!!!

Learn to capture your thoughts and be intentional.

 

 

Point Number Three

 

To achieve desired outcomes, one must replace complaining with taking action.

Has anyone gotten into a belly aching conversation with our work peer group about the company, its policies, products, and culture? I certainly have and I am not proud about admitting it.

In my very first sales job with 3M, I entered into a whine and complain session with my fellow sales team members in front of a service rep who was transitioning into sales. He promptly told management what he heard, and yours truly got pulled into the office to talk about my conduct. My manager said that I was on the promotable list, but if he heard any more talk about crummy products, then I would immediately be off the list just like that. As he said this, he snapped his fingers to empathize his point. I’ve never forgotten that snap of the fingers.

We all know that no organization is perfect and there is room for growth with us as individuals and organizations. Our best plan of action is to adopt a positive attitude, establish a plan of action about confronting the issues and strenuously go the work with a firm action plan. 

 

In summary:

1.     Take responsibility

2.     Be Intentional in everything you do

3.     Be a person of resolve and action.

 

Gary D. Seale – MBA  July 22, 2022

Trucon Communications  www.truconbd.com

Thursday, July 7, 2022

 


Ø Pre-Plan  > Execute  >Evaluate  >Re-Execute

By: Gary D. Seale

Trucon Communications

July 7, 2022

 

Sales Pre-Planning Essentials

Planning to execute an action plan in almost any endeavor is an absolute necessity. With the exception of a couple of kiddos getting together to play, the failure to plan is to prepare to fail. Even the simplest of mundane weekend gotta do’s requires some level of planning to achieve a small level of efficiency and mission accomplishment. Going to the grocery store, buying gas, a stop into the hardware store and running by the cleaners necessitates purchase lists, money availability, routing, and time availability pre-planning.

No matter how tempting it is to put our mind into a free-fall state, it simply defies all logic to not plan. Look at the difference between high-school, college, and pro-level sports teams. The well-funded and most successful programs have broken down every component of the game into quantifiable metrics. These identified measurements allow them to work on improving strengths, addressing weaknesses, and training the athletes to perform at their maximum capacity. This requires creative thinking, market research, and sufficient repetition to drill the plays into the minds of the players so that when the play is called on the field there is no hesitation or flaw in running the play. Of course, there are constraints to running your business plays in the field. They are frequently called competition. I will address those issues in the evaluation segment of this paper.

In the field of professional selling, pre-planning must be at the forefront of every professional’s mind because of the time management and focus required to be a success in this extremely competitive selling environment. Even on a daily basis, I have found that my productivity decreases drastically when I start the day without some concrete sales and marketing goals. These daily goals should be seen as your mission efforts, which are derived from the vision you have established for your company. These daily efforts are also predicated on your personal answer to the question; Why am I doing this?

For the smaller firms that rely on their sale’s team members to develop and execute a marketing plan in addition to the selling function; pre-planning is an even more critical function. Pre-planning will include an evaluation of the most effective marketing tools for their industry and company, learning how to operate with the technology and of course identifying the true target market for their products.

The majority of the distribution, manufacturing, and services sales and marketing teams have by now migrated over into digital marketing efforts with the sales teams poised to follow up with in person engagement to close business opportunities.

As previously mentioned, the smaller firms are delegating digital marketing to their sales team members and perhaps a marketing sub-contractor.

The sales team should also be aware of the concept called solution selling. This concept is defined as presenting a solution to the customer’s issues in your field of expertise without going through a series of questions to determine the prospects concerns. This level of pre-planning will require a level of intense preparation or having a sales team with a deep experience level in the prospect’s industry.

The solutions should be creative, detailed, verifiable, and come with an implementation plan.   I was part of a presentation to a huge ALCOA facility in Texas some years ago, where my company virtually left no stone unturned when we made our presentation to take over the safety equipment and services contract at the site. We won the business, displacing a trusted existing supplier based on our detailed explanation of the benefits we could bring to ALCOA.

During the approach to compete for a one-time purchase of equipment or service, it is important to put your thoughts into what the customer’s deepest needs are and how your company will address those needs. This starts with a macro approach, where everyone on the team knows the big picture. Then individuals on your team with knowledge and experience are assigned to address the customer’s issues as if the business was secured. This may require collaboration with external suppliers and internal associates to present the highest quality response that will earn the prospect’s business.

