www.pwc.com/workforce-analytics City and County of Denver 2015 Employee Engagement Survey Prepared for and Presented to the City and County of Denver August 28, 2015
Overview Background Survey Objectives Establish a baseline measurement across CCD related to employee engagement Engagement measures in this report are based on PwC s engagement index, unless otherwise noted as the CCD engagement index Assess employee engagement and identify drivers of engagement for the city Differentiate between elements that create noise /dissatisfaction vs. drivers of engagement Assess strengths and vulnerabilities across the city and it s departments/agencies Provide actionable and focused results Survey Methodology One questionnaire was deployed to all 10,368 employees from June 15 to July 7 Survey items are on a 5-point scale (5 being Strongly Agree) Percent favorable is a percent of responses that are a 4 or 5 (Agree and Strongly Agree) Minimum of 10 respondents required for each group to be included in reporting All survey responses are confidential Benchmark data is based on PwC s national average of US-based companies across all industries Questions If you have any questions about this report, please contact your HR representative Employee Engagement Survey 1
Overview Employee engagement Employee engagement The extent to which employees are motivated to contribute to business success, and are willing to apply discretionary effort to accomplishing tasks important to the achievement of business goals. Measuring employees perceptions and attitudes about the work environment is important because research links Engagement with quality of work performance and business outcomes. Employees who are more engaged produce higher quality work and are less likely to be absent, claim Workers Compensation, or terminate employment. Numerous studies have demonstrated that an engaged workforce can have a significant effect on financial and operational results. Businesses with highly engaged employees see higher customer satisfaction, have lower turnover rates, and outperform businesses with lower levels of employee engagement. To help organizations use employee engagement to drive business goals, PwC has created the Employee Engagement Index (EEI). Employee engagement is measured by asking employees the extent to which they agree with the following items: PwC s Employee Engagement Index (EEI) Advocacy Commitment Discretionary effort I would recommend a close friend to apply for a job at the City. Pride Achievement Alignment I feel proud to tell people that I work for the City. I intend to stay with the City for another 12 months. My coworkers are dedicated to satisfying the expectations of external and internal customers and citizens. My coworkers are willing to go beyond what is expected for the success of the City. I understand how the work I do relates to the success of the City. We also measure other dimensions of the employee experience. In this way, we determine the top drivers of engagement unique to your environment Survey dimensions Mission/Vision Leadership My Supervisor (PEP/R Responsible) My Current Job Work Environment Career Development Employee Engagement Survey 2
Summary Findings Measure CCD 2015 CCD 2013 External Target Range Benchmark CCD Engagement Index 17.7 / 100 15.1 / 100 - - PwC Engagement index 3.89 / 5.00-4.04 / 5.00 4.00-4.50 / 5.00 Percent favorable 63% - 73% 75% - 80% Intent to stay* 85% 52% 78% 85% - 90% Champions 50% - 66% 70-75% Measure Definition CCD Engagement index The average difference between percentage of employees who chose Strongly Agree and Strongly Disagree, across 27 designated items. The CCD engagement index is a score which can range from -100 to +100. PwC Engagement index The average rating across the six PwC engagement items, on a scale of 1 to 5. Percent favorable The percentage of employees that responded favorably (Agree, Strongly Agree) across all survey items. Intent to stay The percentage of employees that responded favorable (Agree, Strongly Agree) to the item, I intend to stay with the City for another 12 months. Champions The percentage of employees who are highly engaged and highly committed to staying. * 2015 Intent to Stay is based on the agree score for I intend to stay with the City for at least another 12 months. 2013 Intent to Stay is based on the agree score for Overall, I rarely think about looking for a new job with another organization (if you are retiring in the next 12 months, please choose N/A). Employee Engagement Survey 3
Summary Findings The key indicators (engagement index, percent favorable, intent to stay, and Champions) show the City and County of Denver lower than the benchmark, except for intent to stay. Employees feel that their jobs fit their skills and understand how their jobs relate to the priorities of their department/agency. 