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HR Planning & Budgeting 2025: How To Maximize Your Employee Experience Investment

The end of the year approaches fast, and for businesses and organizations, this indicates the time to complete annual budget plans for the coming year. Decisive strategies delivering the highest ROI are driving an industry shift, placing employee experience (EX) at the forefront of organizational priorities.“We are in a new wave of focusing on our employees, which is different from the way organizations used to operate,” said Rob Catalano, chief marketing and strategy officer for WorkTango. “We need to be intentional that employee experience is important. When we create our plans and strategies we are thinking about them as well.”Emily McCrary-Ruiz Esparza, journalist and contributing editor at From Day One spoke about the importance of employee experience when approaching the budget planning with Catalano during a From Day One webinar titled, HR Planning & Budgeting 2025: How To Maximize Your Employee Experience InvestmentBoosting employee relationship management yields the benefits of higher morale, and in turn increases retention and employee engagement. A Gartner survey supports this, with these five priorities for HR leaders in 2024: Leader and Manager Development Organizational Culture HR Technology Change Management Career Management and Internal MobilityThe survey's top three priorities highlight how HR leaders are embracing change and the need for strategic agility. Happy employees drive stronger company profits. According to Harvard Business Review's study, How Employee Experience Impacts Your Bottom Line, organizations that prioritize employee experience in their budgets see revenue and profits rise by at least 50%.Organizations that fail to integrate employee experience into their current and future strategies risk falling behind, says Catalano. HR leaders must leverage technology, AI, and other digital tools to achieve the same success through robust employee experience initiatives.Rob Catalano of WorkTango led the webinar (company photo)“Technology needs to be that critical part of your strategic planning and your budget carved out for these types of things if you want to impact that employee experience,” said Catalano.Annual employee surveys don’t yield the fastest employee experience results anymore. Many employee issues aren’t identified and resolved until several months later. “No one’s going to act or do something different if you’re only getting your engagement index of how people feel once a year,” Catalano said.How To Approach Budgeting and ROIInvesting in employee experience doesn’t require a large portion of a company budget. Two thirds of companies that invested less than $10,000 saw a ROI up to 5 times. What is more important is identifying and measuring what Catalano calls the three pillars, People ROI, HR ROI, and Company ROI.Every company will determine these metrics differently as they should–ROI is not one size fits all. One company can receive a high ROI with the same plan another company used, who only saw a minimal ROI.“If we think about employee experience and all those pillars, there isn’t a silver bullet when companies are thinking of a multi threaded experience strategy. You can’t do it all, but be thoughtful. What are the right things that are employee focused versus company focused?”Editor’s note: From Day One thanks our partner, WorkTango, for sponsoring this webinar. Mary Jones is a freelance writer out of Ohio. Her work is featured in several publications including The Dallas Express, NDash, and The Daily Advocate.

BY Mary Jones | November 20, 2024

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The From Day One Newsletter is a monthly roundup of articles, features, and editorials on innovative ways for companies to forge stronger relationships with their employees, customers, and communities.

