Wellness in the workplace impacts the social, mental and physical wellbeing of employees. Explore top wellness in the workplace ideas, statistics and practices.
The imperative towards managing wellness in the workplace has been on the rise for quite some time now. Organizations across all verticals are taking a comprehensive approach to employee experience. Here wellness in the workplace which revolves around optimizing mental health and employee wellbeing is becoming a top priority. The rise of remote work, lack of social connect, ambiguity and uncertainty due to the unleashing of the pandemic, changes in attitude towards health have all contributed to a more pronounced focus on wellness, on personal and professional fronts. For organizations, increased levels of anxiety, phases of burnout, and the impact on performance have prompted the need to make wellness in the workplace a priority.
Table of contents
Let’s start by understanding what exactly is employee wellbeing. Conventionally, monetary compensation was seen as the only parameter for employee happiness and satisfaction. However, recently, the notion of employee wellbeing has come to the forefront. Put simply, employee wellbeing or wellness in the workplace refers to a state of physical, psychological, and social wellbeing at one’s place of work. This all encompassing term is closely dependent on the job expectations, work environment, workplace culture, roles and responsibilities, stress levels, etc. which impact the health, happiness and wellness of all employees at work and beyond. It goes beyond an employee’s physical health and being free from such ailments to include a state of cognitive, behavioural and holistic growth. Employee wellbeing has a direct impact on an employee’s productivity and performance, ability to contribute to their full potential and capability to forge meaningful relationships and collaborations to create shared value.
Promoting employee wellbeing requires strategic interventions at an organizational level. Therefore, we need to answer the questions, ‘why is wellness in the workplace important?’ While greater engagement, performance, productivity are the obvious answers, a look at the wellness in the workplace statistics can offer a clearer picture.
About 87% of employees said they consider health and wellness offerings when choosing an employer
More than 68% of employers prioritize well-being as a business objective
70% of employees enrolled in wellness programs have reported higher job satisfaction than those not enrolled in the companies’ program
Work-related stress alone can cost up to $300 billion a year from productivity losses
56% of employees had fewer sick days because of wellness programs
68% of senior HR leaders rated employee well-being and mental health as a top priority in 2021
Average return on investment of workplace wellness programs is 3.27
77% of employees think that employee wellness programs positively impact the company culture
The implementation of efficient wellness programs helped reduce health expenses by 26%
63% of employers offering wellness programs reported increased financial sustainability and growth
56% of employees had fewer sick days because of wellness programs
Employees are more likely to recommend a company that supports well-being efforts as a good place to work
Less than 25% of people employed by companies with wellness programs intend to leave their jobs within the next 12 months
Company health wellness programs result in an 11% rise in revenue generated per employee
Companies with workplace wellness programs in place report a 66% productivity increase
These wellness in the workplace statistics clearly illustrate the imperative for organizations to invest in employee wellbeing initiatives. While strategic interventions have the potential to augment engagement, experience, productivity as well as the bottom line, overlooking wellness in the workplace can lead to acute turnover, reduced profits and negative employer branding.
Finally, organizations need to ensure that they set boundaries beyond work time and home time for their team members. It is important that work doesn’t creep in during off hours and employees don’t have to stretch their work day, except occasionally. The space and ability to disconnect to reconnect is imperative for physical, social and mental wellness in the workplace.
Increasingly mental health and wellness are becoming reasons of concerns for most individuals and organizations. Mental health support must come in the form of in-house experts, regular sessions on stress and anxiety management, etc.
Empower employees to choose their work schedule, if the job role allows. Most roles and responsibilities today are time agnostic and giving flexibility to employees to choose when they want to work can augment wellness in the workplace. In case of work from home, this can help them to manage both their work and home well.
Offer health insurances and covers to provide financial assistance for employees during a medical emergency. Explore options of at home care medical compensation, in addition to the convention in-hospitalization care, along with other healthcare benefits.
