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How can employers create an engaged workforce? Money helps. But only to a point.
In his 2009 book Drive, American economist Daniel Pink writes that while employers should always pay workers enough “to take the issue of money off the table”, wages only go so far. To truly motivate staff, companies should offer three things: autonomy, mastery and purpose, he argues. People crave self-direction, the chance to learn new skills, and to understand the value of what they are doing.
Such thinking is driving interest in “autonomous work”. A growing number of bosses are giving staff more freedom to decide what they do in their job. The hope is that greater agency will improve workers’ experience, engagement and output.
Some companies, particularly in tech, regularly set aside time for staff to work on whatever they want. Meta, the parent company of Facebook, runs such events — often called “hackathons” — every few months. Facebook’s chat function and “like” button both emerged from these initiatives.
Since 2014, US toymaker Hasbro has run an annual “Hasbro-a-thon” innovation day, which it says has resulted in nearly 50 new successful products.
Australian software company Atlassian, known for its work tool Trello, was an early adopter of autonomy as a management technique. Since 2005, all its international offices have held quarterly hackathons. On these “ShipIt days”, staff can work on anything they want, with other responsibilities paused. The only condition is that they show their colleagues what they’ve done.
The best-received concepts are taken forward for further development. The point is to “give employees the opportunity to get out of their comfort zones, solve problems through cross-team collaboration and learn something new”, explains chief technology officer Rajeev Rajan.
ShipIt days produce hundreds of ideas for new products or improvements for existing ones. Jira, Atlassian’s collaboration platform used by more than 65,000 companies, started off as a ShipIt day idea.
Business psychologist and consultant Dannielle Haig says such initiatives unlock creativity by giving staff “a sense of ownership” over work. “People are naturally more motivated when they can approach tasks in their own way, set their own schedules and have input in company decisions.”
However, Leena Rinne, head of coaching at HR technology firm Skillsoft, warns of “a fine line between freedom and under-managing”. Companies still need “to ensure that the organisation operates smoothly, maintains accountability, and clearly outlines its objectives and everyone’s role in contributing to them”, she notes. “[Staff] can only meet or exceed standards or goals when they have been clearly explained.”
According to software recruitment firm HackerEarth, 80 per cent of Fortune 100 companies now use regular hackathons.
Other businesses are embracing autonomy in a more everyday sense. Bond, a bespoke matchmaking agency based in London, has no office or fixed hours for staff. There is one all-hands meeting to catch up and share ideas every other Monday. Staff are encouraged to take one day a quarter as development time to investigate something they feel would be of value to the company. This could be attending TED talks, exhibitions or trade shows — anything that piques their interest.
Founder Charlotte Ball is enthusiastic about autonomy as a management technique. “I was adamant Bond should foster a culture that empowered its staff and ensured they feel they are trusted to be responsible, rather than nannied,” she says.
Ball keeps in touch with staff “fluidly” via telephone calls and WhatsApp, and says respect for autonomy should not be mistaken for a soft touch. “I have a one-strike rule . . . If someone within the team has taken advantage of the flexibility on offer and has not performed to the agreed-upon expectations, they will lose my trust and be unable to regain it. As yet, I have not had to terminate anyone’s employment.”
Haig and Rinne say having hard metrics and deterrents for poor performance matter. Equally, innovation days or fewer meetings do not negate the need for fair pay and competitive benefits.
People ultimately still want to “feel respected and valued for their expertise”, says Haig. The key, she suggests, is balance: establishing frameworks that “provide enough structure to ensure coherence while being flexible enough to allow for individual initiative”.
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