The UK’s poor productivity record need not be a mystery; it is closely linked to failings around employee engagement. Andrew Jackson argues that improving relationships in the workplace should result in productivity gains.
Over breakfast, Alex stumbles across another headline lamenting the UK’s long-term productivity problems. Depressingly, between 2004 and 2019, the UK’s output per hour grew at the second slowest rate among the G7.
Alex is a newly promoted manager in a medium-sized UK business, recently put in charge of an important new sales and marketing initiative. Like many other managers in organisations across the UK – her team is seriously underperforming, and as a result, has attracted the attention of the company’s senior management.
The team are aware that this is not great for their careers and they’re feeling a little lost as the usual mix of disagreements and personality clashes, which means their team is just not making progress on this flagship project. Alex is feeling the pressure to “crack the whip” and “turn up the heat” on the team, and to “just sort things out”.
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Many of us can relate to this situation as every organisation has teams that don’t perform, which impacts productivity.
But how we address these moments can either create competitive advantage or do more damage. The reality is that how we address broken or ineffective teams impacts more than just a KPI but has a knock-on effect on other teams, the culture and eventually even the quality of your talent and your hiring capabilities.
Falling productivity can mean trouble ahead for individuals, teams, organisations, and even nations. But taking a systematic approach starts by acknowledging that productivity is closely connected to the broader subject of employee engagement.
So back to Alex, what is a manager’s role in all this and how might these challenges be addressed? Alex’s team fits the broader data on employee engagement – of the 20 individuals in the team, only two or three of them show any genuine enthusiasm for the programme, with the rest mostly complaining about their workload or the company’s stifling culture.
Alex decides to meet up with an old friend – an occupational psychologist who specialises in transformation and culture change. It turns out that productivity and motivation are joined at the hip. Alex discovers something which is often surprising to many managers and even HR teams – that when you ask employees what really matters at work, it boils down to having positive relationships, finding meaning in the work, and feeling valued for their contributions (as University of California research confirms). It turns out that feelings really matter too.
It shouldn’t be a surprise that an employee’s behaviour and performance is, to a large extent, a function of how that employee feels in relation to their environment at any given time. In other words, how they respond and make sense of the situation is how they feel about it.
It turns out too, that some managers are better than others at recognising this and helping team members engage. According to research published in the Harvard Business Review, the most effective leaders demonstrate transparency, compassion and are values-driven. Research authors Emma Seppälä and Nicole K. McNichols write: “Leaders who prioritise relationships with their employees and lead from a place of positivity and kindness simply do better. Employees are more engaged, less likely to turn over, more loyal, and more productive. Companies that are run by these types of leaders enjoy higher client satisfaction, a better bottom line, and boosted shareholder returns.”
Alex decides to embrace the idea that they can get the team working better by simply taking the time to engage with team members and starting with a lot of listening. Alex runs an experiment and invites five members of the team to have a chat over a cup of coffee.
Starting with an acknowledgement of the issues facing the programme, Alex makes it clear that their views are important and asks them to say what they really think. What Alex learns is a surprise. Collectively there is a view that one member of the team is very disruptive and draining energy, and holds back progress; some of them are worried about their mortgages and the rising costs of living; and while they believe in the programme, they are getting mixed messages from the top and are concerned that their jobs are on the line. They are frustrated and scared about their job security.
Alex realises that the items on the programme’s risk register are only a part of the story. Alex knows these issues can’t be resolved overnight, but at least now knows what to work on. Over the next few weeks, she organises a few more of these discussions.
By working on unlocking communication and building trust, and using empathy to lean into the difficulties, it starts to build an understanding of what really motivates the team. It takes time to resolve the people challenges, but with some help from HR and one of the senior team, things start to change. Alex also brings in a specialist to help them with a series of full-team meetings; and in time, the programme gets back on track.
It can be difficult to accept that pushing and driving teams to perform is frequently what is assumed to be required. As Alex discovered, managers can’t force teams to be better, yet they can unlock their potential. And focusing at the beginning on the human aspects and challenges provides the insights to know exactly what steps are needed.
This is a true story – only the names have been changed. What Alex found out and put into practice changed her life, and helped the lives of the team and the financial outcomes for the company. It didn’t change the culture overnight nor did it resolve all the issues, but in this case, the manager made a significant and positive difference to that part of the wider system.
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