A new study published by a group of academics in Arizona shows that employees are more highly motivated when the CEO focuses on more than company profitability. A survey of 520 companies shows that employees place a high value on relations with customers, their own welfare, the community and environmental issues. CEOs that ignore these concerns lose respect from employees and demotivate them. Additional detail is available in HBR December 2009.
Not a surprising set of findings but perhaps the survey results will make this type of thinking more mainstream. For those of you who do not think you can afford concerns such as the environment or the community, consider what the cost is of demotivated employees.
