Motivating Employees to Go the Extra Mile:

The Managers Role in Engagement

by Tom Davenport, Rewards, Talent and Communication
and Stephen Harding, Data, Surveys and Technology

Building and sustaining employee engagement is more like

a cross-country race than a sprint: It takes perseverance
and endurance to create a workplace environment where
employees consistently go the extra mile performing
beyond expected levels to help their organization achieve
its business goals.
Tom Davenport

Stephen Harding

A previous Strategy at Work article on strengthening

employee engagement described six possible action
areas for organizations, one of which focused on
the critical role of frontline managers. Because
of their bridge role between employees and
upper management, frontline managers have a
unique opportunity to create a corporate culture in
which employees are personally invested in their
organizations mission and are willing to put forth the
extra effort required for its success.
Towers Watsons research and client experience
point to three practical actions that organizations
and managers can take to achieve higher employee
engagement and stronger financial performance.

Shaping the work experience to foster a

sense of engagement
Zappos, the U.S.-based online retailer, is known for
its extraordinary customer service. The principal job
of a Zappos front-line rep is not only to close sales,
but also to please customers, and the job is designed
to support a customer-focused strategy. The work
environment is script-free and freedom-rich. Call

center staff are trained to use their creativity and

imagination to delight customers and to use initiative
and discretion in differentiating their services. For
example, theyre trained to encourage callers to order
more than one size or color, because Zappos pays for
shipping both ways. They refer callers to competitors
when a Zappos item is out of stock. Once a customer
complained that her boots from Zappos had begun
leaking after nearly a year of use. The rep not only
sent out a new pair, despite a policy that used shoes
cant be returned, but also mailed the customer a
handwritten thank-you note.
The Zappos philosophy illustrates how engagementfocused managers can craft individualized job roles.
Allowing workers a generous degree of autonomy is
important to employee engagement because it shows
that the organization and the manager recognize and
support the individuals discretion in deciding how best
to get the work done, within reasonable parameters.
Zappos managers are also encouraged to spend 10%
to 20% of their working time away from their desk with
their team members, building understanding, trust
and, ultimately, success.

Employees are engaged in their work when theyre

recognized as individuals, their performance is
rewarded and their other work-related needs are met
in other words, when the employer delivers on the
employment deal. Though financial rewards are a
significant part of the deal, studies show that intrinsic
rewards such as challenging, fulfilling work and
growth opportunities are more effective at boosting
employee engagement. And managers play a key role
in delivering on the employment deal in a customized
way for each employee. According to the Towers
Watson 2010 Global Workforce Study, in which more
than 20,000 employees participated worldwide, the
biggest difference between an effective manager and
ineffective one is that an effective manager acts with
honesty and fairness.

an effective coach. Whats more, 49% said there

are insufficient rewards for managers who focus on
employee performance. See Figure 1.

Reducing the factors that erode

engagement

Insufficient rewards for managers in managing performance

20
49

31

Our research also found that 29% of employees see

significant obstacles at work to doing their job well.
This means that substantial numbers of employees
feel hampered in their roles a finding that
carries worrisome implications for engagement and
productivity.

Employee mistrust of performance ratings

20

28

Recent Towers Watson research has shown that the

enthusiasm of even the most engaged employee can
be seriously eroded by two factors: lack of performance
support and low levels of employee well-being.
Performance support provides a work environment
that enables employee effectiveness and productivity
through appropriate training, well-functioning
equipment, a good fit of workers skills to their
roles, positive working relationships and adequate
resources. When there is adequate support, the
performance management process becomes a key
mechanism for providing feedback to employees and
tracking individual development. It also helps leaders
determine whether employees are contributing to
overall business objectives.
Our research has found that when performance
management systems fall short, its often due to
manager behavior or inadequate manager training.
For example, 56% of respondents to Towers Watsons
Reward Challenges and Changes survey, when asked
why performance management systems fall short,
cited inadequate manager training on how to be

towerswatson.com

Figure 1. Look to the manager to see why performance management systems

fall short
% of respondents
0%

20%

40%

60%

80%

100%

Managers unwilling to take the time to thoroughly evaluate employees

27
55

18

Lack of funds to reward high performers

27

38

36

Inadequate manager training on how to be an effective coach

25

Significant challenge

Some challenge

56

52

19

Not a challenge

Source: Reward Challenges and Changes Top Line Results, Towers Perrin 2007

Performance support and engagement are very closely

connected. Optimum performance is achieved when
both are strongly present. In our work with clients,
we incorporate questions about performance support
in their employee surveys, and we focus attention
on performance support in our team-based and local
manager analyses. We highlight selected items within
the managers and the teams span of influence
and present them for review and potential action
planning. This enables both the manager and the
team to discuss and deal directly with issues affecting
productivity.

Employees are engaged in their

work when theyre recognized
as individuals, their performance
is rewarded and their other
work-related needs are met.

Motivating Employees to Go the Extra Mile: The Managers Role in Engagement

High engagement along with low performance support

leads to frustration, as highly motivated workers
are thwarted by barriers in the work environment.
But Figure 2 shows that the combination of high
engagement levels and high performance support
boosts financial performance more than fourfold (2.65
for low engagement/low performance support versus
11.4 for high engagement/high performance support)
over a one-year period.

