Employee engagement impacts performance

Discover the key to employee engagement and its impact on performance.

– 3 mins read –

A coaching style of management increases employee engagement

Measuring employee engagement has become a key factor in assessing how well an organization is doing at enabling its people to do their job. It has become a litmus test for management ability because the higher the employee engagement, the greater the increase in business outcomes, including profit. The cornerstones of coaching are learning, performance and enjoyment. As these increase, so will employee engagement.

Executives generally overestimate their effectiveness as motivators and leaders. But what engages employees with their managers and their work? Great managers, according to a Gallup poll. The poll finds that great managers “create environments where employees take responsibility for their own – and their team’s – engagement and build workplaces that are engines of productivity and profitability”.

However, the research reveals that great managers who engage teams are in the minority – and that the style of the manager has a huge effect on the performance of the team. In fact, employee engagement can vary by as much as 70 per cent (based on research in the USA), where only 30 per cent of employees are engaged at work. The picture is even worse outside America, with only 13 per cent of employees engaged.

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Coaching employees increases motivation and unleashes potential

According to the Gallup research, actively disengaged employees cost the US economy between $450 billion and $550 billion in lost productivity every year. Yet, data from McKinsey shows that when employees are intrinsically motivated, they are 32 per cent more committed to their jobs, 46 per cent more satisfied with their jobs, and perform 16 per cent better.

These figures have remained consistently low for the last decade – so how do we break the mould? By changing approach, for example going from imposed rules to an approach that appreciates and supports inner values. A coaching approach empowers and engages employees to unleash their potential and enhance performance; it taps into their potential, strengths, values to fuel their intrinsic motivation at work.

Leading with a coaching management style, managers hand responsibility back to employees and with the right environment that both supports and challenges, employees are set up to succeed and thrive, where low performers become average performers and average performers become high performers.

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