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 The Cost of Under-Performance

At SMP our aim is to support individuals and organisations to perform and achieve. We do this by taking a pro-active approach to wellbeing - promoting wellbeing - whilst helping to mitigate the negative impact and consequences poor wellbeing can have.

This preventative approach involves fostering and encouraging a workplace culture that is both supportive and (appropriately) challenging. Appropriate challenge is good for us as it means we are stretched to achieve, use our abilities and skills, and push ourselves to perform. Having done that, and achieved at whatever the task/job/goal is, how do we feel about ourselves? Pretty good probably, and motivated and satisfied too. In this way, the organisation can and should enhance our wellbeing, so that we're not just looking to the organisation to minimise the scope for poor wellbeing, stress etc. We're looking for the organisation/manager to contribute to our wellbeing, which will be beneficial at both the individual and corporate level.

We require a workforce full of individuals therefore who are 

• engaged
• motivated
• resilient
• take personal responsibility for their wellbeing
• confident
• optimistic

and so on.

The organisation that pays attention to and encourages these qualities - and the culture it springs from/engenders - is more likely to perform close to its potential. Organisations that don't are more likely to have staff who under-perform, and this is a waste of time and money and talent and opportunity.

We've put together a calculator, to quantify in financial terms how much under-performance and 'presenteeism' is costing the organisation. It's based on research by Schmidt and Hunter (1982), which found that if staff are performing averagely, a 10% improvement in their performance is worth 10-15% of salary. We've used the lower figure of 10% of salary for sake of argument here. 

Drop us a line, or give us a call on 0118 9001652, to find out how we can support you with the above.