Creating a Culture That Creates Engagement

Presented by Mike Neill President, Michael Neill &

Associates www.michaelneill.com

Your Presenter Michael Neill Mike is the president and founder of Michael Neill & Associates, Inc.,

which specializes in:

□ Sales and Service Culture Development and program deployment □ Leadership Development □ Performance Coaching Development □ Management Development □ Internal Service Surveys □ Employee Satisfaction Surveys □Member Effort Surveys

Mike has authored two books, Creating and Maintaining a Credit Union Sales and Service

Culture and Coaching for Maximum Performance. He is also the author of the most popular

research work in the history of The Filene Research Institute, "Attributes Common Among High

Performing Managers.” and the recently released, “Attributes and Skills Common Among High

Performing Credit Union Sales and Service Performers.”

Member Experience Fact!

• “Members will never love your credit union until the employees love it first.”

Missional Leadership Creates Employee Engagement

• Engagement – “The state of emotional and intellectual

commitment to an organization or group producing behavior that will help fulfill an organization's promises to customers - and, in so doing, improve business results.”

–Hewitt Associates

Question

• What percentage of employees say they are disengaged in their work?

• 30% • 45% • 55%

The Challenge in Engaging Employees

• “For years, employee engagement scores have declined despite the millions of dollars companies invest to boost sagging workforce morale.” – Forbes Magazine

• 55% of employees say they are disengaged in the work of their organization

• 16% of employees say they are actively disengaged – Gallup Group Research

• Definition of Actively Disengaged – They are CAVE dwellers

• "Consistently Against Virtually Everything”

Financial Performance and Engagement are linked

• Increased engagement – Leads to 2-3% increase in operating margin

while a reduction in engagement results in a 1-2% decrease in both operating margin and net profit

• Gallup's calculations – Actively disengaged employees cost the

American economy up to $350 billion per year in lost productivity

How Does It Work? • “When trust, values and a purpose-driven mission guide leadership

decision-making and behavior, they give rise to a highly inspired group of super-engaged employees.”

• “Super-engaged employees exhibit many more specific “engagement traits” – Willingness to put in a great deal of extra effort, – Increased loyalty – Greater willingness to recommend their company as an employer of

choice – Efforts to inspire others in the company – Forbes Magazine

• A Quick Test of Engagement

Engaged Vs. Disengaged

• The Cult of the MSR – Beware “The Stare”

• Can we be out-served by fast food restaurant?

• Every day we can see the difference in those who are engaged vs. disengaged

• How can I brand with behaviors that are not in alignment with mission?

Question

A) Which of these factors contribute significantly to employee disengagement? B) Lack of understanding of the organizations, “Big Picture.” C) Lack of understanding how their job is critical to the success of the organization. D) Lack of recognition. E) All the Above

Selected Factors Contributing to Employee Disengagement

• Lack of understanding of the organizations, “Big Picture.”

• Lack of understanding how their job is critical to the success of the organization.

• Lack of recognition. • Ineffective Performance Evaluation system. • Their input is not sought or valued.

Factors Contributing to Employee Engagement

• Survey conducted by Peter Barron Stark. – 281 companies and over 970,500 employees

Selected Factors Contributing to Employee Engagement

• A Compelling, Positive Mission with Clear Goals • Communication • Hiring the Right People • Teamwork • Continuous Improvement and Innovation • Recognizing and Rewarding Performance • Accountability

Working Definitions • Outcome Based Leadership

– The leader has a primary focus on the desired outcomes and leads to develop an organization that will produce the outcomes

• Missional Leadership – The leader has a primary focus on the purpose of the

organization, relative to those it serves, and leads to develop an organization that will fulfill purpose

• The cool thing is you will also be very successful as measured by financial performance measures

The Three Drivers of Engagement From Missional Leadership

• Trust – Can I believe you to be authentic?

• Values – What is important to the organization?

• Purpose-Driven Mission – A behavioral driver that is bigger than simply

making money

Question

• True for False: Research shows that high performing credit union employees have more thinking in common with those who work at the Red Cross than those who work for a bank?

A) True B) False

The Need for Missional Leadership

• Our Filene Research indicates High performers in credit unions are NOT:

• Motivated by numbers • Motivated by winning • Motivated by competition • High performers in credit unions ARE: Motivated by serving

Motivated by recognition Very secure with their belief system

• They DO: • Have more in common with those who work for the Red Cross

than those who work for a bank.

The Call to Missional Leadership

• The current generation of new hires has a significant desire for authenticity, and the cooperative mindset.

• True success is based in providing value and receiving return from it

• This is who we are “Not for profit, not for charity but for service.”

Missional Leaders

• Create and communicate a compelling mission • Transform behaviors in alignment with mission • Don’t facilitate institutional effort equity • Have a commitment to both internal and external

service • Move the organization from over-managing to

coaching

Tools

• Internal Service Survey – www.internalservicesurvey.com

• Measures and Improves – Internal Service Behaviors of individuals – Departmental service delivery (ease of use) – Allow for process improvement suggestions – Employee Engagement (Employee Net Promoter)