Profiting from Happiness
Blayney, M. (2015). Profiting from Happiness. In The Black, March 2015.
A smile can go a long way in a healthy workplace. A recent study from the University of Michigan’s Ross School of Business discovered that happy employees work harder than unhappy ones, call in sick less frequently, go the extra mile when performing a task, stick at a job and attract like-minded people to their cause. The report, conducted over seven years, concluded that these productive staff members share two character traits: a sense of vitality and a willingness to learn.
As economies contract and margins continue to be squeezed, the emerging discipline of positive psychology is changing the way we work. Organisations the world over are beginning to take workplace happiness seriously. Clinical psychologist Dr Timothy Sharp is so serious about it that he answers to the name Dr Happy when he’s not at home. And maybe when he is. As “Chief Happiness Officer” at Sydney’s The Happiness Institute, Sharp is a little bullish about putting smiles on dials.
Take the example of the Parnassus Workplace Fund, an American mutual fund that invests exclusively in large firms with outstanding workplaces. The idea grew wings in 2005 after a fruitful investment return analysis was performed on Fortune magazine’s “100 Best Companies To Work For” list, Since the fund’s inception, it has delivered annual returns of almost 10 per cent, nearly double the S&P 500 Index average same period.
Those sorts of numbers fuel Andrew Bayly, a positive psychology consultant who has run repeat programs in the strategy implementation, leadership development and engagement areas at seven of the ASX’s Top 20 firms. He believes the potential benefits of a happy workplace justify any initial or ongoing outlay. “A happy state will lead to creativity and you’ll be able to connect with others more easily, quickly and productively. There is sound evidence that links happy and optimistic states of mind with more productive lives,” says Bayly, who recently graduated with a Master of Applied Positive Psychology from University of Melbourne’s newly formed Centre for Positive Psychology.
So in practical terms, how can we keep employees happy? Is it as simple as assembling a ping-pong table and firing up the PlayStation? “We definitely need more than gimmicks, but it’s amazing how many organisations believe such an overly simple approach will work. Fun and play are important, but so too are finding ways to give employees meaning and purpose in their work,” insists Sharp. Leadership is crucial. Workplace psychologists often say people don’t quit their jobs, they quit their managers, and finding leaders who manage positively is fundamentally important to productivity.
In many workplaces, inclusion is key, but beyond that, expressing gratitude to employees should be a conscious and regular occurrence. “Being grateful when things are going well and disciplining yourself to do that works for some people,” Bayly says. “The act of being thankful to people when needed builds relationships and these things make us feel good.” “The best organisations focus more on the strengths of people than on their weaknesses,” Sharp adds.
More than anything, we are happy when we are making progress and doing meaningful work. We want to be challenged, recognised and rewarded accordingly and, importantly, we can all play a part in making our workplaces happier.
“If there’s one thing I’ve learned from working with many teams and organisations, it’s that the most effective interventions target the organisation from as many directions as possible,” Sharp says. “This means that yes, leaders need to lead, but also that every single employee has a role to play and should be encouraged to get actively involved in generating positivity.”