ANN ARBOR, Mich. - August 24, 2006 - Dr. Theresa M. Welbourne of eePulse,
Inc., www.eepulse.com, and the Ross School of Business, University of
Michigan, today announced the results of the Leadership PulseTM. The study
reveals current leadership energy trends, the importance of specific drivers
for business success and undervalued drivers in select industries. Over
4,000 executives worldwide have joined the Leadership Pulse DialogueTM since
it began in June 2003. Participants receive Pulse DialoguesTM (or surveys),
online reports and executive summaries every two months.
In the July 2006 study, 256 participants engaged in the dialogue. And 17
industries were represented ranging from manufacturing (19.1%) to
information technology (9.0%). Organization sizes included "less than 100"
(38.3%), "between 501-5000" (12.9%) and "more than 25,000" (8.6%) employees.
Results
12% of respondents reported being in "danger" zones (overly energized to the
point of potential burnout or not energized, reflecting low productivity).
Overall results indicate a downward trend in energy (scale of 0 = not
energized, to 10 = overly energized). From 10/29/04 to 7/14/06, the energy
average dropped from 6.71 to 6.04 (-.67 points), respondents in high energy
zones went from 62% to 53% (-9 points), and those in low energy zones
increased from 10% to 19% (+9 points).
Out of 22 drivers based on a study of long-term stock price and earnings
growth conducted by Welbourne, respondents indicated six, "higher-order"
categories in order of relative importance to their firm´s overall
performance (1 to 5 scale used, where 1 = not at all important and 5= very
important):
4.34 Agility and Quality
4.25 Strategy/Leadership
4.12 Technology
3.97 Human Capital
3.91 Product
3.82 Costs
The majority of respondents felt that human capital drivers (e.g.
employee-development practices, the manner people are energized, overall
culture, and rewarding top-performers) are perceived as important but are
underutilized and/or underrated business drivers. And the data analysis
supports their explanations.
This finding is consistent with earlier studies conducted by Welbourne using
large samples of organizations. These results indicated that factors such as
technology, production and costs were considered highly important. But it
was only the human capital factor that truly differentiated losers versus
winners when it came to long-term stock-price growth, growth in earnings per
share and even long-term firm survival.
"Using a regression analysis and self reports of overall firm performance,
our data shows that only the human capital resources differentiate high from
low performance firms," states Welbourne. "Thus, what employers believe may
be most important may truly be contradicting what in reality is important
for results."
For an assessment of your own firm´s own readiness to this and other
demographic shifts and trends, contact Dr. Welbourne at 1-877-377-8573 or
write to info[at]eepulse.com. To learn more about the Leadership Pulse research
study, see http://www.eepulse.com/leadership_reports.html. If you want to
join the Leadership Pulse study and receive free reports, sign up at
www.umbs.leadership.eepulse.com.
About eePulse, Inc.
eePulse, Inc. delivers technology and research-consulting services that
support Data and Dialogue Driven LeadershipTM processes. Using eePulse´s
proprietary, web-based enterprise-wide software suite called MeasurecomTM
(measurement and communication); organizations and leaders immediately
improve their performance. Productivity enhancement comes from action taken
in response to real-time stakeholder information. For additional
information, please call 877-377-8573 or visit www.eepulse.com.
About Executive Education at the Ross School of Business
Executive Education at the Ross School of Business, University of Michigan
is made up of world-class educators and researchers renowned for their skill
in creating and integrating knowledge with practical application. They offer
a wide array of choices for executive and organizational development. For
additional information, please contact Executive Education at the Ross
School of Business at um.exec.ed[at]umich.edu, 734-763-1000.
Media Contact: Melanie Rembrandt, melanie[at]eepulse.com, 734-996-2321