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October 2007  
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Home - Healthcare Life - Article

Evidence of Engagement

The Employee Engagement Index (EEI) is an important determinant to track down actual performance of employees and their commitment to the vision of the organisation, discovers Nayantara Som

A hospital is not just about patients, surgeries, beds, tests and medicines. True, these do contribute to the overall profit. But, finally, it is the employees who decide the success or failure of an organisation. The success quotient of an organisation can be strengthened if your employees are 'engaged' in its mission and vision. Hospitals are now waking up to the fact that it is better to have a small but smart force rather than a huge, disinterested and disillusioned one. Unproductive staff employees are like weeds, needing to be tweezed out occasionally. This is where the EEI is of great help.

Engaging Employees

"A committed worker will ensure that a customer derives maximum satisfaction from the services provided"

- Dr Aninda Chatterjee
Medical Superintendent
BM Birla Heart Research Centre
Kolkata

An index which was initially incorporated by the leather factories, the hospitality sector and IT companies, the EEI is a parameter for the Human Resource Development (HRD) department to analyse whether a particular employee in an organisation is completely 'engaged' in his/her job responsibilities and the quantum he is contributing to the overall productivity of the organisation. As defined by Dr Aninda Chatterjee, Medical Superintendent, BM Birla Heart Research Centre, Kolkata, "The index is the state of being committed and attracted to one's organisation." EEI assesses commitment to the mission, values of the organisation, attraction to the prospects that the job and policies hold, working towards achieving them, level of enthusiasm and complete loyalty to the organisation.

Says Rupak Barua, Chief Operating Officer, CMRI, Kolkata, "Unless you are in tune with the vision and mission of the organisation, you can never give your 100 per cent. It might so happen that a person working for 10 years may never have knowledge of the goals of the organisation." CMRI, which has also been utilising this index for the past two years, found on an average of 83 per cent of the employees were 'engaged' in the organisation.

Adds Biju John, General Manager, Human Resources, Manipal Hospital, Bangalore, "Employee engagement is beyond satisfaction and commitment. It is a state where an employee is not just only satisfied and determined to contribute to the organisation's results, but is actually making a difference to the organisation by producing results."

Engaged Worker Passion, innovation and connection with their company drives these workers.
Not Engaged Employee They 'sleepwalk' through their work. They lack the passion and energy required.
Actively Disengaged Employee They are not just unhappy, but they deliberately work out their unhappiness. They undermine the accomplishments of the engaged workers.

EEI Equations

"Through this index we realised that HRD policies were not clear to the employees strategies"



- Rajesh Varma
,
Head Human Resources
Max Healthcare

Hospitals which have adopted the concept are experiencing benefits like improved individual performance, a rise in the organisational productivity and individual initiative. The index is also used to understand the needs and inclinations of employees and the bonus and weak points that need to be worked out. This was reflected in a survey conducted by New Delhi's Max Healthcare, last year. "We realised that HRD policies were not clear to the employees, the hard work of workers was not recognised, appraisals were not transparent, strategies needed modification and the environment was not competitive," reveals Rajesh Varma, Head, Human Resources, Max Healthcare.

The index aids the HRD in analytically evaluating individual performance. The underlying principle is that hard work, loyalty and enthusiasm should be aptly rewarded and idlers should be shown the door. The index also makes business sense in an era where profits, turnarounds and figures do matter for the overall growth of the hospital. The chaffing out of 'unwanted employees' in the long run also becomes easy for any HR department.

In fact, many organisations follow the norm of inducing every year five per cent of fresh talent into the workforce while five per cent of the unproductive workers are shown the door. This not only keeps the balance but also avoids any wastage of resources.

However, to improve individual performance, any organisation's management must understand employee feelings, behaviours and attitudes. "Organisational change cannot be achieved without a set of challenged, empowered, excited and rewarded teams functioning in cohesion directed towards a common goal," avers John. Listening objectively helps understand the why's and how's of employee attitudes and behaviours. Understanding employees is a powerful force for organisational change and that is when the EEI helps.

In medical terminology, the index is like a diagnostic tool checking the health of an organisation.

"Like preventive health packages, it diagnoses inherent problems and also gives the required treatment and solutions," asserts Varma.

Since productivity is directly proportional to the profit of an organisation, this index is an apt tool to keep workers on their toes and make them work towards the ultimate goal. "In an age where hospitals are going in for quality accreditations, only motivated employees can help the hospital achieve them," Varma adds.

Best Practices of EEI
Employee Engagement: One of the yardsticks to measure the engagement or disengagement of a worker is by conducting an employee engagement survey (EES). Organisations use these to analyse and measure employee satisfaction. "Conducting an engagement survey not only benefits the organisation but also its people as their needs are focused and improved upon in the process," says Biju John, General Manager, Human Resources, Manipal Hospital, Bangalore. This involves examining the three S's, viz. say, stay, strive. First is input on what good or bad the employees have to 'say' about the organisation. Next is whether they 'stay' with the organisation, which reflects their commitment level. Finally, EES reflects whether they 'strive' for the organisation. "In other words, how much do people like it here, want to contribute and if they actually contribute to the organisational results," informs John.
Moreover, it has been observed by experts that an engaged employee will definitely plunge into key issues crucial to the organisation like decrease in attrition rate, decrease in cost of re-work, increase in customer satisfaction index and improvement in leadership quality in middle-level managers.

