Business leaders will need to implement responsible workforce data strategies if they are to build the employee trust that will help generate sustained revenue growth, according to a new report from Accenture.
While more than six in 10 C-level executives (62 percent) said that their organisations are using new technologies to collect data on their people and their work to gain more actionable insights — from the quality of work and the way people collaborate to their safety and well-being — fewer than one-third (30 percent) are very confident that they are using the data responsibly.
In addition, more than half (52 percent) of employees think that the use of new sources of workforce data risks damaging trust, and 64 percent said that recent scandals over the misuse of data makes them concerned that their employee data might be at risk too. However, 92 percent of workers are open to the collection of data on them and their work, but only if it improves their performance or well-being or provides other personal benefits. More than six in 10 employees (62 percent) would exchange their work-related data for more-customised compensation, rewards and benefits, and 61 percent would do so for more customized learning and development opportunities.
The report shows that, globally, USD 3.1 trillion of future revenue growth is at stake for large companies, depending on how their workforce data strategies affect employee trust. Companies that put in place responsible data strategies could see revenue growth up to 12.5 percent higher than that of companies that fail to adopt responsible data strategies.
“At a time when companies are using newly available workforce data to drive greater value, responsible leadership is the key to building employee trust,” said Ellyn Shook, Accenture’s chief leadership and human resources officer. “Trust is the ultimate currency — it’s the path to innovation and fuels growth by unlocking people’s potential.”
The response of business leaders to the workforce data challenge varies widely. Nearly one-third (31 percent) of the surveyed executives said they are holding back from investing as much as they would like in workforce data-gathering technologies due to employee sensitivities, while approximately the same number (32 percent) are investing anyway and figuring out how to do it responsibly as issues arise.
“Executives are entering a new era of workforce data without sufficient tools and strategies to help them drive revenue growth through developing stronger digital trust,” said Eva-Sage Gavin, who leads Accenture’s Talent & Organization practice globally. “But business leaders can take proactive steps that improve the potential of workers while achieving new business value. They can share accountability for the use of workforce data, co-create new systems with employees and give their people more control over their own data. This responsible approach will strengthen the resilience and agility of workforces and help CEOs navigate disruption at a time of intense competition and volatility.”
To help ensure that employees’ concerns are met, Accenture recommends the following framework for the responsible use of workforce data:
1. Give Control. Gain Trust
By giving employees far more control over their own data, organizations will not only gain their employees’ trust but also benefit from a greater flow of workforce insights with which they can improve performance. Nearly three-fourths (73 percent) of employees surveyed want to own their work-related data and take it with them when they leave their jobs — and more than half (56 percent) of C-level executives are open to allowing them to do so.
2. Share Responsibility. Share Benefits
To create benefits for all, leaders must share responsibility across the C-suite and involve employees in the design of workforce data systems. Today, fewer than one-third (29 percent) of businesses co-create data system designs with employees, although one-third (33 percent) plan to do so.
3. Elevate People. Use Tech Responsibly
Companies need to use artificial intelligence and other technologies to provide employees with more growth opportunities and improve fairness and diversity. More than four in five employees (82 percent) said that having reliable data gathered by new technologies will improve fairness in pay, promotions and appraisal decisions.
“Trust has evolved from a ‘soft’ corporate issue to a quantifiable metric with bottom line impact on revenue, EBITDA and, ultimately, growth through competitive agility,” said Mark Knickrehm, group chief executive, Accenture Strategy. “Today’s leaders must put employee and consumer trust at the heart of their business strategies with a clear actionable plan to get it and keep it.”
About the research
Accenture combined quantitative and qualitative research techniques to understand and measure the attitudes and readiness of workers and C-level executives regarding the use of workforce data and modeled the effects of collecting this data on employee-employer trust.
The research included surveys of 10,000 workers and of 1,400 C-level executives across 13 industries (automotive; banking; communications & media; consumer goods & services; energy; healthcare services; high-tech; insurance; public services; retail; software & platforms; travel; and utilities) and 13 countries (Australia, Brazil, China, France, Germany, India, Italy, Japan, The Netherlands, Spain, Switzerland, the UK and the US). These surveys were conducted in October and November 2018.