Fostering an engaged workforce has never been more critical in today's dynamic workplace. Employee engagement isn't just about job satisfaction; it's about creating an environment in which employees feel valued, driven, and involved in their organization's mission. This guide explores 19 key drivers of employee engagement tailored to six different business types, ensuring every organization can build an impactful engagement strategy.
At Matter, we understand the unique challenges businesses face in boosting engagement across diverse teams. Whether you're managing a remote workforce, a small business, or a large enterprise, our tools are designed to simplify engagement while fostering meaningful connections and inspiring employees.
By the end of this guide, you'll have a clear understanding of what drives employee engagement and actionable insights to transform your organization. Let's dive into the strategies and solutions that make a difference.
Why employee engagement is important
Employee engagement is more than a buzzword—it's a cornerstone of organizational success. When employees are engaged, they bring enthusiasm, commitment, and productivity to their roles, driving both individual and company performance. Engaged employees are not merely employees; they advocate for your brand and contribute to a positive work environment.
The benefits of employee engagement are clear. Organizations with a highly engaged workforce experience better employee retention, increased innovation, and improved customer satisfaction. Key drivers like meaningful connections, clear communication, and recognition ensure that employees feel valued and motivated, creating a ripple effect throughout the business.
On the other hand, disengagement can have serious consequences. Employees who feel disconnected from their roles or the company's mission may struggle with productivity, job satisfaction, and morale, ultimately leading to higher turnover rates and lower team performance.
Why prioritize engagement now?
Rapid changes are occurring in the workplace, with remote work, hybrid models, and heightened employee expectations redefining engagement strategies. Businesses that adapt to these changes by focusing on employee empowerment, work-life balance, and inclusive workplace culture will set themselves apart as employers of choice.
Ready to understand what motivates employees and drives engagement? Let's explore the key drivers of employee engagement tailored to leadership, team structures, and different business types.
Key drivers of engagement for leadership and people managers
Employee engagement is significantly influenced by leadership. The conduct and behaviors of leaders and managers directly impact how employees perceive their roles, teams, and the organization as a whole. Strong, empathetic leadership fosters trust, alignment with the company's mission, and a sense of belonging.
Here are the critical engagement drivers for leadership and people managers:
1. Building trust and mutual respect
Trust is the cornerstone of effective leadership. Employees thrive in environments where they feel secure, respected, and confident in their leaders. Without trust, even the most talented teams can falter, as a lack of psychological safety undermines collaboration and innovation.
Ways to build trust:
- Communicate transparently about company goals, successes, and challenges. Transparency builds credibility and ensures employees feel informed and included.
- Ensure that promises and commitments are fulfilled, no matter how small. Consistency in action reinforces reliability and fosters confidence in leadership.
- Establish an environment in which employees are at ease discussing their ideas or concerns without fear of retribution or judgment. Open-door policies and anonymous feedback tools can help.
Trust is not established overnight; rather, it is established through deliberate and consistent actions. Leaders who make trust a priority see stronger relationships and improved employee retention.
2. Providing constructive feedback
Feedback is one of the most critical drivers of engagement and professional growth. Employees need to understand how their work is perceived and how they can improve. Constructive feedback bridges this gap, enabling employees to feel valued and supported in their development.
Best practices:
- Deliver feedback in a way that focuses on solutions, not just problems. Use examples and actionable suggestions to guide improvement. For instance, instead of saying, "This report is incomplete," try, "Adding these data points would make the report more impactful."
- Arrange consistent one-on-one meetings to deliberate on opportunities, challenges, and progress. These conversations help employees feel heard and give managers a chance to provide real-time guidance.
- Encourage two-way feedback. Ask employees for their thoughts on processes, leadership, or team dynamics. This strengthens the employee-manager relationship and provides valuable insights for leaders to improve.
When delivered thoughtfully, feedback becomes a tool for growth rather than criticism, boosting employee motivation and confidence.
3. Leading with purpose
Purpose-driven leadership connects employees to something greater than their day-to-day tasks. When leaders align their teams with the organization's mission and company values, employees find meaning in their work, which drives employee empowerment and engagement.
