Effective Communication Can Drive Employee Engagement, Help Retain Top Performers, According to Watson Wyatt
November 09 2009 - 10:00AM
PR Newswire (US)
WASHINGTON, Nov. 9 /PRNewswire-FirstCall/ -- In a business
environment that remains tumultuous, companies with highly
effective internal communication programs are better placed to keep
employees engaged and retain key talent, according to a new survey
by Watson Wyatt, a leading global consulting firm. "As the economy
continues to shift, keeping employees up-to-date on how the company
is responding, and how they are affected, will help insure against
their becoming demoralized and disconnected," said Kathryn Yates,
global leader of communication consulting at Watson Wyatt.
"Effective communication helps engage employees, and that has
positive implications for productivity and the bottom line." The
survey found that 61 percent of companies that are highly effective
communicators report that their managers are effective at dealing
openly with resistance to change, compared with only 18 percent of
low-effectiveness communicators. Similarly, 64 percent of highly
effective communicators report that their managers are effective at
addressing the needs and concerns of their current employees,
compared with only 22 percent of companies that are
low-effectiveness communicators. The 2009/2010 Watson Wyatt
Communication ROI Study, conducted in April 2009, included 328
organizations that collectively represent 5 million employees from
various regions around the world. The research identified the best
practices of companies that are highly effective communicators.
These include: 1. Communicate how employees will be affected as the
business changes. More than six of 10 companies (62 percent) that
are highly effective communicators have a clearly defined employee
value proposition (EVP), compared with just 23 percent of less
effective communicators. The EVP, or "employment deal," lets
employees know what the company expects from them and what they can
expect from the company. Fifty percent of highly effective
communicators also align the EVP with their external brand, while
only 16 percent of less effective communicators do. Surprisingly,
only 14 percent of companies are revising their EVP in the current
economic environment. "Many companies take steps to protect their
bottom line during challenging economic times, including modifying,
eliminating or drastically altering their employee programs," said
Yates. "Employees will be aware that their EVP is changing -- from
the company culture to their own rewards and benefits. They'll be
looking to management to redefine and communicate the 'new'
employment deal, to help them understand what they need to do
differently in the future and what they can expect from the company
in return." 2. Trust and train leaders to talk about change. For
messages about business change, face-to-face communication channels
such as town halls and staff meetings are preferred over social
media, the intranet or printed materials. The survey found that 73
percent of highly effective communicators say their managers are
effective at supporting the executive management vision through
their actions, compared with only 29 percent of low-effectiveness
communicators. "Managers need some time to come to terms with the
organizational changes on a personal level before they're asked to
help employees," said Yates. "At that point, they can reasonably be
expected to communicate and endorse changes." 3. Follow up with
measurements and metrics. Highly effective communicators are
two-to-three times more likely to have a documented communication
strategy than low-effectiveness communicators. Fifty-three percent
of highly effective communicators are including more communication
outcome metrics in their strategies, compared with only 34 percent
of low-effectiveness communicators. Despite this, a relatively high
percentage (43 percent) of all respondents report having no formal
measurement or assessments. "Highly effective communicators measure
to see exactly what they are accomplishing at each step," said John
Finney, senior communication consultant. "Communication does not
exist in a vacuum -- it always serves a larger business purpose.
The best-performing companies plan communication strategically,
like any other business area." To view the 2009/2010 Communication
ROI Study report, visit http://www.watsonwyatt.com/CommROI. About
Watson Wyatt Watson Wyatt (NYSE:WWNASDAQ:WW) is the trusted
business partner to the world's leading organizations on people and
financial issues. The firm's global services include: managing the
cost and effectiveness of employee benefit programs; developing
attraction, retention and reward strategies; advising pension plan
sponsors and other institutions on optimal investment strategies;
providing strategic and financial advice to insurance and financial
services companies; and delivering related technology, outsourcing
and data services. Watson Wyatt has 7,500 associates in 33
countries and is located on the Web at http://www.watsonwyatt.com/.
DATASOURCE: Watson Wyatt CONTACT: Steve Arnoff of Watson Wyatt,
+1-703-258-7634, ; or Ed Emerman for Watson Wyatt, +1-609-275-5162,
Web Site: http://www.watsonwyatt.com/
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