Top Trends Defining Employee Engagement Across the World
Tuesday, November 22, 2016 5:42:15 PM

Do you know the two common factors that bind all top-performing organizations together? These are

  1. a) Strategies pertaining to business and talent, which are intimately linked
  2. b) Leadership and employee engagement programs, which are essential for organizational success

Most of the elite organizations create and maintain a culture of engagement, headed by CEOs who believe that employee engagement is no more a good-to-have issue but a crucial step to achieve success. Moreover, C-suite honchos in elite companies think that the onus of employee engagement rests on them. Also, who can avoid the financial implications of an engaged talent pool?

In 2015, Aon plc. came up with a study titled “2015 Trends in Global Employee Engagement.”  The report revealed some fascinating insights into the subject. Here are some of them.

According to the report, there is a steady and statistically significant relation between the employee engagement level and financial performance. According to Aon Hewitt 2013 Trends in Global Employee Engagement, the firm observed that a 5 percent rise in employee engagement led to a 3 percent rise in the revenue growth in the subsequent year.  

The report has also revealed that Aon Hewitt Best Employers have some common attributes, including firm leadership, performance orientation, reputation, apart from high-end employee engagement programs. The firm’s research covering 270 global organizations from 2010 to 2013 revealed that these extra cultural aspects of becoming an Aon Hewitt Best Employer helped propel incremental performance in their operating margin, sales, and complete shareholder return beyond “top-quartile employee engagement” only.

In today’s fierce competitive global business environment, it’s not easy for organizations to achieve and sustain business outcomes. According to Aon’s report, economic circumstances will keep compelling organizations to make investments in employee engagement.

Generally, GDP growth is influenced by investments in human resources and a subsequent rise in employee engagement. According to the report, employee engagement levels increased 1 points to 62% in 2014 and the trends in human capital investments and incremental enhancement in employee engagement across the world will gain momentum in 2016.

Further, complicated economic and labor dynamics have a big role to play. The report has revealed a striking fact—although there is no connection between economic growth and economic size, there is a noteworthy positive correlation (0.52) between economic growth and available human resources. It implies that growth majorly depends on the availability of talent.

The report has also revealed that global leaders are striving hard to establish a connection between talent, engaged talents, and their business outcomes at a higher rate. However, a major constraint for them is to align their business strategy with their talent strategy.

And here comes the most important question—how can you build a culture of engagement and ensure that engagement is happening? According to Aon Hewitt Best Employers and Aon Hewitt Top Companies for leaders, several stakeholders are engaged in shaping a culture of engagement. These stakeholders include senior leaders, every employee, people managers, and HR.

Those leaders who are able to engage other employees are an important component of building a culture of engagement that helps in sustaining business outcomes in today’s complicated and ever evolving environment. The following graph shows the organizations that make investment in leader engagement report a considerably higher operating income than others.


According to the report, 46% of global employees believe that their salary is commensurate with their contribution. There has been a little improvement in other main engagement factors, including innovation, recognition, and the employee value proposition. However, when it comes to the overall change in the work experience of average employees, it is still negative.

Building a culture of engagement requires involving several organizational stakeholders. Therefore, involving only managers and HR professionals is not that impactful. Instead, organizations should deeply involve its talent pool and leaders should take the initiative to ensure that engagement is happening.