Leadership Effectiveness: The index gauges the leadership effectiveness in the organisation. "Leadership involves motivation, training and career guidance," says Dr Aninda Chatterjee, Medical Superintendent, BM Birla Heart Research Centre, Kolkata. The motivation of a leader is an important indicator in assessing the contribution and aptitude of a worker towards his work, his relation with his peers, juniors, seniors and his competency in his skills.

Max Healthcare for instance, had incorporated EEI (through an external agency) in 2006 not just to assess and analyse the liability of a worker but also to review whether the employers at the top level were on the right track in motivating and boosting the overall morale of their employees. "We wanted to know whether employers understood the needs and demands of the employees," informs Rajesh Varma, Head, Human Resources, Max Healthcare. After this exercise, Max Healthcare decided to pull up their socks and modify the HR norms in order to boost the morale of their workers, which in turn would call for their commitment to the organisation.

Business Results & Customer Delights: The EEI analyses the contribution of an employee to the company's figures. According to a survey conducted by 'The Gallup Management Journal', the lower productivity of actively disengaged workers cost the US economy around $300 billion. A disengaged employee apart from his indifference and reticence towards the company contributes big time in the drain of wealth from the hospital. Apart from the business angle, patients also constitute an important element in the operation of a hospital. Hence, customer delight and satisfaction is an indicator for a worker's efforts and overall contribution. "A committed worker will ensure that a customer derives maximum satisfaction from the services provided and does not experience any form of inconvenience," adds Dr Chatterjee.

EEI at Work

At most hospitals, questionnaires regarding EEI are circulated to the senior, middle and the junior level. However, hospitals like CMRI are keen on spreading this exercise to lower levels too. "We initially did not include the lower levels in EEI, but the next six months will see this happening," says Barua.

In another case, Bangalore-based Manipal Hospitals had recently conducted an EEI survey which identified the needs of their employees. "We have recently conducted the survey to understand our employees and their drives. The survey has provided us an insight into the mindset of our people in a very objective manner and helped us identify areas which need focus so as to improve overall engagement levels. This effort has helped us to prioritise our focus areas and actions. Post-survey, people felt valuable as their opinions were sought," quips John.

CMRI conducts this survey once or twice a year. "We talk to the employees then give them a questionnaire to fill with 45 questions and accordingly calculate the engagement of the employee," says Barua.



Engaged Employee

  • Speaks positively about the organisation.
  • Looks at long-term career perspective.
  • Tries to perform out of his normal routine.
Unengaged Employee
  • Speaks negative about the organisation.
  • Looks at short-term career perspective.
  • Tries to shorten his normal routine.



Lasting Engagement

There are myriad ways to identify an engaged worker. Steve Crabtree in 'The Gallup Management Journal' noted that there are three types of employees, namely engaged, not engaged and actively disengaged (see box). He cites that engaged workers work with a passion, drive innovation and feel a profound connection with their company.

Says Rachna Kamra, Director, Capability Development (Head of HR), Fortis Healthcare, New Delhi, "An engaged employee is least likely to leave an organisation, irrespective of any job opportunities that come in their way. This is because they enjoy and like being amidst the people that they are working with. This makes them proactive." It is this basic trait through which the EEI distinguishes an enthusiastic employee from a disillusioned and disgruntled worker.

Says Varma, "It all boils down to the attitude of the worker—whether he can go that extra mile apart from the work assigned for his job profile for the growth of his organisation."

A committed or an engaged employee, whether the CEO at the apex or the junior-most employee at the bottom of the pyramid, will always be in sync with the primary goals and vision of the organisation. He thinks and works long-term, with the welfare and the long-term returns of the organisation in mind. However, at the end of the day, the onus is not just on the workers but organisations also should seek out ways and means to churn out the much-required loyalty, energy and enthusiasm of their workers.

Agrees John, "At Manipal, we strongly believe in the power of people in achieving positive organisational results. Our philosophy is to empower people to bring about organisational change via proactive measures. We are constantly making efforts to rediscover our inner strengths and create a need for continuously improving our operations and quality of services." Action plans at Manipal are accordingly strategised with a focus on those key engagement drivers which have the largest potential to improve employee engagement.

Max Healthcare has introduced an applause system. The idea is to encourage employees both at the senior and junior levels if they have done a commendable job for the organisation. Fortis Healthcare also conducts such surveys regularly internally to track down gaps and gulfs.

Multi-tier
EEI was in practice in the hospitality sector for decades, at various levels. "In the hotels, there is the basic level which includes evaluating the engagement index in terms of hygiene and salary, the second level includes evaluating the employee vis-à-vis his job and his development needs and the advanced stage includes evaluating whether he is actually contributing to the long-term growth of the organisation," says Rachna Kamra, Director, Capability Development (Head of HR), Fortis Healthcare, New Delhi. It is all about marrying individual needs with the needs of the organisation. Healthcare, Kamra opines, has now reached the second level of the employee engagement index.

To Commit or Not

However, industry pundits are undecided whether the index will really work in a service-oriented industry. Wastage of human resources is not directly reflected in the balance sheet and hence inducing this index into the system may not be a priority for many managers. "In a factory or in a manufacturing industry, this index helps due to the various levels of productivity, a worker's performance can be assessed systematically," says an industry expert. As with any new management concept, there is a wave of apprehension.

The good news, however, is that most hospitals in India are contemplating utilising this index. "With increased focus on professional management and performance focus, this industry will realise that EEI will be the first step in its drive to improve organisational performance," concludes John.

nayantara.som@expressindia.com

 


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