Benefits of Human-Centred Organisations
An increasing body of evidence demonstrates significant and substantial benefits to organisations that are human-centred. They are more profitable. They achieve transformational change faster and with greater impact. They attract and retain employees and customers, reduce risk, and improve results. They are more innovative. They are more resilient.
We are a long way from being fully human.
90% of HR leaders believe that to succeed, leaders must focus on the human aspects of leadership. Yet only 29% of employees report that their leader exhibits human leadership.6
Only 2% of conversations end when both parties want.16
People start to lose their sense of humour when they enter the world of work.17
Over 60% of people don’t trust established leaders to tell us the truth including in government (63%), business (61%) and the media (64%).18
Up to half of all our colleagues are quiet innovators.19
There is a pressing need for resilience and reinvention.
45% of CEO’s don’t believe their organisations will be economically viable in 10 years if staying on the current path.20
30% of charities said there had been an increase in staff reporting burnout or exhaustion in relation to their work over the previous year. In addition, 26% said reports of low wellbeing were on the rise, while 25% had seen an increase in absence due to sickness.24
Human-centred organisations have cultures of innovation and open up new opportunities.
Co-creation with colleagues results in 2x likelihood to be innovative, and 1.6x likelihood to anticipate and respond to change effectively.13
Organisations prioritising human-centricity in transformation initiatives are 28% more likely to innovate on transformative ideas and products. 22
Human-centred organisations have reduced risk.
Organisations that put humans at the centre of their transformation efforts are 2.6x more likely to succeed.15
Co-creation with colleagues results in 1.8x likelihood to have a highly engaged workforce, 2x likelihood to be innovative, and 1.6x likelihood to anticipate and respond to change effectively.13
Human-centred organisations have improved financial performance.
91% of employees who say their company has a strong sense of purpose also say that their company has a history of strong financial performance.1
Organisations in the top quartile of engagement have double the annual net income, 2.5x revenue growth than organisations in the bottom quartile of engagement.3
Human-centred organisations have improved colleague safety and wellbeing.
When 6/10 workers (as opposed to the U.S. average of 3/10) strongly agree that their opinions seem to count, organisations realise a 40% reduction in safety incidents.11
Doubling the number of employees that felt the company’s mission made their job feel important lead to a 41% reduction in absenteeism, and a 50% drop in safety incidents.2
It’s 3.1x less likely for an employee to report fatigue with human-centric work design.4
Employees who have thriving relationships with their immediate team members report better wellbeing (76% versus 57%).7
Trusting employees have 41% lower rates of absenteeism.23
Human-centred organisations have motivated colleagues, and improved productivity and quality.
You’re 3.8x more likely to achieve high performance with human-centric work design.4
Belonging can lead to 56% increase in job performance.5
When 6/10 workers (as opposed to the U.S. average of 3/10) strongly agree that their opinions seem to count, organisations realise a 12% increase in productivity.11
Doubling the number of employees that felt the company’s mission made their job feel important lead to a 33% improvement in quality.2
Organisations in the top quartile of engagement have 18% higher productivity than organisations in the bottom quartile of engagement.3
Trusting employees are 260% more motivated to work.23
Human-centred organisations attract and retain colleagues.
77% feel a company’s values and purpose regarding sustainability, diversity and transparency are important when selecting an employer.5
54% of employees would quit a job if they did not feel like they belonged there, rising to 61% for 18-24 year olds.5
Doubling the number of employees that felt the company’s mission made their job feel important lead to a 41% reduction in absenteeism.2
It’s 3.2x more likely for colleagues to have high intent to stay with human-centric work design.4
50% of people have left their job to get away from their manager.8
34% of employees say corporate culture is the main reason they would look for a new role.12
Belonging can lead to 50% reduction in turnover risk, 75% decrease in sick days.5
Teams with low engagement have turnover rates that are 18% to 43% higher than highly engaged teams.9
It takes more than a 20% pay raise to lure most employees away from a manager who engages them, and next to nothing to poach most disengaged workers.9
Organisations in the top quartile of engagement have 40% lower turnover rates than organisation in the bottom quartile of engagement.3
When 6/10 workers (as opposed to the U.S. average of 3/10) strongly agree that their opinions seem to count, organisations realise a 27% reduction in turnover.11
Co-creation with colleagues results in 1.8x likelihood to have a highly engaged workforce.13
Employees who trust their employer have 41% lower rates of absenteeism, and are 50% less likely to look for another job.23
Human-centred organisations attract customers.
Organisations in the top quartile of engagement have 12% higher customer advocacy than organisations in the bottom quartile of engagement.3
Organisations with an employee engagement program achieve 233% higher customer loyalty.21
Human-centred organisations have deepened stakeholder relations.
Human-centric organisations are more focused on the needs of all stakeholders (including customers, society, communities, employees, shareholders, and partner ecosystems) across the board, by an average of 11%.22
When colleagues feel a sense of purpose and belonging, organisational performance improves.
77% feel company’s values and purpose regarding sustainability, diversity and transparency are important when selecting an employer.5
54% of employees would quit a job if they did not feel like they belonged there, rising to 61% for 18-24 year olds.5
91% of employees who say their company has a strong sense of purpose also say that their company has a history of strong financial performance.1
When 6/10 workers (as opposed to the U.S. average of 3/10) strongly agree that their opinions seem to count, organisations realise a 27% reduction in turnover, 12% increase in productivity, and a 40% reduction in safety incidents.11
Doubling the number of employees that felt the company’s mission made their job feel important lead to a 41% reduction in absenteeism, a 50% drop in safety incidents and a 33% improvement in quality.2
Belonging can lead to 56% increase in job performance, 50% reduction in turnover risk, 75% decrease in sick days.5
When organisations demonstrate human leadership and culture, organisational performance improves.