It is important to give employees sufficient break time and days-off to rejuvenate. If a particular week has been hectic, an off in the next week can help in preventing burnout and add to employee wellbeing.
Onboard wellness partners which offer different forms of wellbeing and health support for your team members. This could range from consultation for physical ailments to therapy sessions and consultation for psychological wellness.
Organize regular, maybe even daily, wellness sessions for a short duration like 15 minutes. Keep it as a permanent feature before starting the work day or after ending it. Encourage employees to practice guided meditation and yoga with experts, online or offline to help them unwind and get relieved from stress.
Make it a regular practice to share resources in the form of toolkits, newsletters, emails or posts which illustrate different health and wellness practices. Make the information easy to consume and interesting and relevant to your team members.
Rewards and recognition for a job well done can cater to the cognitive wellbeing of most employees. Having a robust rewards and recognition program will increase engagement, satisfaction and happiness leading to greater wellness in the workplace.
The nature of most modern jobs involves sitting in front of the laptop the whole day leading to serious problems for the back and neck. Introducing standing desks can help employees avoid slouching by maintaining a straight posture. This can add to their physical wellness in the workplace.
It would be a good idea to adopt hybrid working wherever possible. While brainstorming and collective work can be finished in person, individual tasks can be completed virtually. This flexibility will allow employees to invest time saved during commute in furthering their wellbeing.
The environment has a direct impact on wellness in the workplace. Having plants and greenery leads to physical and mental wellbeing. In addition, having windows, adequate ventilation, etc. all contribute in different ways to wellness. In fact, even the way the rooms are designed with enough open space and comfortable seating, have an impact on wellbeing.
Having indoor and outdoor sports and recreational activities can contribute to an increase in employee wellbeing. While they directly lead to better physical health, they also enable employees to let go of anxiety and stress.
Vaccinations today form a very important part of ensuring wellness in the workplace. Catering to vaccinations, routine check-ups and tests for common conditions in the workplace can help ensure that basic healthcare is taken care of for all employees. Such an initiative will also encourage employees to take seriously an aberration in their reports.
Like any other employee resource group, organizations can also experiment with health groups. They can meet regularly to discuss healthy practices and even organize different events to promote health and wellness in the workplace.
Depending on the nature of work, organizations can make the workplace pet-friendly. Having some furry friends around can instantly bring down stress and anxiety. While this might not have the potential to become a norm, having a few bring your pet to work day can definitely promote employee wellbeing and wellness in the workplace.
Social wellbeing for all employees is dependent on their relationships with team members. Having group outings and team building activities can be crucial here. Even in the case of remote work, virtual happy hours, sending food to the homes of all team members or having a comedy night together can create a sense of belongingness and augment social wellness in the workplace.
Any form of a challenge is often well received across organizations. Having a step count challenge or a water drinking challenge or taking the stairs challenge can all inculcate healthy habits in employees and aid their wellbeing. A small reward in the end can make it more exciting and drive greater participation.
Giving back to society is often full of satisfaction and adds to one’s wellbeing. Choosing a common cause and collective volunteering to create an impact will create avenues for social and mental wellness in the workplace.
Offering membership for different fitness platforms can encourage team members to take care of their health. Conventionally, in the form of gym memberships, organizations are now also exploring virtual memberships for platforms which offer activities like zumba, yoga, exercises, etc.
These 20 ideas to promote employee wellbeing and wellness in the workplace have been vastly accepted and have worked for most fast growing organizations. Let’s now quickly explore a few practices that organizations are adopting in the new normal with the rise of remote work and associated challenges to wellbeing.
Most organizations are struggling with promoting wellness in the workplace during Covid. Fortunately, many forward looking organizations already have strategic interventions in place which are enabling them to promote wellness in the workplace. Here are the best practices that organizations can take inspiration from to build their employee wellbeing strategy for a remote workforce:
One of the major reasons for mental distress among employees is the lack of organizational communication and the ambiguity that comes along. Make sure you constantly communicate with your team and keep them updated about what is going on. Also, depending on your company culture, it might be a good idea to have conversations beyond work and encourage employees to share challenges with one another.
