Employee Engagement and Organizational Performance

This assignment requires a comprehensive literature review exploring the connection between employee engagement and organizational performance. It necessitates analyzing various research articles, theories, and frameworks to understand how engaged employees contribute to positive organizational outcomes. The analysis should consider factors influencing employee engagement and its impact on metrics like productivity, innovation, and customer satisfaction.

Dissertation

TABLE OF CONTENTS
LITERATURE REVIEW................................................................................................................1
Meaning of employee engagement.............................................................................................1
Factors that promote employee engagement in a company........................................................1
Effect of employee engagement on workforce retention in a company......................................2
Strategies that can improve the employee engagement concept in Virgin Company ................3
Relationship of employee engagement on the performance of the organization........................4
RESEARCH METHODOLOGY.....................................................................................................7
Introduction.................................................................................................................................7
Research Approach.....................................................................................................................7
Research Philosophy...................................................................................................................8
Research design...........................................................................................................................8
Data Collection............................................................................................................................8
Data Analysis..............................................................................................................................9
Sampling.....................................................................................................................................9
Reliability and validity..............................................................................................................10
REFERENCES..............................................................................................................................11

LITERATURE REVIEW
Meaning of employee engagement
According to, Gruman and Saks, 2011 “employee engagement can be defined as the
positive attitude that carry out by the employees at the workplace towards the organization and
its value” (Gruman and Saks, 2011). It is very well know that an engage worker is aware of
business context and work with other team members to improve performance within the job and
attain the objectives of business. In this context, Macey, Schneider, Barber and Young, 2011 has
stated that “employee engagement is a kind of force that motivates employees to perform the job
roles at higher level” (Macey, Schneider, Barber and Young, 2011). It can be considered as a
desirable situation for a company which involve commitment, passion, efforts etc of the workers.
The following aspect is going up and down in the businesses with the time. At the time of
promoting the employee engagement within the workplace, it is important for the organizations
to align HR and management policies with each other so that existing staff can motivate during
the work.
Shuck, Reio Jr and Rocco, 2011 has defined that “employee engagement has consisted
three areas: think, feel and act” (Shuck, Reio Jr and Rocco, 2011). Think is cognitive
commitment which defines an employee intellectual connection with the firm and gives supports
in attaining the business aim and objectives. On the other hand, feel is affective commitment
explaining a strong emotional connection of staff with the organization. In this, a team member
can feel loyal, devoted and sense of belongingness towards the enterprise. Acts relates to
behavioural commitment of the employee in which he acts a support in the success of the
company. Therefore, from the above discussion on the employee engagement concept, it has
been ascertained that, it is the most imperious part of business entity which aids in increasing the
productivity and profitability of the organization through making significant contribution in the
respective area. Moreover, the success or benefit of the employee engagement practices can be
ascertained from Virgin group.
Factors that promote employee engagement in a company
As per the point of view of Shuck, 2011, “it is important for the company to design and
communicate engagement strategy because it is the essence to the key of success” (Shuck, 2011).
At the time of development of commitment tactic, an organization should consider workplace
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culture, leadership style, management methods and other facts because it increases the success
rate of the business as compare to its rivals. In the context of above statement, Welch, 2011 has
stated that “satisfaction of personal motivators at the workplace is the biggest factor that promote
employee engagement in a venture” (Welch, 2011). If the organization has not able to meet the
needs of the workforce then it would be impossible to engage them into organizational activities.
So, it is important to fulfil the personal motives of the employees to increase their engagement at
the workplace.
But Robertson and Cooper, 2010 has asserted that “clarity of job expectations in front of
the employees have promoted employee engagement in a company” (Robertson and Cooper,
2010). If this expectation is not clear to the staff members and company has not provided any
kind of equipments to complete the assign work then it will affect the commitment level of them.