50% of people have left their job to get away from their manager.8
34% of employees say corporate culture is the main reason they would look for a new role.12
Employees who have thriving relationships with their immediate team members report better wellbeing (76% versus 57%).7
It’s 3.1x less likely for an employee to report fatigue, 3.2x more likely for colleagues to have high intent to stay, and 3.8x more likely you’ll achieve high performance with human-centric work design.4
It takes more than a 20% pay raise to lure most employees away from a manager who engages them, and next to nothing to poach most disengaged workers.9
Organisations that put humans at the centre of their transformation efforts are 2.6x more likely to succeed.15
Organisations with a human-centric approach to transformation are 10x more likely to see revenue growth of 20% or more.22
Organisations prioritising human-centricity in transformation initiatives are 28% more likely to innovate on transformative ideas and products.22
Human-centric organisations are more focused on the needs of all stakeholders (including customers, society, communities, employees, shareholders, and partner ecosystems) across the board, by an average of 11%.22
When colleagues are engaged and grow, so too does organisational performance.
Teams with low engagement have turnover rates that are 18% to 43% higher than highly engaged teams.9
Organisations in the top quartile of engagement have double the annual net income, 2.5x revenue growth, 12% higher customer advocacy, 18% higher productivity, and 40% lower turnover rates than organisations in the bottom quartile of engagement.3
Co-creation with colleagues results in 1.8x likelihood to have a highly engaged workforce, 2x likelihood to be innovative, and 1.6x likelihood to anticipate and respond to change effectively.13
Organisations with an employee engagement program achieve 233% higher customer loyalty.21
Trusting employees are 260% more motivated to work, have 41% lower rates of absenteeism, and are 50% less likely to look for another job.23
References
1 Deloitte (2013) https://www2.deloitte.com/us/en/pages/about-deloitte/articles/culture-of-purpose.html
2 Gallup (2018) https://www.gallup.com/workplace/327371/how-to-build-better-company-culture.aspx
3 Engage for Success (2012) https://engageforsuccess.org/wp-content/uploads/2015/09/The-Evidence.pdf
4 Gartner (2023) https://www.gartner.com/en/documents/4022828
5 Randstad (2023) https://workforceinsights.randstad.com/hubfs/Workmonitor/2023/Randstad_Workmonitor_2023.pdf?hsLang=nl
6 Gartner (2022) https://www.gartner.com/en/newsroom/press-releases/06-23-22-gartner-hr-research-identifies-human-leadership-as-the-next-evolution-of-leadership
7 Microsoft (2022) https://www.microsoft.com/en-us/worklab/work-trend-index/great-expectations-making-hybrid-work-work/
8 Gallup (2015) https://www.gallup.com/workplace/232955/no-employee-benefit-no-one-talking.aspx
9 Gallup (2021) https://www.gallup.com/workplace/351545/great-resignation-really-great-discontent.aspx
10 Gartner (2024) https://www.gartner.com/en/documents/5199863#:~:text=Key%20Findings,organizational%20operating%20expenses%20on%20average
11 Gallup (2017) https://www.gallup.com/workplace/236198/create-culture-psychological-safety.aspx
12 Hays (2017) https://www.hays.com/documents/d/hays-usa/what-people-want-us_2017_digital
13 Deloitte (2023) https://www2.deloitte.com/us/en/insights/focus/human-capital-trends/2023/future-of-workforce-management.html
14 Gartner (2023) https://www.gartner.com/en/webinar/461362/1088584
15 EY (2021) https://www.ey.com/en_ie/consulting/why-people-are-integral-to-successful-transformations
16 Adam M. Mastroianni et al. (2021) https://www.pnas.org/doi/full/10.1073/pnas.2011809118
17 Jennifer Aaker (2020) https://www.independent.co.uk/life-style/sense-of-humour-plummet-23-working-stanford-california-study-b1011072.html
18 Edelman (2024) https://www.edelman.com/sites/g/files/aatuss191/files/2024-02/2024%20Edelman%20Trust%20Barometer%20Global%20Report_FINAL.pdf
19 Susan Cain (2012) https://www.forbes.com/sites/jennagoudreau/2012/01/30/quiet-revolution-of-the-50-percent-introverts-susan-cain/
20 PWC (2024) https://www.pwc.com/gx/en/issues/c-suite-insights/ceo-survey.html
21 Aberdeen Group (2015) https://www.verint.com/Assets/resources/resource-types/white-papers/aberdeen-employee-engagement-paving-the-way-to-happy-customers.pdf
22 Prophet and Forrester Consulting (2023) https://prophet.com/pdf/human-centricity-accelerates-successful-business-transformation
23 MITSloan (2023) https://sloanreview.mit.edu/article/how-to-build-a-high-trust-workplace/
24 Pro Bono Economics and Nottingham Trent University’s National VCSE Data and Insights Observatory (2023) https://www.probonoeconomics.com/news/small-charities-more-worried-about-future-as-volunteer-concerns-leap-survey-finds
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