The Next Frontier In Employee Experience

In the workplace, all of our actions and decisions create impact across three dimensions: Me, We and the World. As research on leadership styles tout the benefits of conscious and mindful leadership, it has become more recognized that what we do as people, and as leaders, has a deep impact on the people and performance of our businesses. The ripple effects of corporate culture not only apply to the internal ecosystem of a business but also its customers, products, and the companies its employees leave to join.

Acknowledging that companies, the ‘We’, have social and environmental impact both on the World and the ‘Me’, or individuals within the business, means a broader lens has to be applied to establish intentional corporate behaviors that benefit more than the bottom line.

For many organizations, culture is unintentionally created through the actions taken to achieve financial goals. Traditional business leadership hones in on the ‘We’, focused on company-centric questions such as ‘are we beating quarterly projections?’, ‘how can we cut costs?’, or ‘what are our latest engagement scores?’.

In contrast, culture-first leadership acknowledges that culture and performance are intertwined. Questions at the ‘we’ level are then translated to the ‘Me’ and ‘World’ perspective. What does our financial performance mean for our impact on our employees and the world?

Companies are being forced to look inward in this era of ‘perma crisis’, and determine what culture-first means for them. When companies acknowledge the impact that the ‘We’ has on the ‘Me’, attention is focused on a more holistic approach to outcomes for not only the company but also its customers, suppliers, employees and other impacted parties. It’s what is done with that information that is the true test of awareness.

Some companies create hand-waving policies and offer blanket benefits aimed to enhance the employee experience. However, office parties and ping pong tables don’t create the connection and opportunity that employees crave for meaningful engagement. Even worse, others operate from an arrogant perspective that employees are lucky to have a job, a mentality that led to the Great Resignation.

What Do Employees Want Now?

The next frontier in engaging your employees is a reversion from typical navel-gazing initiatives. Covid forced a shift to the ‘Me’ dimension, ensuring individuals prioritized their wellbeing and companies accommodated the shift toward remote work. What’s next is to look outward to the ‘World’ dimension and the impact that your company has on society and the environment, beyond your employees or customers.

Through this lens, companies can bring their employees and customers on the journey of a more global cultural revolution. The key here is building and maintaining the trust that what you say you are going to do, you do.

The days of performative corporate gestures have created a general weariness of stated company values, missions and causes. The current and future generation of employees and leaders are focused on transparency, measurable positive impact, and actionable commitments to society at large.

Show Me The Data

In a survey of 4,000 employees across the US and UK published in the 2023 Net Positive Employee Barometer by Paul Polman, ~50% of employees say they would consider resigning if the company’s values don’t align with their own, even in these difficult economic times. While “two-thirds say their company has communicated with them about employee wellbeing (60% UK, 66% US)”, the figures drop dramatically when addressing topics such as “the environment (35% UK, 34% US), economic inequality (29% UK, 28% US) and social inequality (36% UK, 41% US).”

Employees are looking for outsized outcomes and “Two out of three employees want their companies to communicate actions on big environmental and societal issues (67% UK, 66% US).” Employees are demanding a shift in the agendas of their employers. Paul Polman, the author of Net Positive, stated that “Any CEO who thinks they will win the talent wars by offering a bit more money, some extra home-working and a gym membership is going to be disappointed.”

What You Can Do About It

So, what are the steps companies can take to focus toward the ‘World’ dimension?

1. Aim for Progress over Perfection

Understanding where you want to focus your attention and align your values is one step. However, if it’s not done authentically and with urgency your employees won’t believe that you actually care. “Almost half of UK employees (45%) and over a third of US employees (39%) believe these leaders are only driven by their own gain.” It is important for leaders to lead from the top, making the changes necessary to instill confidence in employees. Whether that’s setting goals and reporting out on a regular basis, or partnering with other trusted organizations, companies have to state their ambition and work towards it as a top business priority.

2. Lead with Vulnerability

Beginning the conversation is the first step. Acknowledging challenges vulnerably and enlisting the collective support of your employees begins with trust. The Employee Barometer report states that “openness and meaningful, two-way dialogue is the only way to give employees confidence that their company is taking the actions it should.” Companies should create forums of collaboration and dialogue that start with identifying the root issues and creating action around next steps. The problems that are being addressed should be a collective responsibility and not a burden solely placed on employee resource or social impact groups.

3. Empower Employees

Employees aren’t making one-sided demands of their companies. Employees expect companies to step up and they are eager to actively contribute. “Having made changes in their own lives to try to be more environmentally sustainable (66% UK, 65% US)”, employees are looking for avenues to continue those efforts in the workplace but don’t know where to start. Employee resource groups (ERGs) focused on identity causes, social impact, and company value drivers can be a starting point for delivering outcomes. These groups spread the workload, create actionable plans, and measure results. Companies can empower these groups by created paid oversight roles, providing resources and training, and reporting out progress at a company level

4. Commit Consistently

The last few years have brought a lot of change and produced both headwinds and tailwinds for employee engagement trends. The quickest way to lose employee trust is to falter in your commitments made under the guise of macroeconomic pressure. Recession is not an excuse for inaction or divestiture in value-driven commitments. “Around two out of three employees (64% UK, 67% US) agree that the acceleration of global crises raises the bar of expectations of businesses.” Companies should be maniacally focused on serving both business and societal needs regardless of the economic environment. In a recent Forbes article the case for prioritizing DEI during a recession showed that “diverse and inclusive workplaces help boost innovation, attract diverse talent, increase employee retention and ultimately lead to higher revenue growth.” Employees need to trust that regardless of external challenges, companies will remain committed to these priorities and not solely financial outcomes.

Taking these steps will allow companies to embark on the next frontier of employee engagement. The failure to do so will be dire for employee retention. The Net Positive reports shows that “a third of UK and US employees report having previously resigned from a job because the values of that company did not align with their own (35% in both the UK and US). This number rises significantly among Gen Z & Millennials employees (48% UK, 44% US).” Moving away from the ‘We’, companies can strike a balance that creates positive business outcomes, engages employees, and makes a difference in the world.

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