What is inappropriate engagement: Inappropriate engagement mean less employee engagement Less engaged employees may not feel a sense of ownership or responsibility toward the organization’s goals, which can result in missed opportunities for growth and improvement. Not to mention — missed deadlines. Disinterested, unmotivated and disconnected employees are less likely to go above and beyond to help the company succeed. Low engagement also impacts customer satisfaction scores. Excellent customer service depends on employee engagement because engaged employees are more likely to provide better service and care about the organization’s reputation. Disengaged employees are less likely to prioritize customer needs, leading to a decline in customer loyalty and retention.
Mainly when there is inappropriate selection
and engagement process that will create talent gap and skill gap between the
employees, high turnover rates, lack of diversity, decrease of customer
satisfaction, compliance risk are some of them.
Talent Shortage: Qualifying
candidates for your company can increase the financial advisor's capacity to
innovate and incorporate all conditions into the development of the market.
Because they have the talent, financial institutions may have difficulty
competing in the manner of effectiveness.
Skill Shortage: Even
when positions are filled, there may be a gap between the skills that employees
possess and the skills that are required to perform their roles effectively.
This can result in decreased productivity and performance.
High Turnover Rates: If
employees feel undervalued or neglected, they are more likely to leave their
jobs, leading to higher turnover rates. This can be costly for financial
institutions in terms of recruitment, training and lost productivity.
lack of diversity: Insufficient
selection processes can result in a lack of diversity in the financial
industry, both in terms of demographics and skills. This can limit innovation
and lead to groupthink, where decisions are made based on consensus rather than
critical analysis.
Decreased of customer satisfaction: Employees who are not engaged or adequately trained may have
difficulty providing quality service to customers. This can lead to decreased
customer satisfaction and loyalty, which ultimately affects the bottom line.
Compliance Risks: In the highly regulated finance industry, insufficiently trained or engaged employees may inadvertently violate compliance standards, leading to legal and reputational risks for their organizations.
To overcome those difficulties,
finance industry players should invest in comprehensive talent management
strategies, including robust recruitment processes, ongoing training and
development programs, and initiatives to promote employee engagement and
diversity. Additionally, fostering a culture of continuous learning and
innovation can help organizations adapt to evolving market conditions and stay
competitive in the long term.
References
ActivTrak. (2023). Low Employee Engagement: Causes,
Impacts, Tips.
Absolutely agreed! As cited in a study by Seijts and Crim (2006), employee engagement plays a pivotal role in delivering excellent customer service. Engaged employees exhibit a strong commitment to the organization's goals and values, translating into a genuine concern for customer satisfaction. Conversely, disengaged employees may overlook customer needs, jeopardizing loyalty and retention rates. Thus, fostering employee engagement is not just beneficial internally but also crucial for maintaining a positive external reputation and customer relationships.
ReplyDeleteAgreed with you. Employee engagement is vital to the success of a customer services team as it increases productivity, customer satisfaction, and retention. When customer service employees are engaged, they become a valuable asset and part of a company’s brand. (Schneider, 2021)
DeleteAgreed with you. There is a high turnover in the banking industry. However, offering competitive compensation and benefits packages, including performance-based incentives and opportunities for career progression, can attract and retain top talent in the banking industry (Bashir & Khattak, 2019).
ReplyDeleteWork-related stress helps to drive turnover in retail banking. Additionally, strategic changes in a bank's business direction can also cause turnover to increase. A bank more focused on investment sales may lose lenders, while a bank that pays higher wages to lenders may lose some of its investment bankers. (Contributor, 2021)
DeleteThis comment has been removed by the author.
ReplyDeleteOf Course Sachith, Lack of employee engagement result in excess costs, under-perform at critical tasks, and create widespread customer dissatisfaction in organizations all over the world Rampersad (2008).
ReplyDeleteThat's true. To avoid lack of engagement it is necessary to give time and recognition on employees. When they feel like they were being cared, employees will overcome barriers and perform well towards organizational goals.
DeleteAgreed. What the few studies confirm are the differences among employees to which employers must be mindful. While these classifications, by themselves, are not fixed or stable, they offer a reminder to corporations who erroneously adopt a top-down approach in implementing CSR programs, thus potentially neglecting the needs, interests, and/or attitudes of employees (Bhattacharya, Sen, & Korschun, 2008).
ReplyDeleteYes Dinuka, Top down approach will be beneficial in many scenarios. But with that too certain barriers may occur. To overcome all its required to care for employees. through that they may engage more towards their jobs.
DeleteEngagement and leadership are closely related. It is leaders’ duty to nurture employees into their duties, encourage and motivate teams into great performance. But often the control and power that comes with leadership can turn the role sour. This often happens, when leaders start to treat employees disrespectfully (Bounti, 2019)
ReplyDeleteLeadership plays a better role when engaging people towards their job roles. It is essential to make a positive background to engage employees more towards the organization.
DeleteAgreed with your view, in addition to this Certain barriers may lead to low engagement at work, which, in turn, brings about complications for employees and challenges for leaders (Gatenby et al., 2009;Lockwood, 2007). Moreover, a decline in employee engagement levels can have an effect on productivity, customer service and performance
ReplyDeleteAgreed. The above-mentioned barriers along with toxic culture make employees disengaged to their job roles. Finally, disengagement or unsatisfied employees bring organization productivity, efficiency and effectiveness to a lower level by which organization has to make an extra effort by spending more to achieve its goals.
DeleteTotally agreed with you. According to Hearn (2017), a toxic work environment is one of the other barriers to low employee engagement. Some employees leave the job due to toxic leader was my personal experience as a private sector employee.
ReplyDeleteTotally agreed with you. Employees leave the organization not because of the job role but because of the poor quality leader. 'Workload pressure along with poor management and poor communication were key barriers to engagement.' With bureaucracy and lack of time to achieve workload being the biggest de‐motivators, and workload being one of the biggest causes of stress (Sinclair et al., 2008).
ReplyDelete