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TheBusinessCaseforEmployeeCommunication Engagement KevinEmpeyWATSONWYATT IanMooreA LGoodbody Tocoverthisevening BriefupdateanddiscussionontheInformationandConsultationDirectivePresentsomerecentresearchonthelinkbetweeneffectivecommunicationsandbusinessperformanceLookatapossibleframeworkforassessinganddevelopingyourcommunicationsstrategyDiscussthebusinesscaseforemployeeengagementasacriticalpartofthecommunicationsmix Afewkeyquestions Towhatextentdoyouremployeesunderstandthecompany sobjectivesandtheirownroleinhelpingtoachievethem Howmuchdotheyunderstandaboutthenecessityforchangeandwhatthechangesarelikelytomeantothem DoestheorganisationreallyknowwhatmessagesareactuallygettingthroughandwhatemployeesreallycareaboutHowalignedareyourkeymessageswitheverydaypeopleprocesses Typicalobjectivesofeffectivecommunications HelpingemployeesunderstandthebusinessProvidingemployeeswithfinancialinformationandobjectivesinordertoengagetheminthebusinessExhibitingstrongleadershipbymanagementduringorganisationalchangeAligningemployees actionswithcustomerneedsEducatingemployeesaboutorganisationalcultureandvaluesExplainingandpromotingnewprogrammesandpoliciesIntegratingnewemployeesintotheorganisationProvidingemployeeswithinformationonthevalueandrationaleoftheirtotalrewardsprogramme Themessagesmaybeclearbuttherearealotofthingsthatcangetintheway RewardStrategy Grapevine PerformanceManagement Culture LineManagementBehaviour X Y Z E mail RewardStrategy Grapevine PerformanceManagement Culture LineManagement X X Ideally Involve Engage Clarify Inform Understanding inourminds Acceptance inourhearts Communicate What Why Who How Thecommunicationspectrum Commitment inourwork Awareness inoureyes IndividualbehaviorFace to facecommunicationsPolicydecisions rulesPersonnelchoicesBusinessstrategies BulletinboardsMemosNewslettersIntranet InternetBrochuresE mail Videos TheInformationandConsultationDirective InformationandConsultationDirective OurExperienceTransferofbusinessesCollectiveredundanciesEuropeanworkscouncils EWC InformationandConsultationDirective ImpactoftheDirective SomelatitudeTranspositiondate 23March2005 150employees23March2007 100to150employees23March2008 50employees InformationandConsultationDirective WhatistheDirectiveseekingtoachieve StrengtheningdialoguePromotingmutualtrustImproving riskanticipation GreaterflexibilityintheworkplaceImprovedemployeeaccesstotraining InformationandConsultationDirective WhatistheDirectiveseekingtoachieve EmployeeawarenessofneedtoadaptPromotionofemployeeinvolvementinfutureofbusinessEnhancedinformationflowAssistinganticipatorymeasures InformationandConsultationDirective Whatinformation RecentandprobabledevelopmentofundertakingSituation structure probablydevelopmentofemploymentAnyanticipatorymattersParticularlywherethreattoemploymentDecisionslikelytoleadtosubstantialchangesinworkorganisationsorcontractualrelations InformationandConsultationDirective TheDirectiveappliesto UndertakingsPublic privateCarryingoutaneconomicactivityLocatedinamemberstateEmployingatleast50employees InformationandConsultationDirective TheDirectiveappliesto EstablishmentsUnitofbusinessWithinmemberstateEngagedineconomicactivityEmploying20employees InformationandConsultationDirective TheDirectiveappliesto InformationDataSufficienttoenable representatives acquaintthemselvesConsultationExchangeofviews