But if the management has able to provide opportunity of advancement in career for the
workforce and start to involve them into the decision making process, then it will promote
employee engagement at the workplace. From the research study of Wollard and Shuck, 2011, it
has determined that “quality of working relationships with peers, superiors and subordinates
reflect the employee engagement level at working area” (Wollard and Shuck, 2011). The good
relationship between the workers and employer helps in endorsing the cited concept at the
workplace. Likewise, dual consideration provided to the employees at the Virgin group aid in
promoting employee engagement in the enterprise. Furthermore, management has properly
demonstrated the duties and responsibilities of each individual clearly at the time of induction
which aids the candidates in better understanding of roles and duties of each of them towards the
organizations success. Moreover, the strong and positive culture been experienced at Virgin
group is the proof that employee engagement is an imperative practices that directly affects its
operations.
Effect of employee engagement on workforce retention in a company
Crawford, LePine and Rich, 2010 has asserted that “a well engaged employee is less
likely to leave the job” (Crawford, LePine and Rich, 2010). In case, the workers have no
emotional commitment to their jobs then the chances of leaving the job becomes higher. Various
research studies show that when employee engagement is low, the intention to leave the
organization by workers become increase. This is the most important reason in the present time
of high employee turnover in every kind of companies in the world. In this context, Albrech,
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2011 has stated that “the best engagement strategies of a venture has attracted huge amount of
the personnel” (Albrech, 2011). Organizations have started to prepare different commitment
tactics to increase the engagement of the employees in the right manner. This has made
significant impact on bottom line of company and gain more loyalty of the staff members with
the time. By supporting the above statement, Markos and Sridevi, 2010 has explained that
“employee engagement has made positive impact on workforce retention in a company” (Markos
and Sridevi, 2010). It has minimized the turnover of the workers and has increased their
commitment level with the business. Along with this, it has raised the footfall of talented
employees within the workplace that help in achieve the organizational objectives in appropriate
way.
The effects of employee engagement programmes can also be ascertained from the
current performance of Virgin group. Since, the company started the employee engagement
practices in the organizational setting, there has been witnessed less number of workers
resigning from the job. It also aid the enterprise in attaining its objectives through the means of
high amount of profitability being ascertained in the past period. Moreover, the customer became
highly satisfied when the employees got engaged at work. The reason behind this is increased
productivity and delivery of quality services to the customers (Ongel, 2014).
Strategies that can improve the employee engagement concept in Virgin Company
According to Shuck and Wollard, 2010, “to make employee engagement initiatives
successful, it is important for the company to tailored to the unique needs and motivations of
staff members” (Shuck and Wollard, 2010). Virgin Company needs to develop some new
strategies that can improve employee engagement concept in relation to retention of staff
members. With the selection of right leadership style, it becomes easy to modify employee
commitment level in greater amount. On the other hand, Gruman and Saks, 2011 has stated that
“by proving the growth and career development opportunities, the cited firm should increase the
employee engagement” (Gruman and Saks, 2011). This strategy will enhance the skills and
capabilities of the workforce in the right manner. Along with this, by providing proper training
and development opportunities to the staff, management can enhance the commitment level of
them in the right direction.
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Apart from this, Macey, Schneider, Barber and Young, 2011 has suggested that “by
giving recognition and rewards to the employees, Virgin Company can improve employee
engagement” (Macey, Schneider, Barber and Young, 2011). Company should recognize the
efforts of the staff all the time because it encourage for them to boost their performance at
greater extent. By giving good pay and other financial benefits may increase the commitment
level of the entire workforce and assist them to give more efforts to attain the business objectives
of cited organization. On the other side, Shuck, Reio Jr and Rocco, 2011 has stated that “by
focusing over the human capital energy, Virgin Company can improve the employee engagement
in the right direction” (Shuck, Reio Jr and Rocco, 2011). It makes the staff more productive and
more capable to perform the work with high concentration. In addition to the above, another
most prominent method of employee engagement at organizational setting is through the means
of allowing the workers to take part in the decision making process. They are more likely to get
motivated at work when proper consideration is given to them at the organizational premises.