Tips for purpose-driven leadership:
- Regularly communicate the company's mission and vision. Use team meetings, emails, and one-on-one conversations to remind employees how their roles contribute to broader goals.
- Celebrate achievements that reflect organizational values, whether reaching a milestone or demonstrating teamwork. Recognition tied to purpose resonates deeply with employees.
- Inspire employees to establish personal objectives consistent with the company's mission and responsibilities. This dual alignment fosters a sense of ownership and personal investment.
Leaders who prioritize purpose inspire employees to move beyond "just a job" and contribute to a cause they believe in, creating an engaged workforce.
4. Supporting physical and mental health
Employee well-being is foundational to engagement. Leaders who prioritize physical and mental health establish an atmosphere that fosters a sense of appreciation and encouragement among employees. This fosters trust, reduces burnout, and enhances productivity.
How to support well-being:
- Facilitate access to mental health assistance, such as counseling services, stress management workshops, or employee assistance programs (EAPs).
- Promote a culture where taking breaks and managing workloads are encouraged. Leaders should model this behavior to show that balance is valued.
- Be approachable and attentive to signs of burnout or stress. For example, regularly check in with employees to ask about their workload and personal well-being and adjust assignments if needed.
Leaders demonstrate their commitment to the team's overall health by actively addressing employee well-being, leading to higher employee sentiment and loyalty.
5. Encouraging autonomy and ownership
Empowered employees are more engaged as they feel trusted and capable of making meaningful contributions. Leaders who encourage autonomy create an environment where employees take ownership of their work and grow in confidence and capability.
Strategies for fostering autonomy:
- Assign duties and allow employees permission to execute tasks according to their preferred methods. For instance, instead of micromanaging a project, outline the desired outcome and let the employee decide how to achieve it.
- Recognize and reward employees for taking the initiative. Publicly acknowledging employees who solve problems or propose innovative ideas reinforces their value.
- Provide the tools, resources, and training needed for success. Whether it's access to technology, professional development opportunities, or mentorship, ensuring employees are well-equipped is essential for autonomy.
When employees feel trusted and empowered, they are more inclined to contribute their best work, leading to a more productive work environment.
Leadership isn't just about managing tasks—it's about inspiring, supporting, and empowering employees to reach their full potential. By focusing on these important objectives, leaders may foster an environment where people feel inspired to contribute, feel connected, and appreciated. This is the foundation for long-term success and sustainable employee engagement levels.
5 key drivers of employee engagement for remote/virtual and hybrid teams
Engaging remote and hybrid teams requires tailored strategies that confront the distinctive obstacles of virtual employment. These teams often face issues like isolation, miscommunication, and a lack of connection to the organization. Businesses may develop a cohesive and motivated workforce by emphasizing the primary factors influencing employee engagement, regardless of where staff are located.
1. Fostering meaningful connections
One of the most significant obstacles faced by remote teams is maintaining strong coworker relationships and a sense of camaraderie. Without the natural interactions of an office environment, employees can feel disconnected.
Ways to foster connections:
- Host regular virtual team-building activities like trivia games, coffee chats, or collaborative projects.
- Encourage informal interactions through dedicated Slack channels for hobbies or interests.
- Pair team members for virtual "buddy" sessions to strengthen individual connections.
Building relationships ensures employees feel part of a supportive community, enhancing their overall employee experience.
2. Promoting clear communication
Communication is a critical engagement driver for remote and hybrid teams. Misunderstandings or insufficient information might result in frustration and disengagement.
Strategies for improving communication:
- Use collaboration tools like Slack, Microsoft Teams, or Zoom to facilitate seamless communication.
- Establish guidelines for responsiveness, meeting etiquette, and information sharing to keep everyone on the same page.
- Encourage managers to schedule regular one-on-ones and team check-ins to address concerns and keep employees aligned with goals.
Clear communication empowers employees to stay informed and feel connected to their work and team.
3. Prioritizing flexibility and work-life balance
Remote and hybrid work offers flexibility, but it also blurs the line between personal and professional life. Businesses must prioritize work-life balance to keep employees engaged and healthy.
How to promote balance:
- Offer flexible schedules to accommodate diverse personal needs and peak productivity times.
