News round-up

Citation

(2015), "News round-up", Human Resource Management International Digest, Vol. 23 No. 3. https://doi.org/10.1108/HRMID-03-2015-0046

News round-up

Article Type: News round-up From: Human Resource Management International Digest, Volume 23, Issue 3

Key role for HR in making the workforce more agile

Only a quarter of employees think that work is central to their lives, compared to almost half 10 years ago, according to research from the CIPD, the professional body for human resource (HR) and people development, in partnership with the Agile Future Forum.

The CIPD urges business leaders to recognize that, by finding mutually beneficial working arrangements that match individual expectations to business needs, organizations will be in a stronger position to develop a workforce that performs better overall, and particularly in fast-moving conditions.

HR: Getting Smart About Agile Working explores how HR can develop and support the traits of an agile business which, according to the Economist Intelligence Unit, include rapid decision-making and execution, a high-performance culture, flexibility of management practices and resources and organizational structures that support collaboration.

The report also found that, in line with changing career expectations, the norm of where, when and how people prefer to work is changing.

Over a third (35 per cent) of employees said they would like to change their working arrangements and of those, the majority (43 per cent) would most like to change the start or finish time of their day. Just under a half (45 per cent) of employees take telephone calls or respond to e-mails outside their working hours, with over a third choosing to stay contactable rather than being pressured to do so. One in five (21 per cent) works from home at least once a week, and one in ten (10 per cent) spends most of their time at a client or customer.

Ksenia Zheltoukhova, research adviser at the CIPD, said: “If organizations want to get the best out of their people they have to get smarter about understanding how, when and where individuals want to work.

“Our research provides clear evidence that many businesses are out of step with employee expectations, although by meeting employee expectations, they stand to have greater employee engagement, a more productive workforce and stronger organizational performance.

“To achieve this, though, organizations must question assumptions about people-management practices and processes and establish working solutions that are of value both to individuals and to the business”.

While the changing nature of work and shifting employee expectations require a greater degree of flexibility in when, where and how people work, the research found that many organizations are struggling to embrace new ways of working. Lack of trust, cost considerations and misdirected investments are key factors preventing organizations from implementing agile-working practices:

Cost management is the No. 1 current priority among most organizations (59 per cent), and is a particular challenge for public-sector organizations. Prioritizing cost management and current operational pressures can hinder organizations’ ability to invest in new ways of working, with a risk of them compromising their long-term potential to support the bottom line and improve responsiveness to change.

Lack of trust in employees who are working remotely and negative attitudes to flexible arrangements are a significant barrier to change, particularly in the public sector. In the survey, 22 per cent of public-sector HR leaders and 15 per cent of private-sector HR leaders suggested that negative line-manager attitudes were acting as a barrier to offering flexible working.

Efforts to boost agility are often fragmented. Many HR specialists focus attention on workforce planning (64 per cent) and training and development (54 per cent) to improve their organization’s responsiveness to change. However, less attention is given to creating organizational environments that enable the agile workforce to thrive.

Training and development should be complemented by organizational structures and cultures that support flexible working, flexible skill application and better leadership and ownership of tasks at all levels.

Ksenia Zheltoukhova continued: “Our insights show that business leaders see people as the key factor making a difference to improving organizational responsiveness to change. This is a real opportunity for HR specialists to make a strategic contribution to organizational agility through the right people practices. But to deliver on that challenge, the function itself should adopt a more flexible approach and new ways of thinking.

“HR specialists should seize the opportunity to break out of existing stifling structures, rewrite the rulebook and experiment with small pilot projects that disprove suspicions and demonstrate a clear business case for flexible working. This can help HR specialists to gain credibility and trust, enabling a wider shift towards more agile ways of working”.

The report identifies two areas where HR can make a difference to support smart and agile ways of working:

1. owning the strategic-agility agenda by foreseeing and addressing emerging business needs; and

2. using experimentation and incremental change to adapt and build people-management solutions geared to support current and future business needs.

