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The Disadvantages of Business Ethics Worldwide

Ethical compliance within an organisation is done for the benefit of the company and the employees. A well-crafted ethical compliance policy will help you and your employees make day-to-day decisions that advance your business goals without venturing over to the “dark side.” The use of ethical standards can both reduce the chances of a workplace lawsuit and help to create a positive work environment.

Reputation is one of the most valuable assets a firm can have. Leaders, managers, and employees care about their social reputation: They want to be seen as competent, generous, efficient, honest, and fair. However, an emerging body of research suggests that focusing too much on reputation can sometimes have a negative effect: Attempts to maintain the appearance of doing what’s morally right can lead decision makers to engage in various wrongs.

Take, for example, the Hallmark Channel’s stance on an advertisement it recently ran, featuring two brides kissing at the altar. After receiving public pressure from an advocacy group, Hallmark decided to stop running the ad because the brand did not wish to be “divisive” or “generate controversy.” However, this desire to appear impartial and stay out of the fray conflicted with the organisation’s stated value of “helping all people connect.” In an attempt to preserve its reputation for inclusivity, Hallmark ended up creating division.

Another example is represented by the events that led up to the great economic recession in 2008 and 2009 have placed a renewed emphasis on business ethics. Questionable financial reporting, inflated executive compensation and worthless public assurances undermined consumer and investor confidence and reignited the debate about whose interests a business should serve. While it seems that only good things should arise from business ethics, a business may be restricted in its freedom to maximise profit.

Companies increasingly recognise the need to commit to business ethics and measure their success by more than just profitability. This has led to the introduction of the triple bottom line, also known as “people, planet, profit.” Companies report on their financial, social and environmental performance. The Dow Jones Sustainability Index benchmarks companies who report their performance based on the triple bottom line. This type of performance reporting acknowledges that companies must make a profit to survive, but encourages ethical and sustainable business conduct.

Overall Management Strategy

One of the disadvantages of an ethical compliance program is that it requires the comprehensive support of management to be effective. If members of the management team decide to apply their own version of corporate ethics to the way they manage their departments, then this clash of principles can cause confusion in the workplace.

For example, a manager who tends to look the other way when his employees are committing sexual harassment sets a precedent that can start to undermine the entire corporate culture. As the ‘MeToo’ movement has made crystal clear, even with detailed policies in place, senior managers all too often act as if the rules do not apply to them.

Lack of Profit Maximisation

Developing, implementing and maintaining an ethics compliance program within your organization can be expensive and time-consuming. Ethics policies need to be continually updated to reflect changes in workplace laws and changes in your company culture as the organisation grows.

Proper administration of an ethics program often requires the hiring of an ethics officer and the commitment of company financial and personnel resources. Companies with international activities not only have to adhere to domestic laws in the United States, but have to monitor compliance with the laws and norms of behaviour in other legal systems and other cultures.

Another example in this category is, having factories in developing countries can reduce costs. This is because companies can have practices in place, such as child labour and low wages, which help to maximise profit. But although these practices are legal in those countries, they’re also incredibly unethical and will obviously never be tolerated by a company following ethical practices.

Improvements in working conditions, such as providing workers with living wage and having proper health and safety standards in place, are ethical but raises the amount it costs to run these factories. This, in turn, reduces profit which might not be an issue for large companies who can afford to allocate costs. But it can be an issue for small businesses, especially if they’re evolving.

Luckily, there are many different ways to operate ethically so companies can choose the ethical practices and approaches that best suit them. For example, advertising can considerably boost a company’s brand awareness. If you choose an outdoor print solution from a print specialist who can produce these products ethically, you can boost your reputation among your target audience even more.

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Sources:
https://blog.dominionprint.com/advantages-and-disadvantages-of-business-ethics-in-the-real-world
https://smallbusiness.chron.com/advantages-disadvantages-business-ethics-10414.html
https://hbr.org/2020/02/research-the-downsides-of-trying-to-appear-ethical

Organisations Have to Prioritise Young Workers’ Mental Health

Young workers aged between 18 and 30 are more likely to have mental health issues than their senior colleagues, with a whopping 48% reporting suicidal thoughts or feelings. This information has been made available from a survey of around 3,884 people conducted over two years by Accenture revealing this worrisome fact. In comparison, only 35% of older workers experience such dark emotions.

Even though they are more susceptible to experiencing such feelings, 45% of young workers admitted to ‘holding back’ from talking about their mental health in the workplace, compared with only 22% of older employees.

Younger people have also reported that they are experiencing more pressure in their lives than their older counterparts, with 4 out of 10 people between the ages of 18 and 30 revealing that the pressures from work are affecting them on a daily basis, 1 in 3 are worried about the mental health of someone close to them.

Barbara Harvey, managing director and mental health lead for Accenture UK, has said “It’s clear that many young people face challenges with their mental health before they enter the workforce and while working, and that they are affected more often than their senior peers. Therefore, mental health must be a priority issue for employers.”

The aforementioned study has also brought up to the attention of the general public about the advantages of working in a supportive and open culture, with 41% of those working in such environments experiencing mental health challenges, compared with 65% in less supportive environments.