70% of employees across the city would recommend Denver as a good place to work. This is a strong baseline to further promote Denver as a Best Place to Work. CCD showed a 17% increase in employee engagement from the previous engagement index and overall results indicate similar drivers and opportunities for improvement as seen in 2013. This is a positive indicator for Denver. Future gains on engagement will come from continuing to strengthen perception of and relationships with Leadership (Appointees and Senior Leadership), increased recognition and career development opportunities, and employee enablement: Leadership employees indicate a desire for more clear and consistent communication from Appointees. Employees feel that leadership may not be interested in their well-being, which highlights the need for more leadership visibility. Leadership concerns vary by department/agency, indicating that action should be taken specifically at the department/agency level, though it may be driven by the City overall through Appointees. Recognition and career development/advancement only 51% of respondents said that their department/agency promotes a culture/environment of appreciation. Additionally, results indicate concern around fairness of promotions and sufficient employee development opportunities. Employee enablement Innovation, technology, and involvement in decisions are key factors to employee enablement. Employees show a desire for more innovation on how they service their customers, employees are requesting updated technology to more effectively do their job, and less than half of the employees feel they are adequately involved in decisions that affect their work. Taking action Leadership s action based on survey year results is shown to be a significant driver of engagement. When asked if my department/agency has taken action on results from the last employee engagement survey, only 24% of respondents agreed with the statement. While some action may have taken place, it was not seen by employees. This must be a strong area of focus over the next two years. Employee Engagement Survey 4
Employee landscape Overall Employee results are categorized into four profiles below, each with specific profile characteristics. These profile groups reflect the combination of Employee Engagement and Intent to Stay. The Y axis on the left is Engagement and the X axis is Intent to Stay. The City has 50% Champions with high Engagement and High Intent to Stay. The City should focus on moving more employees into this category to achieve the highest levels of overall engagement citywide. Profile Characteristics High Tenants: 3% Benchmark: 12% Champions: 50% Benchmark: 66% Champions Strong identification with organization objectives High level of loyalty to the organization High level of willingness to cooperate and motivate colleagues Engagement Level 1 Low Disconnected: 12% Benchmark: 10% Captives: 35% Benchmark: 13% Tenants Very satisfied/ Free Agents /Lower loyalty Have a stabilizing effect on the organization Straightforward, however, need to be directed Captives Rather critical, therefore difficult to lead Ready to change jobs when opportunities become available Greatest opportunity to convert to Champions Low High Disconnected Dissatisfied and disconnected More frustrated than dedicated Under-utilized resources of the organization Intent to Stay 2 1 Based on survey of Employee Engagement Index questions (High >= 4.0, Low < 4.0) 2 Based on I intend to stay with the City for another 12 months. (High >= 4.0, Low < 4.0) Employee Engagement Survey 5
Employee landscape Experience Champions and Disconnecteds see a big difference in the quality of their supervisor relationship and how they contribute to the overall organization 50% 12% The Champion s Experience 50% Feels their skills are being utilized Understand how they makes a difference at CCD Feels that their co-workers are ethical and hard working Have open communication with their supervisor The Disconnected s Experience 12% Feels leadership is lacking transparency Don t feel well prepared or appreciated for their work Isn t sure what is expected of them Can t see opportunities to grow and develop professionally Employee Engagement Survey 6
Driver matrix Description What is the Driver Matrix? The Driver Matrix identifies items and themes that drive engagement, enabling more focused action planning Low Monitor Priority The Driver Matrix categorizes each item based on its correlation with the engagement index as well as its need for improvement, as measured by the percent favorable When deciding where to invest, initiate change, or action plan, focus on the categories on the right side of the matrix Preserve, Enhance, Priority Priority Percent agree Enhance High correlation to engagement index and low percent favorable. The greatest opportunities to increase engagement are identified in the Priority box Enhance High Pass Preserve High correlation to engagement index and medium percent favorable. Opportunity exists to move these items to the Preserve box by increasing their percent favorable scores Preserve High correlation to engagement index and high percent favorable. Organizations should be conscious of maintaining its Preserve items Monitor Moderate Strong Low percent favorable but low correlation to engagement index. Items in the Monitor section may not be high pay-off investments Drivers of Engagement 1 Pass High percent favorable and low correlation to engagement index. Maintain current levels of focus on these items 1 Based on correlation with Employee Engagement Index (EEI) Note: A list of correlations with EEI and percent favorable/unfavorable is included in the Appendix Employee Engagement Survey 7
Driver matrix By item Percent agree Low Monitor Pass High Priority Enhance Preserve Moderate Strong Drivers of Engagement 1 1 Based on correlation with Employee Engagement Index (EEI) Note: A list of correlations with EEI and percent favorable/unfavorable is included in the Appendix Career Development My department/agency adequately invests in the training and development of our employees. CCD Overall My department/agency has taken action on results from the last employee engagement survey. Leadership Our Appointee ensures that department/agency goals and priorities are clearly communicated. Our Appointee ensures that necessary information is communicated in a timely manner. Senior Leadership are present and visible. Senior Leadership is sincerely interested in the well-being of employees. My Current Job I am appropriately involved in decisions that affect my work. My department is innovative in the way it provides services and products to its clients. Work Environment My department/agency promotes a culture/environment of appreciation. I am encouraged and expected to speak up about any agency practices and policies that are ethically questionable. In my department/agency, I provide my opinions without fear of retaliation or retribution. In my department, the most qualified are promoted. Employee Engagement Survey 8
