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According to the 2017 Trends in Global Employee Engagement Report, engaged employees only accounted for 63% of the total global workforce in 2016, a 2% decrease compared to the previous year. The report also highlights that a five-point increase in employee engagement is linked to a three-point increase in revenue growth in the following year.

These numbers should matter to business owners, executives and managers because high employees’ disengagement is not only linked to poor financial performance, but also to high turnover and absenteeism rates, greater training costs and ultimately to lower customer satisfaction.

On the contrary, engaged and motivated employees strive to contribute to the overall success of their team, and are inspired to find better and more efficient ways to move the organization forward and to positively impact its profitability. They are also more loyal to both the company and the customers, and less likely to consider leaving, even when it comes to pay raises.

4 strategies for better employee engagement:

Invest in training

A recent report by the International Journal of Academic Research in Business and Social Sciences, found a positive correlation between high performance and investment in training. According to this study, those companies which invest the most in training and development are also the one with higher profits and greater employee retention.

Training is proven to improve employees’ morale, reducing absenteeism, as well as accidents and stress in the workplace. Investing in developing your employees’ skills will also let them know you are interested in their future within your company, and as a result they will be more loyal and contribute more to the success of the business.

Diversify incentives

The needs and wants of today’s workforce are changing, and so should the incentives we provide our employees with. Traditional monetary benefits are becoming less of a dealmaker when comparing employment options, especially when it comes to Millennials, who rather seek for more independence and flexibility.

One way to achieve this is by providing employees with the possibility to telecommute, an effective strategy implemented by several companies, including the e-commerce giant Amazon. A 2013 report by GlobalWorkplaceAnalytics.com found that following this practice can save employers around $11,000 per employee on an annual basis, through the elimination of maintenance, parking and other on-site costs.

Focus on Leadership

Many research have proven the negative impact of poor leadership on the financial performance of a company and on staff motivation. Among those, Gallup’s latest report shows that managers account for at least 70% of variance in employee engagement scores, as most of them are not creating comfortable and healthy environments to work in. The same study affirms that 50% of employees leave a company because of their bosses.

Investing in leadership training, compensating a manager fairly and making sure that person is the right for the organization’s vision and values, are just few steps towards the beginning of an effective leadership policy.

Manage the generational gap

The workforce of an organization has never been as multigenerational as today. Traditionalists, Baby Boomers, Millennials, Generation Y and soon the Digital Natives entering the workplace, each with different needs, wants, working and communication styles, different habits and motivators.

Managing individuals while ensuring sustainable synergies between these generations is key in reducing conflicts, and in enhancing employee wellbeing and retention.

Recent studies show that 28% of employees worldwide believe there are not enough strategies aiming at promoting teamwork and cooperation among different age groups, and that this reduces the overall productivity.

To fill this gap, some companies (mostly start-ups) are creating multi-generational advisory board in order to take advantage of different points of perspective and promoting collaborative learning. Another trend followed by many organizations is offering mentoring opportunities, giving everyone within the company the possibility to learn new skills and approaches.


LHC Paola Bellia

Paola Bellia Associate

An alumna of the École hôtelière de Lausanne (EHL), Paola joined LHC as Associate upon completion of the Bachelor degree in International Hospitality Management. Her role involves supporting the development of hospitality learning centers and the delivery of executive education courses and consulting activities. Her career started in 2008 and ever since she has gained extensive experience in the Food & Beverage industry, holding both managerial and non-managerial positions in Italy, Switzerland and United Kingdom. Entrepreneur at heart and extremely passionate about innovation, Paola has also worked in other sectors including Information Technology, Marketing and Healthcare. Currently fulfilling her dream of learning Spanish, she speaks Italian, English and French. When not at work, Paola spends most of her time cooking, reading and practicing kick-boxing. She is also extremely attached to her family and friends back home and every day devotes some time to get updated on their lives.