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Improving Employee Engagement with EGC
0
Whitepaper
Improving Employee Engagement with
Employee Generated Content
MediaPlatform, Inc.
8383 Wilshire Boulevard
Suite 750
Beverly Hills, CA 90211
(310) 909-8410
info@mediaplatform.com
www.mediaplatform.com
Improving Employee Engagement with EGC
1
Using Employee Generated Content to Boost Engagement
The relationship between employee engagement and productivity is correlational and causal (as
we’ll discuss in subsequent sections), but the bridge between the two can be difficult to
traverse, complicated by reorganizations, multi-sourced teams, and time-zone differences. How
do you keep employees in the loop when the home office is in Kansas, but a huge segment of
the team is in Bangalore? Corporate video has been used to connect employees, clients and
stakeholders, for some time, but to employ a 20th
-
century format, in which static content is generated
and produced at the executive level, would be to
miss out on the enormous benefits and potential for
higher engagement to be found in Employee
Generated Content or EGC.
What is EGC?
Employee Generated Content (EGC) refers to content
produced by a company’s employees for strictly
internal purposes, which is usually accessed through
a company’s intranet. EGC is created, edited and
published directly by the employees themselves, and
usually requires adherence to established submission
protocols or may be pre-screened by communications
staff. Typically EGC is not intended to be
authoritative, but rather an expression of personal
thoughts and opinions within a professional context.
EGC can take the form of video content, newsletters,
presentations or blogs.
Why Employee Engagement Matters
In organizational development circles, the playbook
for increasing a company’s strength and
competitiveness invariably includes a chapter on the
dynamic between an engaged workforce and greater
efficiency and profitability. 62% of organizations
surveyed in the “State of HR survey 2013: recovery
in sight?” , which polled more than 300 HR
professionals across 13 industry sectors, say
employee engagement is their top HR priority in
2013i
, according to research by law firm Speechly
Bircham and King’s College London.
Benefits of EGC
When video EGC is created and
distributed in real-time, town hall
meetings and other events, become
vehicles for knowledge sharing,
expertise building, and are
effectively transformed into an
immersive virtual culture which
builds teams across borders.
Insiders continuously report that
employees are more engaged
through peer and manager EGC
than executive produced content1
.
The intangible benefits of video
EGC include a deeper consideration
of the nature and value of the
individual employee’s work, an
increased sense of the value of
their work, and a clearer
understanding of how their work
can benefit others and enable them
to be more productive, effective,
and derive more satisfaction from
their work, thereby creating a sense
of shared community and common
goals across divisions, branches,
and teams. The result is a more
engaged corps of employees.
Improving Employee Engagement with EGC
2
Engageonomics: The Engaged Employee vs. the Non-Engaged
Employee
Employee engagement is “a measurable degree of an employee’s positive or negative emotional
attachment to their job, colleagues and organization that profoundly influences their willingness
to learn and perform at work.”ii
Engaged employees are distinguished by an enhanced concern
for the future of the company, principally demonstrated by the
employee’s willingness to expend discretionary effort.iii
They
characteristically have a strong emotional attachment to the
company that employs them, which translates into tangible
positive business outcomes, such as higher retention rates,
productivity and reduced absenteeism. Engagement can be
broken down into four categories: Emotional Attachment,
Involvement, Commitment, and Productivity.
Emotional Attachment
88% of highly engaged employees believe they can “positively impact the quality of their
organization’s products”, versus 38% of disengaged
employees. 68% of highly engaged employees believe
they can “positively impact costs in their job or unit”
versus 19% of the disengaged. And there is ample
empirical data to support a correlation between an
employee’s belief about their ability to positively contribute
to a company and their subsequent performance.