Mental ill health has been estimated to cost the UK economy around £94 billion per year, according to figures released in 2018 by the Organisation for Economic Cooperation and Development (OECD), with 1 in 6 people across Europe struggling with their mental health.

The financial aspect alone offers a compelling and insightful reason for organisations to take action in addressing this problem. For example, in 2017, an independent review commissioned by the British prime minister put the annual cost to UK employers of poor mental health in workers between £33 billion and £42 billion.

Additional action needs to be taken. Here are 3 simple actions leading organisations have started taking to get things moving faster in the right direction.

1.   Onboarding is Essential

Young people often enter the workforce with little sense of what is about to hit them. It’s important to help them make the transition to a kind of pressure many have never faced before.

Boots, a UK health, beauty and pharmacy company, regularly reaches out to secondary schools, colleges, and local universities. It runs workshops and gives talks that help potential recruits better understand the workplace, and taps its own younger employees as leaders of these events to ensure that the messages resonate. Boots also helps young hires to build skills and confidence and better adjust to their new responsibilities through group discussions and workshops. Early-career tutors are trained to help these workers and are, in turn, helped by others; they know how to escalate any concerns to a colleague who has had specific training on mental health issues.

2.   Train Them How You Want Them

Once people have been onboarded, they need help understanding how to manage the stresses and strains of the job and how to deal with those particular situations. The key here is to design solutions.

The international law firm Allen & Overy has many trainees, most of whom join on a two-year contract. Working with and led by the younger cohort, senior managers created a programme that focuses on the human element of life as a lawyer. Trainers equip new lawyers with ‘practical resilience skills and advice’ to help them achieve a healthy work-life balance in a high-pressure environment. Among those lessons are included how to set and maintain boundaries between personal and work time. A message that is best delivered by people who have experienced that.

One recent pilot initiative coming out of this process involves ‘protected evenings.’  It allows trainees to flag nights that are important to them, giving them more control over their schedules. Trainees also publish a newsletter every two weeks that helps address key concerns on their agenda.

3.   The Role of Senior Leaders

They should be open about the challenges they have faced and they should show vulnerability. When they speak up, not only would they help their struggling younger workers realise that they’re not alone, they would also be giving them some language to use to describe their own experiences.

Paul Feeney – CEO of Quilter a wealth management company in London – has stated that making it personal is the best solution: “In our industry, we have a saying, ‘Don’t take it personal.’ We should make it personal. People need to know it is OK to not be OK. The best thing to do is open up and talk about it.”

The more we can do to reduce the stigma of this topic and bring it further out of shadows into the mainstream, the less will people need to be brave to talk about their experiences. And they will be happier, more confident, and more productive at work and beyond.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

https://www.zenefits.com/workest/young-workers-demand-emphasis-on-mental-health-in-the-workplace/

https://www.independent.co.uk/life-style/health-and-families/young-workers-suicidal-thoughts-mental-health-talking-a9217911.html

https://www.wsj.com/articles/the-most-anxious-generation-goes-to-work-11557418951

Why Soft Skills Matter in the Workplace

It’s no secret that interpersonal skills are the next big thing in HR. In layman terms, soft skills will most likely define the future. In a 2018 LinkedIn worldwide survey of over four thousand professionals the results have revealed that “training for soft skills is the number one priority.”

Soft skills are often referred to as transferable skills. As this term implies, these are skills which are less specialised on one specific vocation and which are more aligned with the personality of a candidate. Soft skills usually relate to a person’s various attitudes and intuitions. Given the fact that soft skills are linked with personality, it is important for each candidate to assess and understand what their soft skills are and how they can showcase them during an interview.

Unlike hard skills, which can be measured, soft skills are intangible and difficult to quantify. Among the examples of soft skills may include analytical thinking, verbal and written communication, and leadership.

Nowadays, employers actually care more about soft skills than they do technical abilities like reading comprehension and mathematics.

Among soft skills one of the more important ones is emotional intelligence (EQ). From a 2015 LinkedIn survey it has been discovered that people with high EQ earn on average $29,000 more.

Why do Soft Skills Matter?

A constructive example of the difference between people with or without soft skills are medical doctors. A doctor is obligated by his work field to have an extensive array of hard skills. But a doctor who does not have emotional intelligence, trustworthiness and approachability (i.e. soft skills) is not likely to be very well perceived by their patients.

Employers value soft skills because they enable people to function and thrive in various teams and in numerous types of organisations as a whole. Here are a few of the most important soft skills:

 1. Communication

Written and verbal communication skills are of utmost importance in the workplace because they set the tone for how people perceive you. They also improve your chances of building relationships with co-workers. Communication skills boost your performance because they help you to extract clear expectations from your manager so that you can deliver excellent work. Workers are more productive when they know how to communicate with their peers, says Robinson. If you can clearly express the who, what, when, where, why, and how of a project, you’ll be seen as a top talent.

2. Teamwork

An organisation’s success is rarely dependent on one person doing something all by themselves. Success is the result of many people working toward a shared goal. When employees can synthesise and use their varied talents, everyone wins. If you work alongside friends, then productivity simply sores through the roof. Employers look to team players to build a friendly office culture, which helps retain employees and, most importantly, top talent. Furthermore, being able to collaborate well with co-workers enhances the quality of their work.

