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

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 demonstrated the criticality for executives to look beyond current ethics topics and focus on applying fundamental values in everything they do to demonstrate true leadership. They successfully delivered in two hours what most leadership development presenters would spend an entire day trying to communicate.

Nick Voyvodich, SPHR
HR Manager

Fujitsu

A key to performance improvement is strongly linked to cultivating the proper type of motivation. Since the performance management training, I have been much more focused on identifying and discussing how our actions in Engineering create value to IGT’s success. So far, the feedback has been positive. The group appears to be more accountable for their actions, and victim loop reactions are less frequent. The value proposition for me and those groups we work with is better teamwork, higher spirits, and a better outlook for things to come in the future (renewed enthusiasm).

Stewart Thoeni
Mechanical, HW Engineering Director

LSA’s approach and ability to bring the best resources to eBay has been a great asset. They really focus on helping us succeed in any way they can and are very flexible in meeting our management and talent needs.

Mike Normant
Learning & Development

ebay

LSA has a very unique and powerful methodology regarding learning and learning strategy. LSA’s ability to overcome skepticism, obtain executive support, and create an aligned learning strategy that provides measurable business impact is second to none. They partner with you to understand your goals, flex to your needs, and solve your problems – all within your budget. They certainly help make my job easier and are a pleasure to work with. I highly recommend LSA to anyone trying to connect the dots between strategy, skills, knowledge, and results.

Noelle Van Vlierbergen
Human Resources Director

AKQA

I contacted LSA to help us with leadership development. LSA worked with me to identify a solution that would match our needs as well as our personality. The solution was such a huge success. It received rave reviews. I would highly recommend LSA to other companies.

Karen King, SPHR
Manager, Human Resources

Alliance Data

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

We partnered with LSA to pilot a customized behavioral interviewing program to help ensure that we continue to hire the best and brightest as we continue to rapidly scale. LSA’s ability to understand our business and our unique culture combined with their desire to ensure that the best practices framework truly fits our performance environment and is highly adopted by our people is a real blessing. Most other firms want to just ‘give you training.’ Not LSA, they are focused on helping me hit our hiring forecasts and attract A players.

Jennifer Remling
Director of Global Recruiting

AKQA

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

The LSA customized Organizational Alignment Survey gave us a comprehensive view of how our employees experience our culture, talent and strategy.  Equally important, the survey and implementation process goes well beyond the typical engagement survey.  The systemic approach provided us with a great forum to discuss the strengths and opportunities in our organization, and then to quickly get focused on the key actions critical to executing our business and people strategies.

Mark Forrest
General Manager, FSM Division

Trimble

Redwood Trust looked to LSA Global as a consulting partner to help us explore innovative and scholarly approaches to promote employee engagement and sustain the unique culture we’ve built over the last decade.  LSA helped us perpetuate coaching as a discipline across the organization by integrating our core values, goal setting and performance management under an interactive coaching program.  We appreciate LSA’s commitment to cutting-edge practices to help keep us a step ahead during this time of rapid change.

Rosalyn Chan
Vice President, Human Resources

Redwood Trust

As a Training Outsourcing Partner, LSA consistently saves me time and money by designing the right solutions and quickly bringing us the best experts to solve key business problems in a way that works for our unique culture. Their methodology and resources are fantastic and allow us to deploy better solutions faster. I highly recommend them to anyone looking to raise the talent bar with a true strategic partner.

Tim Bonnet
Director of Training and Organizational Development

Dimension Data

“We turned to LSA to help us custom design and deliver a leadership and management development curriculum to help drive performance. They have done an excellent job diagnosing the business situation, designing an approach that fits our culture, and delivering a first class solution.”

Sally Buchannan
VP Human Resources

I’m not sure if I’ve run across a company that can match the depth and quality of LSA’s consultants and facilitators. I highly recommend LSA to anyone seeking a strategic training outsourcing and consulting partner to improve performance.

Jeff Coon
VP Human Resources

Exelixis

We recently hired LSA to help us take our client delivery methodology to the next level as we continue to grow and help our clients succeed. The custom strategy and design session exceeded our expectations. They really understood our business and delivered within tight time frames.  They were the best I have seen for this type of complex, visible and strategic work. LSA’s ability to get a group of 20+ executives from around the globe on the same page, push their thinking to new heights, and ensure an executable plan was excellent. I would recommend LSA to anyone looking to take their strategy and strategic execution to the next level.

Rob Sturgeon
EVP Client Delivery

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