It is important to be proactive in gauging mental health and wellness in the workplace. You could either get a professional to help you out or you could explore some organizations specializing in the field of employee experience and seek their help. The idea is to understand the distress level of each employee and focus on a tailor made solution for each. Simply having a mindfulness session will not suffice the need of the hour.
It would be a good idea to have a professional psychologist or therapist on call in case any of your employees need it to promote wellness in the workplace. Due to the taboo on mental health and wellbeing, some of your employees might not want to share their problems with one another, but might feel more comfortable sharing with an expert. Give them all the possible options.
Finally, with a remote workforce, it is very important to focus on as much digital support as possible. Share de-stressing content in the form of videos. It might be a good idea to even collaborate with a few HR- tech partners that can offer you digital solutions for managing wellness in the workplace.
By now, there is a clear understanding on the what, why and how of wellness in the workplace. This section will focus on highlighting some workplace wellness tips to ensure the practices shared above are able to reap the intended results. Let’s quickly discuss a few tips to successfully design and execute workplace wellness programs.
Organizations need to start the process by gauging employee pulse with surveys. This can include conducting pulse surveys not only to capture how they feel about the initiatives taken by the organization, but to also understand their level of wellbeing. For instance, questions like, ‘How stressed you are at work’ or ‘How often do you have to work on day-offs or beyond work hours’. Conducting such surveys on a regular basis will give a clear and comprehensive picture of what the employee feels is hampering their wellness and how can the gap be bridged.
For successful workplace wellness programs, it is essential to have the backing and support from the top leadership. Only when the initiatives come from the top and trickle down will they have maximum impact. Additionally, leadership support will ensure significant budgets and investments to create impact. Share studies and in-house results to illustrate the need for wellness initiatives.
Based on what your employees feel is important for their wellbeing, identify practices from the above ideas and create a full execution plan. Instead of simply saying that we will invest in these 5 or 6 initiatives, create a roadmap for each with timelines, expected results and partners. Also, identify some wellness in the workplace champions to drive the efforts. Communicate the plan across the organization to let team members know about the efforts.
Once you have initiatives underway and execution in full force, it would be a good idea to measure the outcomes and results. For each initiative in place, monitor how well it has been able to augment wellness in the workplace. Don’t forget to communicate these results across to create greater buy-in and satisfaction. It would also be ideal to rethink and replan the strategic interventions at regular intervals.
The best place to get started with workplace wellness programs would be to understand what employees feel and how well the managers are armed to address any challenges. Partnering with SuperBeings can help organizations achieve holistic wellness for their employees. Working with various fast-growing organizations, SuperBeings can help you gauge what your employees feel about wellness in the workplace, share industry standards to check where you stand as well as provide data-backed insights and action points to facilitate employee wellbeing at the managerial and organizational level. This will enable organizations to create a healthy work environment to nurture high performing employees, facilitate higher retention and gauge reasons for attrition and low productivity.
Only when organizations proactively strategize and invest in employee wellbeing, can they expect to have a productive workforce in the new normal. In a nutshell, this is an opportune time for organizations to don a fresh lens and reinvent their employee wellbeing strategy to ensure social connect, communication and wellness in the workplace.
The right compensation management practices and policies can make or break your employee experience. Of course, there is merit in linking compensation and performance to drive organizational success, it can lead to several questions and implementation problems as well.
Read on to get all your compensation management related questions answered.
Let’s start with the very basic question of why fair compensation is important and the merits it brings along. It is no surprise that if you are paid more and are compensated according to your efforts, you are likely to give in your 100% and stay with an organization longer. However, there are other factors that support fair compensation:
Thus, fair compensation as a part of compensation linked performance management has the potential to facilitate better employee outcomes such as engagement, experience and performance.
