4 priorities when designing a winning employee experience

If the first quarter of 2024 is a sign of what companies can expect this year, we’re in for a wild ride.

With economic, technological, geopolitical and social disruptions, along with labor market shifts, 2024 will bring a myriad of uncertainty and change.

Yet uncertainty brings both challenges and opportunities for employers and employees.

Managing through uncertainty isn’t easy, but there are a few global, high-performing organizations that lead the way no matter what they face.

They prioritize their people by delivering differentiating employee experiences and, in turn, excellence within their industries by:

• Creating clarity of vision and inspiration around their purpose
• Building trust in leaders through open and honest communication
• Prioritizing change effectiveness to drive speed and agility to market
• Recognizing employees with tailored, fair, equitable and transparent pay and benefits

Employee experience impacts the entire organization.

Our High-Performing Employee Experience research found that global high-performing organizations have 11x higher profits, 3x revenue growth and 2x higher return on equity.

By focusing efforts on these four priorities, organizations can create a thriving workplace that sets the foundation for long-term success, resilience and sustainability.

1. Design employee-centric experiences

Employers that put their people at the heart of everything they do create deeper connections and achieve better business outcomes.

They foster a culture of open communication where they take time to understand and address the needs, aspirations and concerns of employees.

• Build a two-way dialogue: Promote a psychologically safe culture of listening, open communication and continuous improvement based on employee feedback. Employees will then feel safe to share their perspectives and ideas and trust in a process where their insight contributes to meaningful change. There are several channels to encourage two-way dialogue: surveys, focus groups (virtual or in-person), interviews and informal conversations to name a few.
• Modernize and personalize communication with a digital front door to all things HR: Give employees immediate, one-click access to HR resources and information personalized to their profiles, needs and preferences. A centralized online communication platform that serves as a gateway for employees to access personalized HR resources, information and tools reduces the administrative burden on HR teams.​ Whether it’s important company updates, performance feedback, learning resources or recognition programs, a good collection of digital tools should capture employees’ attention and meet them where they are, ensuring they receive the right information during critical moments that matter to them.
• Experiment to drive feedback: Encourage new approaches to gather feedback quickly. As the pace of change accelerates, so must company strategies to keep up with evolving employee needs.

2. Modernize for meaningful total rewards

Getting the components of total rewards right (employee pay, benefits, careers and employee wellbeing) is essential for a rewarding and fulfilling employee experience.

• Prioritize employee wellbeing: Recognize that employee wellbeing is crucial for overall performance and success. Take action to implement tailored wellbeing initiatives and regularly assess their effectiveness to meet changing needs.
• Develop purposeful career growth opportunities: Go beyond financial recognition and focus on providing purposeful career growth opportunities. Offer clear progression pathways and meaningful support. Ensure fair distribution of career opportunities and recognition based on merit, skills and potential. Empower employees with resources for advancement, regardless of chosen career paths.
• Recognize employees with fair and equitable compensation and benefits: Design pay, benefits, and career programs to drive performance, and ensure employees understand how their contributions are measured and evaluated. Companies need to assess the competitiveness of their pay and benefits offering and make targeted investments in the areas that matter most to employees. Prioritize flexibility and inclusivity, so that employees can tailor their rewards to meet their individual needs.
• Regularly evaluate and adapt: Continuously assess the effectiveness of total rewards programs and initiatives. Gather employee feedback through surveys or focus groups to understand employee needs and preferences. Use data and insights to inform decisions and adapt the total rewards strategy to meet evolving workforce expectations.

3. Reimagine the employee value proposition (EVP)

An employee value proposition (EVP) serves as a guiding force within an organization.

It’s shaped by both business and talent needs. However, as employee expectations change, so should the EVP.

Historically, the EVP was a transactional give/get relationship, but now it should prioritize lived experiences.

This paradigm shift recognizes that the overall experience and value employees gain from their work environment are crucial in shaping the employer-employee relationship.

External factors such as labor market dynamics and the rise of hybrid work have further increased the need for employers to create, communicate and deliver an EVP that meets the changing expectations of their workforce.

Regular review of the EVP helps keep it aligned with current employee needs and societal changes.

Incorporating these elements into the EVP improves the employee experience, fostering alignment with workforce expectations.

To enhance the employee experience (EX), employers should incorporate three key elements into their EVP:

• EVP mindsets: These are the foundational beliefs that define the desired employee experience and guide the organization’s culture and decision making. Embracing these EVP mindsets creates a strong foundation for a positive employee experience.
• EVP behaviors: Authentic expression of the EVP mindset is crucial. This involves aligning company values with the desired EVP mindsets and translating them into actionable behaviors. Everyone in the organization — from leadership to individual contributors — should adopt and demonstrate these behaviors.
• EVP enablers: The four Ps — people programs (e.g. total rewards), work policies, processes and practices — are the key elements that shape day-to-day experiences. They make the EVP tangible and support employees in demonstrating desired behaviors. The EVP can offer a framework to guide changes to the four Ps, ensuring alignment with an organization’s values. These EVP enablers play a crucial role in creating a supportive employee experience roadmap, ensuring that the environment fully supports and reinforces the desired employee experience.

4. Build organizational resilience through agile change management

Success navigating uncertainty depends on strong change management. Often, in the whirlwind of change, immediate priorities can overshadow long-term impacts, negatively affecting the employee experience.

It’s important for organizations to reflect on their recent experience of transformation and assess their readiness for change, internal culture and the capability of their leadership.

Organizations that thrive during periods of uncertainty and disruption achieve nearly three times greater revenue growth over three years compared to organizations with below-average change effectiveness, according to our Global High Performance Normative data.

What sets thriving organizations apart is they prioritize their people in their change initiatives, placing employee experience at the forefront.

They do this by focusing on three principles:

• Insights-driven: Embrace a data-driven mindset and learn from evidence and insights to understand organizational needs and challenges. These insights should inform change strategies, enabling informed decision making for successful implementation.
• Risk-focused mindset: Proactively assess risks and anticipate future challenges, considering both positive and negative impacts. Develop strategies to mitigate risk, make navigating change easier and minimize potential disruptions.
• People-centric: Engage employees in the change process, fostering a culture of inclusion, support and impactful listening. By valuing employee input, organizations create a sense of ownership and commitment to change, leading to smoother transitions and improved employee experience.