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12 metrics employers are using today to measure employee engagement

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Nextiva identified ways employers can measure and improve employee engagement to build a stronger work culture with committed workers.
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Modern companies understand that engaged employees—those who feel a positive mental and emotional connection to their work, their teams, and their organization—build better office cultures and yield higher performance.

Employers can improve employee engagement by offering rewards like raises and promotions for excellent work. Efforts to make employees feel heard and valued also help keep workers connected to each other and the company. Sending inconsistent messaging about core company values or building one-way, top-down internal communications can easily hinder these efforts, and leave employees feeling disconnected or disregarded.   

The Gallup polling company surveys companies around the world and honors those whose employees are the most engaged with a Gallup Exceptional Workplace Award. At top organizations, about 71% of employees are engaged—far above the 15% global average engagement level and the 35% average in the U.S.

ABC Supply, a Wisconsin-based building supply company with more than 17,000 employees, is one of just two companies that have won Gallup’s award every year since it was created in 2007. The company says its employees’ engagement is crucial to its growth and success.

Building a strong and engaged workplace culture takes work and often starts with clear and open lines of communication between leadership and employees. To help better understand employee perspectives, Nextiva examined Gallup’s Q12 Employee Engagement Survey and identified some of the measures that people use to determine their satisfaction and engagement with their jobs—whether working in person, hybrid, or fully remote.

A handwritten to do list.

Cozine // Shutterstock

#1. I know what is expected of me at work.

– Foundational level: Basic needs

According to Gallup’s survey, just half of all employees globally understand what their employers expect of them at their workplace, and how their performance helps co-workers and the organization as a whole. Gallup’s survey shows that organizations that can boost the ratio of employees who understand what is expected of them at work to 80% can cut employee turnover by 22%, reduce safety incidents by 29%, and enhance productivity by 10%.

An employee sits at a desk that has four monitors.

Roman Samborskyi // Shutterstock

#2. I have the materials and equipment I need to do my work right.

– Foundational level: Basic needs

Employees who don’t have what they need to do their work cannot be productive. It’s common to associate employees’ needs with tools or equipment. But workers also have less tangible needs, like access to information that makes it easier to get work done.

Surveys show that one in three employees globally agree they have what they need to do their job. Organizations that can double that ratio could potentially see an 11% increase in profitability. Equipping employees with their basic needs can reduce safety incidents by 35% and improve their output by 28%. Managers cannot simply assume they understand what their teams need; they must find out what people need to do their work effectively.

An employee studies Post-Its that are arranged on window.

fizkes // Shutterstock

#3. At work, I have the opportunity to do what I do best every day.

– Foundational level: Individual contribution

Most workplaces include a wide range of people with different personal and work-related strengths, skills, and abilities. Employers who let employees use those talents can help them feel fulfilled and give them a sense of purpose while also improving productivity and attracting and retaining other great workers.

Gallup’s survey revealed that approximately 33% of workers strongly agree across the globe that they have the chance to do what they do best each day. Employers who create an environment where employees can leverage their skills could increase customer engagement scores by 6% and profitability by 11%. Furthermore, doubling this ratio can cut turnovers down by 30% and reduce safety incidents by 36%.

Exceptional managers get to know their team members personally and allow them to showcase their unique value through their work.

An adhesive note with "Good Job" written on it on a cork bulletin board.

Arman Novic // Shutterstock

#4. In the last seven days, I have received recognition or praise for doing good work.

– Foundational level: Individual contribution

An essential part of employee engagement is ensuring that people feel valued. Employees who do not feel valued in their workplaces are much more likely to quit their jobs. Recognizing employees’ good work also shows other employees what success looks like. Gallup’s survey reveals that 25% of workers strongly agree that they had been commended or recognized for their hard work the previous week.

If employers can increase that ratio to 60%, quality would improve by 28%, absenteeism would decrease by 31%, and shrinkage would reduce by 12%. The best way to apply this strategy would be to create an environment rich in recognition, with multiple sources of appreciation.

A group of office workers smiling while working together.

Anel Alijagic // Shutterstock

#5. My supervisor, or someone at work, seems to care about me as a person.

– Foundational level: Individual contribution

Many employers try to avoid being perceived as “soft” by their employees. Still, at every level of an organization, employers need to regard their employees as the organization’s backbone. People who feel cared for and valued are more likely to be innovative and take the initiative. Employees who feel connected to their organization also make great ambassadors for the workplace. Surveys show that 40% of employees strongly agree that their supervisor or colleague shows concern for them as a person.