InformationandConsultationDirective TheDirectiveappliesto Employeerepresentatives employersAtrelevantlevelofmanagement Withaviewtoreachinganagreement InformationandConsultationDirective TheDirectiveappliesto ConfidentialityProtectedInformationnottobereleasedwithoutauthorityOthersalsoboundbyobligationofconfidentiality InformationandConsultationDirective GovernmentConsultationPaper Directivepermitsmanagement labourdeterminetheirownarrangementsGovernmentexpectsemployerstoavailofthisvoluntaryapproachLegislationistobethefall backExistingarrangementsmayneedtobeupdatedtocomply InformationandConsultationDirective Whatformalitiesarelikely Iscurrentprocedure effective Docurrentarrangementsapplytoentireworkforce Iscurrentagreementinwriting Isthereevidencethatemployeeswanttocontinuepresentarrangement InformationandConsultationDirective Canweachieveeffectivecommunications businessreturnandcompliance Theresearchbaseforwhyeffectivecommunicationsisgoodbusinesspractice WatsonWyattresearchonpeoplepractices e g HCI2002 HumanCapitalPractices EmployeeSatisfaction ExternalServiceValue CustomerSatisfaction CustomerLoyalty RevenueGrowth Improvedcompanyperformance EmployeeRetention EmployeeProductivity Source Adaptedfrom PuttingtheService ProfitChaintoWork Heskett etal HarvardBusinessReview March April 1994 IndependentfinancialdatafromStandard PoorsandDatastream forthesecompanies Insummary 2002EuropeanHCIresults HRFunctionEffectiveness 21 valueadded ClearRewards Accountability 21 5 valueadded Recruiting RetentionExcellence 14 6 valueadded Collegial FlexibleWorkplace 11 valueadded CommunicationsIntegrity 7 valueadded PrudentUseofResources 14 5 valueadded Communicationsintegrity CommunicationsResearch2003 Thebottomline Communicationisnolongera soft function Itdrivesbusinessperformanceandisakeycontributortoorganisationalsuccess WatsonWyatt s CommunicationROI Survey2003 CommunicationsResearch2003 Headlines Companieswiththehighestlevelsofeffectivecommunicationexperienceda26 totalreturntoshareholderscomparedwith 15 experiencedbyfirmsthatcommunicateleasteffectivelyOrganisationsthatcommunicateeffectivelyweremorelikelytoreportloweremployeeturnoverrates 20 less Differentelementsofeffectivecommunicationsaffectvaluetodifferentdegrees DRIVESSUPERVISORY MANAGERIALBEHAVIOR CREATESEMPLOYEELINEOFSIGHT FACILITATESCHANGE FOCUSESONCONTINUOUSIMPROVEMENT CONNECTSTOTHEBUSINESSSTRATEGY FOLLOWSAFORMALPROCESS UTILISESEMPLOYEEFEEDBACK INTEGRATESTOTALREWARDS LEVERAGESTECHNOLOGY Elements clusters ofeffectivecommunicationpractice EFFECTIVECOMMUNICATION DRIVESSUPERVISORY MANAGERIALBEHAVIOR CREATESEMPLOYEELINEOFSIGHT FACILITATESCHANGE FOCUSESONCONTINUOUSIMPROVEMENT CONNECTSTOTHEBUSINESSSTRATEGY FOLLOWSAFORMALPROCESS UTILIZESEMPLOYEEFEEDBACK INTEGRATESTOTALREWARDS LEVERAGESTECHNOLOGY BEHAVIORAL STRATEGIC FOUNDATION TheresearchpointedtoaHierarchyofeffectivecommunication Theresearchalsoestimatedtherelativeeffectofchangetomarketvalue EFFECTIVECOMMUNICATION DRIVESSUPERVISORY MANAGERIALBEHAVIOR CREATESEMPLOYEELINEOFSIGHT FACILITATESCHANGE FOCUSESONCONTINUOUSIMPROVEMENT CONNECTSTOTHEBUSINESSSTRATEGY FOLLOWSAFORMALPROCESS UTILIZESEMPLOYEEFEEDBACK INTEGRATESTOTALREWARDS LEVERAGESTECHNOLOGY BEHAVIORAL STRATEGIC FOUNDATION CorepillarsoftheInformation ConsultationDirective Aframeworkforlookingat compliant communications Connectstothebusinessstrategy 2020 