Size is an SMEs best staff engagement advantage

Small and medium-sized enterprises (SMEs) have a staff engagement advantage that no large organisation can buy: their size. In an SME open and regular communication is innate, flows both ways, and is critical to successful staff engagement.

An engaged workforce is typically one wherein employees understand and are committed to the organisation’s values and objectives. As such, they are passionately motivated to not only offer their very best, but to go above and beyond to help achieve company goals. In an engaged workforce, turnover is lower, productivity and innovation are higher and employees are willing to go the extra mile to put in discretionary effort, knowing that they will see the fruits of their labour.

1. The lines of communication are open

One key component in creating an engaged workforce is communication of the organisation’s objectives and strategy. Thanks to their size, management within SMEs, quite naturally have a regular, open and honest communication style with the rest of their employees. It’s often part of every-day office life.

In a survey conducted by Hays Australia, 94 per cent of employees said clear communication of the organisation’s objectives and strategy is an important engagement factor for them, so much so that 27 per cent would look for another job if it wasn’t offered. Another 52 per cent indicated it might motivate them to look elsewhere.

2. Communication aids talent management

Again SMEs have an advantage here; with an open culture where communication is regular and encouraged, SME employees usually feel they can share not only their ideas and opinions related to their work, but also their career goals and ambitions. This allows you to understand their needs, goals and what motivates them at work. You can then make more informed talent management decisions that will aid engagement. After all, everyone is different and there is no one-size-fits-all solution to career paths and motivational properties.

An important element in reaching career goals is the expansion of an employees’ responsibilities. In larger organisations with big teams, individual responsibilities can be confined to one particular niche area, whereas SMEs offer staff a wider breadth of responsibilities. The latter appeals to any staff member looking to expand their skills and experience. As my colleague Chris Dottie points out in this blog, SMEs also typically operate with less bureaucracy, meaning that you have greater scope on your projects.

3. There is less of an “us-them” mentality

Also important to engagement, is making sure staff understand how their role helps the organisation achieve its objectives, making them feel valued and ensuring they have the knowledge, understanding and relationships necessary to switch on and engage.

Again, SMEs have the size and agility that enables leaders to openly and regularly communicate organisational objectives, what each employees’ role is in achieving overall strategic goals, impart knowledge regularly, build relationships easily and even say a heartfelt ‘thank you’ for a job well done. The very fact that in SMEs people at all levels are usually on a first-name basis with each other and are more approachable makes this far easier. It also makes it far less likely that a ‘them and us’ culture will eventuate – which is a big impasse in the development of an engaged workforce.

4. It takes less time to integrate

Finally, onto welcoming new starters. SMEs have an advantage here. In a smaller team it’s easier to make introductions, and ensure everyone quickly gets to know their new colleague and vice versa. Further to this, thanks to their open and honest culture, new employees quickly come to understand your culture and unique way of doing business, ensuring that they don’t disengage at a time where it’s most critical for them in deciding where to stay or leave their new role.

Of course there are many advantages to the size of an SME, but staff engagement is the one that larger more hierarchical organisations most certainly can’t beat.

• How to overcome the disconnect between management and employees
• How to foster an ownership mentality in your team
• 5 things that motivate your employees more than money
• Why staff engagement matters to your business