Our research also found that low levels of employee

well-being can influence employee engagement.
Managers being the first line of support play a
pivotal role in employees perception of well-being.
The evidence suggests that supervisor and manager
behavior affects not only employees psychological
and social well-being, but also their physical health.
For example, a Swedish study found that four manager
behaviors are strongly linked with lower ischemic heart
disease among employees:

Figure 2. Net profit margin over one-year period is

greatest for companies with high employee engagement
levels and high performance support

Providing the information people need to do their

work
Effectively pushing through and carrying out change
Explaining work goals so that employees understand
the goals for particular tasks
Ensuring employees have sufficient power in relation
to their responsibilities

15

11.4
10

6.9

7.3

2.65
0
Low performance
support
Low engagement

High performance
support
High engagement

Comparing companies (n=10) that are high/low on

engagement and performance support: net profit margin

Figure 3. Companys unplanned leave at lowest level

with high engagement and high levels of well-being
Average number of unplanned leave days per employee
7.0
6.8
6.6

Low Well-Being

6.4
6.2
6.0
5.8

High Well-Being

5.6
5.4
5.2
Low engagement

towerswatson.com

High engagement

Inattention to employee well-being has broad economic

as well as individual effects, with major
implications for organizations health care costs. As
with performance support, well-being has an additive
effect on engagement, as we found in a Towers Watson
study. Figure 3 shows how unplanned leave in one
organization was reduced when the work environment
was characterized by both high engagement and high
levels of well-being.

Strengthening employee resilience

Whether imposed or chosen, change in an organization
is inevitable and requires employees to adapt. But if
the circumstances of change are particularly difficult
positions cut, resources reduced, workloads
increased then adaptability is not enough. Under
those circumstances, employees need to be resilient.
They must be prepared for change and have the ability
to overcome uncertainty and turmoil.
Resilience training which the U.S. Army and other
organizations have introduced takes a proactive
approach to developing the workforces ability to
withstand adverse change. Training techniques build
employees self-efficacy and mastery, which in turn act
as buffers to stressful circumstances. Workers who
are competent and confident in their ability to do their
work well feel more certain and more in control.
Supportive relationships reinforce employee resilience,
and managers can contribute by ensuring effective
cooperation within and among work teams. Teams
that work well together thrive together. Managers also
need to see that work group members understand
the groups objective relative to the organizations
goals. And because todays employment deal focuses

Motivating Employees to Go the Extra Mile: The Managers Role in Engagement

on increased employee self-reliance, managers need

to help that transition by doing more coaching and
guiding and less overt managing.
During change initiatives, managers should pay
particular attention to the people-focused parts of
their jobs. The managers personalized attention
to individual employees can go a long way toward
boosting the employees adaptability and resilience.

Whats in it for you?

Hundreds of research studies have demonstrated
the links between heightened employee engagement
and improved business performance in the areas of
productivity, customer satisfaction and loyalty, and
financial results.
Less well established are the circumstances under
which engagement is sustained over the longer term,
as well as the managers pivotal role in creating the
optimal work environment for employee motivation and
growth.
A 2009 report sponsored by the U.K. government
looked at how companies were managing employee
engagement and found what the authors called Level
One and Level Two organizations.*
In Level One organizations, which the report says
constitute 75% of employee engagement programs,
employee engagement is associated with an employee
survey and its follow-up action plans. In the best
circumstances, these are well integrated with the
organizations business planning cycle and performance
management tools and have high-level executive
sponsorship. Communication pertaining to engagement
relates primarily to survey results or action plans.
Managers typically are involved in communicating and
developing action plans with their teams.
*MacLeod, D., and Clarke, N., 2009, Engaging for Success:
Enhancing Performance Through Employee Engagement.
London: Department for Business, Innovation and Skills.

About Towers Watson

Towers Watson is a leading global professional services
company that helps organizations improve performance through
effective people, risk and financial management. With 14,000
associates around the world, we offer solutions in the areas
of employee benefits, talent management, rewards, and risk and
capital management.

Copyright 2010 Towers Watson. All rights reserved.

TW-NA-2010-17785

towerswatson.com

When there is adequate support, the performance

management process becomes a key mechanism
for providing feedback to employees and tracking
individual development.
Level Two organizations represent 25% of employee
engagement programs, and that percentage is
increasing. These organizations pursue what could be
called transformational engagement, whereby a focus
on boosting engagement becomes integral to the
organizations culture. While the employee survey is a
key measurement tool, it does not form the core of the
engagement program. Instead, Level Two organizations
exhibit a range of workplace traits that instill a
more permanent culture of engagement. In these
organizations, nurturing engagement is an ongoing and
valuable part of the managers role.
Additional Level Two behaviors include optimizing
performance management, boosting recognition,
developing tailored learning strategies and installing
multiple career paths. But the three initiatives
described here can set your company firmly on the
path to sustained engagement.

The authors adapted several of the ideas in this article from

their book, Manager Redefined: The Competitive Advantage in
the Middle of Your Organization, San Francisco: Jossey-Bass,
published in October 2010.