- Encourage employees to set boundaries, like defined working hours or turning off notifications after hours.
- Provide wellness resources, such as mindfulness apps or fitness stipends, to support overall well-being.
Flexibility helps employees feel valued and trusted, leading to higher employee engagement levels.
4. Encouraging employee recognition
Recognition becomes even more important in virtual settings because achievements can easily go unnoticed. Acknowledging efforts builds motivation and ensures employees feel valued.
Recognition strategies:
- Use platforms like Matter to enable real-time peer-to-peer recognition.
- Celebrate successes in virtual meetings or via company-wide emails.
- Tie recognition to company values to reinforce shared goals and culture.
Employees who perceive appreciation are more inclined to remain engaged and dedicated to their positions.
5. Providing access to tools and resources
Remote professionals require appropriate tools to collaborate efficiently and execute their tasks. Without them, frustration and disengagement can set in.
Essential tools for engagement:
- Collaboration platforms (e.g., Asana, Trello, or Jira) for project management.
- Virtual learning platforms to support career development opportunities.
- Secure, high-quality equipment like laptops or ergonomic workstations to enhance productivity and comfort.
Equipping employees with the necessary resources ensures they feel supported and empowered, contributing to a more engaged workforce.
By addressing these key drivers of employee engagement, organizations can overcome the unique challenges of managing remote and hybrid teams. Employees who feel connected, acknowledged, and encouraged are more likely to succeed and contribute to a great workplace culture.
5 key drivers of employee engagement for in-office companies
For in-office companies, fostering employee engagement requires strategies that make the workplace an inspiring and motivating environment. When employees spend their days in a shared space, workplace culture, interpersonal relationships, and opportunities for growth become even more essential. These key drivers ensure employees feel valued, connected, and motivated in an in-office setting.
1. Cultivating a positive workplace culture
A thriving workplace culture is one of the most important drivers of employee engagement for in-office teams. It shapes how employees interact, collaborate, and view their roles within the organization.
Ways to enhance workplace culture:
- Celebrate diversity by hosting cultural appreciation events or creating employee resource groups (ERGs).
- Encourage open communication through suggestion boxes, employee feedback sessions, and team meetings.
- Align the culture with company values, ensuring employees understand and embody the organization's mission.
A strong culture creates engaged employees who are enthusiastic about their work and committed to the company's success.
2. Encouraging meaningful coworker relationships
Positive relationships with colleagues contribute significantly to an employee's experience. In an in-office environment, these connections are easier to foster and should be prioritized.
Tips for building coworker relationships:
- Organize regular team-building activities, such as after-work outings, collaborative challenges, or lunch-and-learns.
- Provide communal spaces like lounges or coffee areas that encourage informal conversations.
- Recognize and celebrate team successes to build camaraderie.
Strong coworker relationships create a supportive network where employees feel connected and valued.
3. Supporting physical and mental health
In-office employees spend a significant portion of their day at the workplace, making physical and mental health support essential for engagement.
Initiatives to promote well-being:
- Provide access to mental health support, such as on-site counselors or stress management workshops.
- Design ergonomic workstations and encourage movement through walking meetings or fitness breaks.
- Create wellness programs that include activities like yoga, meditation, or healthy eating challenges.
When employees feel their health is prioritized, it enhances their job satisfaction and productivity.
4. Providing professional growth opportunities
In-office environments are ideal for fostering career development opportunities through direct mentorship, training, and on-the-job learning. Employees who see a clear path for growth are more likely to remain engaged.
Ways to encourage growth:
- Create mentorship programs that pair employees with experienced leaders.
- Offer workshops and leadership development programs to help employees build new skills.
- Ensure that employees receive consistent feedback and guidance to assist them in navigating their career trajectories.
These opportunities empower employees and demonstrate the organization's commitment to their success.
5. Recognizing and rewarding achievements
Recognition is vital in boosting employee engagement and motivating in-office teams. Employees who feel their contributions are acknowledged are more likely to stay invested in their work.
Recognition strategies:
- Use peer-to-peer and manager-led employee recognition programs to celebrate milestones and accomplishments.