3. Adaptability

Obviously, things don’t always go as planned, and instead of digging in your heels, you need to be able to swivel and find appropriate solutions. Consequently, employers need workers who can adapt to industry shifts and keep the company current. Push yourself to be an early adopter of change. Explore the possibility of joining training sessions and offer to teach your co-workers what you have learned.

4. Problem-solving

When something goes wrong, the difference between people is that some complain and others simply take action. Undoubtedly, the latter will get you noticed. People who know how to think on their feet can make employees indispensable to an employer. Nothing is a given. Companies rely on problem-solvers—top performers—to manage unexpected arisen challenges. It is best to approach the manager with a solution, not a problem. So when an issue springs up, think about an alternative solution and how you are going to present it to your boss.

5. Conflict resolution

Being able to resolve issues with co-workers will help people maintain relationships with their peers and work more effectively and efficiently. Being able to work through office politics and disagreements with people is a clear sign of maturity, as well as leadership. Someone like this helps promote a collaborative workplace. The best way to resolve disagreements between co-workers is to address issues directly but in a delicate, humane manner. Therefore, if someone is stepping in as a mediator, he or she should let both parties air their grievances in a judgment-free zone and then work together to find a compromising solution.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

https://www.wikijob.co.uk/content/interview-advice/competencies/soft-skills

https://www.monster.com/career-advice/article/soft-skills-you-need

https://www.fastcompany.com/90430423/5-soft-skills-you-need-to-succeed-at-work

Betrayal in the Workplace and How to Deal with It

Betrayal comes in many ways and forms and the one that happens in the workplace is no different. There may be times when you be undermined by a co-worker during a presentation, ignored by your manager or blindsided by a fellow colleague. This almost always leads to professional and personal deception, which, more often than not, leads to unwarranted stress and disappointment. The next logical step in this situation would be to take some affirmative action, but caution is key here. It is imperative that you have a clear understanding of the situation and circumstances of the betrayal in order to fully understand what and how you have to act next.

Of course, in a perfect world scenario, team members, managers and leaders work towards the same goal. But, unfortunately, there are moments when you’re doing your job at peak performance and, out of the blue, your manager throws you under the bus. It is never good when it happens and as an ‘added bonus’ it can damage your reputation with others.

You can count on the fingers of one hand things that are more hurtful than betrayal, especially when it is done by a person of trust. When the betrayal is done by your boss, the pain can be exacerbated given the fact that it’s the person who impacts your career and, more or less, livelihood. Betrayal by your boss can come in numerous ways: public shaming for a colleague’s mistake, taking credit for a project you solely did and oversaw and giving the promotion they have promised you to someone else.  

Given the fact that we have a wide and complex range of emotions, our brains process betrayal as trauma and, just like every other trauma, we expect it to repeat itself. Reactions to boss betrayal can range from losing the ability to trust other co-workers, hindering your optimism and resilience during strenuous times and even lacking the capacity to deal with complex situations. When this happens, our own behaviour should start concerning us, not our boss’s.

Recent research has discovered that 85% of workplace betrayal is unintentional. Although your boss’s betrayal wasn’t intentional, it still raises serious questions regarding his personality and seriousness. Furthermore, the research has stated that after your manager behaves badly, you are more inclined to do the exact same thing. It is of the utmost importance that you are clear on the values you wish your professional relationship to be based upon.

Even though it is as clear as the light of day that you won’t be able to change your boss’s behaviour and attitude, you can still manage to keep their bad conduct from changing you. Here are a few ways how.

Focus and Get Your Facts Straight

Before you act on your emotions and anger you must be sure that the information you have is correct, especially if you have received it second-hand in the first place. It is recommended that we discuss and assess the situation with the people we trust the most and which witnessed the exact circumstances. Even if you discover that your boss actually betrayed you, emotions must be kept in check. If you give in to those emotions and react unprofessional, you will unwantedly pass along the negative news that is out there about you.

 Patterns of betrayal

People who, unfortunately, tolerate abusive behaviour all their lives believe they deserve it and this can happen with an abusive boss. In some strange manner, a sort of Stockholm syndrome sets in and you start to accept betrayal as something normal. This type of action can be counter measured by interrupting them as soon and as much as possible. If they fail to keep their promises, keep their commitments to you well-documented. If they take credit for your work, make sure there are other managers who know that you have worked on that project. These actions may not change the behaviour, but they may just keep your mental health in order.

Reach out to HR

If the workplace treatment you are receiving is becoming more and more unfair and abusive and you cannot handle it any longer it may be time to involve the human resources (HR) department. By reporting the issue to HR, you are not just helping yourself, but the company as a whole. Problem managers can be easily identified and removed from an organisation if HR is involved. Worst case scenario, HR can help you find other opportunities within the company if a ‘cease fire’ cannot be agreed upon with the problematic manager.

