How to Increase Employee Morale

Company board members asking what if we communicated with the employees cartoon
Company board members asking what if we communicated with the employees cartoon

Employee morale is critical to corporate vitality — it can make or break a company. As Oneil Williams describes in his article on AZCentral, a company with high morale will obviously experience higher employee satisfaction than a company with low morale, but it will also likely experience increased productivity and steadier growth as well.

A company’s employee morale is very much dependent on its organizational culture, which comes from management. Employees who feel stuck, unappreciated or undervalued are more likely to have low morale at work. Managers should be clear and direct about how employees will be treated and what they can expect in terms of rewards, incentives and advancement. When this is done effectively, employees are much more eager to come to work and do their best.

Happy vs. unhappy employees

Unhappy employees can chip away at a company’s success in many ways. Recruiting, hiring and training is a costly and time-consuming undertaking, so businesses experiencing frequent turnover can incur major expenses quickly, undermining any profit they might be making.

Because disgruntled employees tend to be unmotivated, they often exhibit undesirable behaviors, such as arriving to work late, leaving work early, calling in sick frequently and generally being unproductive. Low morale can also be contagious, so it’s important for managers to check in with team members frequently — both formally and informally — and quickly address issues that might contribute to feelings of discontent.

On the other hand, happy employees are likely to boost revenue and reduce expenses, both of which serve to increase profitability. If morale is high, employees are unlikely to want to quit their jobs to pursue other opportunities, cutting the many expenses that go with recruiting, hiring and training.

In addition, content employees are usually more productive than their less happy counterparts. They come to work when they are expected to, they do their job with pride, and they feel a sense of loyalty to their employer. This not only saves employers money, but it can make them money.

According to Gregory Hammel at AZCentral, a company experiencing high morale often enjoys highly productive workers, so it doesn’t have to hire as many people to meet its demands as a company experiencing low morale. This ultimately contributes to the company’s profits, competitiveness and growth potential.

Don’t get complacent when it comes to employee morale.

Important to note: A company experiencing high morale should not get complacent. Morale is something that can change quickly and gather momentum in either direction.

Managers need to regularly check in with employees about their level of satisfaction at work, and then immediately act on any issues that are revealed. Being aware of issues as they happen and making minor adjustments can be a lot less costly and distracting than avoiding damaging issues and dealing with major employee dissent.

Great management skills can be learned.

With Spring Arbor University’s online MBA in Organizational Consulting you can learn how to increase your organization’s effectiveness and efficiency, and implement effective change initiatives with a strong foundation of understanding, predicting and influencing individual and group behavior. It’s an insightful degree program in that it teaches you to apply social and psychological principles in the work context to positively influence individuals, groups and organizations.