There are suggestions in respective matter will help them to get engaged at work and it will
further help in increasing their productivity. So with the help of the above stated strategies, the
cited firm can improve the employee engagement at the workplace (Gurman and Saks, 2010).
Relationship of employee engagement on the performance of the organization
Harter and et.al., (2013) denotes that employee engagement is the concept wherein the
workers are involved in enhancing their performance so as to fulfil the goals and objectives of
the company. In a competitive environment wherein each and every firms wants to gain an edge
over each other, it becomes necessary to involve worker in the most crucial decisions of the
organization. An employee can be called as an engaged when it is highly enthusiastic towards
his/ her own work and also functions in the best interest of the enterprise. Barrick and et.al.,
(2015) supports by stating that, there is a positive relationship between the employee engagement
with that of the organization performance. This can be analysed from the outcomes of respective
activities. I aids in promoting safety in the enterprise, assist in gaining customers loyalty,
intensifies the productivity of the employees and increases the employee performance.
Furthermore, it has been assessed that an engaged employees aids its supervisors in achieving the
desired results of the company by putting forward its significant efforts. Moreover, as per the
view point of the Mone and London, (2014), it depicts that employee engagement is highly
witnessed in double digit development companies. Similarly, Virgin group is a conglomerate
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company that serves wide range of products and services to the customers. It profitability can be
undermined by the diverse kinds of products it renders as well as it operation. Therefore,
employee engagement is the most crucial part of the business entity in order to succeed and gain
an competitive edge over its rivalry firms.
Several studies demonstrate that an engaged employee presents three most commonly
behaviour which intensifies the performance of the organization. A motivated and self involved
employees displays the inclination to work and be the member of the company despite
possessing so much of opportunities present before him to be employed elsewhere. In accordance
to the Korschun, Bhattacharya and Swain, (2014), another behaviour that is likely to be seen in
an engaged employees is that, it is likely to devote its extra efforts, time and initiation so as to
help the organization to move towards success. In addition to the this, it also states that an
engaged employee is more likely to inspire and motivate its colleagues to function or work with
great vigour and enthusiasm. However, linking this with the Virgin group, employee engagement
programmes aids the management to motivate its workforce to function with greater efficiency.
Furthermore, increased in efficiency will thereby result in enhancing the operations of the
enterprise which further leads to increased performance of the company.
In contrast to this, Kehoe and Wright, (2013) asserts that, when the workers are
disengaged from the work they are unlikely to show less commitment towards their work.
Likewise, there are numerous other outcomes of the same which includes, settling with the less
satisfied job and wasting their time and efforts by working the respective firms and caused
dissatisfaction amongst customers due to low performance. Along with that it has been examined
from the past research that companies net and operating profit has significantly been increased in
a specific time period when there was high amount of employee engagement activities
undertaken by the management. On the other hand, the profit ascertained in other period was
quite low due to the low level of engagement activities undertaken by the firms.
Furthermore, in the opinion of the Anitha, (2014), it has been witnessed that employees
that are not engaged cost far amount to the enterprise than those that are engaged. Research
determines that these persons are absent from the work approximately 3.5 times in a year. Along
with that, it has been identified that they are even less productive for the organization as in the
case of Virgin group. In the past period, the company could not retain its employees as no such
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initiative was taken to engage employees at work. Additionally, the cost of holding effective
workers at the organizational setting was also very high.
Summary of the Literature Review:
The above section clearly explains the significance of employee engagement for the
virgin group company. It has been ascertained that there is a positive relationship between the
employee engagement and performance of the concerned company. The reason behind it is that
the employees are more likely to perform with greater vigour and efficiency when proper
consideration is being paid to them thereby increasing the profitability of the enterprise. In order
to attain maximum productivity and profitability of the enterprise, it is recommended that it
should make necessary actions so as to engage the employees in the work.
For this purpose numerous strategies has been proposed such as proper communication,
meeting the job expectations of the employees, providing them the freedom to conduct the work
as per their convenience, allowing them to take part in the decision making process of the
enterprise. Apart from this, it has been assessed that the company needs to emphasise on
employee engagement programmes so that the workforce can be retained for longer duration.
