Aon: Best employers have better financial performance
KUALA LUMPUR: Companies that focus on high employee engagement, compelling employer brand, effective leadership and a high performance culture tend to have four times higher revenue, seven times higher profit and 65% lower leadership attrition, according to global professional services firm Aon.
In revealing its lineup of best employers for 2018, Aon said the best employers consistently outperform the market across all four areas of talent management.
“This may have an impact to certain organisations. It doesn’t necessarily mean that these matrix will make a difference to all. It also depends on industry, what are you trying to measure, what your financial key performance indicators are,” Aon managing director for Malaysia & Philippines Prashant Chadha told a media briefing at the Aon Best Employers Malaysia 2018 Awards Ceremony & Learning Conference yesterday.
Despite half of Best Employers experiencing significant changes such as mergers and acquisitions, new leadership and a change in strategy, they increased revenues by an average of 15% (market average 3.88%) and profits by an average of 7.8% (market average 1.08%).
Aon senior partner, talent practice lead & chief commercial officer for Asia Pacific, Middle East & Africa, Mollie D Kohn said employee engagement is positively related to every important business matrix, whether looking at contract renewals, profits or total shareholder return.
“A lot of surveys measure how many ping pong tables, gym memberships (provided by employers), whatever. We don’t care about that. We care about whether that employee has an individual connection to the company that’s going to make them stay at the organisation and strive to do more and how that relates to business matrix,” Kohn said.
Aon yesterday named DHL Express (Malaysia) Sdn Bhd as the Best of the Best Employers in Malaysia for 2018.
Companies that were named Best Employer Malaysia comprises of Agilent Technologies LDA Malaysia Sdn Bhd, American Express (Malaysia) Sdn Bhd, Eco World Development Group Bhd, Federal Express Services (M) Sdn Bhd, Gerbang Alaf Restaurants Sdn Bhd, Hartalega Holdings Bhd, SP Setia Bhd, Sky World Development Sdn Bhd, Sunway Building Materials Group, Sunway Hotel (Georgetown) Penang and Sunway IT Shared Services Centre.
Meanwhile, Malaysia Airports Holdings Bhd received special recognition for commitment to engagement while SAP Malaysia Sdn Bhd was recognised for commitment to high performance culture.
DHL Express Asia Pacific was also named Aon Best Employer 2018 under the regional Asia Pacific programme, after being named Aon Best Employer in India and Singapore earlier. Marriott International Malaysia was named Best Employer 2018 through the global programme.