Fiona Cannon, director at Agile Future Forum, said: “The way we work – where, when, how and in what role – has been changing and the speed of this change is accelerating. The traditional model of work used by most UK organizations needs to change, too.

“The Agile Future Forum (AFF) was founded by business leaders who, by adopting agile working practices, have seen additional financial value across sectors equivalent to 3-7 per cent of workforce costs and sales uplift of up to 11 per cent as well as providing personal benefits for their employees.

“The aim of the AFF is to change the cultural mindset of the UK from flexibility to agility, support the increase in agile-working practices and to help position the UK as one of the most agile countries in the world. We are very pleased to be working with the CIPD on the issue of workforce agility and believe that HR specialists have an important role in creating a more agile workforce”.

Employers struggle with absence caused by “secret” carers

More than one in three employers report that absence levels have increased because of staff struggling to cope with their caring responsibilities outside of work.

Despite this, figures from the CIPD, the professional body for HR and people development, show that only one in six organizations has policies in place to help to achieve a better balance between home and working lives.

Ben Black, director of My Family Care, which helps some of the UK’s biggest companies to implement family-friendly working policies, commented: “These findings reveal the shocking situation that today’s workers face – torn between their work and family. With the country’s aging population, things are only going to get worse. Companies need to realize that they have to make changes in their policy and put practical enablers in place to retain the best staff.

“The Center for Economics and Business Research revealed that 50,000 Britons will quit their jobs to care for their relatives with dementia this year. Yet much of this can be avoided through flexible working, career breaks, support groups or the ability to purchase additional leave.

“Our clients, which include IBM, Citi and KPMG, are prepared to make allowances for their staff; they know that if they offer them understanding and look at each employee as an individual, they can get the best out of their staff, in turn improving employee engagement and increasing productivity and profit. Many of our clients also give their employees access to our practical resources such as back-up adult dependant care and time-saving help with navigating the care-solutions maze as well as coaching for managers and individuals in how to have better conversations about all this and stay resilient”.

Disengaged employees cost UK £15 billion

UK businesses are suffering large losses in company performance because of disengaged employees who complain of working conditions that result in constant distraction and disruption and a lack of privacy.

Research by the Center for Mental Health shows that “presenteeism” – being at work physically but unproductive mentally – costs UK businesses £15 billion a year and that includes the cost of disengaged employees.

A recent Ipsos survey commissioned by office-furniture company Steelcase highlights the issue. Only 11 per cent of workers in open-plan offices are engaged and inspired at work, 63 per cent are disengaged and unmotivated, 37 per cent describe their workplace as stressful.

Lack of privacy and unwanted distractions were workers No. 1 complaint, with the average worker being interrupted every 3 minutes and taking up to 23 minutes to return to the task at hand. In the UK, only 57 per cent of the people surveyed said they could concentrate easily and only 50 per cent are able to work without interruption.

Almost half of all offices in the UK are open plan, the highest figure of the countries surveyed, and although most workers felt that open-plan spaces were fit for their lifestyle and an appropriate space for them to work, many still reported being stressed and distracted.

Bostjan Ljubic, vice president of Steelcase UK and Ireland, said: “This research shows that, although there are positives to working in an open-plan office, including the ease of communicating with colleagues and collaboration, workers need privacy to fulfil more demanding tasks.

“By catering for different work styles in the office and providing employees with a choice of space, UK businesses can ensure that workers are supported, reducing the impact of distraction on workers’ well-being and productivity”.

Dr Susan Cain, author of Quiet: the Power of Introverts in a World That Can’t Stop Talking, provides tips on reducing the stress of over-stimulating and high-technology offices. They include offering employees:

• permission to be alone;

• control over their environment such as lighting, noise and temperature;

• sensory balance, including materials and sounds that reflect nature; and

• the chance to get away from people watching them or being interrupted.

