How to Create a Great Place to Work
by Daniel GolemanKorn Ferry Institute
Best-selling author Dan Goleman showcases the three elements that matter more than anything else.
According to a new report from the Great Place to Work Institute (GPTW), when it comes to employee retention, three things matter more than anything else: purpose, pride, and fun. Analyzing data from more than 1.3 million employees at over 2,400 US companies, GPTW asserts that when these three things are absent from the employee experience, workers are more likely to look for opportunities elsewhere.
This data is evidence of a shifting world. Since the pandemic, workers from just about every generation have been rethinking the way work fits into their lives. “The intent to leave or stay in a job is only one of the things that people are questioning as part of the larger human story we are living,” says Caitlin Duffy, a research director for the management consulting firm Gartner. “You could call it the Great Reflection. It’s critical to deliver value and purpose.”
While GPTW’s study revealed that “special and unique benefits” do correlate with an employee’s intention to stay in their role – making them 1.7 times more likely to do so – they found that the intangible elements of work had a far greater impact on retention. In jobs where employees agreed with the statement “My work is meaningful,” they were 2.7 times more likely to stay with their organization. In the end, purpose revealed itself as the top driver of employee retention.
In jobs where employees agreed with the statement “My work is meaningful,” they were 2.7 times more likely to stay with their organization. In the end, purpose revealed itself as the top driver of employee retention.
Mosher suggests tailoring these mitigation strategies to employees’ overall needs. This could be offering more training opportunities, initiatives to support work-life balance, or programs for mental health, medical wellness, or financial well-being. Recognizing why employees are feeling burnt out – and understanding that those reasons may be different for everyone – is a crucial step to providing support.
Nearly three-quarters (72%) of employees say that stress is impacting their work performance. This can lead to decreased productivity, issues with clients and customers, and ultimately hurt the company’s bottom line, the survey finds. When it comes to balancing organizational needs with employee well-being, Mosher says that technology is a powerful tool for keeping employees working efficiently while freeing up time for them to focus on their well-being.
“It’s important to utilize the technology that’s already available to you,” Mosher says. “People in their personal lives reference things on their phones and laptops all day, every day. Why wouldn’t organizations want to make all their productivity tools available to employees in that format, freeing up time for them and allowing them to become more efficient.”
For example, Mosher says artificial intelligence can be leveraged to free up time for employees and allow them to focus their energies on more important, knowledge-based tasks. In addition to providing more efficiency, AI can help HR leaders identify areas where professional development would be beneficial and improve skills so that employees’ work performance isn’t so closely impacted by their well-being.
“Employees are moving in many different directions and are being asked to do more with less so often, especially during busy times when companies are balancing employee wellness with the socioeconomic needs of the business,” Mosher says. “Leveraging advanced technology is probably the most profound thing an organization can do right off the bat.”
Mosher also says that companies should have a culture that’s transparent and employee feedback is welcomed. By helping employees understand the “whys” of the organization and allowing them to suggest opportunities for learning and development, everyone is playing a role in advancing the business and supporting overall well-being. This, Mosher says, improves engagement and, in turn, improves the efficiency and effectiveness of the workforce.
The survey also finds that 88% of employees say it has become important to have a job they find personally fulfilling. For Mosher, this means keeping employees connected to their organization’s overall mission.
“It helps for businesses to not just post their organizational goals but talk about what it looks like from a business perspective and an individual perspective,” Mosher says. “Certainly, we do this utilizing our own technology. But any business can and should connect individual goals to the organization’s goals and individual values and competencies to the organizations’ values and make that part of the everyday conversation. There’s a lot that can be done from an HR perspective to help organizations better understand that connection and how important it is to employees to feel personally fulfilled.”
It helps for businesses to not just post their organizational goals but talk about what it looks like from a business perspective and an individual perspective.
Employees want to know that when they get up and go to work every day, they’re impacting something bigger than just themselves. When an employee feels like the work they’re doing improves the top and bottom line, it gives them a better experience because they, in turn, invest more into the organization, Mosher says.
Despite fewer employees reporting burnout year after year, the number is still significant, and employers should work to improve employee well-being to curb stress. When it comes to alleviating it and the negative impact it can have, more than half (52%) of employees are craving a more flexible work environment.
“Flexibility means a lot of different things to different people. The magic sauce here is helping leaders and employees understand what it means to them as individuals,” Mosher says. “I feel like our teams that work in the office do also have a very flexible working environment for a multitude of reasons. Even though they’re not working from home, flexibility is not synonymous with being able to work from anywhere at any time. Helping employees understand what flexibility means to them and connecting that to what the company provides is important.”
Mosher adds that flexibility means equity, giving employees the opportunity to do what they think is right to enable a better work environment. For example, an unmarried recent college graduate who works in an office in New York City has a different need for flexibility than a mother of five in a completely different role working part-time from an office in Arizona. But understanding that flexibility means different things to both of those workers is half the battle, Mosher says.
To help support flexibility, HR leaders can talk to employees about how they define it and the perks that they value. Whether pushing a return-to-office policy or not, investing in the infrastructure that allows employees to have the capability to access what they need can help leverage an equitable, fair, and flexible work environment that’s tailored to the needs of the workforce. This can be rewarding for a company’s employee base and improve well-being.
“We haven’t figured out the magic of curbing burnout,” Mosher says. “And recognizing that is an opportunity for us to better people’s lives and their careers, through addressing what matters most to them from a career and personal perspective, allows their work to enhance their well-being and not hinder it. The more we can bring to light about burnout, the more we can talk about how to improve it.”
About the Author
Maggie Mancini is the Associate and Online Editor for HRO Today. In that role, she is responsible for creating, editing, and coordinating content for HRO Today’s monthly digital magazines, website, and digital newsletters. She brings with her more than four years of reporting, writing, and content editing experience with outlets including PhillyVoice, REFINE Magazine, and Qrewcial Media.
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