- Organize monthly or quarterly award ceremonies to highlight individual and team achievements.
- Tie rewards to personal preferences, such as gift cards, extra time off, or public shout-outs.
Effective recognition fosters a culture where employees feel valued and inspired to excel.
By focusing on these key drivers of employee engagement, in-office companies can create an environment that supports a positive organizational culture, enhances employee retention, and fosters a sense of purpose among team members. Engagement thrives when employees feel connected, supported, and appreciated in their daily work.
3 key drivers of employee engagement for small size businesses
Engaging employees is a unique challenge for small businesses—and an incredible opportunity. Smaller teams often foster close-knit connections, but limited resources can sometimes hinder large-scale initiatives. By concentrating on the primary factors of employee engagement, small businesses can create an environment where employees feel esteemed, motivated, and empowered to contribute significantly to the organization's advancement.
1. Building meaningful connections within the team
In a small business, personal connections are a cornerstone of engagement. Employees who feel a sense of belonging and camaraderie are more likely to stay engaged and contribute their best efforts.
Ways to foster connections:
- Encourage team-building through inexpensive employee engagement ideas, such as group lunches, brainstorming sessions, or celebratory events.
- Conduct regular team meetings to ensure alignment and provide space for employees to share ideas and updates.
- Recognize individual and team contributions during meetings to foster a culture of reciprocal respect and admiration.
Small businesses have the unique advantage of creating meaningful connections that can be harder to achieve in larger organizations.
2. Providing employee empowerment and autonomy
Smaller businesses often have more flexibility to offer employees a sense of ownership in their roles. Empowered employees are more motivated and take greater pride in their work.
Strategies to empower employees:
- Assign projects where employees can take the lead, giving them the opportunity to make decisions and drive outcomes.
- Foster a culture of employee feedback, where employees can voice their ideas and see their contributions implemented.
- Provide constructive criticism and assistance to help employees grow while maintaining autonomy.
When employees feel trusted and empowered, they see their role as more than just a job—they become invested in the company's success.
2. Aligning employee goals with the company's mission
Small businesses often have clear and inspiring missions, making it easier to connect employees' roles to the organization's overall vision. Employees who understand how their work contributes to the company's success are more likely to feel motivated and engaged.
How to align goals:
- Regularly communicate the company's mission and vision during team meetings and updates.
- Set individual goals that align with organizational objectives and clarify how employees' efforts impact company performance.
- Use tools like an employee engagement action plan to track progress and celebrate milestones.
Connecting employees to the company's purpose fosters a sense of fulfillment and psychological safety, both of which are critical for long-term engagement.
Small businesses can cultivate a thriving and engaged workforce by focusing on these key drivers of employee engagement, even with limited resources. A close-knit team, empowered individuals, and alignment with a shared mission are the foundations for a work environment that promotes employee growth and achievement.
3 key drivers of employee engagement for medium size businesses
Medium-sized businesses face unique challenges as they balance scalability with maintaining a close-knit workplace culture. With a growing workforce, focusing on employee engagement strategies that strengthen connections, support growth, and drive motivation across teams is critical. Here are the key drivers of engagement for medium-sized businesses:
1. Enhancing the employee-manager relationship
Strong employee-manager relationships are essential for building trust, aligning goals, and cultivating a sense of purpose. In medium-sized businesses, managers play a pivotal role in ensuring employees feel supported and connected to their work.
Strategies to improve relationships:
- Provide managers with leadership development programs to equip them with the skills to mentor and effectively guide their teams.
- Encourage managers to schedule regular one-on-one meetings to discuss progress, challenges, and career aspirations.
- Implement tools for real-time feedback and recognition to create a culture of transparency and appreciation.
When employees perceive that their administrators are sincere in their commitment to their development and welfare, employee engagement levels increase significantly.
2. Supporting career development opportunities
As businesses expand, offering career development opportunities becomes essential for retaining talent and maintaining a motivated workforce. Employees need to see a clear path for growth within the organization.
How to foster career development:
- Create structured development plans for each role, highlighting skills and milestones for advancement.
- Offer professional development resources, such as online courses, certifications, or mentorship programs.