It is quintessential to remember that not everybody is out to betray you. It is understandable that if you are constantly betrayed by your boss, you can easily become paranoid and stop trusting people altogether. It is imperative that you pay attention to your emotions and behaviours. You do not want to damage your professional relationships with other authoritative figures within the business. Are you constantly questioning the actions and motives of the people you rely on doing for your job? Are you over-analysing the decisions people are making in the office? As mentioned earlier, betrayal is an incredibly powerful and toxic force which can easily spread in to all other aspects of your life. Keep reminding yourself that not everyone is out to get you.

In conclusion, it is safe to say that when you are working for a ‘betrayal boss’ you should get out of there as quickly as can be. Until you can make your professional move elsewhere, do anything in your powers to protect yourself and not become a shadow of your former self. The choice to allow their betrayal to negatively impact you and who you are is and will always be yours.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

https://work.chron.com/survive-workplace-betrayal-18986.html

https://hbr.org/2019/07/what-to-do-when-your-boss-betrays-you

https://www.fastcompany.com/40437356/what-to-do-when-your-boss-throws-you-under-the-bus

Anatomy of a Future HR Leader

Extract from an article published in HR Magazine:

“What should the HR leader of tomorrow look like? A seemingly simple question… The answer though is a much more complex – or perhaps alarmingly short and unilluminating – ‘we just don’t know’. And it’s safe to say that tomorrow’s world will be even more difficult to forecast moment to moment. Which means predicting the exact technical skills HR professionals will need – in a future characterised by continual reskilling and ‘agile learning’ for all parts of the workforce – will become an increasingly fraught endeavour.

The one thing we do know, however, is that to survive and thrive in the future world of work – particularly when it comes to leadership positions – professionals will need to be able to stay resilient, positive, open-minded and strategically-savvy in the face of sudden dramatic changes of direction. This was the conclusion a panel of top current and former HRDs (representing the public, private and third sectors) came to when they met towards the end of last year to discuss the topic with HR magazine; and to help compile an assessment, in partnership with psychometrics firm Great People Inside (GPI), to see whether those on track to be HR leaders have what it takes.

Our panel chose nine dimensions (see box below), selecting for each where HR business partners (HRBPs) should sit along a sliding scale of one to 10 to have HR leadership potential. Stress and resilience, engagement, curiosity and self-awareness, and a VUCA approach were qualities our panel decided the HR leader of the future should possess in particularly strong amounts  (i.e. the more resilient, engaged, curious and VUCA-ready the better).”

To read the full article, please access this link.

 

Employee Loneliness and its Impact on Organisations

Loneliness is a painful and complex emotion. Loneliness has more to do with a person’s quality of social relationships rather than their quantity.

Loneliness has been studied for decades in psychological literature when it comes to social or personal lives. But how much research is there on being lonely in the workplace? Not a lot, which comes as no surprise.  As awareness about loneliness increases — British Prime Minister Teresa May appointed a minister for loneliness earlier this year, it’s important to understand exactly how people experience loneliness in their jobs. How does it affect their work? How does it shape their relationships with their colleagues? And what can employers or HR departments do to help a lonely employee?

In general, it was discovered that lonely employees tend to isolate themselves, they begin to feel less connected to their organisation’s values, and can be seen by colleagues as more distant and less inclined in discussing both work-related and personal matters.  These findings add to the voluminous research literature showing that the behaviour of lonely people has the effect of increasing their own loneliness. Even though the person may desperately wish to connect or re-connect with others, they see their environment has become threatening. Thus perpetuating a vicious cycle where loneliness leads to greater social vigilance. As a result, lonelier people are more likely to pull away.

In a research study conducted by California State University and the Wharton School of Business which has surveyed 672 employees and their 114 supervisors from 143 work team units have found that “an employee’s work loneliness triggers emotional withdrawal from their organization, as reflected their increased surface acting and reduced affective commitment.” and “The results also show that co-workers can recognize this loneliness and see it hindering team member effectiveness.”  Researchers have concluded that”…management should not treat work loneliness as a private problem that needs to be individually resolved by employees who experience this emotion; but rather should consider it as an organizational problem that needs to be addressed both for the employees’ sake and that of the organization.”

The company’s culture plays a crucial role in expressing the values and norms about the emotions that are allowed to be expressed at work. In our study, we found that a stronger versus a weaker emotional culture of sharing love (e.g. expressions of affection and compassion among employees) diminishes the negative relationship between workplace loneliness and affective commitment to the organisation.

Look for reasons to show your appreciation

Global research shows that people who feel appreciated are most likely to produce the best work. Let people know their value to the organisation, the culture, the team, and to you, as a manager or employer.

If you think workplace loneliness isn’t an issue you need to be concerned about then think again. Healthy workplace relationships are beneficial for employees in many ways. They help people to deal with work-related frustrations and stress, whilst simultaneously encouraging bonding through sharing successes and positive experiences.

However, it seems that employees are getting lonelier and lonelier. Despite the rise in popularity of open-plan offices specially designed to foster interaction and good communication, a recent UK-based study done by Totaljobs found that more than one-third of employees report having no strong relationships at work. As people spend close to a quarter of their lives at work, job isolation can have serious and very complex implications.

The case of cultural fit

If most people in an organisation or team share similar attitudes and personality traits, a person who differs in these respects may start to feel isolated and will struggle to bond with colleagues or even have a sense of belonging.

