High employee morale is not only correlated with more pleasant work environments but also better productivity and reduced business costs. All other things being equal, happier employees tend to voluntarily offer more of their time, achieve better production metrics over the long term, and are less likely to leave for other jobs.
Small- to medium-sized enterprises (SMEs) can be especially vulnerable to morale issues, simply because they have fewer employees and are smaller in scale compared to larger competitors. That said, SMEs have a wealth of options available for improving morale within their organizations. Let’s look at several ways you can improve happiness at your SME:
1) Pay Employees on Time
Timely, accurate payment is the foundation of motivated workplaces. Before you even consider anything else on this list, you need to make sure that employees, contractors, and other individuals on your payroll system are paid on time. Fortunately, most purpose-built payroll software for small businesses can facilitate automated payments to bank and digital wallet accounts.
Whichever payroll management system you decide to use, make sure that your automation scripts comply with Philippine labor laws. To make this easier, consider integrating a payroll system Philippines’ SMEs typically use, such as Maya Disbursements.
2) Recognize Achievements
Acknowledge and celebrate your employees‘ accomplishments as soon as you can. Whether big or small, genuine recognition creates a company-wide sense of appreciation that may spur your entire team to be more productive.
3) Find Out What Employees Want
Conduct regular surveys or informal one-on-one discussions to understand the needs and preferences of your employees for perks and non-salary benefits. Tailoring your employees’ benefits to align with their needs shows that you truly care, significantly boosting morale.
4) Invest in Employee Professional Development
Providing opportunities for skill enhancement and career growth tells employees that you value them and are willing to stick with them in the long haul. When employees see that their organization is genuinely invested in their development, it not only improves their skills but also strengthens their loyalty.
5) Set Hard Limits on Overtime
While occasional overtime may be necessary during peak seasons and emergencies, it’s ultimately unsustainable for employees, even in cases where they may actually volunteer for it. Setting strict limits on the amount of available overtime prevents burnout and ultimately promotes long-term job satisfaction.
6) Educate and Remind Employees on Existing Incentives
Employees have to be aware of the incentives and benefits that you offer. Periodically communicate these perks to reinforce their value and encourage better utilization of your company’s benefits.
7) Offer More Flexible Work Arrangements
Some employees will be happier and more productive if they’re allowed to work remotely. If an employee shows that they can be trusted with their responsibilities, offering them the option to work from home can strongly encourage their long-term loyalty to your business.
8) Provide Safe Avenues for Feedback
Establish channels for open communication where employees can express their concerns without fear of reprisal. Valuing their input in this way helps to create a sense of inclusivity and safety that benefits everyone in the organization.
9) Offer a Clean and Pleasant Workspace
Do what you can to create a comfortable and, most importantly, sanitary work environment. A recent study showed that well-designed and properly kept workspaces positively impact mood and boost overall job satisfaction. As a bonus, a comfortable workplace can also reflect positively on your business, attracting more qualified talents to your organization.
10) Don’t Micromanage
According to several studies, employee micromanagement is strongly associated with negative emotional and physiological reactions and poorer long-term productivity. Many bosses haven’t gotten the memo, even going so far as to employ CCTV cameras, sensors, and AI-powered analytics to monitor their employees’ every move. In a time when such management styles are becoming ever more popular, take the scientifically vetted route by empowering your employees to be more autonomous and productive instead.
11) Implement Employee Wellness Programs
Make it a point to introduce modern initiatives focused on physical and mental well-being, such as fitness classes, counseling services, or wellness challenges in your SME. Such programs can help employees better deal with the stresses of their jobs, encouraging lower turnover rates at your organization.
12) Facilitate Regular Team-Building Activities
Major company-sponsored team-building activities can be an important way to solidify your SME’s shared identity. In the Philippines and other places where most people value social harmony, these kinds of activities are particularly important for building truly profound team cohesion.
13) Promote a Culture of Inclusivity
Embrace diversity and inclusion initiatives to create a workplace where all employees feel valued and respected. Having zero tolerance for unwarranted forms of discrimination can also help create an atmosphere where employees from cultural minorities don’t feel othered or singled out.
14) Establish Clear Career Paths
Lastly, employees who can imagine a fruitful future with you are more likely to stand by you and do what it takes to succeed. Outline transparent and realistic career paths within the organization so that your employees understand their growth opportunities and their potential future with the company.
Cultivating happiness in your SME involves a multifaceted approach that looks at the present and future needs of your employees. By viewing employees as humans with motives and agency, you can eventually build a work environment that top talent and nurtures their existing teams for long-term success.
