Employee Engagement

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Understanding What Drives Employee Engagement
The 2003 Towers Perrin Talent Report

U.S. Report

Table of Contents
Executive Summary .............................................................................................................................................................2 Defining Engagement: What It Looks Like ......................................................................................................................5 Exhibit 1: Defining Engagement ................................................................................................................................5 Exhibit 2: Current Employee Engagement...............................................................................................................6 Exhibit 3: Engagement Across Job Levels .............................................................................................................7 Exhibit 4: Engagement Across Industries...............................................................................................................7 Driving Engagement: What It Takes ................................................................................................................................9 Exhibit 5: Top Drivers of Engagement: How Employees Rate Their Companies Today.................................9 Exhibit 6: Employee Views About Leadership......................................................................................................10 Exhibit 7: Manager Effectiveness and the Impact on Engagement................................................................12 Exhibit 8: Building More Challenge Into the Work Environment — How Managers Are Doing...............13 Exhibit 9: Employee Views About Company Performance................................................................................15 Exhibit 10: Trends in Employee Mobility..................................................................................................................16 Measuring Engagement: Why It Matters .....................................................................................................................18 Exhibit 11: Linking Employee Engagement to Financial Performance..............................................................18 Exhibit 12: Engagement and Customer Focus........................................................................................................19 Exhibit 13: Engagement and Revenue Growth.......................................................................................................20 Exhibit 14: Engagement and Cost of Goods Sold ..................................................................................................20 Exhibit 15: Engagement and Turnover .....................................................................................................................21 Attraction and Retention: Building the Right Foundation ..........................................................................................22 Exhibit 16: What It Takes to Attract, Retain and Engage.....................................................................................23 Exhibit 17: How Rewards Stack Up Overall............................................................................................................24 Exhibit 18: Employee Views of Pay and Benefits ..................................................................................................25 Exhibit 19: How Employee Education Influences Views About Health Care Benefits ..................................27 Putting It All Together: An HR Agenda for the Future ................................................................................................28 Conclusion...... .....................................................................................................................................................................32 About Our Survey...
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