Employee experience remains key trend in 2018
January 4, 2018
By Heather Nezich, courtesy of SBAM Approved Partner ASE
Employee experience encapsulates what people encounter, observe, or feel over the course of their employee journey at an organization. It is different than employee engagement. Employee engagement is the end goal, but the employee experience is the means to reach that goal. It must be consistently monitored and managed through ongoing efforts to improve various aspects of the workplace.
The employee experience encompasses each step in the employee lifecycle including the recruitment process, onboarding, day to day tasks, ongoing education, career path, and even employee exit. It goes beyond an annual employee engagement survey and employee branding. It’s the true, day to day experience of the employees.
Based on research by Jason Morgan, author of The Employee Experience Advantage, employee experience consists of three things: culture, technology, and physical workspace.
Culture – Employee experience goes well beyond perks or how “fun” work is. It’s about organizational structure, leadership style, conflict management, compensation and benefits, etc. It’s often described as the office “vibe.” It plays a large role in how employees “feel” coming to work every day. Do they dread it or look forward to it?
Technology – The technology aspect of the employee experience is based on the tools employees need to do their jobs. It includes mobile devices, user interfaces, remote abilities, apps, e-learning tools, and software. Organizations should focus on the tools that meet employees’ needs, not just the business requirements.
Physical Workspace – This includes all aspects of the work environment including seating, desks, art, lighting, sound, smells, etc. It’s everything we see, touch, taste, and smell. It could be the art on the walls, the office demographics, the office layout, the snacks provided, or the amount of natural daylight. It’s all about creating an environment that people enjoy coming to everyday.
Organizations that focus on and have a positive employee experience have been shown to have four times higher average profits, two times higher average revenues, 40% lower turnover, and 24% lower headcount. A new report from Deloitte concluded that “employers must provide development more quickly, move people more regularly, provide continuous cycles of promotion, and give employees more tools to manage their own careers.”
Morgan’s research also revealed the following benefits for organizations that invest heavily in the employee experience:
- Included 11.5 times as often in Glassdoor’s Best Places to Work
- Listed 4.4 times as often in LinkedIn’s list of North America’s Most In-Demand Employers
- 28 times more often listed among Fast Company’s Most Innovative Companies
- Listed 2.1 times as often on the Forbes list of the World’s Most Innovative Companies
- Twice as often found in the American Customer Satisfaction Index
With the growing demand and fight for talent, these benefits can make a big difference when recruiting candidates.