To make compensation fair and inclusive in all aspects, it needs to have a clear foundation. Most organizations have relied on performance reviews as a way of reflecting on performance as a means of compensation decisions. However, there are several competing views both for and against tying compensation to performance reviews.
Clearly, there are both sides to the story.
The most favorable outcome will be to keep performance as one of the parameters for compensation, but not the sole foundation.
Additionally, as one of the best practices, performance reviews can be conducted on a regular basis, where some are only developmental in nature and others can be tied to compensation management.
As discussed, focusing only on performance reviews for compensation management needs a relook. Working with growing organizations, we have curated a list of the top five performance and compensation management practices you can leverage:
Ensure that your compensation structure aligns with the market trends so your employees don’t feel underpaid and leave.
Provide complete transparency and clarity to your employees on what constitutes high levels of performance and what it will take to earn a raise or appraisal.
Have specific, well defined and measurable criteria for the compensation strategy to ensure that there is complete transparency.
Salary in hand or the pay check your employees receive is accompanied by a range of benefits that are a part of the compensation structure and cost to the company, but are often overlooked by employees. Make sure they are widely communicated.
Ensure that there is a base pay range for every role and profile with variable additions based on candidate competencies.
The idea of fair compensation and linking compensation and performance management, leads to a very interesting concept of distributive justice. On a broad level, distributive justice essentially focuses on ensuring that the compensation received by employees is fair and equitable and is based on objective and rational grounds which are uniform for all. Here are a few ways to ensure distributive justice:
Measure potential and market value of the employee in addition to experience and expertise to ensure distributive justice for high potential employees
Another interesting component of compensation and performance management that you must acquaint yourself with is pay transparency. Essentially pay transparency refers to how openly or freely employees within an organization can discuss their compensation with others.
This is not only limited to the check they take home but other perks and benefits they are entitled to. Invariably, many platforms today also enable individuals to anonymously share their salaries online and get insights from others doing the same. However, there are diverse views on when it comes to pay transparency for an organization.
Those who advocate for pay transparency believe that it can enable large scale impact for the organization across performance management.
However, there is a flip side to pay transparency too with some common pitfalls that need to be addressed proactively.
In the last section of this article, we will focus on how managers play an integral role in compensation and performance management and the best practices to guide managers to have effective compensation conversations with their team members.
Almost 58% organizations do not train managers on pay communications
This startling statistic clearly highlights how despite the apparent importance of compensation management, the focus on ensuring a seamless process is rather limited. However, organizations today can play a leading role in enabling their managers to have better pay communication and conversations by following these tips:
It is quite evident that compensation and performance management are intrinsically interlinked and if leveraged well, compensation has great potential to not only drive performance, but also facilitate engagement, retention and much more.
However, to ensure the same, you need to have a very structured, transparent and fair compensation strategy and policy. Furthermore, you must, don’t forget to invest in training your managers to bridge any gaps and constantly gauge and address employee pulse — to ensure fair compensation for all.
Talent development is critical for growing organizations which see the workforce as their biggest asset. Focus on developing their talent stack not only leads to a pleasant employee experience, it also augments the overall performance and productivity for an organization.
While you may come across many ways to facilitate talent development, leveraging the competency framework can help you move the needle very quickly.
Let's see how.
Before moving directly to how you can implement the competency framework, let’s quickly understand the 5 stages of talent development.
The first stage involves planning for your talent needs based on your organizational priorities and creating the position profile based on the skills, attitudes and other competencies.
Based on the position profile, you need to start attracting talent for the position. You can do so by spreading the word in the right networks, through job portal platforms, etc. The objective is to ensure that you are reaching out to the right network. You can also explore the right candidate for the position internally to considerably save hiring and training costs.
Once you have identified the right person, the next stage of talent development is extending the offer to the person after a thorough background check as well as a competency and expectation match. It also requires creating personalized onboarding plans for the first 30-60-90 days of the candidate’s journey within the organization. Read our guide to employee onboarding to learn more about onboarding do’s and don’ts.
