“Wouldn’t it be nice if we all could just keep things the way they are and not change? Unfortunately, the world does not work that way. Competitors change tactics, customers change buyers, governments change policies, strikes stop production and occasionally natural disasters cause havoc.” –Albu Consulting
Communication styles are changing at the rate of technology. As a result, yesterday’s tools no longer work. Ineffective communication can cost a company millions of dollars a year. In a recent study by the , they found that in a survey of 400 companies with 100,000 employees, each cited an average loss per company of $62.4 million per year due to ineffective communication between employees. That miscommunication cost even smaller companies of 100 employees an average of $420,000 per year.
To communicate effectively, companies must meet their employees where, when, and how they work – making a mobile-enabled solution an essential ingredient to your corporate communications strategy.
In Gallup’s latest report on the State of the American Workplace, they reported that 70% of American workers are NOT engaged at work, with 20% of them being actively disengaged. Disengaged workers occur in all types of businesses; for-profit, non-profit, start-ups, and multinational corporations. Even volunteers can become disengaged, costing the company valuable resources training the volunteer. Disengagement is a massive problem in today’s business culture that can directly impact a company’s bottom line. Gallup reports that actively disengaged workers cost the U.S. economy between $450 and $550 BILLION in lost productivity.
It is clear that disengagement can cost your organization a substantial amount of money, but how can you calculate the amount you are losing because of disengagement? We’ve come up with an easy way to calculate your annual cost of disengagement below:
In Aon’s 2018 Global Employee Engagement Report, it is reported that improving engagement can pay dividends. By increasing your engagement score by just five points is linked to a three percent increase in revenue. Ohana aims to increase your levels of engagement and transform how colleagues communicate and interact. On average, intranets have 15% engagement while Ohana averages 60% engagement. For a company with 300 employees, they can expect to lose nearly $4 million due to disengagement with an intranet. Below we have an example of the monetary benefit of Ohana over an intranet:
300 Employees * 85% Intranet disengagement * $45,000 Average Salary * 34% Disengagement Cost = $3,901,500
300 Employees * 40% Ohana Disengagement * $45,000 Average Salary * 34% Disengagement Cost = $1,836,000
In our example of a company with 300 employees and an average salary of $45,000, this company will realize an increase of $2,065,500 because of the increased engagement using Ohana over a traditional intranet.
Now that you know how much disengagement is costing you, how do you know that Ohana is the right application for you? Ohana is an essential tool for engaging communications. If you aren’t sure your communication is effective, you are not alone. Companies know that effective communication are central to employee engagement strategies, but less companies know if their engagement strategies work. To engage your team, your communications must include:
Ohana is a newsfeed-driven platform, available via mobile app and online, that makes sharing important company information quick and easy. Ohana leverages the four keys to successful communication above in a single, user friendly platform.
Ohana’s newsfeed allows for company updates and real-time news to be posted. It also allows for different posts such as employee recognition posts called “High Fives”, posts for employees to share ideas, the ability to run contests, and post surveys to gain real-time employee feedback. Ohana also features the ability to communicate with any colleague on the app. Ohana allows for quick access to employee contact information from the directory and allows for colleagues to chat within the app itself!
It is clear that internal communications are rapidly changing and that focusing on employee engagement is at an all-time high. If you are looking for a way to connect and engage with your employees, check out Ohana.