Most organizations have moved up from the first generation of employee survey measurement—employee satisfaction and workforce temperature taking--to stronger performance related measures such as employee engagement and customer focus. But in the new environment of downsizing, M&As, outsourcing and offshoring, there is a growing urgency to maximize the value of people resources. People Equity is the collective value that an organization achieves by having a workforce that is highly motivated, intensely focused on customer requirements and strategy execution, and capable of delivering on these requirements.
|
Temperature-Taking |
Employee Entitlement |
Tactical (Engagement, |
Strategic People Equity |
| Focus is on: | |||
| Issues awareness | Satisfaction, morale, pay, job security, and other employee relations issues | Employee commitment, engagement, and their drivers | All three human capital components: engagement, alignment, commitment, and their drivers/enablers |
| Linked to: | |||
| No linkage | Limited employee relations outcomes | Employee engagement, turnover, performance | Customers, operations, and business outcomes |
| Action aimed at: | |||
| Low action | Corporate HR initiatives to improve morale, stem turnover | Issues, skill, or HR processes that influence employee commitment, engagement, or turnover | Human capital effectiveness (enterprise and division level) |
| Management commitment: | |||
| Low | Often low or narrowly focused | Varies across levels and functions; greater emphasis on middle management or unit themes | Strong leadership ownership and action; high middle management involvement |
| Resource allocation: | |||
| Few resources allocated to address issues | Follow up resources (time and funding) targeted defensively | Follow up resources targeted tactically | Follow up resources targeted strategically |
| Basic assumption: | |||
| “It’s better to know than not.” | “Happy employees produce good things.” | “Surveys help us improve people and people processes.” | “Human Capital Management is the critical strategic challenge.” |
People Equity Drives Customer and Financial Performance
Organizations that grow customer equity through stronger brands, closer relationships, and better products outperform their competitors while achieving higher financial equity. Employees help organizations achieve higher levels of customer and financial equity through high levels of employee Engagement, Alignment, and Capabilities.
Picture a three-legged stool in which we keep measuring whether one leg is broken, and we keep fixing or improving it over time, but the stool tips over because the other two legs are shorter. To achieve peak performance, organizations must grow and balance, and therefore measure, all three components.
Two Strategic Challenges: Right Content and Targeted Resources
- Right Content: effectively measuring all three dimensions of People Equity, and understanding their impact on business outcomes.
- Right Resources: effectively targeting limited action resources at the most critical issues, and in divisions or units with most significant gaps.
Metrus’ PeopleEquity™ survey approach enables you to meet these challenges! Benefits include:
- Quick development of map of People Equity strengths and gaps at multiple levels in the organization
- Increased involvement of managers as a result of linking employee beliefs to business results
- Rapid, efficient response to People Equity gaps, through use of resource allocation and action planning tools
Whether gained through a stand-alone PeopleEquity™ pulse survey or through a full PeopleEquity™ employee survey—you get the information you need to address the business challenges of 2004!
For more information, contact us: by e-mail or by phone (908) 231-1900.