Investors in People (IiP)
Introduction
Investors in People (IiP) is a well-known and established business improvement,
people centric award. IiP provide a straightforward, proven framework for delivering
business improvement through people. Approximately 32% of the UK workforce is
employed by IiP accredited organisations.
The award has recently been improved to allow greater flexibility for employers
and to encourage increased take up of the award e.g. internal reviewers instead
of more costly external assessors and a range of 4 IiP awards (standard, bronze,
silver and gold).
The standard has 3 key principles and 10 indicators as illustrated below.
Insert IiP Circle
IiP have developed a more flexible and tailored way of working with us and we have
chosen Leadership & Management Strategy (04), Management Effectiveness (05),
Recognition & Reward (06) and Learning & Development (08) to receive specific
feedback on to help us meet our business objectives.
Why wouldn’t we want to be reaccredited?
IiP assessment will provide valuable qualitative feedback from employees at every
level throughout the businesses. We can then focus specifically on areas to improve
performance, such as building a performance culture.
Retaining recognition of IiP provides an excellent opportunity to leverage learning
and skills development across the Group with the potential to improve employee
engagement, achieve greater consistency of people strategies of the enlarged
Group and provide further improvements and productivity gains during this period
of significant growth and consolidation.
IiP augments our internal Talkback survey and the external Top Employers and
Great Place to Work surveys. This is great opportunity to make sure that the good
practice developed through employee engagement and IiP are truly embedded and
sustainable over time.
Investors in People UK – Cranfield Research
The Impact of the Investors in People Standard on business performance
Investors in People is often seen as a mechanism for improving the skills base of the
workforce. This new research demonstrates that this is true, but that having Investors
in People also creates an organisational social climate that delivers performance.
The study conducted by Cranfield School of Management clearly shows a causal link
between the adoption of the Investors in People Standard and financial performance.
The study also illustrates the mechanisms by which working with the framework
delivers this return on investment.
The research was based on a review of HR literature, case studies and a detailed
survey of organisations which was then validated using audited financial statements.
Summary of top line findings
Key overall findings
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Adopting Investors in People sets up a chain of impact resulting in better
financial performance
This chain starts with adapting policies as a result of adopting Investors in
People principles. This leads to greater levels of trust, co-operation and
engagement of employees, as well as increasing the flexibility of the
workforce enabling the organisation to adapt to change
Organisations perform better when their employees have clear goals and are
supported by HR practices
The study also finds that the more an organisation embraces Investors in
People principles the stronger the impact on financial performance
New Logos
Summary of the new IiP framework
Case study (1)
McDonald’s achieve IiP Gold status
McDonalds has now been awarded Gold Status recognition which reflects their
additional achievements. Gold status required them to achieve a minimum of 126
evidence requirements beyond The Standard. Organisations who achieve Investors
in People Bronze, Silver and Gold status represent the top 1% of recognised
Investors in People organisations. Therefore this is an exceptional accomplishment
from an already outstanding company and can only enhance McDonald's reputation
and give them an even bigger edge in this current economic climate.
"If you get the people right the rest will follow and after the results delivered by
Investors in People I can say that it's apparent we are certainly getting it right. I have
never underestimated the challenge of staff retention and contentment which are
absolutely fundamental to a successful business. Achieving Investors in People
recognition just highlights how we strive to achieve high standards it has helped us to
refine the good practice we already have in place."
Steve Easterbrook, Chief Executive and President McDonalds UK
The Organisation
In 1974, McDonalds opened its first restaurant in the UK. Today, more than 2.5
million people expect McDonald's to provide them with high quality food, quick
service and value for money everyday.
McDonalds recruit staff at all levels, from junior employees to management trainees
at A-level or graduate standard. The company value people with a positive attitude
towards customers, themselves and other employees and who strive to deliver high
standards of quality. Equal opportunities are at the heart of the organisation, so much
so that in 1992 McDonalds set up an equal opportunity group to help foster a diverse
workplace and highlight equal opportunity as part of the companies' ethos.
They pride themselves on ‘Being able to offer all employees the knowledge that
opportunities are as great as the individual's ambitions and abilities allow'.
The Challenge
McDonalds did their Investors In People consultation in July and wanted to push the
boundaries and measure all aspects of the business. They were determined to get
the most out of the review and worked with the Standards extended framework to
ensure their practices were to the highest standard, looking specifically at;
People's perceptions
Areas of strength
Potential areas for development
During the Investors in People assessment, it was essential to interview a good
cross-section of employees at all levels, from shop floor to management. This was
problematic due to size of the organisation and it was imperative that the right people
were targeted to extract the key information.
The Results
McDonald's values are at the heart of the company and their work ethic and this is
clearly demonstrated in the fact 79% of employees felt this was the case. Other
strong metrics uncovered by the review were;
82% felt that their training was directly linked to the business objective
80% of new recruits believe they get the training they need.
80% of staff understand and believe that they are being trained well and
helped with their career paths.
100% of employees felt that any feedback they gave was listened to and
used to make improvements within the company and that was regardless of
position.
There were many areas of notable strength one of the most outstanding was
engaging with people and employing a vast cross section. There were also very
strong results demonstrating that staff had the best coaching available and felt their
managers were strong leaders and inspiring leaders. From school leavers to
graduates McDonalds offers clear and outstanding career paths which channels
individuals talent to their benefit and the companies.
There was also a non hierarchical culture with values embedded in the respect you
have for colleagues. It was outstanding the amount of positive things staff had to say
about working for McDonalds. This has been something that they have continued to
build on since undertaking involvement with Investors in People. Furthermore there
was a very positive attitude to supporting women to achieve, older employees to join
and really anyone irrespective of their background as long as they showed
commitment and drive.
Another exceptional element was the strong social stance at McDonalds how they
pride themselves on contributing back to the community which is reflected in the fact
that many of their employees believe the company takes seriously their impact on the
environment. This is demonstrated in the way McDonalds supports local community
projects at a grass roots level which are usually family focussed reflecting the
company values.
Wellbeing was also a significant factor and for employees at McDonalds they felt that
working there gave them a good work/life balance which is demonstrable in any
organisation and something Investors in People wholeheartedly support.
78% of staff said they were proud to work for McDonalds.