The reason behind it is that employees get motivated and feel connected with the organization
when management makes significant efforts to retain them.
RESEARCH QUESTIONS
1. What is the meaning of employee engagement for Virgin Company?
2. What are the major factors that promote employee engagement in Virgin Company?
3. What is the effect of employee engagement on workforce retention in Virgin Company?
4. What strategies can improve the employee engagement concept in Virgin Company?
5. What is the relationship between employee engagement and performance of Virgin
Company?
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RESEARCH METHODOLOGY
Introduction
Research methodology is a vast concept wherein the scholar selects specific methods,
designs and approaches in its present study so as to provide the pathway to the study. It can also
be said as a guidebook for the researcher to conduct the activities in the prescribed manner that
serves grater advantage and aids in meeting the objectives of the research. Furthermore, due
justification is being provided with the each method being selected to be applied in the respective
field (Mackey and Gass, 2015). This will provide the learners with the better understanding and
knowledge of diverse principles and theories that can be used to conduct the research.
However, the aim of the present study is to examine the role of employee engagement in
relation to retention of employees in the virgin group company. Therefore, to fulfil this
objectives, data is being collected from diverse sources which helps the scholar in making due
judgement about the data collection methods that needs to be selected. Along with that the
methods or ways in which the data shall evaluated is also mentioned and justified in the
following section. Last but not the least, all the methods and theories selected will help the
investigator to meet the objectives as well as assist in getting answers regarding research
questions (Taylor, Bogdan and DeVault, 2015).
Research Approach
There are two kinds of research approach commonly used by the scholars to give a
pathway tot its study. These encompasses of inductive and deductive approach. However, the use
of it may vary research and purpose of the same. Generally inductive approach is used when the
investigator wants to depict a theory wherein, it collects data after successful observation, then
hypothesis is being drawn based on this theory is formulated. Contrary, to the above, deductive
approach is used mainly in quantitative research wherein the investigator moves from
generalized to specific concept after making relative hypothesis (Silverman, 2016). Nonetheless,
in the present study, deductive approach has been selected by the researcher so as to ascertain the
impact of employee engagement on the employee retention. For this purpose, theoretical analysis
has been made based on which hypothesis are evaluated and then a conceptual framework that is
the results regarding the same is derived. If there are high number of employees retaining in the
virgin group, then it is confirmed that employee engagement plays a very crucial role in similar
regards.
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Research Philosophy
Research philosophy is an immense subject which has no specific definition. However,
the four major research philosophy been presented includes realism, interpritivism. pragmatism
and positivism. The two philosophies that has been used broadly in most of the research if the
interpritivism and positivism. The former is generally used to interpret the results in case when a
qualitative research is been undertaken. Contradictory to the above, positivism approach has
been used by the scholar for the present study on employee engagement in retaining them at
organizational level (Flick, 2015).
The reason behind selecting the particular approach is that researcher needs to identify
real facts on the concerned study. For this purpose, quantitative analysis will be made so as to
accumulate data or past facts. The number employees that left in the past years from the virgin
group shall be collected and evaluated. Along with that the purpose of leaving the respective
organization is also ascertained by the scholar so as to derive at a particular confirmation.
Ontology is essential paradigm and also important element of the philosophy of
knowledge. The scope of ontology can be generalised from philosophy to other fields like
medicine, information science and etc (Smith, 2015). Ontology also studies how various existing
entities can be grouped together on the basis of similar attributes. Further, it also tries to find out
the similarities that exist between the research processes. Ontology is also useful in finding out
relation between the objects that exist. On the other hand, people who deal on ontology try to
understand why a particular thing occurs and how it is related to other things.
Epistemology is regarded as one of the core branches of philosophy which deals with the
aspect of procuring knowledge (Friend and Jessop, 2013). It is more concerned with the natural
sources and scope and limits of knowledge. This branch of philosophy chiefly aims to discover
the true meaning of knowledge. In this philosophy, evidence and reasoning are very much
essential to acquire specific knowledge about the research topic.