Another aspect of organisational culture that can prevent employees from forming relationships is represented by the lack of ‘psychological safety’; a quintessential element for effective teamwork. In companies or teams that do not meet the necessary psychological safe requirements, team members do not feel swayed to take social risks, such as revealing emotions, for fear of disapproval by colleagues.

In teams or organisations where a ‘openness’  isn’t promoted or associated with psychological safety, the potential for building relationships tends to be limited; employees are likely to keep to themselves, restricting how much they reveal about themselves to their colleagues.

What can be done to prevent workplace loneliness?

So, knowing what we do about workplace loneliness, what can be done to prevent and reduce it? There are numerous steps that can be taken by employers and employees.

A key approach is for employers to focus on hiring for culture fit. By assessing the fit between candidates’ personality characteristics and the organisational culture, employers can minimise the risk of hiring those who are going to struggle to fit within the company.

Finally, employers can also help to promote workplace relationships through various teambuilding exercises or adopting a transformational leadership style that is based on interpersonal trust. Of course, employees themselves can have a huge impact on loneliness through day-to-day interactions with one another. Unfortunately, is often difficult for employees to open up to colleagues about loneliness, for fear of the admission being met with ridicule and isolation. It is therefore important for employees to help identify any colleagues that may be struggling at building lasting relationships with other members of the team.

Finally, employees should contact their employers or managers if they have any suggestions for improving relationship-building, which in turn will lead to a tremendous increase in employee well-being and productivity.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

Free Assessment

Sources:

https://good.co/understanding-workplace-loneliness/

https://www.inc.com/todd-nordstrom/feeling-lonely-at-work-it-could-be-destroying-your-potential-heres-what-to-do-about-it.html

https://hbr.org/2018/04/the-painful-cycle-of-employee-loneliness-and-how-it-hurts-companies/

Workaholics and Their Toxic Mindset

In the United States, the 5th of July is also known as National Workaholics Day. This day has been set more as a means of creating awareness for what is also known as ‘the addiction of the century’. Unfortunately, people still do not know what workaholism is in a time when society praises ‘busy’ people and also view it as an important status symbol.

However, there is a difference between workaholics and hard workers. For example, workaholics are those employees who cannot stop working long hours, even during weekends and vacations. They are physically addicted to their job. On the other hand, hard workers do not put themselves in these types of situations. Of course, they may stay overtime from time to time in order to ensure a deadline is met, but they do not start neglecting their health, their friends and their families.

This issue is of a serious concern to an organisation on multiple facets. On an individual level, workaholics, besides neglecting their health and personal lives, also experience lower levels in regards to job satisfaction and obviously makes it harder for them to achieve a healthier work-life balance. Given the fact that workaholism is an addiction, it is very much similar to alcoholism and other similar addictions in the sense that little enjoyment is had while working. Thus, the organisation may have numerous overworked and unhappy employees.

In a clear domino effect, those unhappy employees will surely affect teams and the company culture in the process. Given the fact that workaholics are always looking to one-up everyone else and they become an issue in terms of teamwork due to the fact that they can’t and won’t work well in a team. Their approach is sometimes extreme and it can usually be seen by a disregard of social norms in terms of collegiality. So what are the differences between hard workers and workaholics?

It is worth mentioning that the difference cannot be summed up simply by the number of hours put in. The problem here revolves around the implications it has on their lives. In a 2015 study published in the “Journal of Psychosocial Nursing and Mental Health Services”, it has been revealed that workaholics encounter several problems such as social, psychological and physical complications due to their addiction to work. Additionally, the study discovered that these people are at a huge risk of burning out, are closer to depression, a weaker immune system, very little life satisfaction and deteriorating relationship problems. And the more workaholics work, the consequences are getting bigger. The stress that results from these consequences leads to less productivity. Consequently, less productivity results into longer hours at work. Hard workers, on the other hand, are passionate about their work and always maintain a good work-life balance.

What if you love your work?

Interestingly enough, the majority of workaholics know that their behaviour is detrimental to their job performance and health, but their defence almost always revolves around how much they love their job. The stress and problems that result from workaholism lead to numerous health issues. In an interesting take regarding this problem, studies have been done in order to assess if there is a difference between engaged and unengaged workaholics. The results pretty much speak for themselves. Both sets of workaholics have experienced a higher number of psychosomatic health issues such as headaches, digestive system problems and also more mental health problems i.e. depression, mood swings, sleep deprivation. Unsurprisingly, unengaged workaholics are at a 4.2% higher risk of experiencing these medical complaints. The number itself does not seem like a lot, but when it comes to health risks, it could be a game changer.

Additionally, engaged workaholics have shown more resourcefulness both at home and at the office. They are being offered more social support, from everyone ranging from spouse to manager. Their communication skills are also better developed, with time management skills also in the green.

A proactive mentality is usually a characteristic of employees who have been blessed with intrinsic motivation can help themselves in terms of taking action when they experience even the slightest health problems. On the other hand, when it comes to people with extrinsic motivation, anxiety may transform a workaholic into an even more passive individual who will dwell even more on their unhealthy habits.