Involvement
In a 2000 study of 15 steel mills, 17 apparel manufacturers, and 10 electronic instrument and
imaging equipment producers, researchers found that plants utilizing high-involvement practices
showed superior performance and inspired greater trust, organizational commitment and
intrinsic enjoyment of the work. In a 2005 study of sales teams, “low-engagement” teams
produced a difference in “performance-related costs of low- versus high-engagement teams
totaling $2,104,823.3.”iv
During two studies of employees in the life insurance industry (3,570 employees in 49
organizations and 4,828 employees in 92 organizations), researchers found that when
employees felt they had the power to make decisions, sufficient knowledge and information to
Improving Employee Engagement with EGC
3
work effectively, and rewards for high performance, high-involvement management practices
were positively associated with employee morale, employee retention, and firm financial
performance.v
Commitment
Employees with the highest level of commitment perform 20% better and are 87% less likely to
leave the organization.vi
At the beverage company Molson Coors, engaged
employees were five times less likely than non-engaged
employees to have a safety incident and seven times
less likely to have a lost-time safety incident. The net
cost for safety incidents was $63 for an engaged
employee versus $392 for a non-engaged employee.
Strengthened employee engagement at Molson Coors
resulted in a savings of $1,721,760 in safety costs in
2002. And in two studies (2000 and 2002), The global
consulting firm Watson Wyatt Worldwide found that high-commitment organizations (ones with
loyal and dedicated employees) out-performed those with low commitment by 47% and by
200%, respectively. vii
Productivity
In addition to the studies cited in the previous
section, in the management consulting firm Hay
Group’s study of professional service firms, they
found that offices with engaged employees were up
to 43% more productive.
Creating Buzz: Generating
Engagement
In real terms, employee engagement corresponds to
higher retention, improved customer service,
individual performance, unit productivity, and
enterprise-level financial performance, as these case
studies amply demonstrate, yet currently only 31%
of employees are actively engaged in their jobs,
according to Blessing White’s Employee Engagement
Report (2011)viii
. To create engagement means
creating situations in which employees choose to
work in the best interests of the company, because
“How To” Videos
In a recent survey of 240 managers
and executives across a variety of
industries conducted by a streaming
media group, it was found that
while most EGC were created by
executives, the most attention-
grabbing were those produced by
front-line employees. Of those
employees surveyed, 73% believe it
increased their productivity, which
is not surprising given that the
majority of the videos were “How
To” videos created by their
colleagues to share their
knowledge, expertise and insights.
Improving Employee Engagement with EGC
4
of an innate desire to do so. And there are specific drivers that can enable a company to
encourage those conditions:
• Effective internal employee communications
• Clarity of job expectations
• Regular feedback and dialogue with superiors
• Quality of working relationships with peers, superiors, and subordinates
• Perception of the ethos and values of the organization
• Perception of job importance
• Career advancement/improvement opportunities
Each of the outlined drivers can be built into a company’s culture in extremely cost-effective
ways, the most exciting being that of employee generated content (EGC).
Engaging the Masses
The modern workforce is a scattered one, with more employees than ever working in the field
or teleworking both domestically and internationallyix
. Numbers for those who telework vary
from 4 million to 44.4 million, depending on the definition, which itself variesx
. But for that X
million that work some or all of their work week
remotely, the traditional approach to ensuring
employee engagement and productivity – proximity
and oversight – is non-applicable.
As noted earlier, one of the principal drivers of an
engaged workforce is effective internal
communications. Effective internal communications
are most keenly lacking in global organizations where
the home office is in one country and a major
contingent of its annexed workforce is in anotherxi
.
For this segment of the workforce, a more innovative
process is required, one that enables remote
employees to connect with corporate goals and
inspires them to do their best, without the use of
face-to-face strong-arming. Video EGC is providing
this crucial link for the perpetually out-of-the-office
worker, by allowing them to connect with their peers
online and through mobile applications, wherever they are.
Capitalizing on the emergence of a hyper-mobilized workforce (1.2 billion workers worldwide
now carry mobile devicesxii
), MediaPlatform has become the first online video platform to enable
video upload from mobile devices (specifically iPhones®, iPads® and Android phones),
fostering greater employee engagement, connectivity and collaboration.
Benefits of Video EGC
Video EGC can attach workers to
company policies, best practices,
ideals and strategic developments
in a meaningful way, which
ultimately helps companies get the
most from remote employees. In
fact, remote employees, who have
no other way to have a group
huddle with their team, may be the
strongest advocates for and
beneficiaries of video EGC.