Improving that ratio to 80% can do a world of good for any organization, which may see that improvement bring an 8% uptick in customer engagement scores, a 46% decrease in safety issues, and a 41% decrease in absenteeism.

The personal touch of showing someone you care about them cannot be manufactured. However, by increasing one-on-one interactions and acknowledging achievements, managers may create environments where employees feel safe and cared for at work.

Two employees face each other at table while meeting one on one.

Ground Picture // Shutterstock

#6. There is someone at work who encourages my development.

– Foundational level: Individual contribution

According to data from the Gallup survey, people leave jobs most frequently for lack of professional advancement chances. But it’s not always the workers’ fault. Some are ready to learn, grow, and have skills to move up but don’t know how to navigate that phase of their careers.

Employers who provide guidance through mentoring, engagement, visibility, or task assignments are highly regarded and encourage higher levels of loyalty. The surveys show that 30% of employees strongly agree that a colleague at work supports their personal development. Organizations can see improvements in customer engagement ratings of 6%, profitability of 11%, and absenteeism reduction of 28% by raising this ratio to 60%.

Managers who can coach employees to learn, grow, and take on new challenges have better results, especially in retaining staff.

A businessperson raising their hand in a meeting.

FS Stock // Shutterstock

#7. At work, my opinions seem to count.

– Foundational level: Teamwork

Older work models often had managers who were expected to know it all. More modern management involves constant dialogue with colleagues to consider all options before deciding on the best course of action, and to ensure everyone’s views are heard. Gallup data shows that 25% of employees feel listened to when expressing their opinions. It is possible for organizations to reduce turnover and safety incidents, and to enhance productivity by as much as 10% if they can double that ratio. Workers’ input can identify new opportunities and help employees connect with each other and their managers.

Smiling office workers sit together at a table in a meeting.

fizkes // Shutterstock

#8. The mission or purpose of my company makes me feel my job is important.

– Foundational level: Teamwork

Everyone wants to know that their effort has a more significant meaning and that their job isn’t just a job. A sense of purpose is a critical element in attracting and retaining staff. Global surveys revealed that about 33% of employees strongly agree that the direction and purpose of their organization made their jobs feel more critical.

If organizations focus on this metric and double this ratio, key performance metrics like absenteeism and patient safety could be improved. Additionally, this can translate to a 19% boost in work output. Good leaders identify ways to show every employee how their role fits and supports the organization’s mission. In addition, opportunities for employees to share moments when they felt especially connected to the mission can inspire others and make the collective sense of purpose more concrete.

An office worker focusing on their laptop screen.

Ground Picture // Shutterstock

#9. My associates or fellow employees are committed to doing quality work.

– Foundational level: Teamwork

Interconnected modern workplaces require team members to depend on each other heavily to do their jobs. But a team is only as strong as its weakest member, and if people think a teammate doesn’t share the same dedication, morale can tumble. According to a Gallup study, one-third of employees strongly believe that their co-workers are devoted to producing high-quality work. By simply doubling this ratio, businesses can trim turnover and absenteeism by 31%, raise profits by 12%, and enhance customer engagement ratings by 7%. A transparent system of accountability for individuals and the team can ensure clear performance measures and that everyone understands their interdependence.

Two people chatting in an office.

fizkes // Shutterstock

#10. I have a best friend at work.

– Foundational level: Teamwork

When workers feel connected to their co-workers, they make better business judgments. According to surveys, 30% of workers firmly agree that they have the closest buddy at work. Organizations could experience 28% fewer safety incidents, 5% higher customer engagement scores, and 10% higher profit if that ratio increased to 60% or above. A relaxed environment created by excellent managers can foster workplace friendships.

An employee performance evaluation form.

alexskopje // Shutterstock

#11. In the last six months, someone at work has talked to me about my progress.

– Foundational level: Growth

Career growth is significant to employees. Performance evaluations are vital—whether formal or informal—and can help align an employee’s self-perception with their actual work performance. Discussing workers’ strengths and weaknesses can help them feel understood and identify ways they can contribute more effectively. Gallup surveys reveal that one-third of employees worldwide strongly agree that a colleague at work has checked up on their progress in the last six months. By pushing this ratio to about 66%, organizations can materially see a 38% drop in safety incidents, a 28% reduction in absenteeism, and an 11% increase in profit.

A businessperson reviews their notes in front of a laptop.

fizkes // Shutterstock

#12. This last year, I have had opportunities at work to learn and grow.