Of course, managers are recommended to intervene in such cases. Helping employees discover their intrinsic motivation can help them re-engage with their job and co-workers, who in turn will provide support. Intervention can mean anything ranging from offering them challenging and feasible tasks, discussing their professional development to things such as autonomy and feedback regarding their work.

In the end, the challenge lies in identifying the compulsive workers and prevent the consequences this type of behaviour may have. In layman terms, the focus should be on employee engagement and their ability to ‘switch off’ after office hours. It will definitely help all members of staff to be and feel happy both professionally and personally.

We have an impressive assessment library with hundreds of dimensions that can be leveraged in creating a custom skills-based assessment that supports your organisation’s specific competencies and unique vision. Please contact us if you need to measure the engagement level in your company.

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Sources:

https://hbr.org/2018/03/how-being-a-workaholic-differs-from-working-long-hours-and-why-that-matters-for-your-health

 https://www.inc.com/carolyn-cutrone-the-difference-between-workaholic-and-hard-worker.html

http://www.businessinsider.com/the-difference-between-hard-workers-and-workaholics-isnt-hours-worked-2017-7

 

Bad Employees and their Toxic Effects

The saying goes that one bad apple can ruin the whole bunch. Interestingly enough, it is the same with employees. The effects of bad employees or ‘hurricane’ employees, as they are also known, can be visible in companies of any size and industry.  Even though this type of person initially impresses in the interview phase, underperforming employees now represent a serious threat to your business.

But just how dangerous are these employees? Well, given the 2013 CareerBuilder survey done on 6,000 hiring managers and HR professionals, it has been discovered that 27% of U.S. employers who had employed a ‘bad apple’, claimed that one bad hire eventually cost their business more than $50,000. This is a financial strain no business should bear. Additionally, the majority of businesses have more than just one bad employee in their ranks.

Recent research done on how contagious ‘hurricane’ employees can be, has revealed that even the most ethical of employees may begin embracing misconduct if they work alongside a dishonest individual for too long. It may be nice to think that the honest employees would instil some moral values into the dishonest employees, that is rarely the case.

For managers and executives, it is extremely important to realise that the money involving an underperformer go far beyond the effects it has on that particular employee– bad behaviour can easily ‘spill over’ into the minds of the other employees through basic peer effect. If organisations choose to under-appreciate the consequences of these spill-overs, a few ill-mannered employees can infect any strong corporate culture.

Nevertheless, through observing similar behaviour among staff, it does not explain how and why this similarity even occurs. Co-workers could behave similarly because of peer effects – in which workers learn behaviours or social norms from each other – but similar behaviour could arise because co-workers face the same incentives or because individuals prone to making similar choices naturally choose to work together.

Below, you take a look at some of the more hidden ways in which bad employees can hurt businesses, and why it is imperative to let them go in order to reach personal and company goals.

  1. Negative organisational reputation

One of the most destructive ways in which ‘hurricane’ employees can harm organisations is by destroying its reputation. A business’s reputation takes years on end to establish, and, unfortunately, one poor-performance employee may derail all of that hard work for quality products, services, and professionalism.

It goes without saying that unprofessional customer service or products lacking that lack that level of excellence expected from any business could leave clients and customers disgruntled. Furthermore, this makes them associate poor service and bad quality with the brand. A damaged reputation takes years to bounce back from and in some extreme cases, it is irreversible.

  1. Low levels of employee morale

Besides the fact that bad employees hurt a company’s bottom line, they also drive employee morale to worryingly low levels. This may even occur in the best performing employees. In this scenario, the rest of the team has to pick up the pace due to one’s person unproductiveness, which, consequently, causes the top talents to become disengaged, dissatisfied, or even burnout. This may sound eerie but only one member on the team may cause the entire staff to become frustrated, angry and detached, leading, of course, to cohesion and morale issues, extreme defensiveness and, in some particular cases, a tendency to ignore creative ideas.

This is definitely a case in which managers must take the tough decision and remove harmful employees from the office environment in order for the HR department to focus its efforts on finding a team member willing to work hard.

  1. Daily interruptions

‘Hurricane’ employees also have the tendency to refuse thinking for themselves and solve their problems independently which, in turn, causes workflow interruptions for managers and executives alike. Instead of focusing on issues such as performance and engagement, managers are forced to hand-hold the harmful employee through menial daily tasks. The damage this type of person may do is not only contagious, but it often shows in team performance. In a recent study done at the Rotterdam School of Management, has revealed that one negative employee can “literally cause” a 30% to 40% drop in performance levels.

Of course, this leads to losing productivity at management-level as well, because managers are unable to implement new ideas and initiatives due to the constant supervision they have to undertake with the ‘hurricane’ employee. Even though firing someone who isn’t performing at normal standards is an uncomfortable experience altogether, managers have to ask themselves if they are willing to lose professionally due to one individual. The moment when a manager starts to think about what is best for the organisation, the decision will become all the more clear.