Driver matrix By item Career Development Low Priority I have the opportunity for professional development at my organization. Monitor My department/agency has provided me opportunities to learn new skills and develop myself. Percent agree Enhance Mission / Vision I understand how the work I do relates to the Mayor's priorities. My Current Job I have the resources and tools needed to do my job well. High Moderate Pass Preserve Strong In the last 12 months, I have developed and grown at work. Work Environment Employees are treated fairly at this organization regardless of differences in race, gender, age, religion, sexual orientation, etc. Drivers of Engagement 1 1 Based on correlation with Employee Engagement Index (EEI) Note: A list of correlations with EEI and percent favorable/unfavorable is included in the Appendix Employee Engagement Survey 9
Driver matrix By item Low Priority Monitor Percent agree Enhance CCD Overall I am satisfied with my job at the City and County of Denver. Mission / Vision I understand how the work I do relates to the overall goals and priorities of my department/agency. High Pass Preserve My Current Job I understand clearly what is expected of me at work. Work Environment Moderate Strong My coworkers conduct City business ethically and honestly. Drivers of Engagement 1 1 Based on correlation with Employee Engagement Index (EEI) Note: A list of correlations with EEI and percent favorable/unfavorable is included in the Appendix Employee Engagement Survey 10
Barriers Obstacles to employees meeting their goals Employees were asked to select the five top issues that commonly distract them from achieving their work-related goals. PwC s survey clients typically see the top three obstacles below most often among government and private sector organizations. Addressing broken processes and inefficiencies are the areas of greatest impact opportunity. The City s Peak initiatives will be quite helpful in addressing these areas and should continue to be an area of attention. Most common obstacles % of Respondents Citing Obstacle Inadequate staffing levels 34% Out-of-date or malfunctioning technology 25% Poor, inefficient or broken processes 24% Level of workload 21% Micromanagement 19% Lack of clarity about the decision making process 16% Unproductive teammates 15% Doing work for others that is not part of my job 14% Lack of resources 14% There are no issues which distract me from achieving my work-related goals 11% Employee Engagement Survey 11
Comments Open-ended questions Employees were asked to write a response to the questions below. They were also asked to select a category that best fits their comment from a drop down list of categories seen below. What do you like best about working in your Department/Agency? 1500 1425 1405 1000 500 454 439 332 315 112 381 0 Work Environment My Current Job Mission / Vision The City Overall Leadership My Supervisor Career Development Other What are employees saying about work environment? I work with some amazing and innovative people who make it a joy to come here. I work with the most committed team/employees. We all come together and support each other even if it means working out of classification or being short staffed. We make sure we meet deadlines while providing the best customer service possible. I enjoy interacting with a variety of customers and providing them with information and resources that can help improve their lives. I also enjoy collaborating with the colleagues in my department because they understand the importance of our work and work hard to deliver the best information possible. What are employees saying about their current job? I love working with the public and making an impact on the communities I serve. I enjoy the work I do even though it is very difficult at times. I want to improve processes so we can serve more families with the right tools and services available. My immediate coworkers take responsibility and do an excellent job resolving issues and taking care of customers. I enjoy feeling like I'm part of a movement that contributes to the community, that contributes something back to society. It's neat to see the impacts our department has around Denver. 71% of respondents selected a topic area, with 4,871 comments provided Employee Engagement Survey 12
