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Create an ideal corporate culture where individuals work as a team.
Empathy is emerging as a top indicator for corporate success, according to the Harvard Business Review’s 2016 Empathy Index. Empathy, the understanding of your impact on others and willingness to make a change accordingly, touches all facets of the business world. Do your employees enjoy an empathetic corporate culture? Do your customers and clients feel listened to? Does leadership have a good reputation?
The index breaks down empathy into 5 categories: ethics, leadership, company culture, brand perception and public messaging. It focused on top UK and US businesses and included several leading Indian companies and, overwhelmingly, the companies ranking highest on the Empathy Index are the ones that are retaining top talent, committing to a diverse workforce and leadership, and especially reaping the financial rewards. “The top 10 companies in the Global Empathy Index 2015 increased in value more than twice as much as the bottom 10, and generated 50% more earnings (defined by market capitalization),” stated Belinda Parmar, Harvard Business Review blog.
Growing the empathy of your company may not be as ambiguous as it seems. Be willing to identify your trouble spots through employee and customer feedback and actively address them. Ryanair instituted an “Always Getting Better” program, which reduced baggage charges and scrapped unallocated seating, and saw a 31% increase in net profits. Efforts to empower staff, such as a small fund to gift clients or easing up on dress codes, may seem insignificant but go a long way. Finally, hire and promote employees who understand the importance of ethical standards and know how to share it inside the business and beyond.