– Foundational level: Growth

Constantly keeping workers learning is a great way to sustain employee motivation and momentum. People are more likely to stay in organizations where they feel forward motion in addition to personal and professional progress. According to studies, only 33% of employees strongly agree that they have the opportunity to learn and develop at work. The survey further revealed that by improving this ratio to 66%, organizations could see 39% lower absenteeism, a 36% reduction in safety incidents, and a 14% spike in productivity.

Encouraging employees to develop themselves makes the environment conducive to work. In this type of environment, employees don’t feel the need to skip work, and productivity and profits increase. Offering employees opportunities to learn and grow through company programs or other forums helps keep them engaged and fulfilled.

This story originally appeared on Nextiva and was produced and
distributed in partnership with Stacker Studio.

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How businesses can protect themselves from the rising threat of deepfakes

Dive into the world of deepfakes and explore the risks, strategies and insights to fortify your organization’s defences

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In Billy Joel’s latest video for the just-released song Turn the Lights Back On, it features him in several deepfakes, singing the tune as himself, but decades younger. The technology has advanced to the extent that it’s difficult to distinguish between that of a fake 30-year-old Joel, and the real 75-year-old today.

This is where tech is being used for good. But when it’s used with bad intent, it can spell disaster. In mid-February, a report showed a clerk at a Hong Kong multinational who was hoodwinked by a deepfake impersonating senior executives in a video, resulting in a $35 million theft.

Deepfake technology, a form of artificial intelligence (AI), is capable of creating highly realistic fake videos, images, or audio recordings. In just a few years, these digital manipulations have become so sophisticated that they can convincingly depict people saying or doing things that they never actually did. In little time, the tech will become readily available to the layperson, who’ll require few programming skills.

Legislators are taking note

In the US, the Federal Trade Commission proposed a ban on those who impersonate others using deepfakes — the greatest concern being how it can be used to fool consumers. The Feb. 16 ban further noted that an increasing number of complaints have been filed from “impersonation-based fraud.”

A Financial Post article outlined that Ontario’s information and privacy commissioner, Patricia Kosseim, says she feels “a sense of urgency” to act on artificial intelligence as the technology improves. “Malicious actors have found ways to synthetically mimic executive’s voices down to their exact tone and accent, duping employees into thinking their boss is asking them to transfer funds to a perpetrator’s account,” the report said. Ontario’s Trustworthy Artificial Intelligence Framework, for which she consults, aims to set guides on the public sector use of AI.

In a recent Microsoft blog, the company stated their plan is to work with the tech industry and government to foster a safer digital ecosystem and tackle the challenges posed by AI abuse collectively. The company also said it’s already taking preventative steps, such as “ongoing red team analysis, preemptive classifiers, the blocking of abusive prompts, automated testing, and rapid bans of users who abuse the system” as well as using watermarks and metadata.

That prevention will also include enhancing public understanding of the risks associated with deepfakes and how to distinguish between legitimate and manipulated content.

Cybercriminals are also using deepfakes to apply for remote jobs. The scam starts by posting fake job listings to collect information from the candidates, then uses deepfake video technology during remote interviews to steal data or unleash ransomware. More than 16,000 people reported that they were victims of this scam to the FBI in 2020. In the US, this kind of fraud has resulted in a loss of more than $3 billion USD. Where possible, they recommend job interviews should be in person to avoid these threats.

Catching fakes in the workplace

There are detector programs, but they’re not flawless. 

When engineers at the Canadian company Dessa first tested a deepfake detector that was built using Google’s synthetic videos, they found it failed more than 40% of the time. The Seattle Times noted that the problem in question was eventually fixed, and it comes down to the fact that “a detector is only as good as the data used to train it.” But, because the tech is advancing so rapidly, detection will require constant reinvention.

There are other detection services, often tracing blood flow in the face, or errant eye movements, but these might lose steam once the hackers figure out what sends up red flags.

“As deepfake technology becomes more widespread and accessible, it will become increasingly difficult to trust the authenticity of digital content,” noted Javed Khan, owner of Ontario-based marketing firm EMpression. He said a focus of the business is to monitor upcoming trends in tech and share the ideas in a simple way to entrepreneurs and small business owners.

To preempt deepfake problems in the workplace, he recommended regular training sessions for employees. A good starting point, he said, would be to test them on MIT’s eight ways the layperson can try to discern a deepfake on their own, ranging from unusual blinking, smooth skin, and lighting.