Virtual Conference Recap

By Katie Chambers | November 20, 2024

Creating a Purposeful Workplace Experience

With the major threat of the pandemic behind us, the big question is unavoidable: should we all return to the office? If you feel like opinions are sharply divided, well, you’re right!“A recent survey from McKinsey found that 52% of employees prefer a mix of both: they love that hybrid workplace, valuing flexibility, but also recognize the benefits of working in person,” said moderator Lydia Dishman, senior editor for growth and engagement at Fast Company. “And research from Gallup shows that employees who feel engaged in their workplace are more likely to want to return to the office, particularly for team collaboration and relationship building.”Deloitte reports that organizations with a strong focus on employee experience see a productivity increase of up to 20% and it also helps with turnover rates. “Ultimately, it's up to the leaders to set the policy and model what the ideal workplace situation looks like,” Dishman said during an executive panel discussion at From Day One’s October virtual conference.Corporate leaders have been saying it a lot lately: We want to make the office a magnet, not a mandate. They can make that a reality by creating the kind of experience that re-engages workers with their leaders, their colleagues, and their roles. How can employers be intentional about the workplace as a welcoming community and place where workers can fulfill their need for connection and purpose, inclusion and belonging?Encouraging In-person InteractionIt can be hard to encourage in-person interaction, even when back in the office, when employees are plugged into a post-pandemic productivity mindset of sitting at a desk, powering through tasks, and then going home. Providing team leaders with additional support can help them facilitate the organic in-office interactions that so many of us have been missing.“We’re trying to guide leaders with tools. At CSL, we’ve just launched a series of tools called Moments That Matter,” said Kim Robbins, senior director, HR change and culture at CSL Behring. “It’s encouraging leaders to coach their teams about being intentional about the work that needs to happen.” The training helps them understand the difference between moments that require ‘heads down’ focus time alone in the office or at home vs. times when they should be providing face-to-face support, such as when onboarding new hires. “Could we be encouraging people to randomly meet for lunch or come together for events? We’ve positioned all this in a framework about planning the way you work, so that people could be intentional and do some assessments for who might be missing in their network that could really help them feel that greater sense of connectivity and belonging,” Robbins said.Executive panelists from JLL, HR Media & Co., CSL Behring, and Lam Research spoke about "Creating a Purposeful Workplace Experience" (photo by From Day One) Antoinette Hamilton, global head of inclusion & diversity at Lam Research, says that employee resource groups, which first came into prominence as a way to stay virtually connected during Covid, are now another structured way to encourage organic in-person interaction. ERG’s can “be a place to connect, meet some new people, and do something for a great cause,” Hamilton said.Taking an Empathetic Approach“Empathy is a foundational principle of making a workplace someplace you want to go to,” Dishman said. Much of empathy, says Judith Ojo, CEO of HR Media & Co., comes down to open communication. “Some employees are not fond of being in the office. Maybe they can’t get enough work done or they’re constantly interrupted,” Ojo said. Make sure you understand where your employees are coming from and what they are looking for, then respond in kind. For the issues Ojo noted, creating a quiet zone, collaboration space, or wellness area for meditation can go a long way to making an employee feel comfortable, seen, and supported. Such an adaptive workspace can be helpful for fostering inclusion.Empathy can mean different things for different people, and leaders need to be prepared to take the cue from the employees. “I think listening sessions are really important. The key is you’re not trying to solve the problem. You’re listening,” said Tina Leblanc, Ph.D., head of DEI, Americas at JLL. “You listen. You pause. You come up with a solution. And then go back and say, ‘What I heard was…And these are some ideas.’ And then also ask them, ‘What do you feel we can do as a team to be more inclusive?’ That way you’re not putting your own biases [onto it].” Regular employee surveys can encourage employees to come forward.Building the Ideal WorkplaceFor many employees, Dishman says, it seems like a hybrid environment is the ideal. But making organizations cohesive and productive in a hybrid setup can seem far easier on paper than it is in practice. “Building trust within hybrid teams is really crucial to ensure collaboration and productivity,” Hamilton said. Her team does this by leaning into their core values: clear communication, mutual trust and respect, and transparency. Her organization wants its teams to feel cared about, and have created a manager track with training that incorporates inclusive leadership.Senior leaders need to communicate goals and parameters, Dishman says, so that the office continues to be a hub of connection – and so that everyone doesn’t come into the office two days per week only to spend those days on Zoom. “One thing that we have is collaborative conversations, where we bring people throughout the whole office, and even in different buildings, together,” Leblanc said. The company also encourages group lunches on Mondays, coffee on Wednesdays, and desserts on Fridays. The key is to keep thinking, ‘How do I make this more enjoyable?’ to encourage people to get up, get dressed, and commute into work. Employees should leave feeling happy and productive, says Leblanc.Hamilton says managers should be given the tools to be able to articulate the benefits of on-site work. “You’ve failed if you walk into an office and everyone is on a Zoom call,” she said. “We have to be intentional about how we work differently when we come back into in-person environments,” she said. “Managers are the catalyst for getting that done in a consistent way across organizations.”Robbins’ office encourages employees to be intentional about their meetings and not jam their schedules unnecessarily through a collaboration audit. “Do you really need to still be a part of all these meetings? Could you just only attend when there’s an agenda topic relevant to you, where you're a subject matter expert or [the] person to move this goal forward? Or could you delegate it to a junior team member to give them exposure and have greater connectivity in the office?” she said.Her organization has also invited “puppy trucks” from local animal shelters to visit so employees can play with puppies during breaks. Such activities should feel organic, and companies must be careful to avoid scheduling what feels like “mandatory fun.” Again, employees will look to their leaders to set the tone, so managers should be the first ones to dive into activities and bring the team along, Leblanc says. Let them know attendance is optional, but if they do go, ask them to bring a friend. Such participation also makes senior leaders feel more accessible. “Humanize yourself,” Leblanc said.Katie Chambers is a freelance writer and award-winning communications executive with a lifelong commitment to supporting artists and advocating for inclusion. Her work has been seen in HuffPost and several printed essay collections, among others, and she has appeared on Cheddar News, iWomanTV, On New Jersey, and CBS New York.