1 27 33 Createsemployeelineofsight Facilitateschange EFFECTIVECOMMUNICATION DRIVESSUPERVISORY MANAGERIALBEHAVIOR CREATESEMPLOYEELINEOFSIGHT FACILITATESCHANGE FOCUSESONCONTINUOUSIMPROVEMENT CONNECTSTOTHEBUSINESSSTRATEGY FOLLOWSAFORMALPROCESS UTILIZESEMPLOYEEFEEDBACK INTEGRATESTOTALREWARDS LEVERAGESTECHNOLOGY BEHAVIORAL STRATEGIC FOUNDATION Let slookatsomepracticalexamples Followaformalcommunicationsprocess Communicationsprojectmanagementprocess Overview Deliver ScopetheprojectExaminebusinessdrivers initiatives issuesExploreexistingchannelsandmediaIdentifysuccessmeasuresAgreerolesandresponsibilities modusoperandi conflictresolutionAssessthebaselineWhatisinplacenow Programmes attitudesCommunicationsAuditDeskresearchProjectteamdiscussion DevelopthesolutionGapanalysis Whatwillthismeanpeopleneedtothink dodifferently Makerecommendationsforchangecommunicationstrategy andcommunicationmanagementandimplementationactivitiesPrioritiseissues ImplementtheplanGetmanagers buy inVision pressuretochange capacity firststepsCounsel trainmanagersStakeholdermappingMatchingmessagetomediumtoaudienceDesign write produceforaboveEvaluateresultsInitialreactions businessoutcomes agreedcriteriaTelephonesurvey focusgroupsforemployeesTelephone email meetingsforHRandlinemanagersAdaptasnecessary Invent Discover Casestudy Communicationstrategydevelopmentframework 1 Visionandobjectivesforcompany project 9 Measureandimprove 7 Messages 5 Rolesandresponsibilities 4 Stakeholdermapping 6 Timetable keymilestones 8 Commtools channelsandactivities 3 Commu nicationgoalsandguidingprinciples 2 EmployeemindsetandbehaviourchangesneededAlignmentofprocessestosupportbehaviourchanges Casestudy Knowingwhereyouareisagoodplacetostart thecommunicationsaudit Acommunicationauditexplores OrganisationalgoalsandphilosophyAudienceperceptionofgoalsandobjectivesTheclimateforcommunicationAssessmentoftheInformal formalstructureoforganisationalcommunicationInformationneedsofvariousaudiencesUp downandacrosscommunicationchannels CommunicationsAudit Questionnairesmighthelptogatherkeydata Casestudy Somespecificquestionsontheroleofmanagement Casestudy BusinessAlignmentCheck 1 VeryHighValue2 HighValue3 Average4 LowValue5 VeryLowValue Casestudy 2 Integratetotalrewards PerformancemanagementRecognitionDevelopmentCareerOpportunities CultureandValuesStrongLeadershipEmployerBrandPhysicalEnvironment TheEmployee Deal AGreatPlacetoWork MyCareer Development Communicatingthe EmployerBrand orEmployeeDeal MarketCompetitiveSalaryPerformanceBonusLongertermincentivesOther MyPay Aligningcommunications payandperformance PERFORMANCE VISION MISSIONCOREBELIEFSDESIREDCULTURESTRATEGICOBJECTIVES REWARDPLANS Whatandhowtocommunicate TeamandIndividualCompetencies CorporateStrategy StrategicObjectives CoreCapabilities BusinessMeasures Financial Operating Customer People CorePerformanceCompetencies BusinessKnowledge FunctionalSkills Value AddedBehaviors TeamandIndividualMeasures KeyPerformanceFactors THEWHAT THEHOW RewardCommunications TypicalEmployeeissues Anemotivesubject Wanttoknow WhatdoIget orcanIget Howmuchisitworth WhendoIgetit WhatdoIneedtodotogetit LowawarenessofrewardcomponentsandavailablebenefitsLackofunderstandingof rewardvaluemarketcompetitivenesswhateachelementisactuallyrewardinglinkstoperformanceMaybeunhappyaboutegamounts eligibility equality rangeofbenefits Communicatingreward