Workplace Productivity & Culture - Presented by Meri Justis

1. Workplace Culture and
Productivity
IT’S YOUR BOTTOM LINE
SPRINGFIELD AREA CHAMBER OF COMMERCE
MEMBERSHIP BREAKFAST
Presented by
T HE J USTIS G ROUP

2. Harvard Business Review Study
Service-Profit
Chain
Premise:
When service companies put
employees and customers first,
a radical shift occurs in the
way they manage and
measure success.
Putting the Service-Profit Chain to Work
The Justis Group Harvard Business Review

3. Employee Productivity Drives
Profitability and Growth
Leadership
Profitability & Growth
Putting the Service-Profit Chain to Work
The Justis Group Harvard Business Review

4. Employee Productivity Drives
Profitability and Growth
Leadership
Internal Quality
Employee Satisfaction
Employee Loyalty
Employee Productivity
External Service Value
Customer Satisfaction
Customer Loyalty
Profitability & Growth
Putting the Service-Profit Chain to Work
The Justis Group Harvard Business Review

5. Work Place Culture and Productivity
The Bad News:
 Employee Retention Ranges from 44% to 60%
(Surveys: Manpower, Monster & Career Builder)
 Cost of Turnover ranges from 25% to 250% of the
annual salary per exiting employee
 45% of employees plan to look for a job in 2011
(Blessingwhite Research)
The Justis Group

6. Work Place Culture and Productivity
Cost Associated with Turnover:
- Exit Costs: HR, Managerial Handoff, Lost
Customer/Contacts, Lost Knowledge
- Absence Costs: Coverage, Productivity, Disruption
- Recruitment Costs: Advertising, Internal/External
Recruitment, Hiring Manager, Screening
- Onboarding Costs: Onboarding, Training, and
Productivity Ramp-up
The Justis Group

7. Work Place Culture and Productivity
 According to the US Bureau of
Labor Statistics, the average non-
farm turnover rate is 3.3%
How does your company’s
turnover rate compare?
The Justis Group

8. Top Reasons Why People Leave
 My career 26% - I don’t have opportunities to grow/advance.
 My work 15% - I don’t like what I do or it doesn’t make the
most of my talents.
 My finances 15% - I want to earn more money.
 My desire for change 12% - I want to try something new.
 My manager 10% - I don’t like working for him or her.
 Other 18% - (economy, job conditions, company mission)
The Justis Group Blessingwhite Research

9. Work Place Culture and Productivity
Blessingwhite Research:
Employer caution: …compared
to 2008, more employees who
can be considered high
performers are planning to exit.
The Justis Group

10. Work Place Culture and Productivity
Just working on retaining
employees is not enough.
You want engaged employees!
The Justis Group

11. Work Place Culture and Productivity
Once we get past the issue of
compensation, people want to
contribute and see their contribution
make a difference.
They want opportunities for learning,
development, promotions and to feel as
if they are part of the success.
The Justis Group Blessingwhite Research

12. Work Place Culture and Productivity
Engagement Defined:
 Contribution to the company’s success
 Personal satisfaction in their role
• 33% Engaged
• 24% Almost Engaged
• 15% Crash & Burners
• 10% Honeymooners & Hamsters
• 18% Fully Disengaged
The Justis Group Blessingwhite Research

13. Work Place Culture and Productivity
So, what can we do to keep our
best people – and keep them
engaged in the work we do?
The Justis Group

14. Work Place Culture and Productivity
 Coaching, relationships and dialogue:
- Managers must understand each person’s talents,
interests and needs and match those with the
company’s objectives.
- Tie employee goals to the company’s objectives.
- They also need to build personal, trusting
relationships with employees.
- And they need open and frequent dialog with
employees to head off problems that can lead to
disengagement.
The Justis Group Blessingwhite Research

15. Work Place Culture and Productivity
 Trust, communication and culture:
- At the top level, a business owner must earn
trust by being consistent in words and deeds.
- It’s also important to communicate frequently.
- Finally, create a culture where your company’s
values are truly reflected in day-to-day
business practices. In other words, walk the
walk, don’t just talk the talk.
The Justis Group Blessingwhite Research

16. 7 Keys to Increasing Productivity
 Hire right the first time
 Terminate non-engaged employees
 Give 80% of your management time to coaching,
relationship building and dialoguing with the Engaged
and the Almost Engaged
 Train managers to lead proactively
 Develop and maintain a goal setting culture
 Celebrate achievements
 Establish realistic work/life balance expectations for
everyone
 Be consistent in all things – create trust, open
communication and honesty
The Justis Group

17. Work Place Culture and Productivity
Questions?
The Justis Group

18. Work Place Culture and Productivity
Insights and
Actions
(Card on table)
The Justis Group

19. Work Place Culture and Productivity
Thank You
The Justis Group