Welcome Globoforce is the leading provider of worldwide, on-demand employee reward & recognition solutions for Glob

1. Globoforce Presents a Truly Global Discussion on Employee Engagement Derek Irvine, Globoforce, is Joined By: Andy Parsley, GreenLion David Zinger, Consultant September 18th, 2007 Welcome Globoforce is the leading provider of worldwide, on-demand employee reward & recognition solutions for Global 2000 companies.

2. Derek Irvine VP of Marketing & Client Strategy, Globoforce • A seasoned management professional with over 20 years experience working across a diverse range of industry and clients. • International Management Consultant, Marketer. • While working with Globoforce, Derek has specifically advised clients including: IBM, Wrigley, GE, Dow, P&G, Reuters in the strategy & implementation of their global reward and recognition programs.

3. Andy Parsley • Director and Founder, • Green Lion, UK • Two-decades in advertising - Saatchi & Saatchi and Omnicom groups. • Founded Green Lion Insights and Solutions Ltd. • Member of the UK’s Association for Qualitative Research • Frequent contributor to BBC Radio News. • Contributed to BBC TV's 2001 documentary series “Predictions: The Future of Work”. • With a forthcoming eBook “Unlocking the Power of People: A Practical Guide to Employee Engagement” • discussing employee engagement, the future of it within the workforce, and steps employers can take to encourage employee engagement

4. David Zinger, B. A., M. Ed., • Consultant and Presenter • 25 years experience in education and training. • Employee engagement and leadership author with such blogs as: • Strength Based Leadership Blog • Employee Engagement Blog • ½ of the Slacker Manager Blog – a blog with about 8300 subscribers. • Delivered more than 1000 custom courses and seminars including : • strength based leadership • employee engagement • crucial conversations • Instructed courses in Education Psychology and Management at the University of Manitoba • Developed two distant courses to teach adult educators for Western Canadian Universities.

5. What is Employee Engagement? “Employee Engagement is an ‘outcome-based’ concept. It is the term which is used to describe the degree to which employees can be ascribed as ‘aligned’ and ‘committed’ to their organisation such that they are at the most productive.” ~The International School of Human Capital Management -definition released in 2006

6. X X X √ X X √ √ Employee Engagement Matrix (Alignment vs. Commitment) Adapted from – Journal of Applied Human Capital Management Volume 1 No 1 2007 High Alignment Low High Commitment

7. Employee Engagement is more than Employee Satisfaction! • Caring about: • Colleagues • Customers • Organization as a whole Discretionary effort vs. Engagement? WorkPlace Engagement! Engagement for all

8. Northern Enlightened Employee Engagement Northern Limestone Plant Engagement for all is not necessarily looking for more discretionary effort out of people, but for “Authentic” effort. Engagement benefits self, organization and community Photo Credit: Northern Lights (Aurora Borealis) by Nick Russil http://flickr.com/photos/nickrussill/146743083/

9. Attendee Survey Responses In your opinion, are employee engagement programs gaining more executive “mind share” in your organization? Do you think an engagement program would improve the company’s financial bottom-line?

10. The Service-Profit Chain Employee Retention Revenue Growth Internal Service Quality External Service Value Customer Satisfaction Employee Satisfaction Customer Loyalty Employee Productivity Profitability Engagement Delivery Outcomes

11. Why senior executives should care about Employee Engagement– The ROE! Gallup studies proved that corporations with higher engagement levels generated: • 27% higher profits • 50% higher sales • 50% higher customer loyalty • 38% above average productivity *Gallup “Q12” Survey

12. The Engagement Dividend A 15% improvement in levels of employee engagement correlates with a 2% improvement in operating margin. -Towers Perrin

13. What do Metrics Really Mean? Insight = Conversation about current events and feelings Metrics = Score of past events Satisfaction—feels good Engagement—does good

14. Workplace EngagementLeadership Matters! If Your Manager: • Primarily Ignores You • Focuses on your Weaknesses • Focuses on your Strengths Chances of being actively disengaged: • 40% • 22% • 1%

