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How Boosting Morale Can Boost The Bottom Line
Making – and keeping – your employees working happily at your organisation may not seem to have a direct impact on your company’s bottom line at first glance, but the truth is it is one of the biggest factors. Before we analyse the correlation of employee morale and the company’s income, let’s look at the two separately.
Employee morale refers to how satisfied an employee is with the job, and whether one feels that one is in a good state at work, which will directly impact one’s productivity.
With regard to the company’s bottom line, the two main ways of boosting it is by generating more income and increasing efficiency (or cutting costs).
With these two points, we can already see how they are related; an employee with high morale is more willing to do the job well, leading to higher overall productivity and as a result, higher income for the company.
Here are some concrete ways that you can employ to ensure both intangible and tangible increment:
1) Get your employees involved
Instead of assigning roles and specifying tasks and procedures to employees, get them involved in the process. From setting their own goals to suggesting ways to improve the systems and processes. Being part of the decision-making will allow them to feel more responsible to do a job well, and they can take pride in their work.
This C word is likely to appear in almost every article ever written about any social setting; in this case the workplace. It is rightly so, too. Communication has a big influence on employee morale. With positive, two-way communication between all levels, the morale will likely be good. It is equally important to have good internal and external communication – amongst employees and with clients and vendors. Good internal communication, ensures higher productivity and improved employee retention. While good external communication establishes trust and repeat business. Both will no doubt contribute to a healthy work environment.
3) Job satisfaction
Job satisfaction and employee morale may sound similar to you. There is no one universal definition to job satisfaction as every individual views it differently and it is dependant on a variety of factors. Some popular perceptions include doing something one enjoys and getting paid for it. And to others, it depends on the nature of work, or even a specific aspect like the supervision or feedback they receive. From above, you would already know that employee morale is more on a collective level – how motivated and enthusiastic are you in the whole work environment. One common theme running through the two is how getting constant feedback on your performance provides you the affirmation. This not only increases your level of satisfaction with the job, but also your confidence and self-esteem.
Besides honing the skills, having the right tools also plays a significant part in guaranteeing a high level of morale, as it helps employees to be better at their job. Equipping them with the right platforms and resources for different aspects of the business, be it marketing (e.g. Hubspot), designing (e.g. Canva), or just your internal management system (e.g. Trello) provides the support that your employees need to stay motivated.
Nothing frustrates and lowers the morale of employees more than micromanagement. Employers should let them decide how best to do their job. Grant them the autonomy to take charge of their work and learn to be self-sufficient, while still lending support and guidance as and when needed.
It can be as simple as a sincere compliment on a job well done, or as substantial as a bonus or a promotion. Depending on the size of your company, you can consider organising mini staff appreciation sessions on a regular basis to reward your employees.