Improving Employee Engagement with EGC
5
Given that in 2012, 33% of business intelligence functionality was accessed by smartphones
and tabletsxiii
, the mobile video solution MediaPlatform offers has substantial benefits for near-
sourced staff as well.
Creating and Sustaining Engagement in a Time of Transition:
Pfizer’s EGC Story
70 percent of business transformation efforts fail due to lack of engagementxiv
. Perhaps it was
for this reason that when Pfizer, the world’s largest pharmaceutical company (59 billion in
revenuesxv
and over 91,000 employeesxvi
) began to develop a strategy for building and
sustaining employee engagement through its 2006 – 2007 global transformation, it looked for
something outside of the traditional corporate messaging platforms. The reorganization would
be pretty dramatic, involving a radical overhaul of the business, reorganization of the structure
(staff reductions of roughly 20%), and a host of new responsibilities, especially for the field-
based workforce (which meant 70% of the staff). The changes would bring into question every
aspect of a worker’s daily life: Who would they be reporting to? What were their new
responsibilities? How would they manage those responsibilities? Lesser conditions would inspire
dread and, consequently, a drop in engagement with far-reaching ripple effects. Pfizer was
looking at the real possibility of widespread panic.
To engage staff organically, a solution as drastically different from Old World corporate
directives as the organization hoped to emerge from the transition, was sought. The goal of
the reorganization was to become leaner and more competitive, of course, but it was also to
spur a metamorphosis in culture, shedding its highly conservative and “risk averse” nature, and
becoming a “communication culture” that was open and dynamic. “In the lead up, by necessity,
you have lots of top-down, legal-based communication,” explains Nigel Edwards, Pfizer’s UK
Internal Communication Manager. “When that goes on for a period of time, it does color what
people are feeling about the organization.” To minimize employee distrust and disengagement
the medium had to be the same as the message in tone and character, or fall prey to appearing
disingenuous.
Edwards’ team selected 10 employees (from all levels of the organization), armed them with
cameras and tripods and empowered them to create EGC in the form of video diaries of their
experience with the transformation – a sort of Pfizer “Real World”. The diarists were given the
freedom to be brutally honest: “Every time you go to an internal meeting or have a
conversation or see a change – something that makes you think about how you do your job,
how you fit in and what this transformation will mean to you - just go in front of the camcorder
and say what it felt like and what you learned.'” The EGC diaries were distributed in stages
throughout the crucial three-month gap between the announcement of the change and the
conference in which staff could share feedback on it.
The results were “extraordinary”, according to Edwards. The frankness and relatable of seeing
people “who look like” them, doing their jobs, and encountering similar challenges, often
Improving Employee Engagement with EGC
6
recorded at the employees’ homes (with cats and children in the background), created a wave
of good feeling. Pulse surveys tracked an upswing on the critical terms of study, field
employees reported: knowing how the new organization worked, feeling engaged in it, and
feeling confident about the future – all harbingers of a more engaged workforce. The most
crucial positive outcome was that employing EGC had enabled Pfizer to build and sustain trust
through the change process, which is often the hardest hit and the hardest to reestablish after
a restructuring.
