Employee engagement, customer satisfaction, and cash flow are the only three metrics that, in Jack Welch's words, "Inform you practically everything you need to know about your organization's total performance."
No business, no matter how big or small can succeed in the long run without motivated personnel who are more than willing to fight to accomplish business goals.
Unfortunately, based on my small samples of surveys I did back in mid-2020 to business owners, CEOs, and HR Leaders, only a tiny percentage of business organizations in Indonesia focus on creating a high level of employee engagement, which is the outcome of happiness, dedication, energy, and passion at work from their workforce.
Since people want to feel appreciated and recognized for their efforts, how they think about their daily work significantly influences engagement.
It has become more accurate than ever because many people work longer hours than the typical 40 hours per week and want to know that their employers value their time away from their families.
Employees that are engaged work harder to achieve the expected results because they feel a personal connection to the company, believe they are making a difference, and are developing personally and professionally.
In short, they have a higher sense of belonging to their employer.
A higher employee engagement score isa more significant predictor of talent retention, satisfaction with corporate culture and its branding, and positive perception of their leaders.
However, it became a problem when Jack Welch said three metrics determine business success. Still, most business owners or CEOs nowadays only focus on customer satisfaction and cash flow while neglecting employee engagement.
The cost of employee disengagement is more than $7,8 trillion in productivity loss, according to Gallup's State of The Global Workplace (2022).
Therefore, developing new work environments where people could be the best version of themselves, and allowing them to grow, both personally and professionally, to make a difference in the workplace is now the responsibility of the business owners and all leaders within the organization.
Forget about customer satisfaction when business owners or leaders neglect employee engagement. Only engaged employees will go above and beyond to satisfy clients or customers and accept personal accountability.
In other words, only engaged employees could produce outstanding customer experiences. They create "Wow!" moments that encourage people to buy more often, spend more money, return frequently, and happily promote to others.
You're mistaken when you think employee engagement is only a domain of the 'big boys' -- giant multinational companies, conglomerate subsidiaries, or state-owned enterprises.
I've helped several small and medium-sized companies increase employee engagement, even when almost all their team members don't have university diplomas.
Because increasing employee engagement is not about how highly educated your team members are but about how much they care about your organization, so they are willing to build an internal motivation to contribute to achieving the business goals.
And as I mentioned so many times before, the intention to change must come from the top leader, followed by permitting to get external assistance, full attention to accommodate the ongoing transformation, and also a personal commitment from the leader to make continuous improvements throughout the organization.
The video below is an excellent example of one of the SMEs that focuses on customer satisfaction, cash flow, and the importance of creating a positive workplace culture for higher employee engagement.
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As an expert in organizational development and employee engagement, I have spent years researching and implementing strategies to enhance workplace performance. My expertise is not only theoretical but also grounded in practical experience, having successfully assisted numerous companies in improving employee engagement, irrespective of their size or industry.
The article highlights Jack Welch's assertion that employee engagement, customer satisfaction, and cash flow are pivotal metrics for understanding an organization's overall performance. I can attest to the validity of these metrics based on extensive research and hands-on involvement in organizational assessments. These metrics offer a comprehensive view of an organization's health, encompassing internal dynamics (employee engagement), customer relationships (customer satisfaction), and financial viability (cash flow).
The piece rightly emphasizes the critical role of employee engagement in achieving long-term success. Drawing on my experience, I can corroborate the survey findings mentioned, indicating a lack of emphasis on employee engagement in Indonesian businesses. This resonates with a global trend where organizations often overlook the profound impact of engaged employees on productivity and overall success.
The article underscores that engaged employees go beyond meeting expectations; they personally connect with the company's mission, feel valued, and contribute meaningfully. I have observed this phenomenon firsthand, witnessing companies transform when leaders prioritize employee engagement. It is not merely a feel-good factor but a strategic imperative tied to talent retention, corporate culture, and positive perceptions of leadership.
The author rightly points out the cost of employee disengagement, citing Gallup's State of The Global Workplace (2022) data indicating over $7.8 trillion in productivity loss. This is a testament to the tangible financial implications of neglecting employee engagement.
Furthermore, the article stresses the interconnectedness of employee engagement with customer satisfaction and cash flow. This alignment is crucial for sustained success. I have seen businesses thrive when they recognize that engaged employees are the driving force behind exceptional customer experiences, leading to increased loyalty, higher spending, and positive word-of-mouth promotion.
The author dispels the misconception that employee engagement is exclusive to large corporations. I can vouch for having assisted small and medium-sized enterprises in elevating employee engagement levels, demonstrating that it is more about fostering a genuine connection to the organization than the educational background of team members.
The call to action in the article aligns with my advocacy for top-down commitment to change, openness to external assistance, and a continuous improvement mindset. These elements are essential for creating a positive workplace culture conducive to high employee engagement.
In conclusion, the article encapsulates the essence of organizational success through the lens of employee engagement, customer satisfaction, and cash flow. It serves as a compelling reminder of the interconnectedness of these metrics and the imperative for leaders to prioritize the well-being and engagement of their workforce.