- Provide cross-departmental opportunities to allow employees to explore different areas of the business.
By investing in employees' growth, medium-sized businesses demonstrate a commitment to their success, boosting both loyalty and employee motivation.
3. Building a scalable recognition program
Recognition becomes increasingly important as businesses grow, helping to ensure employees across all levels and departments feel valued. A scalable recognition program can bridge the gap between leadership and employees, fostering a positive organizational culture.
Recognition program ideas:
- Use platforms like Matter or similar employee engagement software to streamline recognition efforts.
- Celebrate milestones and achievements in company-wide emails or meetings.
- Tie recognition to company values to reinforce shared goals and create a sense of unity.
A well-implemented recognition program drives employee engagement by ensuring all contributions are acknowledged and appreciated.
Businesses that are medium-sized have the potential to establish a distinctive equilibrium between structure and customization. By focusing on these key drivers of employee engagement, organizations can build a thriving workforce that feels connected, supported, and inspired to achieve great results.
3 key drivers of employee engagement for large/enterprise size businesses
Maintaining employee engagement across diverse teams and departments can be a complex challenge for large or enterprise-sized businesses. With thousands of employees, the focus shifts toward scalable strategies, clear communication, and fostering a positive organizational culture. Here are three critical drivers to help enterprise businesses keep their workforce motivated and connected.
1. Creating a unified company culture
As businesses grow, it's essential to ensure that all employees feel aligned with the company's mission and values regardless of location or role. A strong, unified company culture fosters employee empowerment and a sense of belonging.
Strategies to build unity:
- Develop and communicate a clear set of company values that direct organizational decision-making and behavior.
- Use technology, such as employee engagement tools, to share updates, celebrate achievements, and create transparency.
- Foster inclusivity by creating programs and initiatives that highlight diversity and encourage cross-departmental collaboration.
A cohesive culture helps employees see their contributions as part of a larger purpose, driving employee engagement levels and enhancing retention.
2. Leveraging technology for engagement
With large workforces, technology is indispensable for measuring employee engagement, managing recognition, and promoting collaboration. Digital tools simplify processes and ensure that engagement efforts are both scalable and impactful.
How to use technology effectively:
- Implement platforms like Matter or other employee engagement software to track recognition, feedback, and participation in engagement activities.
- Use data analytics to assess employee sentiment, identify trends, and fine-tune engagement strategies.
- Offer virtual learning platforms to provide career growth opportunities and keep employees up-to-date with industry advancements.
Large businesses can create personalized and meaningful experiences for employees at scale by integrating the right tools.
3. Supporting leadership development and mentoring
In large organizations, leadership quality directly influences engagement. Strong leaders help employees navigate challenges, align with company goals, and find meaning in their work.
Ways to support leadership:
- Invest in leadership development programs to provide managers with communication skills.
- Create mentorship opportunities that connect experienced leaders with emerging talent, fostering meaningful connections and growth.
- Regularly assess leadership performance using employee feedback and provide resources for continuous improvement.
Effective leadership is a crucial catalyst for employee engagement, ensuring that individuals at all levels feel directed, supported, and motivated. By focusing on these key drivers, large businesses can overcome the challenges of scale and build a workforce that is both motivated and connected. Scalable solutions, aligned values, and strong leadership are the foundation for a thriving, engaged workforce in any enterprise setting.
Employee engagement: making a successful program
Creating a successful employee engagement program requires a profound comprehension of employee motivation, consistent execution, and deliberate planning. An effective program should address the unique needs of the workforce while aligning with the company's mission and workplace culture. Here's how to design and implement a program that truly drives employee engagement.
1. Define clear objectives and key drivers
Before launching an engagement program, identify the specific outcomes you want to achieve. These objectives should align with employee engagement drivers, such as improving job satisfaction, fostering psychological safety, and enhancing employee-manager relationships.
Steps to define objectives:
- Conduct an employee engagement survey to understand current engagement levels and pinpoint areas for improvement.
- Identify the critical drivers of engagement within your organization, such as recognition, professional development, or work-life balance.
- Set measurable goals, like increasing employee retention by 10% or improving employee sentiment scores.
