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A company can effectively deliver on the things that employees want by understanding their needs and expectations. This can be achieved through regular communication, surveys, and feedback sessions. Once the company understands what the employees want, it should strive to meet these expectations by creating a conducive work environment, offering competitive compensation, providing opportunities for growth and development, and recognizing and appreciating their efforts. It's also important for the company to measure the satisfaction levels of staff regularly and use these metrics to improve their strategies. Remember, value creation is a two-way street; the company needs something from the employees, and the employees expect something from the company.
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KPIs are about relationships – for example, a lot of time and money is spent measuring the satisfaction levels of staff, especially in large companies. What's important to remember, though, Kenny says, is that "KPIs need to reflect the fact that value creation is a two-way street. You want employees to be engaged because you need something from them. And the two-way street for employees is defined by how well the company delivers on the things that they want." Unfortunately, the majority of organizations fail to develop measures around both sides. Consider causality – most managers look at a set of performance measures just as a table of numbers. Because the numbers appear to be concurrent, managers don't question the way each measure impacts the others over time. But leading indicators, Kenny stresses, should predict the future. "If your organization does well with employees now, that drives results for other stakeholders such as customers tomorrow. If your organization does well wi...
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