The main focus of talent development starts with providing the right development and learning opportunities to your workforce. This can involve upskilling for both technical and soft skills, leadership building or any development intervention based on the need of the role and position.
Finally, talent development involves undertaking initiatives to retain your talent. While learning opportunities are important, facilitating engagement, wellness, motivation, etc. all contribute to employee retention.
If you are wondering how the competency framework aligns with talent development, you need to start by decoding what the framework actually stands for.
Put simply, a competency framework is a set of behaviors, skills, abilities and attributes that an organization considers imperative for creating a high performance culture.
The competency framework can be implemented at all stages of the talent development or the employee lifecycle within an organization. The idea is to ensure that certain core competencies are kept at the heart of the decision making that in any way impact the workforce.
Competency framework based talent development is very important for employee retention. Talent development practices when undertaken effectively have the potential to encourage team members to stay with the organization for long and at the same time become ambassadors to help attract high quality peers.
Here are the top reasons why competency framework based talent development matters:
Now that we have covered the basics of talent development and competency framework, let’s understand how leveraging the latter to advance the former can create a far reaching impact for organizations.
The first step is to create a competency framework which involves identifying the key competencies which will be instrumental in guiding all decisions around talent development. Depending on the nature of your organization, there can be categories within the competency framework that you seek to focus on. Your competency framework should focus on behaviors, skills and attributes which are critical for performance and overall success. The following steps can help you create a competency framework for talent development:
The responsibility of creating the competency framework is collective. It starts with involving the executive leadership to ensure alignment with the vision, people managers to ensure they are ideal for the culture you are trying to build and functional managers to ensure inclusion of right competencies for each role and position. Furthermore, involving those on the ground can be fruitful as they have the best idea of what competencies are critical and others which are good to have.
Once the competency framework for talent development is ready, the next step is to align it with your recruitment process to ensure precise and effective hiring. There are a few steps along the way:
The onus of implementing the competency framework during selection lies primarily with the HR team and recruiters who assess the candidates with different tests and assessments. Team managers and leaders also play a role in assessing functional competencies and fit.
Irrespective of whether an employee is onboarded before or after you have implemented the competency framework for recruitment, you need to ensure competency based performance management and development opportunities.
From a talent development perspective, the focus of the competency framework should equally be on developing employees for their next or subsequent role based on the specific competencies for the same.
The onus of aligning performance and development with the competency framework lies with team managers as they are best able to determine the performance gaps. Furthermore, employees with their managers can identify competency gaps for better performance and focus on the right learning and development interventions to bridge the same.
Finally, the competency framework must also impact the subsequent rungs of talent development where an employee moves up the ladder from one position to the next. Based on the organizational matrix and competencies for each level, you need to identify key attributes that differentiate one level from another and ensure the same is communicated to your employees.
In a nutshell, it is quite evident that the competency framework can inform and advance every stage of talent development for fast growing organizations. If you implement such a framework across the employee lifecycle, you will significantly reduce your chances of a wrong hire and will be able to nurture a workforce that aligns on the vision, goals and overall organizational culture.
A clear competency based talent development approach can help you achieve high levels of performance which is observable and measurable.
While most people managers are able to create a business case for setting OKRs as well as for the adoption of an OKR software by leveraging industry benchmarks and best practices, there is a need to explicitly decode the return on investment of using an OKR tool as well.
Unless they are able to clearly illustrate how the return achieved using a goal management software is greater than the investment, it becomes difficult to sustain the adoption and get long-term leadership buy-in.
Continue reading to strengthen your business case on the same.
Let’s quickly understand how the OKR framework is integral for an organization, especially high growth companies. Most fast growing organizations have competing priorities they need to focus on with limited resources at hand.