Bostjan Ljubic said: “There needs to be a balance between the isolated, cage-like office cubicles of the past and today’s noisy, public and distracting spaces. The solution is to offer a balance, spaces to relax or focus as well as spaces to collaborate and be social. When workers are given the power to make decisions over their working environments the workspace will be a much more productive and stress-free environment.”

Quarter of employees lack confidence in senior management

A quarter of UK workers do not have confidence in their senior leaders and less than a third think that changes are well implemented at their organization.

Research by professional-services company Towers Watson reveals the consequences of poor change leadership in terms of employee engagement, and in turn company performance.

The study shows that one in four UK employees is currently disengaged, with an “excessive amount of change” cited as one of the top causes of work-related stress. About half of employees (48 per cent) feel that leaders are not inspiring them to give their best at work and therefore they are not as productive as they could be. Only half (49 per cent) of employees believe the information they receive from the senior-leadership team.

Nick Tatchell, director of organizational surveys and insights at Towers Watson, said: “Our latest research shows that UK bosses are not as effective as they could be in driving strong performance from the workforce. Being a great leader means creating a culture in which employees can flourish by removing obstacles and providing inspiration. Having a significant segment of the working population worrying about too much change, without a clear steer from the top, qualifies as leadership failure.”

A key component of change leadership is communication. The research shows a clear opportunity for improvement in this regard. Only 40 per cent of employees feel that changes are effectively communicated at their organization. Half of workers think company leaders are succeeding in building enthusiasm for change.

Richard Veal, UK leader for reward, talent and communication at Towers Watson, commented: “There is no escaping the fact that companies need to continually change and innovate in order to minimize emerging risks and capitalize on new opportunities created by evolving customer demand. However, how they communicate those changes is crucial to business success.

“A change-management program needs to be accompanied by a comprehensive communications plan that delivers sincere, clear and consistent messages about the future. The best leaders understand the importance of engaging employees at an emotional level. They address difficult issues head-on in their communications to staff, but at the same time create excitement around what is to come, rather than the current fear and disillusionment that our research highlights.

“Strong change leadership requires chief executives to know what success looks like and how to tell a story. It is about giving as much specific detail as possible but also acknowledging what is not yet known.

“They need to demonstrate transparency and apply a personal touch by going above and beyond the corporate messaging. They also need to find opportunities to actively involve employees in plans by facilitating a two-way dialog. Above all, leaders need to come across as authentic in order to inspire the confidence and respect of the workforce”.

Work friendships increase job satisfaction

Work friendships increase job satisfaction, according to a survey which reveals that 62 per cent of UK and Irish workers who have colleagues as friends say they love their company.

The survey found that 83 per cent of UK and Irish employees believe their work relationships are important to their quality of life, yet almost half (45 per cent) have no colleagues they consider to be real friends. The research also revealed that 33 per cent of respondents do not think their company culture allows them to easily build lasting relationships with colleagues, despite 43 per cent of them spending between 31 and 50 hours a week with their fellow employees.

The survey of 1,200 employees across the UK and Ireland, by employee-recognition expert Globoforce, revealed that organizations that encourage and foster friendships among their workforce benefit from higher employee-retention rates. Almost a quarter of those with friends at work say they intend to stay with their current company for as long as possible, compared with 16 per cent of those without friends at work.

According to the research, 65 per cent of UK and Irish employees say they would feel good if their colleagues acknowledged their first-year anniversary at their company, while 17 per cent say shared memories and kind words from colleagues would be the most meaningful way to celebrate their one-year milestone. However, while 67 per cent would like the opportunity to congratulate or share stories and memories on their colleagues’ anniversaries, 62 per cent of organizations have no program in place to acknowledge such events.

“The survey shows that organizations would benefit greatly from celebrating their employees’ dedication to the company, as well as the strong bonds people form while at work”, said Derek Irvine, vice president of customer consulting and strategy at Globoforce. “While many may claim that they do not have friends at work, perhaps if they were given the opportunity to see the impact they have made on their colleagues, their opinion would differ”.