Comments Open-ended questions Employees were asked to write a response to the questions below. They were also asked to select a category that best fits their comment, from a drop down list of categories, seen below. What one thing would you suggest to help make your Department/Agency a great place to work for you? 1500 1215 1145 1000 500 585 475 323 282 187 475 0 Work Environment Leadership My Current Job The City Overall Career Development My Supervisor Mission / Vision Other What are employees saying about work environment? More emphasis on employee appreciation and recognition. Clear communication, transparency regarding process or changes in process, allowing feedback without judgement. Consistency across sections in regards to promotions and making sure that HR processes are being followed. Adequate staffing maintaining your personal life is difficult when you are expected to be at work so much more than what you are scheduled for. What are employees saying about leadership? Need more effective and efficient communication between divisions and work groups, and more effective coaching and employee development. Have consistent, clear information on expectations, goals and objectives for me and the department as a whole. Create open lines for employees to communicate without fear of retaliation or intimidation. Better communication from Managers, more transparency, and a fairer promotion process as employees are typically promoted on favoritism and not qualifications to do their jobs. 68% of respondents selected a topic area, with 4,671 comments provided Employee Engagement Survey 13
Recommendations Action response Higher levels of engagement are found when action is taken in response to the survey Communicate results of the survey and develop action plans 1. Implement 1-2 organization wide action plans, and 1-2 plans per department/agency. 2. Agency leadership must own your results employees know what they said. Implement a communications plan for the City and each department/agency. Throughout the year, connect actions taken to employee feedback and communicate it regularly to employees. 3. Define best practices from higher performing department/agency in key improvement areas. 5 4 3 2 2015 Engagement* 3.2 4.4 60 50 40 30 20 10 Inconsistent action seen across departments/agencies since the 2013 survey City Average 1 Did not see change since 2013 survey Saw change 0 *Based on results of PwC engagement index and the question, My department/agency has taken action on results from the last employee engagement survey. Employee Engagement Survey 14
Recommendations City-wide action response, based upon employee feedback Enhance communication of strategic goals and vision Encourage new methods and channels of communication within departments/agencies strengthen cascade of information from the top all the way down and focus on consistency of content and timing. Innovation and technology Foster an environment of feedback, where employees feel safe to provide their opinions Review technology gaps across the organization and look for opportunities for technology enhancement. Determine gaps where employees believe innovation is required, or where services are not in place to meet the future-state needs. Consider review of gaps of current practices and strategic future goals. Enhance recognition and career development paths Review how employees and top performers are being recognized and rewarded and how clear standards for performance are being communicated. Consider implementing a clear and consistent approach to recognition across the entire City. Develop career path and development options for employees in various roles to help them understand their options (e.g. lateral or rotational positions, not just upward). Review investment in training and education as a part of career development. Employee Engagement Survey 15
Next steps Timeline Dissemination of Results Communication of Results to employees Action Planning Implement Action Plans Next Survey August 2015 September 2015 October 2015 On-going June 2017 Share survey results and deliver key messages to leadership Implement employee communication plan Senior Executive communication department/agency communication Generate 2-3 action steps for each priority item selected by department/agency and/or by manager Create accountability around the action planning process Communicate to all employees on progress Year Two of survey launches Employee Engagement Survey 16
CCD Engagement index My department/agency has prepared me to do my job well. I am satisfied with my job at the City and County of Denver. My skills are a good match for my current job. I intend to stay with the City for at least another 12 months.* I would recommend a close friend to apply for a job at the City.* I am familiar with Mayor Hancock's priorities (i.e., kids, jobs, safety/safety net, sustainability, and customer experience). I understand how my department's/agency's strategic goals support the Mayor's priorities. I understand how the work I do relates to the Mayor s priorities. I understand how the work I do relates to the overall goals and priorities of my department/agency. I understand how the work I do relates to the success of the City.* Our Appointee ensures that necessary information is communicated in a timely manner. Our Appointee ensures that department/agency goals and priorities are clearly communicated. Senior Leadership is sincerely interested in the well-being of employees. Senior Leadership are present and visible. My supervisor is sincerely interested in my well-being. My supervisor clearly communicates the performance expectations to me. My supervisor expresses praise and appreciation when I do a good job. My supervisor regularly shares how our group is meeting its goals. I have a good relationship with my Immediate Supervisor. I have the resources and tools needed to do my job well. I have received the training I need to do a my job well. I feel proud to tell people that I work for the City.* I understand clearly what is expected of me at work. In the last 12 months, I have developed and grown at work. My department is innovative in the way it provides services and products to its clients. My department/agency strives to provide its employees with the latest technology required to do our job. My Department/Department promotes a culture/environment of appreciation. *Indicates item is also a PwC Engagement Index item Employee Engagement Survey 17