Therefore, simply setting goals by adopting a top-down approach without supporting parameters can lead to confusion and incompetence. OKRs help drive away this ambiguity by linking measurable key results for each objective and facilitating a collaborative approach to achieving goals.
Here are the top three benefits of implementing OKRs in an effective manner:
OKRs enable employees and leadership to have a very clear focus on what needs to be accomplished and what work is out of scope. The idea is to have complete clarity on —
The last part is extremely important as it helps create a sharp focus and set priorities straight.
93% of employees don’t really understand what their organization is trying to accomplish in order to align with their own work.
This illustrates that there is a big absence of clarity and focus amongst employees when it comes to what needs to be accomplished, which stands in the way of creating a high performance culture. Therefore, OKRs can help reduce such uncertainty and ambiguity, making it easy for the workforce to concentrate on what matters.
Taking cue from the first point, the second benefit or purpose of implementing OKRs foris a need for clarity of expectations and overall team and organizational alignment. In case of fast growing organizations, there is an overlapping of roles and responsibilities and a lack of clarity on expectations from each employee. This leads to lower than average outcomes, productivity and revenue growth and data backs the same.
97% of employees and executives believe lack of alignment within a team impacts the outcome of a task or project. Whereas, companies that regularly exceeded revenue goals were 2.3X more likely to report high levels of alignment.
By ensuring organization-wide goal visibility, OKRs help teams to decode what is expected out of each team member and their respective contribution towards achievement of the shared goals. Thus, increasing alignment and collaboration.
Finally, setting and implementing OKRs is often a collaborative process. Employees get involved in and participate during the entire OKR process and feel engaged in the same. This greater involvement and participation leads to deeper levels of engagement and ownership of key results which drive impact.
OKRs also enable employees to also gauge their performance and measure their progress in an effective manner. This motivates them to get more involved in achieving the common weekly, quarterly and annual goals. This higher level of engagement directly impacts key organizational parameters such as retention, productivity, profitability, etc.
The business case for OKRs is very clear. However, for companies that are scaling up, with limited bandwidth and competing priorities, often setting OKRs itself gets left behind due to other business priorities.
If an organization focuses on a manual approach to the OKR system, there are several steps which require a lot of time and effort including setting and writing, implementing, tracking, grading, evaluating and modifying OKRs.
Fortunately, today there are OKR tools in the market, which can help automate all of these aspects to help simplify the OKR journey. The right goal management software can help you maximize the realization of the return on investment for your OKRs. Following are the top five ways in which an OKR software makes a measurable difference on the bottomline —
First, an OKR tool can help organizations document or record the OKRs in a way that is visible and accessible to all. There is supporting evidence to show that what gets documented has a higher chance of being achieved, as what is out of sight is often out of mind.
Individuals are 42% more likely to achieve goals when they are physically recorded.
Therefore, the OKR tool can enable organizations to clearly define the business and team OKRs in a written manner which can be reflected on, seen again and again to create instant recall for employees.
OKR tools are great for creating alignment and accountability. On the alignment front, the OKR software can help achieve high levels of strategic alignment on what is the responsibility of each team member across organizations towards the key business goal achievement.
Highly aligned companies grow revenue 58% faster and are 72% more profitable than their misaligned counterparts.
The dashboard of a good OKR software can help you constantly gauge the level of goal achievement, ensure that team members are aligned on different phases as well as keep a track of when their responsibility is due. It creates high levels of transparency.
Moreover, greater alignment leads to high levels of accountability. Generally, since there is a lack of alignment on responsibilities, there is an accompanying lack of ownership and accountability, and most employees shirk away from taking accountability.
84% of the workforce describes itself as “trying but failing” or “avoiding” accountability, even when employees know what to fix.
A goal management software like SuperBeings allows you to integrate OKRs with regular meetings and check-ins to keep track of progress. Thus, driving a culture of accountability.