i
http://www.employeebenefits.co.uk/benefits/staff-motivation/engagement-biggest-priority-for-
hr/101364.article
ii
http://en.wikipedia.org/wiki/Employee_engagement
iii
http://en.wikipedia.org/wiki/Employee_engagement
iv
http://en.wikipedia.org/wiki/Employee_engagement
v
http://en.wikipedia.org/wiki/Employee_engagement#cite_note-konrad-7
vi
http://en.wikipedia.org/wiki/Employee_engagement#cite_note-lockwood-11
vii
http://en.wikipedia.org/wiki/Employee_engagement
viii
http://www.blessingwhite.com/eee__report.asp
ix
http://www.globalizationx.com/geographic-diversification-now-an-essential-part-of-outsourcing/
x
http://www.teleworkresearchnetwork.com/resources/people-telecommute
xi
http://en.wikipedia.org/wiki/Employee_engagement
xii
http://www.mediaplatform.com/site/2013/03/mediaplatform-announces-enterprise-mobile-video-
uploading/
xiii
http://www.mediaplatform.com/site/2013/03/mediaplatform-announces-enterprise-mobile-video-
uploading/
xiv
http://www.cmswire.com/cms/social-business/gamification-the-secret-weapon-of-employee-
engagement-020079.php
xv
http://finance.yahoo.com/q/ks?s=PFE
xvi
http://www.macroaxis.com/invest/ratio/PFE--Number_of_Employees

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Improve Employee Engagement with Employee Generated Content (EGC)

  • 1. Improving Employee Engagement with EGC 0 Whitepaper Improving Employee Engagement with Employee Generated Content MediaPlatform, Inc. 8383 Wilshire Boulevard Suite 750 Beverly Hills, CA 90211 (310) 909-8410 info@mediaplatform.com www.mediaplatform.com
  • 2. Improving Employee Engagement with EGC 1 Using Employee Generated Content to Boost Engagement The relationship between employee engagement and productivity is correlational and causal (as we’ll discuss in subsequent sections), but the bridge between the two can be difficult to traverse, complicated by reorganizations, multi-sourced teams, and time-zone differences. How do you keep employees in the loop when the home office is in Kansas, but a huge segment of the team is in Bangalore? Corporate video has been used to connect employees, clients and stakeholders, for some time, but to employ a 20th - century format, in which static content is generated and produced at the executive level, would be to miss out on the enormous benefits and potential for higher engagement to be found in Employee Generated Content or EGC. What is EGC? Employee Generated Content (EGC) refers to content produced by a company’s employees for strictly internal purposes, which is usually accessed through a company’s intranet. EGC is created, edited and published directly by the employees themselves, and usually requires adherence to established submission protocols or may be pre-screened by communications staff. Typically EGC is not intended to be authoritative, but rather an expression of personal thoughts and opinions within a professional context. EGC can take the form of video content, newsletters, presentations or blogs. Why Employee Engagement Matters In organizational development circles, the playbook for increasing a company’s strength and competitiveness invariably includes a chapter on the dynamic between an engaged workforce and greater efficiency and profitability. 62% of organizations surveyed in the “State of HR survey 2013: recovery in sight?” , which polled more than 300 HR professionals across 13 industry sectors, say employee engagement is their top HR priority in 2013i , according to research by law firm Speechly Bircham and King’s College London. Benefits of EGC When video EGC is created and distributed in real-time, town hall meetings and other events, become vehicles for knowledge sharing, expertise building, and are effectively transformed into an immersive virtual culture which builds teams across borders. Insiders continuously report that employees are more engaged through peer and manager EGC than executive produced content1 . The intangible benefits of video EGC include a deeper consideration of the nature and value of the individual employee’s work, an increased sense of the value of their work, and a clearer understanding of how their work can benefit others and enable them to be more productive, effective, and derive more satisfaction from their work, thereby creating a sense of shared community and common goals across divisions, branches, and teams. The result is a more engaged corps of employees.
  • 3. Improving Employee Engagement with EGC 2 Engageonomics: The Engaged Employee vs. the Non-Engaged Employee Employee engagement is “a measurable degree of an employee’s positive or negative emotional attachment to their job, colleagues and organization that profoundly influences their willingness to learn and perform at work.”ii Engaged employees are distinguished by an enhanced concern for the future of the company, principally demonstrated by the employee’s willingness to expend discretionary effort.iii They characteristically have a strong emotional attachment to the company that employs them, which translates into tangible positive business outcomes, such as higher retention rates, productivity and reduced absenteeism. Engagement can be broken down into four categories: Emotional Attachment, Involvement, Commitment, and Productivity. Emotional Attachment 88% of highly engaged employees believe they can “positively impact the quality of their organization’s products”, versus 38% of disengaged employees. 68% of highly engaged employees believe they can “positively impact costs in their job or unit” versus 19% of the disengaged. And there is ample empirical data to support a correlation between an employee’s belief about their ability to positively contribute to a company and their subsequent performance. Involvement In a 2000 study of 15 steel mills, 17 apparel manufacturers, and 10 electronic instrument and imaging equipment producers, researchers found that plants utilizing high-involvement practices showed superior performance and inspired greater trust, organizational commitment and intrinsic enjoyment of the work. In a 2005 study of sales teams, “low-engagement” teams produced a difference in “performance-related costs of low- versus high-engagement teams totaling $2,104,823.3.”iv During two studies of employees in the life insurance industry (3,570 employees in 49 organizations and 4,828 employees in 92 organizations), researchers found that when employees felt they had the power to make decisions, sufficient knowledge and information to
