The Growth Paradox and Employee Satisfaction  

9 March 2018:

As the global economy picks up speed, many companies are coming up against an unexpected problem: their growth strategies are making them less – rather than more - profitable. Companies facing this paradox are typically so focused on controlling costs that their management practices damage employee satisfaction and the quality of employees’ working lives. As a result, stress levels rise, employee engagement falls and the productivity of the people who are meant to deliver increased profitability nosedives.By contrast, management practices that enhance employee satisfaction and the quality of working life have been shown to boost company performance. In Finland alone, a higher quality of working life would raise company profits by 3 billion euros, according to calculations by Professor Marko Kesti, Adjunct Professor, HRM-Performance at the University of Lapland. Imagine by how much profits could increase in the world’s larger economies!

Employee satisfaction surveys matter

Before you can start making improvements that will make a real difference to employee performance and engagement, you need to conduct an employee satisfaction survey to measure the existing quality of their working lives. That means measuring the right things. Unfortunately, most employee satisfaction surveys fail to do this. They usually provide average employee satisfaction or engagement scores, instead of giving different weights to the various factors that affect employee satisfaction. This makes their data useless.

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Source: VibeCatch

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