By Terry Selucky (Los Angeles)
What’s the best way to guarantee a healthy ROI?
Attract talent. Analyze and use data. Beef up social media. Cultivate compassion?
Though at first glance it may seem counter-intuitive, creating a workplace culture that encourages compassion and collaboration among co-workers — as opposed to cutthroat competition — is actually one of the most effective ways to boost business.
Background
A recent article in The McKinsey Quarterly states that creating a giving culture at work not only reduces the stress level among employees, but also helps employees feel more loyal and committed. Emma Seppala, Associate Director for the Center for Compassion and Altruism Research and Education at the University of California, notes that seeing someone help another person creates a “heightened state of well-being” and when leaders demonstrate generosity in this way, workers are “more likely to act in a helpful and friendly way with other employees for no particular reason.”
Even if the warm fuzzies you get from being selfless aren’t enough, analyzing the bottom line pleads the case for workplace compassion. For example, Philip Podsakoff from Indiana University has demonstrated a direct correlation between the frequency with which employees come to each other’s aid and the company’s sales revenues. Collaboration promotes a customer-first atmosphere; work gets done faster, it enhances team cohesion and coordination, provides spontaneous training for new employees, and increases consistency in products or services.
The McKinsey piece, contributed by Adam Grant, author of Give and Take: A Revolutionary Approach to Success, separates workplaces into three cultures: Givers, Takers, and Matchers. Though the monikers are self-explanatory, the findings are not: Matcher cultures trade favors in a closed loop, making them inefficient vehicles for exchange. Takers try to get as much as possible without giving in return, which does not benefit the whole. But Giver cultures encourage knowledge sharing among all employees and, in turn, best results and the most efficiency.
Fortunately for women (and perhaps, women-run businesses), they are natural “givers.” An article from Time shows that, in monetary giving at least, women are 40% more likely to donate than men, and at all income levels, they give more than their male counterparts. And, a recent article from The New York Times reveals that the mere presence of women makes everyone more generous — both in families and in the workplace.