Having clear objectives ensures your program is focused and impactful.
2. Tailor strategies to your workforce
Every organization is unique, so it's essential to customize engagement strategies to suit your employees' preferences and roles. For example, what works for a remote team may differ from what resonates with an in-office workforce.
Customization tips:
- Use insights from surveys and employee feedback to design activities and initiatives that employees value.
- Consider career development opportunities for ambitious employees and flexible schedules for those seeking better balance.
- Incorporate both group-oriented team-building activities and individual recognition efforts to cater to diverse personalities.
A tailored approach shows employees that their voices matter and their needs are prioritized.
3. Leverage technology for engagement
Technology is a game-changer for implementing and sustaining employee engagement programs. The right tools make it easier to recognize achievements, gather feedback, and track engagement metrics.
Tools to consider:
- Platforms like Matter to facilitate peer recognition, enable constructive feedback, and align engagement efforts with company values.
- Analytics tools to measure engagement trends and assess the impact of initiatives.
- Communication apps to ensure employees feel informed and connected, regardless of location.
By integrating technology, you can simplify the execution of engagement programs while maximizing their effectiveness.
4. Measure and adapt continuously
Engagement isn't a one-time effort—it requires ongoing evaluation and refinement. Regularly assessing the effectiveness of your program ensures it remains relevant and impactful.
How to measure engagement:
- Use employee engagement metrics like participation rates, feedback scores, and retention statistics.
- Conduct follow-up surveys to gather insights on employee satisfaction and program outcomes.
- Adjust strategies based on data and employee input to keep engagement efforts dynamic and responsive.
Continuous improvement keeps your program aligned with employees' evolving needs and expectations.
5. Celebrate and communicate successes
Acknowledging milestones and sharing the program's successes with the entire organization reinforces the importance of engagement efforts. It also boosts morale and encourages continued participation.
Ideas for celebrating success:
- Share success stories in newsletters, meetings, or intranet updates.
- Recognize employees who have contributed significantly to engagement initiatives.
- Host celebratory events to mark key achievements, such as reaching participation goals or improving engagement scores.
Celebrations create a sense of collective achievement and inspire employees to stay engaged.
A successful employee engagement program isn't just about activities or perks—it's about creating a workplace where employees feel valued, connected, and inspired. By concentrating on the primary determinants of employee engagement and continually enhancing your approach, you can build a program that delivers lasting results.
Final advice and thoughts on driving employee engagement
Building and sustaining employee engagement requires commitment, creativity, and a deep understanding of your workforce. When employees feel valued, motivated, and connected to their organization, they are more likely to contribute their best efforts, leading to a positive organizational culture and improved company performance.
Here are a few final tips to ensure your engagement efforts are impactful and lasting:
1. Focus on meaningful connections
Engagement starts with relationships. Foster positive relationships between team members, managers, and leadership to create a sense of trust and belonging. Whether through team-building activities, mentorship programs, or informal conversations, strong connections drive loyalty and employee motivation.
2. Prioritize feedback and recognition
Feedback and recognition are among the most powerful drivers of employee engagement. Consistently solicit feedback from employees to gain insight into their requirements and concerns and ensure that achievements are consistently acknowledged. Tools like Matter make it easy to implement real-time recognition and create a culture of appreciation.
3. Align engagement efforts with company values
Employees are most engaged when they see their work as meaningful and aligned with the organization's mission. Reinforce company values through your engagement strategies, and clearly articulate the ways in which each team member contributes to the company's success.
4. Invest in professional growth
Engaged employees are those who feel their careers are progressing. Offer career development opportunities, training programs, and pathways for advancement to ensure employees feel invested in their future. Growth fosters employee empowerment and long-term commitment.
5. Use data to refine your strategies
Engagement isn't static—it evolves as your organization grows and employee needs change. Regularly measure employee engagement metrics to evaluate the efficacy of your initiatives and implement data-informed enhancements.
Driving engagement is an ongoing journey, but you don't have to do it alone. With tools like Matter, you can create a workplace where employees perceive appreciation, connection, and motivation. Get started with Matter for free today and see how our platform can help you build a thriving, motivated workforce that drives success.
