This Week's Herman Trend Alert

HR in Normal 2.0
 

  The Herman Trend Alert

May 16, 2012

Purpose Emerging as Important Driver of Engagement

Recently, there has been a dramatic shift in employee attitudes towards work. A new report by global brand consultancy Calling Brands reveals a change in employee attitudes towards work. Related closely to Corporate Social Responsibility, Corporate "Purpose" is emerging as a powerful new driver of attraction, retention, and productivity.

Few businesses are already leveraging this value. (It is important to remember that this sample included only employees from larger organizations.)

According to "Crunch Time: The Power of Purpose", working for an organization with an underlying spirit that goes beyond commercial and operational goals---ranks ahead of many other factors such as level of responsibility in a job and even career progression. This research reveals a fundamental shift in employee attitudes. Being defined as a key driver of effort and loyalty in existing staff members means that people are willing to work harder and stick with a business longer----if they see Purpose in action.

The new importance placed on Purpose is a significant discovery considering how little attention business leaders have given to it until now. What is also clear from their study is that communicating Purpose is no longer just an HR issue: it is important organization-wide.

Having surveyed 4,202 people in the United Kingdom, Germany and United States, the Calling Brands’ study is one of the first to investigate the specific impact of corporate Purpose on employee attitudes. Calling Brands conducted interviews with HR and Communications chiefs from major multinational organizations. The consensus among the interviewees was that employees now seek greater and deeper fulfillment from their working lives. We saw this attitude when we conducted our research for the book "How to Become an Employer of Choice".

The survey also revealed that, on average, 57 percent of respondents (64 percent Germany, 58 percent US, 48 percent UK) said they would favor joining an organization that has a clearly defined Purpose. Moreover, an average of 65 percent of respondents claimed that Purpose would motivate them to go the ‘extra mile’ in their jobs and 64 percent claimed it would engender a greater sense of loyalty towards the organization they work for.

Purpose will be increasingly recognized by corporations as an important driver of engagement.


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