March 2006


In globeandmail.com : Warning: bureaucracy at work is hazardous to your health Virginia Galt posits that flatter organizations empower disengaged workers. Although a flatter organization might support active employee participation, it certainly will not empower them. Although organizational restructuring might seem like a viable approach, it misses a fundamental point. That is - it is your leaders that empower people. Your managers create your workplace culture and therefore your performance results. If your leaders don’t have the necessary skills, any attempt to flatten your organization will have little impact. In fact, the results could be disastrous. If you want to empower your workforce, get the right people on the bus. Put together a plan to assess your current leadership skills, then inspire your managers, and develop a culture of ongoing learning and continuous improvement. Ongoing development applies especially to the leaders in an organization, yet it is the most often overlooked area. An organization structure doesn’t empower, people do.

If employee retention is at the top of your list of priorities, act now to address workplace issues. With the growing shortage of qualified workers, competition for top talent continues to rise. Employee attitudes about work are changing, and the leaders that purposefully design a workplace to enable high achievement will reap the financial and cultural rewards.

A recent article in Workforce Management titled “Studies: More Workers Look to Switch Jobs” reports that employee defection is increasing according to studies by MetLife and Salary. According to Salary.com, 65 percent of employee respondents plan to look for a new job in the next three months. Studies: More Workers Look to Switch Jobs workforce.com .

The two studies offer two perspectives about retaining talent. “Insurer MetLife’s annual Employee Benefits Trend Study finds that employees’ top consideration when deciding to join or remain with an employer is:

  1. The quality of co-worker and/or customer relationships
  2. The opportunity for work/life balance
  3. Working for an organization whose purpose/mission I agree with”.

The compensation research firm Salary.com, however, reported that inadequate compensation is the top reason dissatisfied employees cite for leaving. No opportunity for advancement is second, followed by no recognition for work, according to the company’s 2005-2006 Employee Satisfaction and Retention Survey.”

Use extreme caution when deciding to change compensation because salary is rarely why people leave. Offering more money to entice someone to stay doesn’t work. In fact, it can create more issues than it resolves if other team members learn about the “payoff” of looking for another job. In the end, it can devalue your loyal employees.

I don’t find the differences in the surveys surprising when you consider the characteristics of the survey respondents. The survey.com responses will most certainly be biased toward compensation, when you consider that’s why they arrived at the site in the first place. So, no surprises there.

There are literally hundreds of low or no cost strategies that can help you create a workplace that nurtures and retains top talent. It really comes down to building a work environment that people feel good about.

See Motivation-at-Work.com to get tips and strategies delivered directly to your inbox every other week.

People remain enthusiastic and committed to your business if they have fulfilling work and if they work for someone they want to work for. So the good news for businesses on a tight budget - money isn’t the answer. If you want to retain top talent, inspire and develop your managers. Your managers have the most impact on the quality of your team’s workplace experience. Manager behavior determines employee retention more than all of your policies, recognition programs, and incentives combined.

To transform your organization into a Top Performing Business, your leaders’ behaviors must be in step with the type of business people want to work for. The best reward and recognition program in the world can not offset the negative impact of leadership behavior that is inconsistent with what you want to accomplish.

Extraordinary workplaces create top results! Your leaders (this includes managers, supervisors and executives at every level) must walk the talk if you want to transform your organization into an extraordinary workplace. To retain key employees, work on your leaders first.

Until next time, all the best!

Laura Cardone
See http://www.motivation-at-work.com/ for employee motivation tools and strategeis.

Welcome to the Motivation at Work Blog! It is my sincere hope that you find inspiration, strategies and resources here that help you achieve all that you envision for your business, your team and your personal and professional life. May we always be guided by the understanding that our work is an essential component of a fulfilling life. To your work, your passion and your purpose!

All the best!

Laura's Signature

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