Virtual Conference Recap

By Matthew Koehler | November 20, 2024

Constant Change Is Bad for Business Because It’s Bad for Human Performance

In the corporate world, change is inevitable and organizations that can’t change don’t last long. Oftentimes, change is considered a good thing until you talk to people on the frontlines of it.“At some point you have to recognize that there is a contradiction between the simplistic idea that change is necessarily a good thing and the lived experience of change on the front lines, which seems to be anything but a good thing,” said Ashley Goodall, a leadership expert and author of The Problem With Change: And the Essential Nature of Human Performance.Goodall spoke with Vox's editorial director of tech, climate, and world teams, Bryan Walsh, at From Day One’s October virtual conference. They spoke about how to navigate constant change in the business world.Uncertainty, Control, and Work Without MeaningGoodall has had a long career in the corporate world as an HR executive, most recently at Cisco. He's seen major change from the outside and inside and identifies three key themes prevalent in any chaotic change. The first is uncertainty. “We don’t do very well when the future is uncertain and when somebody says there’s a big change coming, that’s almost the definition of uncertainty.”The next is control. “When you take away our sense of agency, we feel helpless. There’s a phenomenon called learned helplessness, where people just phone it in, because they’ve been trained by their environment that whatever they do won’t make that much of a difference.”Learned helplessness is the psychological name for a loss of control, Goodall says, but it also goes by another name. “Quiet quitting is probably pretty close in a business context for people saying, ‘Hey, I don't know what I do here. Why am I trying?’”Bryan Walsh of Vox interviewed author Ashley Goodall, left, during the fireside chat (photo by From Day One)The last theme is having a sense of meaning. “We have a desperate need for the world to make sense to us,” Goodall said. Organizational change often disrupts the essential social connections that define how people work and identify themselves. Shifting teams or altering org charts can dismantle these "social graphs," leaving employees struggling to adapt. On top of that, humans have an innate need to make sense of their environment. When conflicting messages about the organization’s direction emerge, employees often feel lost and disconnected, unable to contribute effectively.Goodall noted that while leaders often recognize these challenges, their focus tends to remain narrow—fixing one change initiative at a time. The issue arises when multiple initiatives, driven by different leaders or consultants, pile up, creating chaos. To address this, organizations must rethink change holistically and prioritize creating a work environment that supports human connection and meaningful contribution.“And it’s the aggregation of all of this that is really pernicious, which means that organizations need to think differently about change, and more broadly about the experience of work here every day, and does it support human contribution,” Goodall said."What can leadership do when it comes to actually executing change?” Walsh asked. Goodall says there needs to be a sliding scale to determine when change is necessary. “The first thing to say to organizational leadership is, do less. Change. But do less. If we get through our collective heads that this isn’t an unalloyed good, this is something that can create harm more than it creates good, then I think you pause and set the bar higher on organizational change.”This doesn’t always happen but leadership can be proactive about “turning the volume down,” he said.“You can involve employees in telling you where the volume currently is,” Goodall said. "What would happen if a leader came in and said, I’m going to spend the next few weeks learning everything that works really well here, or everything that we should preserve, or everything that’s valuable, or everything that’s special, or everything that you really care about, so that we know what to protect. And once we’ve understood that, then we can think about how to improve things.”Leaders can help employees navigate change by anchoring on stability and framing it as a clear, process-driven outcome, while taking steps to promote consistency amid the chaos of multiple initiatives.Stability is a Necessary Precondition for Improvement“You could say stability is kind of the opposite of change. What does that look like?” Walsh asked.Goodall distinguished between change and improvement, which he says aren’t the same things and given a choice between the two, people would choose improvement. “The thing that we’re chasing in all of this is improvement. Well, stability is a necessary precondition for improvement.”People struggling in an organization amidst a sea of instability don’t lend to improvement. Goodall believes that improvement and positive change come from team environments, where employees know what’s going on and are valued. “If we are able to stipulate that organizational value, organizational productivity, organizational innovation, organizational goodness comes from humans working together.”If you have the above, then you’ll have something like stability, Goodall says.“What does stability look like? Stability looks like I have space to figure out the best use of my time. I’m given some autonomy.” For Goodall, true stability at work comes from personal confidence, strong team dynamics, and leaders who foster meaningful connections and mutual support.Digging more into that predictability and stability, Goodall talked about his use of weekly all-hands meetings, something Walsh pointed out that, in his experience, executives tend to despise.Goodall did not spend a whole lot of time prepping for these meetings. Instead, he used them as a personnel barometer. “It was a conversation for the leadership team that everyone got to tune into and ask questions of us.”“What we were trying to solve was, if you know what’s going on, you have space, you have agency, [then] you have predictability. You get to see the people leading your organizations when they’re not on script–when they’re not following the talking points that the communications team has put together for the all hands," Goodall added.The meetings would start with slides of birthdays, service anniversaries, or something random with a photo to spark conversation or a laugh. Then they would move onto business, and different teams would simply talk about what they were working on, what was working for them, areas of difficulty and challenge, what was coming up in the future, and more.And making things weekly, instead of a few times a year, gives organizations the opportunity to handle change as it’s happening, according to Goodall. All of this is "profoundly stabilizing." “We did this every week for years and years, and it became an organizational ritual, and people still talk about it. All we were doing was ritualizing stability and explaining to people what was going on.”Matthew Koehler is a freelance journalist and licensed real estate agent based in Washington, DC. His work has appeared in Greater Greater Washington, The Washington Post, The Southwester, and Walking Cinema, among others.

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