Axiology is another branch of philosophy that analyses judgment about the value.
Typically it is engaged with the assessment of the role of researcher’s own value on all stage of
the research process (Creswell, 2013). This also aims to clarify what is undertaken in the
research study to explain and predict the world. It deals in qualitative research wherein
researcher needs to make value in the study. On the basis of nature of study, information is
gathered from the field.
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Research design
Research design can is a layout in which the research needs to be conducted by the
scholar. It provides with an overview of what to to how to do. There are numerous kinds of
research design which can be used by the investigator that includes exploratory, descriptive,
causal and experimental. Exploratory is generally used in those cases wherein the researcher
wants to explore any situation or theory. Contrary, descriptive design is used in order to describe
a particular theory or statement (Tarone, Gass and Cohen, 2013). In the current study, the
concerned design is most suitable as it allows the scholar to describe about the effects of
employee engagement on employee retention at virgin group. Moreover, descriptive design
focuses on a specific aspects such as employee engagement is the main emphasize of present
research. The other two research design is generally used in those cases wherein the investigator
needs to determine a cause and effect relationship between any two components and involves in
conducting experiments in case of the causal and experimental design respectively.
Data Collection
There are two methods collecting data in order to conduct an appropriate research that
renders effective results. These includes primary and secondary sources. Secondary comprises of
information accumulated from books, journals, newspaper, articles, magazines and other relevant
areas (Smith, 2015). Scholar in the present research will be collecting data from both secondary
and primary source wherein information will be accumulated by the means of referring to audit
of Virgin group of the last financial year. Furthermore, books regarding employee engagement
has also been referred by the researcher. These information is used in the second chapter to
conduct the literature review. Apart from this, primary data is also used to prepare themes ( Levy
and Lemeshow, 2013). It is further sub divided into two part quantitative and qualitative data.
The former can be used when the information is used by the medium of mean, median, mode,
regression, correlation, etc. While on the other hand, qualitative data is highly used in those cases
wherein, the data is collected by the means of interview, questionnaire, focus group, role playing,
observation, etc. Although, in the present research report, the scholar will be using questionnaire
so as to gain qualitative information on which themes has been prepared. In addition to this, both
closed and open ended question will be asked by the scholar so as to gain clear reviews of the
employees of Virgin group.
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Data Analysis
Analysing the data is the most crucial part of the entire dissertation. This allows the
investigator to form relative judgements on the derive results. The importance of Data analysis in
the present study is that it helps the investigator in making relative judgements based on the
number of responses or outcome received from the participants. If the scholar has selected
qualitative approach them thematic analysis will be done (Creswell, 2013). Herein, themes will
be prepared by the investigator in order to draw subjective conclusion based on these data
received. Furthermore, in the present report, researcher has produced specific themes in linkage
with the aims and objectives of the study. These helps in determining the response or behaviour
of the employees of virgin group on role of employee engagement. In addition to this graphs,
diagrams, charts, tables will be used to provide the readers with a more clear overview on the
respective research. Nonetheless, the SPS Ms excel tools will be used in the case of quantitative
study wherein conclusions will be drawn on the basis of accurate results (Lewis, 2015).
Sampling
Since data cannot be collected for the entire number of population, therefore samples are
selected so as to conduct the research in an appropriate manner. It has been ascertained by the
scholar that the entire population is homogeneous in nature which serves it with an easiness in
collecting data. There are two most prominent ways to collect or determine the samples. These
include probability and non probability sampling. However, with the high level of limitation
being present in the non probabilistic method, therefore, the investigator chooses to select eh
probabilistic method wherein degree of reliance is higher as compared to that of in other
sampling methods. In appropriate results are ascertained in the non probabilistic methods.
