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21.5.

2012

Employee Engagement:
The Means to Superior Quality

Juran Body of Knowledge (JBOK)

6218 Improving the Management of Quality.PPT All Rights Reserved, Juran Institute, Inc.

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21.5.2012

Session Objectives

My main purpose for being here today is to…

1. Share our understanding on our approach to gaining


employee engagement.

2. Learn how employees can be engaged in quality


management activities.

3. Share some real-life examples.

How Did They Build The Pyramids?

Engaged Employees

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21.5.2012

Engaging Employees – A Bit of Quality History

Employee Engagement & Managing Quality

Improving Performance

Lean Six Sigma

TQM
QI Teams

SPC Teams

Quality Circles

Time
1950 to today
6218 Improving the Management of Quality.PPT
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An "engaged employee" is one who is fully


involved in, and enthusiastic about their work and
thus will act in a way that furthers their
organizations’ interests.

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Recent Study

 In a study of professional service firms, the Hay Group


found that offices with engaged employees were up to
43% more productive.
 The most striking finding is the almost 52% gaps in
operating incomes between companies with highly
engaged employees and companies whose employees
have low-engagement scores.
 High-engagement companies improved 19.2% while low-
engagement companies declined 32.7% in operating
income during the study period[citation needed].

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Employee Perceptions

Employee perceptions of job importance


...an employees attitude toward the job's
importance and the company had the
greatest impact on loyalty and customer
service then all other employee factors
combined.

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21.5.2012

More Employee Perceptions

1. Employee clarity of job expectations


2. Career advancement/improvement opportunities
3. Regular feedback and dialogue with superiors
4. Quality of working relationships with peers,
superiors, and subordinates
5. Perceptions of the ethos and values of the
organization
6. Effective Internal Employee Communications
7. Reward to engage

"Employee Engagement is a measurable degree of an


employee's positive or negative emotional attachment
to their job, colleagues and organization which
profoundly influences their willingness to learn and
perform at work".

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Financial Impact

 For example, New Century Financial Corporation, a U.S.


specialty mortgage banking company, found that
account executives in the wholesale division who were
actively disengaged produced 28% less revenue than
their colleagues who were engaged.
 Those not engaged generated 23% less revenue than
their engaged counterparts.
 Engaged employees also outperformed the not
engaged and actively disengaged employees in other
divisions.

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Hewitt Associates Large HR Firm

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21.5.2012

• State of Self-control • Leadership Lives JCI Values


• Effective Scorecards • Commitment to JCMS
• Regulate Process and Stop • Develop Support
Work Infrastructure
• Results • Earns the Trust of Workforce
• Leaders Credibility

Control Commitment

Juran
Model
for
Engaged
Culture

Collaboration Communication

• Training
• Problem Solving Teams
• Health, Safety & Security • Alignment to Plans & Values
• Effective & Efficient • Clear Workforce Practices
Processes Design • Policies & Procedures

Engaging Employees – A Bit of Quality History

Employee Engagement & Managing Quality

Improving Performance
Self Managed
Design Teams

Managing Value
Streams

Process
Innovation

Quality by Design
Time
2012 to tommorrow
6218 Improving the Management of Quality.PPT
All Rights Reserved, Juran Institute, Inc.

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21.5.2012

Thank You