Why should the C-suite care if employees are flourishing?

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In the 2013 Corporate Executive Board (CEB) guidance report, executives revealed they need an average of 20% improvement in performance, over and above the current levels, just to meet current goals. Yes, just to meet current goals. 

More recent CEB analysis shows that organizations can only improve employee performance 3%–5% using performance reviews, performance-based pay and other standard performance management approaches. This incremental change is a far cry from the 27% improvement executives say they need to achieve breakthrough, sustainable growth.

Let’s face it – whether it’s 20% to meet current goals or 27% for breakthrough, sustainable growth – given the revenue per full-time employee is riding at a 20 year high, it makes sense that it’s going to take some seriously creative measures to squeeze out anything more from these full-time employees, much less a 20+% increase in productivity measures!

Any increase of that magnitude will require deeply engaged employees, for certain.

Unfortunately, most companies have 25-30% of their employees, at most, engaged at this desirable level, according to Gallup’s “State of the American Workplace” report. And, it appears that number has been stagnant for over a decade.

Translation – without implementing something genuinely innovative, these trends aren’t likely to improve.

Regardless of industry or profit structure, business value is created by engaged employees – those who are satisfied, loyal and productive. Without them, the service-profit chain  fails. Employee engagement is crucial for the financial well-being and sustainability of any organization. And, thanks to recent science, we know there is a correlation between flourishing and work engagement. 1

Flourishing employees can indeed be the ultimate in engaged employees.

They are satisfied in their job, feel that they are contributing something of importance, are loyal to their team and organization and are fully present when at work.


To gain a better understanding of the potential impact, start here with the Big 3.


  1.  Demerouti, E., Bakker, A.B. & Gevers, J.M.P., Job crafting and extra-role behavior: The role of work engagement and flourishing, Journal of Vocational Behavior (2015), doi: 10.1016/j.jvb.2015.09.001