Furthermore, there are numerous methods of probabilistic sampling which encompasses of
random, stratified, cluster and systematic methods are included under it (Knobe and Nichols,
2013). Since the samples of employees are taken so as to gain relative knowledge on the
respective topic, the scholar has selected stratified sampling method wherein the participants are
selected on the basis of different sub groups or strata that has been formed. For instance, in the
case of selection of employees, samples will be taken on the basis departmental. Herein, certain
number of employees has been selected by the employees from each of the department (Hammel
and et.al., 2015).
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Reliability and validity
The information that is collected by the scholar is highly reliable and authentic in nature
as no manipulation is made while collecting the data. Furthermore, before collecting any
information consent of the scholar is being taken by the employers. No force has been applied in
order to fill the questionnaire. In addition to this, the legal and ethical point of view has been
given due consideration in case of designing the questions. No questions regarding the personal
information of the participants is put forward which shall further hurt the sentiments of the
employees. Along with that, data collected are valid as no information has been taken before 10
years. Only recent sources has been refereed as well as relevant inform has been selected to get
authentic outcomes. Therefore, it can be said that researcher has made the use of reliable and
valid information while conducting the research in an appropriate manner (Friend and Jessop,
2013).
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REFERENCES
Books and journals
Anitha, J., 2014. Determinants of employee engagement and their impact on employee
performance. International Journal of Productivity and Performance Management.
Barrick, M. R. and et.al., 2015. Collective organizational engagement: Linking motivational
antecedents, strategic implementation, and firm performance. Academy of Management
journal. 58(1). pp.111-135.
Creswell, J. W., 2013. Research design: Qualitative, quantitative, and mixed methods
approaches. Sage publications.
Flick, U., 2015. Introducing research methodology: A beginner's guide to doing a research
project. Sage.
Friend, J. and Jessop, N., 2013. Local Government and Strategic Choice (Routledge Revivals):
An Operational Research Approach to the Processes of Public Planning. Routledge.
Hammel, J. and et.al., 2015. Examining barriers and supports to community living and
participation after a stroke from a participatory action research approach. Topics in Stroke
Rehabilitation.
Harter, J. K. and et.al., 2013. The relationship between engagement at work and organizational
outcomes.Gallup Poll Consulting University Press, Washington.
Kehoe, R. R. and Wright, P. M., 2013. The impact of high-performance human resource
practices on employees’ attitudes and behaviors. Journal of management. 39(2). pp.366-
391.
Knobe, J. and Nichols, S. eds., 2013. Experimental philosophy (Vol. 2). Oxford University Press.
Korschun, D., Bhattacharya, C. B. and Swain, S. D., 2014. Corporate social responsibility,
customer orientation, and the job performance of frontline employees. Journal of
Marketing. 78(3). pp.20-37.
Levy, P. S. and Lemeshow, S., 2013. Sampling of populations: methods and applications. John
Wiley & Sons.
Lewis, S., 2015. Qualitative inquiry and research design: Choosing among five approaches.
Health promotion practice, p.1524839915580941.
Mackey, A. and Gass, S. M., 2015. Second language research: Methodology and design.
Routledge.
Mone, E. M. and London, M., 2014. Employee engagement through effective performance
management: A practical guide for managers. Routledge.
Silverman, D. ed., 2016. Qualitative research. Sage.
Smith, J. A. ed., 2015. Qualitative psychology: A practical guide to research methods. Sage.
Tarone, E. E., Gass, S. M. and Cohen, A. D., 2013. Research methodology in second-language
acquisition. Routledge.
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Taylor, S. J., Bogdan, R. and DeVault, M., 2015. Introduction to qualitative research methods: A
guidebook and resource. John Wiley & Sons.
Online
Gurman, J. A. and Saks, A. M., 2010. Performance management and employee engagement.
[PDF]. Available through:
<http://shop.tarjomeplus.com/Uploads/site-1/DownloadDoc/288.pdf>. [Accessed on 10th
Jan 2017].
Ongel, E., 2014. Relationship between employee engagement and organisational performance:
implementation of organizations. [PDF]. Available through:
<http://www.tijoss.com/TIJOSS%2025th%20volume/1elif.pdf>. [Accessed on 10th
January 2017].
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