Improving Engagement: F500 Industrial Manufacturer

Increasing Employee Engagement 19% at a Fortune 500 Industrial Manufacturer

Situation

This $12 billion Fortune 500 industrial manufacturing leader with offices in over 60 countries started a broad initiative to grow revenue, create operational excellence and build a winning culture.  One of their key success metrics identified for the initiative was increased employee engagement.  As part of the strategic, they ran an employee engagement survey and implemented broad actions across the company based upon the results.

Complications

  • Many Actions but Little Improvement: Despite some sweeping actions over a four year period based upon the employee engagement survey feedback and some tangible improvement in discreet engagement categories, overall engagement scores remained flat.
  • Global Company with Diversified Needs: With over 40,000 employees in 600 locations any solution must be able to scale operationally and culturally while making sense for all 11 strategic business units.

Objective

Raise overall employee engagement scores by at least 2 points.

Approach

After four years of little progress, the senior leadership team decided to hold managers accountable for demonstrating authentic leadership and driving engagement locally.  This new approach included making sure that leaders at all levels are accountable for doing the right things to manage performance, communicate important messages, and to develop and reward their people, being role models for the values of the organization and for their teams and hitting specific metrics against business outcomes and key behaviors / leadership competencies throughout the performance management and leadership review cycles.

Additionally, the company created seven overarching engagement guiding principles to consistently drive the initiative forward across the globe:

  1. The person with the greatest impact on an individual’s engagement is that person’s immediate manager. This is where the real employee engagement happens – not at the enterprise, business unit, region or function.
  2. Employee engagement must be integrated into the company’s key strategic priorities; it is not a standalone initiative.
  3. Managers must continually identify engagement gaps and define solutions with their teams. This will, in turn, build trust and increase discretionary effort among employees.
  4. Employee engagement is a key enabler to the business strategy. Data will give insights on our organizational and cultural health enabling the business to diagnose where it can be more effective.
  5. In order to significantly improve engagement, it is imperative that there are clear priorities, a laser like focus and strong leadership.
  6. Leaders must coach each other through support, helping them understand their data, and by keeping a very strong focus on what’s within their control to make better.
  7. There is a lot that is going well with engagement—continue to build on those strengths.

Solution

In support of the seven guiding engagement principles, the company developed a comprehensive Employee Engagement strategy focused on enterprise and business-led activities with a constant emphasis on two-way communication and continuous improvement.

  • Initial Leadership Workshops: Kicking off its global, enterprise-­led effort, the company rapidly developed and deployed a leadership and engagement workshop to its global audience. The one­-day classroom workshop was designed to equip managers with practical strategies they can use to retain, engage, and encourage the talents of their people.  It also addressed leader/manager behaviors such as coaching and communication that are critical drivers of engagement at the company.
  • Reinforcement: As part of its overall strategy post­ workshop actions were identified to maintain momentum, further learning and drive sustainable change including (1) an Online Employee Engagement Manager Toolkit with a Talent Risk Assessment, a template to a Stay Interview conversation plan, a one ­page What Matters Most survey, and links to best practice tools and articles.  (2)  Executive Overviews detailing the critical business case for engagement across the organization and setting the expectation to model engagement and retention behaviors.  (3)  Human Resource Coaching and Training designed specifically for Human Resources personnel to coach on engagement and promote use of Manager Toolkit resources.  (4) A series of targeted career development workshops for employees and managers.  (5) Best Practice Sharing of top ­quartile engagement managers as lessons learned across the organization.

Results

  • 19% increase in overall employee engagement in two years – (from 63% to 75%)
  • 2.2-to-1 difference between managers who completed the course (11% engagement improvement average) compared to those who did not complete the entire program (5%  engagement improvement average)
  • Recognized as one of the top 50 Most Engaged Workplaces
  • Named one of FORTUNE Magazines’ World’s Most Admired Companies
  • Listed as one of the 100 Best Corporate Citizens

employee-engagement-improvement

Related Information

LSA’s Employee Engagement Consulting and Survey work has provided critical visibility into: how well our people are holding up under the general economic environment, as well as, the specific challenges that face biotechnology companies in their efforts to discover and develop new medicines; their level of alignment and commitment to XOMA’s Vision and mission critical strategies; how leadership practices and management systems support an environment that engender commitment, and the specific actions that our leaders can take to improve on areas that are important to our people. I highly recommend LSA’s employee engagement solutions.

Chris Wells
Vice President, HR and IT

I have worked with other training companies and found it to be more of a seller/buyer relationship than one of matching the right expertise to our business issues. That’s what LSA does – ask the hard questions, listen, and understand our business needs. We receive the benefit of their expertise from assistance with personal development plans to enhancing team performance, to looking at enterprise-wide challenges. It’s all about helping our business succeed as we grow. Right now, LSA is providing great ideas, a fresh approach, and valuable guidance as we develop our management team and accelerate our client relationship management results.

