Australian and New Zealand employees aren’t being valued enough by their managers, according to a recent report, with many failing to see their workforce as among their top assets.
According to research conducted by The Workforce Institute at Kronos and commissioned by Coleman Parkes Research, 60 per cent of HR managers don’t rank their employees within their organisation’s top three assets.
The report states that 55 per cent of those surveyed believed CEOs focus on numbers, more than on the employees who deliver these numbers.
This is a stark contrast to how operations and line-of-business managers felt, with 80 per cent saying that employees need to be more engaged.
Regardless of how managers feel, this is an area of concern, as 58 per cent of employees said they would leave their job if they didn’t feel valued by a manager.
“Strong employee engagement is fundamental to a business’ bottom line, with engaged employees much more likely to go the extra mile,” said Joyce Maroney, managing director of The Workforce Institute at Kronos.
“However, this report demonstrates that engagement is not currently a core focus for HR teams or business leaders.
“To retain talent and create a motivated, productive workforce, businesses need to put their focus on their people through better communication and collaboration.”
It isn’t an issue of remuneration either, which was ranked the 10th most significant reason why employees would leave their job.
In fact, the most important reasons for resigning included a lack of direction, not seeing a future with the company, and not making a connection with the manager.
Millennials were identified in the report as an important employee demographic, as they will make up 50 per cent of the workforce within the next five years.
The report also stated that Millennials are twice as likely to change jobs as other generations, with 65 per cent saying they choose to remain employed longer if managers show an interest in them as individuals.
The largest difficulty employees face on a daily basis is working with outdated technology, selected by 72 per cent of those surveyed.
“This report is a wake-up call for organisations to make the changes necessary to unburden their workforce from outdated systems and unnecessary complexity,” said managing director of Kronos Australia, New Zealand and south-east Asia, Peter Harte.
“It’s time to start conversations on what changes are required to drive improved productivity in order to deliver profitability and growth.”
Ask the Experts: Does automation stack up financially?
By Christopher Overton
Opinion: How bad do things have to get?!
By Adam Zuchetti
Business lessons from the All Blacks
By Steve Stanley