Engaging Our Employees

Along with our customers, employees are IPL’s most influential and important stakeholders. Studies have shown that highly engaged employees perform up to 20% better and are 87% less likely to leave an organisation than employees with low levels of engagement. Engaging our employees is therefore essential in order to meet our customer needs, live our company values and achieve our business objectives.

Business Excellence (BEx) is Incitec Pivot’s Business System through which a culture of continuous improvement is being built.  BEx engages our employees by involving them directly in the implementation of ‘best practise’ in their own work areas. Through BEx Leadership, employees at all levels of our business are encouraged to think laterally, to share their experiences and ideas, and to participate in implementing improvements, resulting in outcomes which are highly valued by both the business and our employees. Examples of BEx in action are described in the Case Study under Learning and Development.

Employee recognition is fostered through activities such as our quarterly MD&CEO Values Award program, introduced in January 2014. The program recognises employees from all parts of our global operations for demonstrating positive cultural behaviours, aligned with our Values and business priorities. Over the year, 144 Values Awards were awarded globally to individual employees and teams through our recognition programs. 


With the help of the Corporate Leadership Council we undertake benchmarking of employee turnover rates for the Global Manufacturing and Oil & Gas/Mining/Energy industries, as well as by Executive job level and by total workforce. We use voluntary turnover rates as one indicator of employee engagement and, along with exit interview data, use this information to inform our talent and engagement practices. Turnover rates within the company have been tallied at a Group level, with the exception of our Mexico and Papua New Guinea operations in 2014 and our Hong Kong operations in 2015. Statistics from these regions have not been included when determining the average turnover rates provided in the table. Voluntary employee turnover rates have fallen slightly in the age group 30-50 in 2015. The increase in the age group under 30, a generation in which rates typically vary each year, reflects the increased rates in the US, where the improved economy and market conditions resulted in wider employment opportunities for this age group during 2015. The increases in the age group 50+ are likely to relate to retirement.



Organisational Climate Surveys


Organisational climate surveys are now well established as an effective tool for human resources management. During 2015, employees at more than 50 sites across two of our business units completed organisational climate surveys designed to assess our employee's shared perceptions of their work environment. We recognise that ‘climate’ is an enduring state that impacts beliefs, behaviour and the manner in which work is done. The surveys are being conducted site-by-site across our Company on a rolling two year cycle primarily to assess, track and inform future strategies regarding employee mindset and management of change, but also allow our employees to engage with us on a number of other critical factors including teamwork, communication, effectiveness of leadership and employee satisfaction. On completion of the survey, each site is required to produce an action plan to address any key issues that arise, further engaging employees in the management and development of their own site’s culture. During 2015, several sites also formed ongoing focus groups to further progress actions associated with the survey’s findings.