  • 4. Improving Employee Engagement with EGC 3 work effectively, and rewards for high performance, high-involvement management practices were positively associated with employee morale, employee retention, and firm financial performance.v Commitment Employees with the highest level of commitment perform 20% better and are 87% less likely to leave the organization.vi At the beverage company Molson Coors, engaged employees were five times less likely than non-engaged employees to have a safety incident and seven times less likely to have a lost-time safety incident. The net cost for safety incidents was $63 for an engaged employee versus $392 for a non-engaged employee. Strengthened employee engagement at Molson Coors resulted in a savings of $1,721,760 in safety costs in 2002. And in two studies (2000 and 2002), The global consulting firm Watson Wyatt Worldwide found that high-commitment organizations (ones with loyal and dedicated employees) out-performed those with low commitment by 47% and by 200%, respectively. vii Productivity In addition to the studies cited in the previous section, in the management consulting firm Hay Group’s study of professional service firms, they found that offices with engaged employees were up to 43% more productive. Creating Buzz: Generating Engagement In real terms, employee engagement corresponds to higher retention, improved customer service, individual performance, unit productivity, and enterprise-level financial performance, as these case studies amply demonstrate, yet currently only 31% of employees are actively engaged in their jobs, according to Blessing White’s Employee Engagement Report (2011)viii . To create engagement means creating situations in which employees choose to work in the best interests of the company, because “How To” Videos In a recent survey of 240 managers and executives across a variety of industries conducted by a streaming media group, it was found that while most EGC were created by executives, the most attention- grabbing were those produced by front-line employees. Of those employees surveyed, 73% believe it increased their productivity, which is not surprising given that the majority of the videos were “How To” videos created by their colleagues to share their knowledge, expertise and insights.
  • 5. Improving Employee Engagement with EGC 4 of an innate desire to do so. And there are specific drivers that can enable a company to encourage those conditions: • Effective internal employee communications • Clarity of job expectations • Regular feedback and dialogue with superiors • Quality of working relationships with peers, superiors, and subordinates • Perception of the ethos and values of the organization • Perception of job importance • Career advancement/improvement opportunities Each of the outlined drivers can be built into a company’s culture in extremely cost-effective ways, the most exciting being that of employee generated content (EGC). Engaging the Masses The modern workforce is a scattered one, with more employees than ever working in the field or teleworking both domestically and internationallyix . Numbers for those who telework vary from 4 million to 44.4 million, depending on the definition, which itself variesx . But for that X million that work some or all of their work week remotely, the traditional approach to ensuring employee engagement and productivity – proximity and oversight – is non-applicable. As noted earlier, one of the principal drivers of an engaged workforce is effective internal communications. Effective internal communications are most keenly lacking in global organizations where the home office is in one country and a major contingent of its annexed workforce is in anotherxi . For this segment of the workforce, a more innovative process is required, one that enables remote employees to connect with corporate goals and inspires them to do their best, without the use of face-to-face strong-arming. Video EGC is providing this crucial link for the perpetually out-of-the-office worker, by allowing them to connect with their peers online and through mobile applications, wherever they are. Capitalizing on the emergence of a hyper-mobilized workforce (1.2 billion workers worldwide now carry mobile devicesxii ), MediaPlatform has become the first online video platform to enable video upload from mobile devices (specifically iPhones®, iPads® and Android phones), fostering greater employee engagement, connectivity and collaboration. Benefits of Video EGC Video EGC can attach workers to company policies, best practices, ideals and strategic developments in a meaningful way, which ultimately helps companies get the most from remote employees. In fact, remote employees, who have no other way to have a group huddle with their team, may be the strongest advocates for and beneficiaries of video EGC.