By understanding how and why co-workers make similar choices about committing misconduct can steer managers into preventing misconduct. Misconduct is a product of social interaction and given its nature, knowledge and social norms it may be difficult to spot at first. Generally speaking, if managers can achieve the level of understanding required to why co-workers behave in similar ways has enormous implications for understanding how corporate culture is shaped and how managers can help steer it in the right direction.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

https://www.inc.com/will-yakowicz/one-toxic-employee-will-spoil-whole-bunch.html

https://hbr.org/2018/03/research-how-one-bad-employee-can-corrupt-a-whole-team

http://www.businessinsider.com/4-unexpected-ways-bad-employees-destroy-companies-2016-9

The Road to Sustainability in Business

Are you a firm believer that sustainability is important for the company, but that it’s always someone else’s task to handle it? Unsurprisingly, you are not alone. Although most organisations talk about carrying sustainability programmes —integrating environmental and societal affairs into their business culture — very few companies actually walk the walk. Coming as no surprise to anyone, carbon emissions emitted by the world’s largest corporations are increasing, and only 1/3 of the 600 largest companies in the United States have some kind of systematic sustainability oversight at an executive level.

Companies that are actually interested in winning the sustainability battle have already created opportunities for their stakeholders in order for them to own sustainability. These organisations have decided that sustainability is not someone else’s problem. There are a few ways in which a company can stop with the rhetoric and actually take ownership of sustainability.

For example, there is psychological ownership and it refers to feelings of attachment and connection that we develop towards an appealing matter such as a person, company, or even an idea. Recent research has revealed that feelings of organisational ownership can lead to greater levels of job satisfaction, engagement, profits and productivity. This causes ownership to be an impressive approach for those who wish to galvanise a company around sustainability. Daily confrontations with the already inevitable climate change and other serious issues that may cause us harm, the majority of us have an unquenchable thirst to do something about it but we do not know how.

In terms of attracting and retaining top talent, organisations may offer good pay and benefits, but they could not stop there. They can also offer an interesting perk such as working towards a higher objective. Employees nowadays are looking to feel good about their work and wish to make a larger contribution to the world. They believe that by being part of something meaningful is really rewarding. Through sustainability, they get the chance to feel better regarding their job within the organisation.

Their feeling of happiness represents a firm’s bottom line. Employees who are the most committed to their jobs put in 57% more effort on the job and are 87% less likely to resign this according to the study done by the Corporate Executive Board.

Sustainability can be intertwined into a corporate culture. Michelle Montakhab, the Vice President of People and Culture at Nutiva, has said that their company that has hired no less than 60 people in the last year. Montakhab has stated that people have mentioned the company’s social policies numerous times, one example being that 1% of their sales go to sustainable agriculture, as a reason they want to work there. New employees quickly learn how sustainability works at their California headquarters due to the simple fact that new hires end up with their lunch waste on their desk because they didn’t sort it properly.

Christopher Crummey, the worldwide director of sales at IBM, has said that companies that engage in social and environmental stewardship also benefit from higher employee engagement levels which are directly translated into cultural engagement. Innovation is directly involved in how organisations engage their employees.

In another example, the sustainability chief at the Old Mutual, a financial services company, has organised a meeting with over 40 future leaders and revealed to them that, through their loans and other services used, they were having a tremendous impact on their customers. Managers could see first-hand how through their daily activities, they were changing lives for the better. This insight offered to the managers, led their teams to believe they came into work to do more than just add numbers. It was a very effective way in which they realised their business was about more than making money, which is the type of information that allows companies to begin the conversation around ownership of sustainability.

And there are many ways in which to stimulate a sustainability ownership experience. In the case of Marks & Spencer’s company-wide “Make Your Mark” initiative, have paired employees with young people who were looking for a job and who required help to develop their skills and confidence. At the beginning of the campaign it was seen as just a small initiative, but it has become an integral part of Marks & Spencer’s culture, with an incredibly long list of employees waiting to become ‘buddies’ with young people. Furthermore, the company offers autonomy to local stores in order for them to come up with campaigns better suited for the communities’ needs, which in turn makes the shop floor employees take ownership of sustainability.

And research is backing up this idea. A LinkedIn and Altimeter combined study has revealed that when employees feel inspired and empowered, they were 20% more likely to remain at the company. Employee turnover still costs companies between 70% and 200% of an employee’s annual salary, according to numerous data calculations.

However, most employees apply a cost-benefit calculus (the aforementioned ‘what’s in it for me’) to decide how to act and please their superiors. Due to the fact that the business world is dominated by maximum profits, this calculation often influences employees to in a manner in which their organisations uphold. This leads to employees’ values coming in second place. A recent study of young employees has discovered that in many instances, employees get to the point in which they suspend their own values temporarily with the belief that a commendable result will justify the questionable means by which it was achieved. These types of employees were never offered a chance by the company to voice their ideas, values and to question the work they were asked to do.

