Positive Psychology and Organizational Improvement: The Connection Between Employee Happiness and Monetary Growth
Welcome to this week’s blog post. I am Laura Brunereau and this week’s happiness topic is about the correlation between employee happiness and financial growth. We will analyze the relationship between positive psychology and corporate improvement and profitabillity.
As a specialist in organizational happiness, I’ve personally witnessed the beneficial effects that joyful employees can have on a business. The study of positive psychology has grown tremendously in recent years, offering insightful knowledge into the elements that affect happiness and wellbeing in people. It turns out that the bottom line of a corporation can be significantly impacted by these very same elements.
Positive psychology’s founder, Dr. Martin E.P. Seligman, has long been at the forefront of this field’s study. Dr. Seligman makes the case in his book “Flourish” that psychology’s historical emphasis on disease and dysfunction has been limiting and that we should instead focus on what makes life worth living. He believes that happiness and wellbeing can be elevated by putting an emphasis on pleasant feelings, involvement, connections, significance, and accomplishment.
The same elements may have a significant impact on raising organizational performance. Researchers from the University of Warwick discovered that contented workers produced 12% more than their dissatisfied counterparts. This better efficiency and increased output brought on by the increased productivity may have a direct effect on the bottom line.
There is a strong link between worker satisfaction and economic growth. According to a research by the Harvard Business Review, contented workers are more likely to stick with their existing employers, which can save the business money by reducing turnover and recruiting expenses.
According to a study by Aon Hewitt, businesses with high employee engagement generated earnings per share that were 2.5 times higher than those with low engagement.
Reducing the cost of employee healthcare is another benefit of investing in their wellbeing. Companies that invest in employee well-being programs had reduced health care expenses, better productivity, and higher employee engagement and satisfaction, according to a report by the Society for Human Resource Management.
According to research published in the Journal of Business Psychology, happy workers are also more likely to be inventive and creative, which can result in the creation of fresh concepts and goods that can boost an organization’s ability to compete. Another study from the University of Texas discovered that contented workers are more inventive and creative, which fosters the development of fresh concepts and goods that can enhance the company’s product and service offerings.
Another area where happy employees can have a significant impact is in providing excellent customer service. According to a study published in the Journal of Applied Psychology, satisfied workers are more likely to deliver superior customer service, which can raise client satisfaction and loyalty.
Moreover, contented workers use fewer sick days and have better attendance rates overall, which lowers the cost of absenteeism for the company. According to a University of Michigan study, happy workers use fewer sick days overall and maintain higher attendance rates.
Finally, satisfied workers perform better on the job because they are more invested in their jobs and loyal to their employers. According to a University of Sheffield study, happy professionals are more dedicated to their jobs and more engaged, which improves job performance.
Let me know if you want me to explain more in dept all the studies mentioned on this post on a future blog post.
In conclusion, there is a definite link between workers happiness, increased productivity and boosting revenue. Investing in an employee’s happiness and well-being can improve output, cut expenses, boost customer satisfaction, and enhance work performance. As a specialist in positive psychology and organizational happiness, I strongly believe that every organization should prioritize employee happiness as a key driver of success.
Join me on this journey of discovery and let’s work together to create happier, healthier, and more successful organizations. Thank you for reading and stay tuned for more in-depth explorations of happiness growth in the workplace.