It is very common for companies to set OKRs and then evaluate them only at the end of the quarter/year. There is a lack of mid-term tracking which makes it difficult to gauge whether the progress is aligned with the key results or not.
40% of people that write down goals don’t check whether they’ve achieved them. Moreover, only 5.9% of companies communicate goals daily.
An OKR software can help you address this concern by facilitating day-to-day OKR progress tracking. A daily dashboard and history of 1:1 and team check-ins on OKRs, can help organizations track developments over time.
It can also help identify and resolve any performance issues that stand in the way of goal achievement preemptively. At the same time, even if organizations are tracking and monitoring OKR progress, doing so with a manual process is inefficient. An OKR tool can automate most of these processes to enable HR and people managers to spend more time on driving results.
Another major concern that organizations face when it comes to OKRs is being prepared and ready for the same. Many line managers and others struggle with writing effective OKRs. Many organizations believe setting OKRs once is enough. However, that is far from the truth.
Research says, companies that set performance goals quarterly can generate 31% more returns than those reassessing annually.
Using an OKR software can help eliminate all these challenges.
Finally, an OKR software can promote high levels of collaboration for goal achievement. For many organizations, the inability to collaborate leads to low levels of results, diminishing the ROI for OKRs.
86% of employees and executives cite lack of collaboration or ineffective communication for workplace failures.
Using a good OKR software makes collaboration seamless by aligning cross-functional projects and tracking cumulative progress. Invariably, an increase in degree of collaboration is a direct ROI of an OKR tool which can create far reaching impact.
In this final section of the article, we will talk about the key parameters that can help you gauge the ROI of an OKR software. While the above mentioned are primary impact areas, most of them have a qualitative aspect to them.
Gauging the ROI requires backing of data points from employee experience and business results, which the following parameters can help explain.
Organizations should start by gauging whether or not transparency and alignment on goals has increased. This can be measured using employee pulse surveys to understand their opinion on how well they have visibility of goals and clarity on what they need to work towards. Therefore, the first ROI parameter for an OKR software is to identify the increase in level of transparency to ensure everyone is working in the same direction and there are no gaps or overlap in efforts.
The main purpose of an OKR tool is to facilitate the effective and efficient achievement of the goals set by an organization. Thus, the next parameter to measure ROI should revolve around the degree and time period of goal achievement.
You can start by comparing the degree of goal achievement by leveraging OKR grading to see if there is a significant improvement in percentage terms as compared to pre-OKR tool period. Second, it is important to gauge whether or not the goals/key results have been achieved in a shorter period of time or not. Since the OKR platform facilitates better alignment, collaboration, tracking, etc., it can help organizations achieve or realize the goals faster.
Third, there are several administrative overheads that accompany the setting and implementation of goals/OKRs. These include tracking, grading, etc. for managers and providing inputs on the part of employees. The ROI of an OKR software can be gauged by mapping whether or not these overheads come down.
The next parameter for ROI calculation is to measure the change or increase in revenue after the adoption of an OKR software. Since an OKR tool seeks to enable organizations to achieve their goals faster, cost effectively and to a greater extent, there should be an increase in the revenue realized.
According to Larry Page, co-founder, Google claims that “OKRs have helped lead us to 10X growth, many times over.”
Finally, gauging the value of employee parameters like retention/turnover, productivity, engagement, etc, can cumulatively be leveraged to capture the ROI of an OKR tool. There are several ways to gauge these workforce parameters, along with factors like eNPS, etc. which have a direct business impact. Calculating them can help measure the ROI of the OKR tool for an organization.
It is evident that adoption of an intelligent OKR software is not only good to have, but integral for organizational success. Using the right tool has a direct business impact which can be measured in numbers using the ROI parameters mentioned in this article.
There are both qualitative and quantitative aspects to measuring the ROI and a balanced approach to both can empower organizations to align individual performance with business goals.
If you are considering implementing the right OKR software in your business, try out SuperBeings free 21 day trial. Book today. (No credit card or commitment required)