In a year where globalisation has started to become a concern, rather than an aspiration, and protectionism and nationalism has flourished, we have all been surprised.
The use of Keynesian economics by governments, with the free exchange of goods, capital, people, ideas and minimal state intervention, has become complacent and lazy. A socio-economic elite has not appreciated the growing discontent of many, who see an economic system that serves the few. They believe progress only affects other people, that new technologies destroy jobs that never come back and that no one listens.
How many businesses really listen to the individuals or engage them sufficiently to support change? Not enough according to Gallup, who states that 87% of employees worldwide are not engaged.
Short term influences, whether it be an upcoming election for a government, quarterly financial targets for a CEO, or looking for a swift turnaround as a VC, means that too often results are required now.
For businesses, this can drive the wrong behaviours and manipulate decision-makers to introduce impulsive initiatives that don’t engage their people. It is because of this that a business’ most talented employees may leave and is a major concern for 80% of businesses over the next twelve months.
The trick often missed is time and money invested in people, with one survey stating that companies with highly engaged work forces out-perform their peers by 147% in Earnings per Share.
Understanding this, Libra Europe Consulting introduced the ‘Academy’ approach many years ago as one of its services. The results may not be as instant, but the return on investment is many times greater.