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Employee Engagement 7 HR Software Solutions To Boost Employee Engagement


1) Compensation Management Software

Compensation management brings a great deal of influence to successful engagement programs. While some critics argue that staff do not expend extra energy because of total compensation, research shows that in certain contexts, financial incentives are quite influential. For example, manufacturing environments have been shown to operate well under the auspices of Pay-for-Performance (P4P) models. Likewise, Sales positions function quite effectively through sales commissions and incentive-based compensation.

The key to compensation management when it comes to employee engagement is to recognize that the rational engagement of compensation cannot substitute for the emotional engagement of managerial respect, teamwork, belonging and the like. Additionally, if not applied correctly, compensation can turn motivation into expectation. Be that as it may, Compensation Management software can serve as the enabling technology for achieving these rational engagement gains by:

  • Providing the measured incentives for which pay-for-performance (P4P) is planned and delivered
  • Providing the structure by which incentive plans are created; and
  • Providing the efficiency needed to effectively deliver incentives when and where needed

While it may be true that compensation isn't the driving force for overall employee engagement, it is also true that engagement strategies largely depend and fluctuate based on industry conditions and individual performance. As employers look to leverage whatever elements they can for employee engagement, compensation should not be left out of the equation.

2) Labor Management Software

With more companies adding work/life balance to their list of Employer Value Proposition (EVP) tenants, it is clear that few things are as lauded for attraction, retention, and engagement in the war for talent. Unfortunately, many employers don't understand that one of the keys to work/life balance lies in software solutions that are largely seen as transactional—Labor Management Systems (LMS).

Scheduling capabilities inherent in these applications allow time management for productivity or customer service purposes, and can also be used to optimize schedules for employees—particularly those that are paid by the hour. Labor management systems provide a method for workers to select shift preferences and couple that with worker availability. These factors can then be automatically fed into a scheduler application for a manager's manipulation and approval.

In addition to showing regard for employee preferences and flexibility for employee situations, managers are better able to predict scheduling issues (i.e. greater adherence to schedule preferences = fewer absences), increase workforce capacity utilization, and mitigate unnecessary customer service failure (according to a recent Aberdeen study). While this may seem to be a solution with minimal financial impact, consider the following:

  • Job growth for hourly workers and contingent labor is on the rise
  • The U.S. Bureau of Labor Statistics reports low-wage worker turnover is 3.5 times higher than that of salaried employees; and
  • The average turnover cost (using the most conservative models) for an hourly worker is about 1 month's wages

Therefore, even if the amount of hourly workers at a given company is low, the financial impact of not implementing schedule optimization is sizeable. Labor Management Systems automate this optimization—for both human and financial benefits.

3) Alumni Networks

A growing trend is the use of web-based networks and social networks to link up, engage, and stay connected with former workers or "Alumni". Running the gamut in terms of size, scope, ownership, and structure, alumni networks are all about leveraging social media to maintain relationships and increase brand strength—only in this case that brand strength is aimed at prior employees.

From news to events to activities to recruitment efforts, alumni networks are geared toward closing the goodwill gap between employers and ex-employees through LinkedIn groups, Facebook company pages, and Twitter feeds (just to name a few of the social media options). In turn, these social networks pay dividends in terms of loyalty long after employees have left, and allow for contact to be retained, opportunities to be marketed, and relationships to be maintained with individuals that are known commodities.

The use of these networks is giving organizations the tools to take full advantage of employee engagement—keeping former workers apprised of the company and primed for re-entry into the organization if necessary. While the benefits to recruitment, selling, branding, and engagement are self-evident, estimates put the use of formal alumni network adoption pitifully low—hovering at just over 10%.

Next: More Employee Engagement Systems >>

Employee Engagement SoftwareEmployee Engagement StrategiesEmployee Engagement Systems




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The key to compensation management when it comes to employee engagement is to recognize that the rational engagement of compensation cannot substitute for the emotional engagement of managerial respect, teamwork, belonging and the like.


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