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Turns out happy employees really do drive business success

Grant Garrison

At GOOD/Corps we've been thinking mostly about how we can accelerate social impact by bringing together companies, social impact, and the public. Employees have always been key to this - Pepsi Refresh was historically successful at engaging employees - because they span companies and the public. Short: If they don't participate, no one will. This new study justifies this focus given how authentic leadership in social impact can make for happy, productive, profitable employees.

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  • Douglas Sellers

    I think the problem with this is that it becomes really hard to measure the impact happiness is having on your bottom line which makes it hard to spend money to make employees happier. It is really hard to measure the ROI on spending 50k to send all the employees to Aspen for the weekend. If someone could crack that nut then this would become a more accepted idea.

    • Grant Garrison

      That's what's cool about this report - it does directly connect employee happiness to company performance. Take a look.

      • Douglas Sellers

        but it isn't really. They have just found some correlation, no causation. They have broadly said that these companies spend more on employee happyness and are broadly doing better than companies that spend less but that isn't causation.

        To make this really happen you need to be able to walk into a budget meeting and say invest 10k here and it will lead to 20k here and you can't do that with this. It is super soft which makes it really hard to justify (and I am all for spending more on employee happyness)

        • Grant Garrison

          High standards, Doug! I agree with you, but, in my experience, there are a lot of corporate expenditures that lack a grounding even in data that suggests correlation. I'd hate for employee happiness to be held to a higher standard than, say, marketing or executive bonuses?