Businesses should proactively communicate through newsletters, social media posts, industry forums, and workshops, about the risks associated with deepfake manipulation, he told DX Journal, to “stay updated on emerging threats and best practices.”

To keep ahead of any possible attacks, he said companies should establish protocols for “responding swiftly” to potential deepfake attacks, including issuing public statements or corrective actions.

How can a deepfake attack impact business?

The potential to malign a company’s reputation with a single deepfake should not be underestimated.

“Deepfakes could be racist. It could be sexist. It doesn’t matter — by the time it gets known that it’s fake, the damage could be already done. And this is the problem,” said Alan Smithson, co-founder of Mississauga-based MetaVRse and investor at Your Director AI.

“Building a brand is hard, and then it can be destroyed in a second,” Smithson told DX Journal. “The technology is getting so good, so cheap, so fast, that the power of this is in everybody’s hands now.”

One of the possible solutions is for businesses to have a code word when communicating over video as a way to determine who’s real and who’s not. But Smithson cautioned that the word shouldn’t be shared around cell phones or computers because “we don’t know what devices are listening to us.”

He said governments and companies will need to employ blockchain or watermarks to identify fraudulent messages. “Otherwise, this is gonna get crazy,” he added, noting that Sora — the new AI text to video program — is “mind-blowingly good” and in another two years could be “indistinguishable from anything we create as humans.”

“Maybe the governments will step in and punish them harshly enough that it will just be so unreasonable to use these technologies for bad,” he continued. And yet, he lamented that many foreign actors in enemy countries would not be deterred by one country’s law. It’s one downside he said will always be a sticking point.

It would appear that for now, two defence mechanisms are the saving grace to the growing threat posed by deepfakes: legal and regulatory responses, and continuous vigilance and adaptation to mitigate risks. The question remains, however, whether safety will keep up with the speed of innovation.

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Small banks emerge as the top source for small business financing

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Findbusinesses4sale used the Fed's Small Business Credit Survey data to compare approval rates among small business financing options.
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When it comes to borrowing money, small businesses are most likely to apply at large banks. But they often find success with their counterparts in the finance world: small banks.

Small banks—or those with less than $10 billion in total assets—comprise most of the banks in the U.S., much like small businesses account for nearly all U.S. businesses. More than 80% of small businesses that applied for financing at small banks were at least partially approved in 2022, according to data from the Fed’s most recent survey of small business employers. However, only 30% of small businesses applied at small banks when they sought financing.

About 2 in 5 small business employers applied for some traditional financing in 2022. Most needed the money to meet operating expenses, while a little over half sought cash to expand their operations.

Findbusinesses4sale used the Fed’s Small Business Credit Survey data to compare approval rates among small business financing sources, taking a closer look at their differences. Approval rates are based on applications for loans, credit, and cash advances at the various institution types. The Fed report was released in March 2023 based on a 2022 survey of nearly 8,000 small businesses with employees.


A bar chart shows the share of small business applicants at least partially approved for loan requests, separated by the type of source applied to.

Findbusinesses4sale

Small banks surpass online lenders, finance companies in approval rates for small business applicants

Also known as community banks, small banks are well-equipped to lend to small businesses because of their intimate knowledge of local economies. Small businesses are often young, with short histories, small operations, little collateral, and unproven financial success. These factors can make it difficult for founders to qualify for credit and loans—they’re simply a riskier investment for a funder to take on.

Small banks’ decision-makers live within the same areas where they grant loans, and they have insight into how certain businesses could fare within their neighborhoods. That makes it easier for them to analyze the risk of lending to small businesses and, in turn, decide whether to approve their applications. At least 3 in 5 (61%) applicants considered to be a medium or high credit risk were approved for financing at small banks; at large banks, not even half (45%) of these riskier applicants were approved.

By operating across smaller locales, community bank operators also have the opportunity to forge stronger relationships with business founders. The Fed survey shows that about 2 in 3 small businesses that applied for financing with these banks did so because of an existing relationship. Many of these relationships were forged in the heat of the COVID-19 pandemic, when community banks came through for small businesses with relief funds, including more intensive support in understanding and completing complex applications.

Small firms applying to other sources, such as online lenders and finance companies, are most often motivated by making quick decisions and perceiving that they have a higher chance of being approved. That was the case five years ago, but approval rates for both sources lagged behind small banks in 2022. Indeed, approval rates at both have fallen significantly since 2019, while approvals at small banks have grown.