15. Leaders Take Note! • Managers must: • Understand employee engagement • Acknowledge it is the biggest driver of organisational performance in the 21st century • Recognize it’s their responsibility to deliver it. • Giving managers leadership skills so they can: • Buy into the Vision and Values • Communicate the Vision and Values in a relevant, compelling way • Be consistent and authentic in living the Values • Demonstrating respect • Enabling personal improvement

16. Leadership and engagement

17. Leadership and engagement

18. Many studies show these essential pieces are needed too… Know your workforce • What satisfies and what dissatisfies. Take the temperature of satisfaction often. Build confidence • In leadership & the strategy. Inspire • We all love to follow a vision. Communicate Often • Think about your employees like you would your consumers. Think brand values, how to build and how to communicate them. Enhance “My Value” • Help employees enhance their sense of “value”. Offer new skills, ensure sense of purpose, build a learning company. Build an Appreciation Culture • Remember to say “Thank You” often. Be seen to offer fair and merit based total rewards programs.

19. Attendee Survey Responses What role can a strategic recognition program (one that is strongly aligned with your company mission and values) – play in a successful engagement strategy?

20. Recognition—An Important Piece of the Puzzle • Authentic recognition is vital and key. • To recognize is to really see and acknowledge people. • Done well in a manner that’s aligned to the values of the organization, it can be the Engagement “Tipping Point”

21. Hi-Impact Hi-Speed Recognition Hi-Impact, Hi-Speed, Strategic Recognition Hi-Impact Recognition • Anchor with the corporate vision & values • Reward strategically relevant behaviours and results • Brand it • Promote and advertise it! • Champions at senior levels • Make showing appreciation a MUST do • Recognize many & often • Measure, track, bring accountability & methodology Hi-Speed Recognition • Recognize fast & timely • Quick & simple to do • Make it a daily topic • Use technology to quickly spot non/ reluctant participants • Live, real time data & analysis Great Engagement Requires Recognition Delivers • Results • Relevance & Meaning • A conversation started • Frequent interaction with this topic • Appreciation Culture • Vision & Values Understood & Alive • Know your workforce • Build confidence • Inspire • Communicate Often • Enhance “My Value” • Build an Appreciation Culture Walk the Talk!

22. “Thank You” In Action, Globally. • The Challenge • 43,500+ employees • 62 countries • The company valued recognition, but was running 100’s of different recognition programs across the world. • Dow’s vision was for one consistent global program -- a non-cash recognition program that would have frequency of awards and encourage a recognition culture worldwide. • Must Haves: • Grow an “Appreciation Culture” • ‘Live’ the corporate values • Fair offering globally • Caters to global workforce • Simple administration • Excellent governance and reporting • And for less money than before!

24. Strategic RecognitionGloboforce Success Story: Dow Chemical “Strategically aligned recognition drives the behaviors, actions and results that lead to business success. At Dow, people are recognized for their contributions. It is important that everyone understand why recognition is important, know how to recognize employees effectively, and make recognition a part of every day.” -Andrew Liveris, President & CEO, Dow Chemical Co.

25. Effective Recognition Initiatives • Reflects the values of the organization • No Cash Incentives at a Not-for-Profit • Flexibility allows each recipient a choice they value • No donuts for Dieters • No parking spots to bus riders • Recognition reinforces the “feeling of value” • Timeliness is essential

26. Why Now? Why Engagement? Retention Recruitment Generational Gaps Talent Management A New Kind of Benefit “Brain Drain”

27. History… 1st Improved Machinery 2nd Improved Processes 3rd Improved Information & Quality. …What’s the next “Big Thing”? Our last organizational resource…people! People Power…an untapped potential? Yes! It’s time to unleash the “People Potential” in the 21st Century.

28. Questions?If we don’t address your question today please feel free to email:Globoforcemarketing@globoforce.comhttp://www.globoforce.comAndy Parsleyandy@greenlion.co.ukhttp://www.greenlion.co.ukDavid Zingerdzinger@shaw.cahttp://www.davidzinger.com

29. Thank you for spending an hour with us!We hope you enjoyed the presentation.