I led a team of associates that secured the self-contained breathing apparatus business at the City of San Antonio Fire Department  ($500,000 initial order) a number of years ago. The process included discovery of the need, collaboration with the manufacturer (SCOTT Aviation), conferring with senior management with my company (Vallen) and the City of San Antonio. The efforts included site tours of offices, warehousing, and repair facilities in Houston, plus commitments for post purchase training of the city repair technicians and fire fighters. The final last-ditch effort came from a push by the fire fighter’s union prompted by me. Finally, the business was won over an existing brand supplier and via a price concession from Scott and Vallen.  

I cannot stress enough that every action you take should be contributing to the master plan you have for your business. No matter how fun it is to talk about the big success stories, keep in mind that it’s the small incremental steps you plan and take every day that contribute to your big wins.

Plan, Plan, Plan!

 

 

 WORKPLACE

The World's $7.8 Trillion Workplace Problem

STORY HIGHLIGHTS

Employees who are not engaged or who are actively disengaged cost the world $7.8 trillion in lost productivity, according to Gallup's State of the Global Workplace: 2022 Report. That's equal to 11% of global GDP.

In 2021, 21% of the world's employees were engaged at work. Although this is an increase of one percentage point from 2020, we have still not returned to our peak of 22% recorded in 2019.

Clearly, the pandemic has taken a toll on the world's workers. Employee engagement had been rising for the past decade, but the pandemic has stalled that steadily increasing trend. Leaders are now responsible for creating new work environments that are more resilient and adaptable to global shocks. The future trajectory of employee engagement will be one measure of their success.

Why Engagement Matters

The term "employee engagement" describes a psychological commitment to one's work, team and organization. It's a mental state that fluctuates all the time, influenced by workplace relationships and events. Engaged employees are mentally in the zone, ready for action.

Engaged employees are the engine that moves your organization forward on every level:

  • The employee-leader relationship: Leaders have the power to set priorities and convene talented teams. But it's individual employees, often far from the boardroom, who make leadership initiatives a reality. Do those employees know what they're supposed to do? Do they have what they need? Are they aware of the mission? Do they see the purpose of their work? The answer to these questions is the difference between organizational success and failure.
  • The employee-employee relationship: Business runs on relationships, and relationships run on trust. Employees need confidence that their coworkers are looking out for each other and that their manager cares about what happens to them. Creating a sense of flow in a restaurant kitchen, in a classroom, in an office or online requires social bonding and connection gained together through positive performance experiences.
  • The employee-customer relationship: Engaged employees are knowledgeable and attentive. They take personal ownership for making customers happy, and they are willing to go the extra mile. They believe in what they are selling. In short, they create remarkable customer experiences. They create "Wow!" moments that make customers buy more, spend more and come back for more.

Engagement as a Strategic Advantage

Engaged employees sound like great people. Who wouldn't want more of them? But here's the catch: Engagement is not a characteristic of employees, but rather an experience created by organizations, managers and team members.

Engagement is not the default position. Every organization engages some employees, but most organizations fail to engage the majority of them. It's the exception, not the rule.

Engagement cannot be created through financial incentives. Employee pay is the "easy button" for attracting, retaining and motivating employees. But it doesn't create psychological ownership for one's work. Moreover, competitors can raise their wages at any time and steal those employees away.

Engagement is not a characteristic of employees, but rather an experience created by organizations, managers and team members.

Creating a culture of engagement is not easy. Building a highly engaged organization takes intention, investment and effort over several years. But the results are worth it. Gallup's most recent employee engagement meta-analysis of 112,312 business units found that teams scoring in the top quartile on employee engagement saw the following benefits compared with bottom-quartile teams:

  • 10% higher customer loyalty/engagement
  • 23% higher profitability
  • 18% higher productivity (sales)
  • 14% higher productivity (production records and evaluations)
  • 18% lower turnover for high-turnover organizations (those with more than 40% annualized turnover)
  • 43% lower turnover for low-turnover organizations (those with 40% or lower annualized turnover)

Engaged cultures are valuable and difficult to copy -- the very definition of a competitive advantage. Organizations that make engagement the controlling factor in day-to-day operations stand out from their competitors. They are also more resilient to shocks: A Gallup study of organizations during the Great Recession found that engaged business units or teams outperform their peers even better during hard economic times.

Global engagement numbers show that while many employers are doing employee engagement surveys, few have really tapped into the power of engagement as a strategic asset. It's worth far more than most organizations realize.


AUTHOR(S)

Ryan Pendell is a Workplace Science Writer at Gallup.

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