Today's leaders have never been under so much pressure. While trying to manage the Covid-19 crisis, keeping their customers and employees safe and the companies' viability, the expectations are very high. On the one hand, shareholders demand vision, disruptive strategies, agility and resilience, on the other, governments and communities increasingly expect companies to support broader objectives, such as sustainability and social justice.
There is, in fact, an essential area where companies can create enormous social value: job satisfaction. Because of the link between happiness at work and overall satisfaction with life, improving an employee's happiness can make a difference for the world's approximately 2,1 billion workers, in addition to increasing productivity and improving organizational health .
In 2019, a McKinsey study indicated that when it comes to employee happiness, managers play a bigger role than you can imagine. Relationships with management are the main factor in employee job satisfaction, which in turn is the second most important factor for their overall well-being. In another study by the “Harvard Business Review”, it was found that companies with committed and happy employees have a performance 20% higher than their competition, obtaining better results in efficiency and innovation.
With the replacement of generations in the labor market, in the last few years a profound change has been confirmed in the desires and priorities of professionals. Previously, the main focus was centered on salary, but new generations value other aspects of work, such as the possibility of developing their career, achieving a balance between personal and professional life, having access to social benefits or the possibility of work remotely.
In view of this new reality, it is important that leaders act as agents of change and clearly articulate the advantages for high job satisfaction, including the training of managers in their essential responsibilities and the development of the quality of relationships in the workplace.
In this context, the benefits of implementing a development plan for the employee are multiple: the better the training, the greater its effectiveness. If professionals acquire more knowledge and skills they will be able to perform their role more effectively. By outlining good development plans, the probabilities of progression within the company increase and, consequently, promotions to better positions according to the skills acquired, which also translate into motivation and an improvement in the work environment.
However, it is not just employees who benefit. Companies also obtain several advantages by effectively managing their talent, reducing the costs that imply new incorporations (training the new professional during the adaptation period, investing the employees 'time, etc.) and significantly increasing the employees' productivity, which is directly proportional to your motivation.
It is also important to mention the “Employer Branding”, in which the professionals “represent the brand” of your organization, making it more desirable to work and making it the goal of the new talent.
Since competences occupy a prominent place in this scheme, for companies it is essential to evaluate them using diverse and complementary techniques. The main objective of evaluations is to achieve an improvement in the development and performance of work, identifying strengths and possible gaps development, which may imply changes in the allocation of positions. It also allows managers to review their employee's behavior and performance in order to adopt more specific and targeted strategies.
It is also necessary for decision making regarding promotions and remuneration and a good opportunity to identify training and development needs for certain skills, as well as assessing the well-being of the talent and their permanence in the company.
Companies that have already started to replace their top-down performance evaluations with new approaches that emphasize continuous learning and training, contribute to creating an environment that enables good management and good relationships in general, in which employees can feel psychologically safe and satisfied and offer your best work.