A Gallup report shows that US companies lose $350 billion in revenue every year due to employees’ disengagement. In fact, 70 per cent of your employees are probably disengaged. Yet full participation is an emotional commitment that cannot be forced.
With the Millennials and Generation Z joining the workplace, the challenge rises: no longer can we believe that it is enough for a company to provide the work, and that an employee’s motivation will come naturally.
What is more, data shows that employees want to be more innovative at work and want to take more responsibility. This tells us that fostering creative environments and innovation initiatives will also nurture motivation, engagement and, therefore, productivity.
Three perspectives on the value of making companies more inclusive and collaborative
Innovation can be defined as the development of customer value through solutions that meet new, undefined, or existing market needs in unique ways. Solutions may include new or more effective products, processes, services, technologies, or ideas that are more readily available to markets, governments and society.
The development of a corporate culture where innovation is incentivised and becomes the way of doing business can bring companies several advantages, according to different points of view:
- From an organisational perspective, managers encourage innovation because of the value it can capture. Innovative employees increase productivity by creating and executing new processes, which in turn may strengthen competitive advantages and provide meaningful differentiation. Innovative organisations are inherently more adaptable to the external environment; this allows them to react faster and more effectively to avoid risk and capture opportunities.
- From a managerial perspective, innovative employees tend naturally to be more motivated and involved in the organisation. Empowering employees to innovate and improve their work processes provides a sense of autonomy that boosts job satisfaction.
- From a broader perspective, empowering employees to engage in broader organisation-wide innovation creates a strong sense of teamwork and community and ensures that employees are actively aware of and invest in organisational objectives and strategy.
In this sense, managers who promote an innovative environment can see value through increased employee motivation, creativity, and autonomy; stronger teams; and strategic recommendations from the bottom up.