Employee Engagement: Why Debate is Critical Dr Martin Clarke Steve Macaulay Many organisations have had an intense focus on the bottom line over the last twelve months. Now, quite a few organisations are starting to take a wider look at their culture and other issues. One of the issues that has come up a lot is engagement – employee engagement. Now, Martin Clarke, you have done a lot of thought and research in this area, why is it so important and why now? Martin Clarke Well as business, hopefully, emerges from recession they are going to be faced with a challenge of retaining talent and building – possibly rebuilding – commitment with employees who, let’s be honest, for the last couple of years will have been subject to pay cuts, pay freezes, a squeeze on career progression, may well have had to take on additional duties and may well think of themselves as survivors. And so it is really important that if organisations aren’t already doing so, they are really thinking about how to rebuild and refocus employee commitment. Steve Macaulay So let’s have a look at some of the implications of this then for organisations and for managers leading organisations. Martin Clarke I think to my mind there are two approaches you can take to this, and that is something to do with the way that you think about the way organisations work; your mental model if you like, your mindset about organisations. The first one is one where organisations put a lot of focus on developing vision and values and cascading those down through the organisation, trying to get a lot of consistency in the policies. And I think if you approach engagement from that perspective, what you get is for sure some clarity, but what you get is that engagement is something that is done to people if you like. You get organisations trying to align their employees with the vision and values; they will have bi-annual surveys and initiatives that come out of that. It is an add on, if you like. Another approach, which often runs at the same time as the first rational model, is what I call the multi-goal model, which recognises that organisations are full of competing and mutual interests and those are central to the effective organisation of the business. In that setting, what business tries to do is to actively engage with those differences, to actually find ways of debating them and reconciling them. From that point of view, the starting point for engagement is actually to ask employees what they think Knowledge Interchange Online© Cranfield University March 2010 1 Dr Martin Clarke engagement is. If I can give you one example to differentiate the two perspectives, one business I know actually started off with its vision and values, one of which of course was about inclusion and involvement. They then proceeded to basically inform their employees about this, which of course was actually not including and involving their employees in the first place. Steve Macaulay So let’s have a look at some good nuts and bolts then; let’s take us from the theory and approaches, down to the nitty gritty. Martin Clarke Sure. Well I think it is about first of all recognising that it has to be a two way process, OK? So the organisations who do this well usually start off with some sort of organisational framing, some thinking about what this might mean for them, making sure that, if you like, it is integral to the business strategy – it is part of the way they want to work as a business. Then that means that there has to be a process of talking to employees about what that engagement means for them, building it from the bottom upwards. So to give you some examples, M&S are an organisation that have been really good at promoting that two way conversation; directors have breakfast briefings with no fixed agendas in order to enable employees to talk about what is important for them. Freshfields Bruckhaus Deringer in their London offices have set up a working party of associates from across the London offices, examining working practices to amend them, develop them, do away with them in order to get employees to be able to shift things that might get in the way for them and thus, again, improve commitment. Steve Macaulay So engagement is an idea whose time has come, but the way you go about it – which is essentially about listening – is really important? Martin Clarke Absolutely fundamental. And the leadership qualities required to engage with engagement from the multi-goal model are particular; it requires leaders who are absolutely prepared to listen, who value differences, are able to value challenge and dissent and debate. And those aren’t always easy to develop and acquire, but without them, the danger is engagement can too easily become the next fad. Steve Macaulay On that note, we will leave it there. Thank you. © Cranfield University February 2010 2