Both online lenders and finance companies still approve slightly higher shares of applicants with medium to high credit risks compared to small banks, but only by a few percentage points. At the same time, many more borrowers reported dissatisfaction and challenges working with these lenders, including high interest rates and unfavorable repayment terms.

On the other hand, the vast majority of borrowers from small banks were happy with their experience—much more than those who borrowed from any other type of lender.

Story editing by Ashleigh Graf. Copy editing by Paris Close. Photo selection by Ania Antecka.

This story originally appeared on Findbusinesses4sale and was produced and
distributed in partnership with Stacker Studio.

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The new reality of how VR can change how we work

It’s not just for gaming — from saving lives to training remote staff, here’s how virtual reality is changing the game for businesses

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Until a few weeks ago, you might have thought that “virtual reality” and its cousin “augmented reality” were fads that had come and gone. At the peak of the last frenzy around the technology, the company formerly known as Facebook changed its name to Meta in 2021, as a sign of how determined founder Mark Zuckerberg was to create a VR “metaverse,” complete with cartoon avatars (who for some reason had no legs — they’ve got legs now, but there are some restrictions on how they work).

Meta has since spent more than $36 billion on metaverse research and development, but so far has relatively little to show for it. Meta has sold about 20 million of its Quest VR headsets so far, but according to some reports, not many people are spending a lot of time in the metaverse. And a lack of legs for your avatar probably isn’t the main reason. No doubt many were wondering: What are we supposed to be doing in here?

The evolution of virtual reality

Things changed fairly dramatically in June, however, when Apple demoed its Vision Pro headset, and then in early February when they were finally available for sale. At $3,499 US, the device is definitely not for the average consumer, but using it has changed the way some think about virtual reality, or the “metaverse,” or whatever we choose to call it.

Some of the enhancements that Apple has come up with for the VR headset experience have convinced Vision Pro true believers that we are either at or close to the same kind of inflection point that we saw after the release of the original iPhone in 2007.Others, however, aren’t so sure we are there yet.

The metaverse sounds like a place where you bump into giant dinosaur avatars or play virtual tennis, but ‘spatial computing’ puts the focus on using a VR headset to enhance what users already do on their computers. Some users generate multiple virtual screens that hang in the air in front of them, allowing them to walk around their homes or offices and always have their virtual desktop in front of them.

VR fans are excited about the prospect of watching a movie on what looks like a 100-foot-wide TV screen hanging in the air in front of them, or playing a video game. But what about work-related uses of a headset like the Vision Pro? 

Innovating health care with VR technology

One of the most obvious applications is in medicine, where doctors are already using remote viewing software to perform checkups or even operations. At Cambridge University, game designers and cancer researchers have teamed up to make it easier to see cancer cells and distinguish between different kinds.

Heads-up displays and other similar kinds of technology are already in use in aerospace engineering and other fields, because they allow workers to see a wiring diagram or schematic while working to repair it. VR headsets could make such tasks even easier, by making those diagrams or schematics even larger, and superimposing them on the real thing. The same kind of process could work for digital scans of a patient during an operation.

Using virtual reality, patients and doctors could also do remote consultations more easily, allowing patients to describe visually what is happening with them, and giving health professionals the ability to offer tips and direct recommendations in a visual way. 

This would not only help with providing care to people who live in remote areas, but could also help when there is a language barrier between doctor and patient. 

Impacting industry worldwide

One technology consulting firm writes that using a Vision Pro or other VR headset to streamline assembly and quality control in maintenance tasks. Overlaying diagrams, 3D models, and other digital information onto an object in real time could enable “more efficient and error-free assembly processes,” by providing visual cues, step-by-step guidance, and real-time feedback. 

In addition to these kinds of uses, virtual reality could also be used for remote onboarding for new staff in a variety of different roles, by allowing them to move around and practice training tasks in a virtual environment.

Some technology watchers believe that the retail industry could be transformed by virtual reality as well. Millions of consumers have become used to buying online, but some categories such as clothing and furniture have lagged, in part because it is difficult to tell what a piece of clothing might look like once you are wearing it, or what that chair will look like in your home. But VR promises the kind of immersive experience where that becomes possible.

While many consumers may see this technology only as an avenue for gaming and entertainment, it’s already being leveraged by businesses in manufacturing, health care and workforce development. Even in 2020, 91 per cent of businesses surveyed by TechRepublic either used or planned to adopt VR or AR technology — and as these technological advances continue, adoption is likely to keep ramping up.

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