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.
During 2018, all IPL Group employees were given the opportunity to participate in an employee survey which sought feedback on our workplaces and our employees’ everyday experience of working at IPL. Participation by our employees in the survey was very high at over 80 percent.
To conduct the survey, we engaged independent and recognised industry experts Gallup, who have over 80 years of research and experience in understanding what matters most to people in their workplace. The results of the survey were benchmarked against global data and three-year strategic engagement plans with targets were developed for the business at a high-level and for each site.
Two major existing strengths which strongly bond and engage our employees were identified by the survey: Zero Harm and our Company Values.
The survey results indicated that the IPL safety culture of Zero Harm strongly bonded and engaged our people, and that they recognise and identify with our Company Values. Based on other feedback from the survey, plans are in place to improve communication and ensure that all of our people are connected with our Purpose and Strategy Value Drivers. All of IPL’s leaders have identified one to three key actions for improvement and the three-year engagement plans include regular pulse surveys to measure the progress being made. Gallop’s research also suggests that managers play the most significant role in driving employee engagement, determining up to 70 percent of their team’s engagement. For this reason, we continued training throughout 2018 to further facilitate leadership as coaching, and this will remain a key strategy.
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 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 operations. Due to cyclical factors, statistics from this region have not been included when determining the average turnover rates provided in the table on the previous page. The turnover percentage in each category shown in the table has been calculated by dividing the number of voluntary terminations for each category or region during 2018 by the average total number of employees in that category or region during 2017 and 2018.
Business Excellence (BEx) and Integrated Business Planning (IBP) form IPL’s Business System through which a culture of continuous improvement has been built. BEx and IBP processes engage our employees by involving them directly in the design of streamlined processes and activities, and in the implementation and sharing of ‘best practice’ in their own work areas.
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.