The New Dilemma for Managers: Performance vs. Engagement – Do They Have to Choose?

As Simon says - "Be the leader you wish you had!"

Choose?

At Predictive Index (PI), backed by Gallup's extensive research, we've found that managers play a crucial role in determining their employees' engagement levels and productivity. However, many CEOs and senior leaders remain unaware of the philosophical divide brewing within their management teams.

On one side are performance-driven managers who focus their efforts on achieving objectives, meeting goals, and delivering outcomes. On the other side are engagement-focused managers who prioritize creating an environment that energizes and motivates their teams. The question arises: should managers prioritize performance or engagement?

Our research reveals that high-performance managers don't have to choose—they excel at both. These managers are strengths-based, engagement-focused, and performance-oriented. By developing deep interpersonal relationships while maintaining a focus on performance, they strike a balance that drives both employee satisfaction and company success. Ignoring either aspect can lead to disengagement, reduced performance, and, ultimately, a less effective team.

Driving Engagement through Performance

Performance-oriented managers align their teams with the most critical objectives and goals. They resonate with Walt Disney's philosophy: "Of all the things I've done, the most vital is coordinating the talents of those who work for us and pointing them toward a certain goal." These managers create an engaging work environment that fosters peak performance through three key principles (CEM):

1)????? Create Clarity

2)????? Generate Energy

3)????? Be a Role Model

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Driving Performance through Engagement

On the flip side, engagement-focused managers know that a motivated team is a productive team. Gallup's research shows that highly engaged teams are 22% more profitable and 21% more productive. They also see 65% lower turnover and 10% higher customer satisfaction. To achieve these results, managers must emphasize the individual strengths and needs of their team members.

A Modern Approach for Today's Managers

In today's complex, multi-generational workforce, the old "Golden Rule" of treating others as you want to be treated doesn't cut it. Instead, managers must adopt the "Platinum Rule"—treat people as they want to be treated. One-size-fits-all approaches are no longer effective. Data shows that focusing on employees' strengths results in a 60:1 ratio of engaged to actively disengaged employees, helping teams reach their full potential.

At Predictive Index, we offer a Talent Optimization Package that bundles PI Hire, Inspire, and Perform Essentials to help you hire, develop, and retain top talent while saving on costs. Mis-hires, turnover, and missed targets are expensive. Here's how we can help:

1. Avoid Costly Mis-Hires Go beyond the resume with a behavior-based job profile that aligns with your hiring team. Save time by interviewing only candidates who fit the job profile. Utilize AI-powered, role-specific interview questions.
2. Transform Managers into Leaders Conduct effective one-on-ones with PI behavioral insights. Provide continuous, constructive feedback. Align action items with priorities and hold team members accountable.
3. Personalize Development with PI Inspire Access powerful management tools tailored to each employee. Foster teamwork and collaboration with science-backed insights. Leverage employees' strengths and address challenges with personalized development plans.

We believe that Better Leaders Create Better Work and a Better World. Let us help you connect the dots between your business strategy, results, and talent with our data-driven tools. Improve management effectiveness, boost engagement, reduce turnover, and build a sustainable culture that lasts.

Ready to get started? Contact me today for a FREE PI Behavioral Assessment and personalized readback!