The author is a freelance writer based in Rockford, Ill.
Labor is a challenge for farms everywhere,” said Encore Consultant Tim Schaefer on an episode of the Professional Dairy Producers’ “The Dairy Signal” podcast. “It’s easier to keep a good employee than to find a new one.”
This makes sense, as it is similarly easier to stay in a good relationship than it is to find a new one, or to continue with a good career than to start afresh. However, Schaefer and his presentation partner, business consultant Joel Flaten, noted that they have seen many farms struggle with employee engagement and retention, which often go hand-in-hand.
It’s been estimated that it takes approximately 20% of a current employee’s salary to hire and onboard a new employee. If it’s more profitable to find ways to invest in improving performance from within than to take on the risks of employee turnover, what are managers waiting for?
For one, management that actively uplifts engaged employees and elevates the performance of disengaged employees is easier said than done. For another, some things — such as individual attitude — are out of the manager’s hands. And finally, for improvement to occur, it has to first be acknowledged that even among the best of the best of workplace cultures, there is always some way in which you could be doing better.
Then versus now
Today’s workers want different things than workers of 50 years ago. According to a study done by Flaten and Schaefer, employees used to prioritize a paycheck, personal satisfaction, an annual review, and the job itself, while now, employees are concerned with their purpose, personal development, having ongoing conversations, and putting their life as a whole above their job. This doesn’t mean today’s employees aren’t willing to work hard, but it does mean they will respond positively to a management approach that favors a comprehensive view of the person.
“You need to be a coach,” Schaefer said. “If you want players who will help you do the best you can, you have to treat them the best you can. That means developing them so they can grow, not being one-directional by giving them a task list and telling them to go do it.”
On a sports team, players who are assigned positions based on their skill set perform better than players who are thrown in at random. A workplace is no different. Employees who are given roles that adhere to their abilities will perform better than those whose roles are ill-fitted to them. A successful distribution of talent lessens burnout, encourages workplace flow and energy, and leads to increased employee retention.
“There’s a lot more latitude in a coaching type of relationship, and you’re still getting the work done,” said Schaefer. “And if something needs to change, find someone who can give you honest feedback, and adjust course.”
A range of engagement
Flaten and Schaefer defined three kinds of employees: engaged, not engaged, and actively disengaged.
Engaged employees are proactive and drive the business forward. They have consistent high performance, are innovative, and have a commitment to their role.
Not-engaged employees are non-committal, engage in low-risk endeavors, and meet the bare minimum for project completion.
Actively disengaged employees are consistently “elsewhere.” They are resistant to change, blame others for their low performance, have minimal commitment to their role, and act out their frustration.
Reasons for disengagement range from personality disposition, to mental illness, to unforeseen life challenges. So, communication about these circumstances lies at the heart of good management — but a team cannot function with too many disengaged players. And since retaining reliable employees is more economical than firing and hiring, it may be beneficial to try elevating workplace culture. Schaefer and Flaten were quick to note that there are cases in which active disengagement should not be tolerated. For example, it should not be tolerated if an employee’s conduct causes harm to another employee or to the animals they’re working with.
According to a Gallup poll Schaefer and Flaten referenced, in the U.S., 50% of all employees are not-engaged, 33% are engaged, and 17% are actively disengaged.
Among “best practice organizations,” 70% of employees are engaged, 25% are not-engaged, and 5% are actively disengaged.
Interestingly, the lowest engaged industry is the government.
“Government employees are the least engaged out of any other sect of employees, even with great job security, benefits, and wages,” Schaefer said. “That means it isn’t about the money.”
The reason this is important — and encouraging — is because businesses that have higher engagement have less absenteeism, turnover, and shrinkage and more productivity and profit. If money isn’t the fuel beneath the fire, small businesses like family-owned farms have just as much of an opportunity to heighten employee satisfaction as do large corporations.
Setting the stage
Clearly, it’s advantageous to invest in good employees and turn less-engaged employees into engaged ones. We’ve already discussed how being a coach rather than a “boss” can help make that happen. But what kinds of actionable steps can one take toward embodying this? Two things go a long way in improving workplace culture and engagement: expectations and recognition.
Job expectations need to be clear. Employees must know exactly what is being asked of them and in what capacity they need to carry it out. An employment relationship that shatters due to miscommunication is a dire swing and a miss. Misunderstandings happen. But setting the stage for transparent expectations and feedback sets the tone for successful undertakings.
“We know things are going to break from time to time, but it shouldn’t be the norm,” said Flaten.
Just as valuable a management tool is praise where praise is due. All kinds of feedback can be productive, but positive reinforcement is a surefire way to let employees know they are valued and, thus, elicit the kind of engagement that will best serve the operation.
“But don’t just say ‘Good job,’” Schaefer further explained. “Say ‘Good job because . . .’”
This ties performance to an outcome. It elevates personal growth and offers a broader picture of how it affects the whole team. Praise, coupled with clear expectations, bolsters morale and engagement.
Turning inward
Long story short: managers are important. If we want it to be as easy as possible for employees to do the right thing, we have to create an environment where doing the right thing and being engaged is possible — and desirable!
“There isn’t a perfect answer,” Schaefer said, “but if employees are given the basic tools they need to succeed, they will have the opportunity to do what they do best every day.”
In looking at engagement within your operation, consider what your employees may need to be successful and what is already working in your favor. Keeping good employees may be as simple as forging ahead as is.