It is of great importance for company executives and managers to lead by example in sustainability initiatives and programmes because research shows that stakeholders, including employees (which are a tremendously important aspect), are generally sceptical in regards to a company’s motivations for getting involved in sustainability initiatives. Some employees are or may be persuaded to put aside their scepticism and embrace such initiatives only when they are absolutely convinced that the organisation has sincere motives for making a difference. In layman terms, when it comes to sustainability, leaders’ actions are more valuable than words and play a quintessential role in signalling and passing on organisation values to employees.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

 

https://hbr.org/2018/02/how-to-make-sustainability-every-employees-responsibility

https://www.theguardian.com/sustainable-business/2014/oct/15/employee-engagement-millennials-social-responsibility-innovation-value-social-responsibility

https://ssir.org/articles/entry/engaging_employees_to_create_a_sustainable_business

How and Why Is Engagement Linked to Burnout

Preventing burnout is a better solution than waiting to treat it after it becomes a problem. The personal and organisational costs of burnout can be extensive in terms of physical health, work performance and psychological well-being. As an organisation, taking steps to minimise the risk of burnout before it happens is a more rational strategy. Building engagement is probably the best approach to preventing burnout. People who are engaged in the workplace are far better at coping with the challenges they encounter, thus making them more likely to recover from stress. So thriving at building an engaged workforce, before any major problems arise, represents a fantastic prevention method.

Organisational intervention can and is more productive than individual intervention. Improvements should be made in job conditions that affect most or even all employees. Generally, these improvements should make changes in the way an organisation works, that it actually begins to change the organisational culture and climate altogether.  The importance of the burnout-engagement ‘continuum’ is that engagement represents the desired goal for any burnout case. Through this framework, people will start to consider the factors in the workplace which are most likely to enhance employees’ energy, resilience and drive. According to the survey done by Accountemps, it has been revealed that more than half of employees reported feeling stressed at work on a daily basis, and 6 out of 10 agreed that work-related pressure has increased in the last five years. Some concerned HR leaders have called this a workplace epidemic.

The Costs of Employee Burnout

First of all, it is important to understand what the true costs of burning out are. In a recent study done by Gallup, it has been estimated that employee burnout cost the nation of Germany somewhere around 9 billion euros in lost productivity every year, whilst in the United States, burnout costs have been reported to be around 190 billion dollars in healthcare expenditure, with an additional 120,000 stress-related deaths.  In fact, this burnout epidemic has become a nationwide problem in Japan, where they’ve even invented a new word: “karoshi,” aka death from overwork. The latest case was the death of a 31-year old woman who died of heart failure after doing a whopping 159 overtime hours in one month.

How to maintain high engagement without burning out in the process

Here are a few key differences that have been found between the optimally engaged and the engaged-exhausted employees.

Half of the optimally engaged employees reported having ‘high resources’, such as supervisor support, a rewards and recognition system and self-efficacy at work, but experience ‘low demands’ such as low workload, low cumbersome bureaucracy, and low to moderate demands on concentration and attention. The other side of the coin have displayed such experiences of high resources and low demands were rare (4%) among the engaged-exhausted employees, the majority of whom (64%) reported experiencing high demands and high resources.

This should provide managers with an idea as to where to start supporting employees in order to achieve optimal engagement levels. In order to promote and achieve engagement, it is quintessential to provide employees with the resources they need to do their job well, feel good about the work they put in and properly recover from work-related stress.

Many organisations, at the recommendation of their respective HR departments, offer wellness programmes in order to combat stress. While it is common knowledge that chronic stress is not good for employees, these company wellness initiatives are not the most appropriate way to respond to that stress. Studies suggest that while wellness programmes can be helpful, a much bigger concern is the work itself. HR should work alongside front-line managers in order to monitor the level of demands they’re placing on people. The higher the work demands, the higher employees’ need for support, acknowledgement and opportunities for recovery.

What about challenges and goals? Challenges, as we all know it, are motivating. However, we often forget that high challenges usually come at high cost. Challenging achievement situations not only cause anxiety and stress for most motivated individuals but also lead to exhaustion. The research on challenges and goals is mixed – for some people, chasing ambitious goals does lead to higher performance. For most people, however, challenges and goals lead them towards demotivation, take unplanned risks, or even quit.

Managers and HR leaders alike should try and help employees by toning down the demands they are placing on people. They should ensure that employee goals are realistic. Rebalancing the workloads of more skilled employees helps as well, who have been saddled with way too much work. Furthermore, it is recommended to increase the resources available to employees and this does not only refer to material resources such as time and money, but also intangible resources such as empathy, understanding and friendship in the workplace, whilst also letting employees blow off some steam from work when they’re not working.

The data is crystal clear: engagement is the key; it’s what all organisations should strive towards for both leaders and employees. But the target is smart engagement, the type that brings in productivity, enthusiasm and motivation, without any burnout.

There is a real value in providing companies with the tools to carry out regular organisational assessments and this is where Great People Inside comes to your aid. Our online platform offers the best solutions and tools for your company to thrive in every type of industry and any possible situation your organisation may find itself. In terms of lowering your employee turnover rates, we recommend our GR8 Full Spectrum assessment for hiring and 360° Survey for retention. Finding the right talent, the best fit for the job and your organisation can be a very challenging task. It requires deep knowledge of your own organisation’s culture and a keen understanding of the candidate’s personality, strengths, interests, work style and other characteristics. Our technology and solutions will do the work for you, helping you find employees who can flourish and reach the highest performance required to constantly bring your company forward.

Request a free demo:

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Sources:

https://hbr.org/2018/02/1-in-5-highly-engaged-employees-is-at-risk-of-burnout

https://www.bamboohr.com/blog/examining-employee-burnout/

https://www.decision-wise.com/job-burnout-the-employee-engagement-killer/