6 What is influencing employee engagement?
Employee engagement is a key business measure. It goes beyond simply measuring how satisfied staff are, to explore commitment and advocacy. It can be defined as employees' willingness and ability to invest their personal effort in the success of the organisation.
A group of questions have been identified from the survey, which together measure employee engagement. These questions are quite high level, and it is difficult to take action to influence them directly. For this reason we undertake statistical analysis, to identify the questions most closely linked with influencing employee engagement.
The technique that we use for this is Key Driver Analysis. The analysis helps us to understand the specific issues that affect overall employee engagement, providing a robust top-level action plan for the organisation. This information can assist with the prioritisation of improvement opportunities; ensuring resources allocated to improvement action are directed at issues likely to have the biggest impact on the organisation.
Key Driver Analysis plots questions and question sections on a graph similar to the one below. Questions are plotted according to their performance (i.e. their favourable or positive score) on the vertical axis, and according to the impact the question has on overall employee engagement (as identified by the statistics) on the horizontal axis.
The first stage of key driver analysis is a factor analysis which groups together questions that have been answered similarly, and so can be said to naturally correlate. This forms a number of broad factors, which are then analysed individually.
Factors are analysed using regression analysis, against the engagement index in order to determine those factors, and individual questions, which have the greatest impact on employee engagement.
Interpreting the Results
The results for the main factors show the relative positions of each of the factors on two dimensions:
- Performance (measured as the % positive response in the survey);
- Impact (on a low to high scale showing relative impact on employee engagement).
Those questions lying furthest to the right of the quadrant plot have the greatest impact on the key driver question. Within this, the top right quadrant plots those factors with both high impact and strong performance (a position that should be maintained), whilst those factors in the lower right quadrant plots those factors with high impact but lower relative performance in the survey (factors that should be targeted with improvement actions). Whilst those factors on the left hand side of the quadrant have relatively less impact on the key driver question, it is not recommended that they are ignored, but merely have a lower priority.
6.1 Overall Model
As the engagement index is unique to the SE, it cannot be benchmarked against but used as a measure of improvement over time. It is important to pay attention to the areas that underpin employee engagement in the SE and in particular to the areas that the SE is performing least well on.
The overall model (Figure 1) shows that questions contained within the factor 'Job role and contribution' have a much greater impact on employee engagement than others and the SE has scored well in this area. The 'Treated Fairly', 'Development and Progression' and 'Senior Management' factors are the next most important factors. The questions that make up these are factors are shown in Figures 2 to 5.
Overall Model (Figure 1)
6.2 Job Role and Contribution Model
The 'job role and contribution' factor is high performing in terms of % positive scores in the questionnaire; it also has a strong impact on engagement so is a strength to maintain. The questions that are included in this factor are displayed in the quad-plot below.
Job Role and Contribution Model (Figure 2).
The most important driver of employee engagement is 'My work gives me a feeling of personal accomplishment'. If emphasis is placed on improving this score it will have the greatest impact on employee engagement.
6.3 Treated Fairly Model
The 'treated fairly' factor is positively performing in terms of % positive scores in the questionnaire; it also has a strong impact on engagement so is a strength to maintain. The questions that are included in this factor are displayed in the quad-plot below.
Treated Fairly Model (Figure 3).
The most important driver of employee engagement within this factor is 'I believe I am valued for the what I can offer the organisation'. This is an area that should be considered for action to improve levels of engagement as it has such an impact on engagement.
6.4 Development and Progression Model
Within the Development and Progression model, the strongest driver is, 'I believe I have the opportunity for personal development and growth in Scottish Executive'. It is relatively low scoring and so should be an area targeted for improvement.
Development and Progression Model (Figure 4)
6.5 Senior Management Model
Within the Senior Management model, the strongest drivers are, 'The Scottish Executive as a whole is well managed' and 'I feel that positive action has been taken following the last Employee Survey in 2005' and therefore should be considered for action.
Senior Management Model (Figure 5)
6.6 Conclusions of the Key Driver Analysis
The key drivers of engagement within the SE that they are performing least well on and should therefore be considered as key priorities for improvement action are:
- I feel that positive action has been taken following the last Employee Survey in 2005 (28% positive - 52% neutral);
- The SE as a whole is well managed (36% positive);
- I believe I have the opportunity for personal development and growth in the SE (51% positive);
- I believe I am valued for what I can offer the organisation (55% positive);
- My work gives me a feeling of personal achievement (60% positive).
It is should be noted that these are the same key drivers identified in the analysis of the 2005 results.