Faced with shrinking profit margins, demand volatility, faster turnaround times, capacity or skills gaps, and other market dynamics, today’s distribution and supply chain management (SCM) companies can increase throughput and productivity with a strong engagement strategy.
You may be thinking that employee engagement is a fleeting buzzword, or worse, a difficult strategy to execute. Yet to look at it another way – are you accidently disengaging your workforce? And if you are, could you be putting yourself at a disadvantage when it comes to achieving your goals?
Ultimately, your employees power your supply chain and having the right business technology solutions and processes can make your employees happier, more productive, and less likely to miss work or leave the company altogether. Because people are so important, this article will describe ways to avoid disengaging your workforce as well as highlight four best practices any organization can follow to create a more engaged – and effective – workforce.
The importance of employee engagement
Why should you care about employee engagement? More specifically, why is a concept that may seem to be just a “nice-to-have” item on leadership’s wish list really such a smart strategy for your business?
A closer look at various research findings shows why employee engagement can become a new competitive advantage:
- Organizations with highly engaged employees experience 22% greater productivity, according to the Harvard Business Review.
- Companies with sustained levels of employee engagement have shown operating margins three times higher than those of companies with the lowest levels of engagement, according to WillisTowersWatson.
- Higher engagement and retention have been proven to contribute to culture of mission and purpose, Deloitte said.
As compelling as these results are, it may surprise you to learn that a sizeable gap exists between the goal of engaging the workforce and where most companies stand today. For example, a recent Gallup poll revealed that only 32% of U.S. workers say they are engaged, nearly 51% t report that they are not engaged, and over 17% state that they are actively disengaged. As a result, these organizations fall short in reaping the full business benefits employee engagement can deliver. Ouch.