Commoncommunicationmistakes Managersunwillingorunabletoprovideone to onecommunicationonrewardandperformanceWrittencommunicationfocusesonhowtheelementswork not whatdoesitmeantome Over detailedandconfusingRewardelementscommunicatedseparately withnocontextprovidedandnocommonbrandingNotgivingallthefactsandrationaleforrewardpolicyNoopportunityforinvolvementandfeedbackWrongmedia mustmeettheneedsofeachparticularaudience Communicatingreward Increaseemployees understandingofthevalueoftheirtotalrewardpackageEnsurethatemployeesunderstandwhateachelementofrewardisforandwhattheyneedtodotogetitProvideopportunitiesformanagersandemployeestoinfluencerewarddesign processesandcommunicationEquipmanagerswithsimpletoolstoenablethemtomanagerewardandperformanceprocessesfairly efficientlyandaccuratelyEnsurethatmanagershavetheskillsandconfidencetomakeandexplainreward performancedecisions egdealingwithpoorperformance Agreeclearobjectivesanddesiredmessagesforeachaudience Methodsofcommunication Survey ePollOne to onewithmanagerGroupQ AsessionsFocusgroups testing feedback Project champions Helpline telephoneand oremail Intranetfeedback Q AtoolsWeb chat session egwithCEO RewardmodellerFormalconsultationprocess Contract handbookEmail MemosLettersQ AbookletPosters postcards leafletsTotalRewardStatementNewschannelsScreensaver pop upscreen Presentations Townhall Meetings briefingsVideo web castTrainingmaterialHelpline script VoicemailIntranet InternetNoticeboard INVOLVE INFORM Communicatingreward Exampleofarewardcommunicationsplan Workshops presentationstoemployees Individualletters infobookletdistributed Inform clarify HR ManagerTrainingsession Positioning Managersbriefingpaperfollowedbyemployeeannouncement Onetooneforemployeeswithmanagers Engage Helplineand orchampions Measuresuccess OutliningframeworkandforthcomingactivitiesClarifylinkagewithotherinitiatives context HowtheframeworkworksPreparemanagersforpresentationandonetoonemeetings Informationinpreparationforthepresentations Sponsored byleadership ForemployeestounderstandtheconceptsUnderstand whatitmeanstome examples role play ConfirmingindividualpositionReferenceguidetotheframework Toansweranyindividualissues Toaddressongoingquestionsandensureprocessesareworking Training Employeeinvitation positioningpiece Achieve Formalorinformalfeedbackfrommanagersandemployees Communicatingreward Brandingandgraphicdesign Abrandandgraphicidentitycanhelptoensure Recognition createauniqueidentity promoteawarenessofcommonmessagesandthemes enableeaseofreferenceanddifferentiation buildahistory andensurecontinuityTrust establishthedefinitivesourceofaccurate consistentandhonestinformationonthechangestoreward buildastronganddistinctivereputationAstatementofquality TheCompanyexpectsitspeopletoproducehighqualitywork andinreturn employeesexpectthesamequality bothintermsoftherewardstructureitselfandthecommunicationmaterialissued Communicatingreward Employeescannotvaluesomethingtheydon tknowabout 3 Utiliseemployeefeedback areyoulisteningtoyourpeople WhyEmployeeEngagement Employeeresearch attitudesurvey cultureassessment focusgroups etc Employeeindices commitment alignment etc Identifycorrelationsbetweenemployeeindices outcomesandclientKPIs Employeecommitment shareholdervalue FirmswithhighTRShavehigherlevelsofemployeecommitment Source EmployeeCommitmentandtheBottomLine
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