The survey also revealed the impact that recognition has on employees. Eighty-six per cent would work harder if their efforts were better recognized and appreciated and, while 61 per cent feel they are appreciated, 43 per cent are not satisfied with the level of recognition they receive. Despite this, satisfaction does appear to be increasing in the UK, with a 17 percentage point rise in the number of people who say they are satisfied, when compared to last year’s survey.

“Adding a social element to recognition encourages interaction and friendships among colleagues. It deepens friendships, bonds people together, and provides the foundations for building trust and stronger relationships,” said Derek Irvine. “The result is increased engagement and a stronger company culture”.

Stigmas about mental health “are beginning to fade”

More than half of UK human-resource specialists regularly engage with their staff to gain an insight into their mental well-being and over three-quarters hold an informal discussion with an employee they suspect might be suffering mental-health problems.

Only 7 per cent do nothing and wait to be approached by the employee, according to the research by employee-health specialist PMI Health Group.

“The old stigmas about mental health are finally beginning to fade as employers realize that a sit-back-and-wait approach to such issues is no longer an option”, said Mike Blake, director at PMI Health Group.

“Making regular checks on employees’ emotional, as well as physical, health should be an important part of every employee-well-being policy and can have a huge impact on how long the condition lasts”.

The research also revealed that HR specialists are making the most of the many tools that are now available to support employees with mental-health issues. Forty-three per cent direct employees towards a counselling help-line, 37 per cent refer them to an occupational-health service, 27 per cent advise them to visit their doctor and 21 per cent ask their colleagues to keep an eye on them.

Only one in five HR specialists do not offer staff access to treatment and support services, such as counselling or an employee-assistance program, to address mental-health problems.

More than half of respondents, however, claimed management in their company was not offered any training or advice on techniques designed to reduce workplace stress, such as adopting an accessible approach, engaging and empowering staff.

Survey shows “forgotten” generation of engineers

Engineers in the UK are not being developed to their full potential because the sector is focusing on attracting the next generation to plug the skills gap.

The inaugural UK and Ireland engineering-workforce study, by professional-services company Towers Watson in partnership with the Institution of Mechanical Engineers, reveals that employers could do a much better job of engaging and retaining their existing talent. Just under half of engineers think their company succeeds in holding on to talented individuals. Over 40 per cent of engineers plan to leave their current organization to move up the ladder, naming lack of career development and salary as key factors in their decision.

The report indicates that a “forgotten generation” of engineers, who are significantly less engaged, lies at the heart of this issue. In their 30s and typically with line-management responsibilities, 45 per cent believe there are substantial obstacles to doing their job well, compared to 35 per cent of 20-year olds.

Yves Duhaldeborde, of Towers Watson, said: “Engineers play a pivotal role in ensuring that the UK remains competitive and continues to drive innovation. There has been much emphasis on the well-documented skills gap in recent years which, as our research shows, means that the development needs of already-skilled engineers have been neglected.

“A company’s productivity relies heavily on having an engaged workforce. Things like feeling supported by your manager, seeing opportunities to progress and the caliber of one’s colleagues are all vital components in getting your employees to apply themselves and actively contribute to the success of the business”.

The engineering community also highlighted a frustration with the current pace of innovation in the UK, with only a third saying their company does a good job in moving from ideas to implementation.

Alastair Barr, head of commercial development at the Institution of Mechanical Engineers, said: “A large segment of the population saying we are slow to market with creative ideas suggests that there is something in the present culture of engineering companies that is holding them back from delivering their full potential. This, in addition to the ‘forgotten generation’ of engineers, would suggest there is an opportunity to improve our talent management. I think we need to give serious thought as an industry to how we equip people with not only the core engineering skills required in today’s economy but also the people skills that allows us to drive up productivity as a whole.”

The research shows that engineers think that managerial, leadership and interpersonal skills will become increasingly important to achieving professional success in the future. A grasp of sustainability issues, along with advanced IT and foreign-language skills, were also cited as key attributes for engineers who want to get to the top.