Proprietary and confidential
Employee Engagement: How Emotional Commitment Drives Great Customer Service, Productivity and
Loyalty
www.KevinKruse.com
www.KevinKruse.com
Steven Slater JetBlue Flight A9endant
www.KevinKruse.com
www.KevinKruse.com
www.KevinKruse.com
www.KevinKruse.com Sources: Blessing White, Conference Board
1 in 3 engaged
www.KevinKruse.com
WHAT IS EMPLOYEE ENGAGEMENT? Now let’s talk about…
www.KevinKruse.com
SATISFIED HAPPY
www.KevinKruse.com
Employee engagement = Emo.onal commitment
to organiza6on’s goals.
www.KevinKruse.com
Employee engagement = Emo.onal commitment
DISCRETIONARY EFFORT
www.KevinKruse.com
www.KevinKruse.com
www.KevinKruse.com
Discre6onary Effort in QSRs: • Customer Service • SuggesKve Sells • Speed of Service • Accuracy • Food Prep • Cleanliness • REDUCES TURNOVER!
www.KevinKruse.com
CRISIS & OPPORTUNITY FOR BUSINESS
www.KevinKruse.com
Campbell’s Soup in 2000 • Sales were declining • Lost 54% of market value in 1 year • Engagement scores the worst of any Fortune 500 ever polled
Source: Forbes 06.23.09
www.KevinKruse.com
To win in the marketplace you must first win in the workplace.
www.KevinKruse.com
Engagement-‐Profit Chain
Sources: The Service Profit Chain, Heske9 & Sasser
www.KevinKruse.com
QSR Engagement-‐Profit Chain
Sources: The Service Profit Chain, Heske9 & Sasser
www.KevinKruse.com
www.KevinKruse.com
InterConKnental Hotels, each 5 point increase in engagement:
• increases RevPAR by $.070 • increases occupancy by 1% • increases Gross Opera6ng Profit by 7 points
www.KevinKruse.com Source: Forbes 6.23.09
25:1 20:1 15:1 10:1 5:1 0:1
www.KevinKruse.com
Ten Year Total Shareholder Return S&P 500 = 13% Campbell’s = 64%
Source: Forbes 6.23.09
www.KevinKruse.com Source: Kenexa 2009
5x Higher!
www.KevinKruse.com
ENGAGEMENT & OUR PERSONAL LIVES
www.KevinKruse.com
Spillover &
Crossover
www.KevinKruse.com
Increased risk for
heart aVacks
Source: Nyberg, et al, “Managerial Leadership and Ischemic Heart…”
www.KevinKruse.com
You have less
in6macy!
Source: Ma9hews, et al, “Work-‐Family Conflict and Marital Quality: MediaKng Processes”
www.KevinKruse.com
Children misbehave
Source: Stewart, Barling. “Fathers’ Work Experiences Effect Children’s Behaviors…”
www.KevinKruse.com Source: Stewart, Barling. “Fathers’ Work Experiences Effect Children’s Behaviors…”
www.KevinKruse.com
WHAT DRIVES ENGAGEMENT?
www.KevinKruse.com
Surveys of 10 million workers in
150 countries
www.KevinKruse.com
MANAGER/SUPERVISOR
www.KevinKruse.com
What are the TOP 3
drivers of engagement?
www.KevinKruse.com
Growth RecogniKon
Trust + Communica6on
www.KevinKruse.com
Personal Engagement Profile
www.MyEngagementProfile.com
www.KevinKruse.com
Growth From feedback
to feedforward
coaching.
www.KevinKruse.com
Growth
Source: Gallup 2005
www.KevinKruse.com
Growth
Source: Gallup 2005
Manager focuses on strengths: 61% engagement
www.KevinKruse.com
Growth
Source: Gallup 2005
Manager focuses on strengths: 61% engagement
Manager focuses on weakness: 45% engagement
www.KevinKruse.com
Growth
Source: Gallup 2005
Manager focuses on strengths: 61% engagement
Manager focuses on weakness: 45% engagement
Manager gives no feedback: 2% engagement
www.KevinKruse.com
Growth
Source: Gallup 2005
Career Path Conversa6ons
www.KevinKruse.com
Recogni6on
.
www.KevinKruse.com
things leaders can do to drive
recogni.on & apprecia.on
We value thanks based on… …the .me invested in it.
www.KevinKruse.com
To win in the marketplace you must first win in the workplace. 20
notes a day?!
30,000 in total?!
www.KevinKruse.com
things leaders can do to drive
recogni.on & apprecia.on Strategic Recogni6on: 3 parts
1. Say thanks 2. Specifically menKon the behavior you are
grateful for
3. Explain what it means to the company and/or how it aligns with company values, strategic prioriKes, etc.
www.KevinKruse.com
Trust
Certainty defeats anxiety.
www.KevinKruse.com
Trust The future of the company The future of the employee What future goal are we striving toward?
www.KevinKruse.com
Example BHAGs
20 by 2015!
2020 Vision!
Lead the future of networking
www.KevinKruse.com
Commun
ica6
on
www.KevinKruse.com
Communica6on • Is there a predictable rhythm? • Is it two-‐way?
www.KevinKruse.com
OPERATIONALIZE IT
www.KevinKruse.com
NEED TO KNOW RESULTS RECOGNITION
• Brand messages • Brand prioriKes • GOALS
* 50% QSR EEs don’t know vision for growth
• Contest results • Metrics • Guest Sat.
• Names • Photos • Thank you cards
www.KevinKruse.com
SHIFT HUDDLE
1) Sales & Svc Goal 2) PromoKons & Suggested Sells 3) RecogniKon
www.KevinKruse.com
www.KevinKruse.com
It all comes down to this…
www.KevinKruse.com
Ronald Bailey, Lieutenant General,
USMC
www.KevinKruse.com
www.KevinKruse.com
www.KevinKruse.com
www.KevinKruse.com
Wholehearted Leadership
Be tough on standards, and tender on people.
www.KevinKruse.com
The
WHY of
Leadership