Kristin Westland-Kaune
Director, Team Development

LSA Global has been a great partner in helping ServiceSource move toward its Vision of being “the leading developer of talent in the service performance management industry.” I have engaged LSA’s services to help develop best-in-class programs in the areas of: Executive On-boarding, Manager Training, Sales Training, Employee Engagement and Instructional Design. They have consistently met or exceeded my (very) high expectations and are always responsive to my needs.

Mike Normant
Senior Director, Training & Development

Service Source

We consistently receive positive feedback about the quality of the LSA Leadership Training Programs and LSA facilitators. We recognize and appreciate the hard work LSA always goes through to align to our unique culture and meet our specific requirements. Thank you for regularly going above and beyond to design solutions to meet our needs. Your support and dedication, both on the strategic and tactical side, have been outstanding!

Anna Meyer
Leadership Development

Intuit

We have had a very beneficial partnership with LSA for over 2 years. The recent Leadership Development Program that they designed and customized with us to help us identify, develop, and retain top leaders in the organization was a huge success. It was instrumental in helping take our company and our key people to the next level. I would recommend their training and consulting services to anyone looking to develop and retain top talent.

Steve Janowsky
Vice President of Operations

Proxicom

The experiential New Employee Orientation was an incredible success for over 2500 new hires in four years across the globe. They partnered with us to create an innovative solution on very short notice, and added a huge amount of value that isn’t reflected in their cost. We could never have done it without their unmatched combination of expertise, professionalism, and creativity that aligned everything with our unique culture. Even our experienced hires were blown away!

Brenda Wagner
Founder and President

Proxicom

LSA Global’s consultant brought a fresh perspective to our behavioral based interviewing strategy for two key executive positions we needed to fill, and their consultant helped us develop questions that produced a much deeper understanding of candidates’ capabilities. I am confident that the two new executives joining our organization have the right skills to add significant value. Throughout the process LSA was also very responsive in dealing with short lead time requests.

Because of the unique nature of our business, Excel is a core application in our accounting organization. After three attempts to find an Excel consultant who is capable of helping our finance team integrate advanced applications into our work processes we found LSA and Alex. He was not only a “Real” Excel expert but was masterful in helping us identify where to use Excel applications in our processes to increase our group’s efficiency.

SPO Partners & Co
Kim Silva, CFO

I just wanted to let you know how pleased I am with how the new employee on-boarding project went. The end product is wonderful! LSA has been great to work with. I really appreciate all the flexibility and the high quality.

Laurie Torres
Vice President of Human Resources

PDL

We value our relationship with LSA Global. We came to LSA because we wanted to improve overall behavioral based interviewing capabilities of our managers to increase the probability of both hiring top talent and future leaders. LSA designed a highly customized solution for our business and culture. We are currently rolling out this solution to our leaders. I would highly recommend LSA Global as a top quality resource.

Rae Phillips
HR Project Manager - Training & Development, PHR

Having a training outsourcing partner like LSA to support our talent management needs has been a real blessing. In an emerging company where typically you can’t afford the infrastructure necessary to provide a full range of offerings to meet the changing needs of an organization, having an external partner who understands our business and our culture and offers everything from a wide range of open enrollment programs to customized organizational development consulting is almost as good (and in some cases better than) having your own internal Training and Organizational Development function.

Chris Wells
Vice President, HR and IT

The refreshing thing about LSA is that they focus on understanding our business situation and helping me succeed instead of selling a product. With over 150 experts, they are an invaluable resource that helps me deliver higher quality results faster. I recommend them to anyone looking to improve the performance of their workforce.

Stacie Rodgers
VP of Human Resources

Cutera

The action-learning leadership project has been very beneficial to me, our leadership team, and the entire organization. The balance of development and results has been excellent. We have made huge progress, and I was also able to identify 2-3 high potentials while having the extra benefit of people stepping up to carry strategic projects forward. The Staff is very appreciative and has become very comfortable with both the program and the process. It is still going better than anticipated, and I have been very pleased.

Heather Feltman
President & CEO

LSS

We engaged LSA to design and deliver a 6-month custom executive coaching program for a group of our key leaders. The focus of the program was to help a core group of senior leaders to leverage previous investments in management training, to ensure the engagement and retention of key employees, and to push critical strategic initiatives forward. Even with the high expectations of our senior people, LSA has completely exceeded our expectations. I would recommend them to anyone looking to create and implement a custom coaching methodology using proven tools to drive true change.

Ivan Fukumoto
Senior HR Manager - Staffing, Training, & Development

I wanted to let you know how much I enjoyed working with LSA on the design and delivery of the experiential new employee on-boarding training. I’ve been getting tons of positive unsolicited feedback. You truly exceeded everyone’s expectations.

Steven Gray
US Enterprise Services

We partnered with LSA Global to help us invest in our people in the areas of performance coaching, diversity, and inclusion. They focused on helping us succeed and were very flexible in meeting our specific needs. LSA Global exceeded my expectations from a speed, quality, and value standpoint. I would recommend LSA Global to anyone looking for a true business partner.

Anita Luckinbill
Director, Human Resources

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