BBB Business Tip: Top leadership tactics to keep employees happy and productive

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As a business owner, you have a lot on your plate. You need to ensure that your company is growing, that your employees are happy, and that your customers are satisfied.

One of the best ways to promote success in your business is to invest in your employees. By creating an environment in which your employees are happy and satisfied, you will increase productivity, which will help your business to grow.

The BBB has researched the best leadership tactics for keeping your employees happy and productive. Below, we share the best strategies for building a work environment in which your employees will feel encouraged to put in their best effort.

5 leadership tactics to improve employee morale and productivity

Employee morale and productivity are directly linked. If you want your staff to be motivated and happy, you need to create an environment that encourages them to do their best work and makes them feel valued. Here are five leadership tactics for improving employee morale and productivity.

1. Prioritize a healthy work-life balance

Due in part to the pandemic, employees are more concerned about their work-life balance than ever before. Studies show that approximately 83% of millennials consider work-life balance when evaluating a job prospect, with 62% of older workers also citing work-life balance as a factor when choosing a new position.

As a business owner, it’s essential to create a healthy work-life balance for your employees. Otherwise, they may become fatigued and struggle to do their best work. The best way to create this balance is by ensuring that your employees’ work responsibilities don’t negatively impact their personal lives. This can be as simple as giving your employees plenty of time for lunch breaks or ensuring that they leave the office on time and do not respond to work-related messages while off the clock.

2. Encourage workplace friendships

Creating a workplace where employees feel comfortable being themselves and developing meaningful friendships with their colleaguescan positively impact productivity. When employees feel supported and accepted, they are more likely to do their best work and feel motivated to achieve their goals.         

There are many ways to encourage workplace friendships, including holding regular office happy hours or social events, encouraging your employees to take breaks together, or setting up a designated office space where your employees can interact with each other.            

By encouraging your employees to spend time together, you will develop a closer-knit team that will work together to reach goals and solve problems. This will increase your employees’ productivity and morale, which will positively impact your business.    

3. Take and implement employee feedback

Responding to employee feedback is essential for creating an environment where your employees feel supported and valued. However, studies show that 86% of employees don't feel heard at their place of employment, and even if they do feel heard, they don't see the tangible impact of their feedback.

One of the best ways to build an environment where your employees feel valued is to take and implement their feedback. By taking the time to listen to your employees and act on their suggestions, you will make them feel appreciated, which will have a positive impact on their productivity.

You can use various methods to take your employees' feedback, including one-on-one meetings and town-hall-style meetings. You can also implement an anonymous employee feedback program where employees can anonymously submit feedback through a survey or written form.

4. Give employees flexibility within the workplace

Along with having a healthy work-life balance, employees are also expecting more flexibility within the workplace regarding when and where they work. In the U.S., employees now expect flexibility within their workplace just as much as they expect a 401(k).

This means that your employees now expect the ability to work from home or to work on a flexible schedule. Not only can this improve productivity, but it's also beneficial for employees with families or other personal conflicts, such as medical appointments or treatment sessions.

5. Offer voluntary benefits outside of the standard offerings

Voluntary benefits are forms of compensation offered outside the traditional benefits package. Some examples of voluntary benefits include:

• Telecommuting
• Exercise reimbursement
• Tuition reimbursement

If you don't yet offer voluntary benefits, it would be wise to poll your current employees to see what they would find most beneficial. This is an opportunity to demonstrate to your employees that you care about their needs and well-being, which will positively impact their productivity and commitment to your company.  

Your employees are a valuable resource to help you achieve your business goals. Creating a professional environment where your employees feel supported and valued will increase their productivity and improve their satisfaction.