  • 6. Improving Employee Engagement with EGC 5 Given that in 2012, 33% of business intelligence functionality was accessed by smartphones and tabletsxiii , the mobile video solution MediaPlatform offers has substantial benefits for near- sourced staff as well. Creating and Sustaining Engagement in a Time of Transition: Pfizer’s EGC Story 70 percent of business transformation efforts fail due to lack of engagementxiv . Perhaps it was for this reason that when Pfizer, the world’s largest pharmaceutical company (59 billion in revenuesxv and over 91,000 employeesxvi ) began to develop a strategy for building and sustaining employee engagement through its 2006 – 2007 global transformation, it looked for something outside of the traditional corporate messaging platforms. The reorganization would be pretty dramatic, involving a radical overhaul of the business, reorganization of the structure (staff reductions of roughly 20%), and a host of new responsibilities, especially for the field- based workforce (which meant 70% of the staff). The changes would bring into question every aspect of a worker’s daily life: Who would they be reporting to? What were their new responsibilities? How would they manage those responsibilities? Lesser conditions would inspire dread and, consequently, a drop in engagement with far-reaching ripple effects. Pfizer was looking at the real possibility of widespread panic. To engage staff organically, a solution as drastically different from Old World corporate directives as the organization hoped to emerge from the transition, was sought. The goal of the reorganization was to become leaner and more competitive, of course, but it was also to spur a metamorphosis in culture, shedding its highly conservative and “risk averse” nature, and becoming a “communication culture” that was open and dynamic. “In the lead up, by necessity, you have lots of top-down, legal-based communication,” explains Nigel Edwards, Pfizer’s UK Internal Communication Manager. “When that goes on for a period of time, it does color what people are feeling about the organization.” To minimize employee distrust and disengagement the medium had to be the same as the message in tone and character, or fall prey to appearing disingenuous. Edwards’ team selected 10 employees (from all levels of the organization), armed them with cameras and tripods and empowered them to create EGC in the form of video diaries of their experience with the transformation – a sort of Pfizer “Real World”. The diarists were given the freedom to be brutally honest: “Every time you go to an internal meeting or have a conversation or see a change – something that makes you think about how you do your job, how you fit in and what this transformation will mean to you - just go in front of the camcorder and say what it felt like and what you learned.'” The EGC diaries were distributed in stages throughout the crucial three-month gap between the announcement of the change and the conference in which staff could share feedback on it. The results were “extraordinary”, according to Edwards. The frankness and relatable of seeing people “who look like” them, doing their jobs, and encountering similar challenges, often
  • 7. Improving Employee Engagement with EGC 6 recorded at the employees’ homes (with cats and children in the background), created a wave of good feeling. Pulse surveys tracked an upswing on the critical terms of study, field employees reported: knowing how the new organization worked, feeling engaged in it, and feeling confident about the future – all harbingers of a more engaged workforce. The most crucial positive outcome was that employing EGC had enabled Pfizer to build and sustain trust through the change process, which is often the hardest hit and the hardest to reestablish after a restructuring. i http://www.employeebenefits.co.uk/benefits/staff-motivation/engagement-biggest-priority-for- hr/101364.article ii http://en.wikipedia.org/wiki/Employee_engagement iii http://en.wikipedia.org/wiki/Employee_engagement iv http://en.wikipedia.org/wiki/Employee_engagement v http://en.wikipedia.org/wiki/Employee_engagement#cite_note-konrad-7 vi http://en.wikipedia.org/wiki/Employee_engagement#cite_note-lockwood-11 vii http://en.wikipedia.org/wiki/Employee_engagement viii http://www.blessingwhite.com/eee__report.asp ix http://www.globalizationx.com/geographic-diversification-now-an-essential-part-of-outsourcing/ x http://www.teleworkresearchnetwork.com/resources/people-telecommute xi http://en.wikipedia.org/wiki/Employee_engagement xii http://www.mediaplatform.com/site/2013/03/mediaplatform-announces-enterprise-mobile-video- uploading/ xiii http://www.mediaplatform.com/site/2013/03/mediaplatform-announces-enterprise-mobile-video- uploading/ xiv http://www.cmswire.com/cms/social-business/gamification-the-secret-weapon-of-employee- engagement-020079.php xv http://finance.yahoo.com/q/ks?s=PFE xvi http://www.macroaxis.com/invest/ratio/PFE--Number_of_Employees