The past year has been challenging for the economy and for business overall. Despite the downturn, some companies have managed to maintain a positive work environment with innovative programs that boost employee morale.
Edward Jones is an example of this trend.
Edward Jones provides financial services for individual investors in the United States and, through its affiliates, in Canada and the United Kingdom. Tim Steins, Recruitment Marketing Manager at Edward Jones, explains how a team effort towards cost-savings helped to divert layoffs.
Monster: Amidst this year's economic challenges, how has your company managed to maintain employee performance and satisfaction?
Tim Steins: Our industry has experienced quite a bit of turmoil since last fall, whether it's companies going under or being acquired, mass layoffs, etc. We've emerged relatively unscathed and that's due in large part to our private structure and our leadership teams' focus on our core business. We are a partnership and not a publicly-traded company. One of the key benefits is that we can make decisions that are in the firm's long-term best interests (like adding financial advisors.)
Nearly 12,000 of our associates are either limited or general partners and everyone thinks like an owner, whether it's turning off the light in a conference room when you leave or developing strategies to help financial advisors build relationships with our client. And that positive associate experience is reflected in places like Fortune magazine where we were named the No. 2 best place to work.
Monster: Have employee recognition programs played a role?
Steins: An engaged employee can make a true difference in your organization. At the end of 2008, Edward Jones made a decision to reduce costs by more than $100 million this year. The firm wanted to avoid layoffs so they invited associates to participate in a cost savings program. Associates would submit cost savings ideas and those with the best ideas (as selected by management) were given two tickets to attend the MLB All Star Game here in St. Louis. As a result of this program, we actually achieved a $120 million cost savings. That is one of many examples where the firm actively seeks out associate input and acts on it.
Monster: Do you have any recommendations on how to initiate employee satisfaction and recognition programs on a limited budget?
Steins: We are well-practiced in operating programs on a limited budget. One of our most successful recruitment programs is the associate referral effort. We regularly receive more than 50% of our hire from associate referrals -- and unlike most organizations of our size we do not pay for referrals. Instead we focus on recognition among your peers. Our associates want to do these volunteer activities because it's in the best interest of the firm, not because they would receive money or rewards for their efforts.
Monster: What other efforts have helped your company maintain a positive workplace environment?
Steins: Everyone likes to be part of a thriving, growing organization versus one that is contracting. Although we've been in business since 1922, we continue to add offices throughout the country because clients need our brand of individualized service and long-term approach to investing. In the past 12 months we have built three new headquarters buildings, including a state-of-the-art training facility. These actions are not lost on our associates. They see the long-term opportunities that exist through the firm.
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About the Company
Edward Jones provides financial services for individual investors in the United States and, through its affiliates, in Canada and the United Kingdom. Every aspect of the firm's business, from the types of investment options offered to the location of branch offices, is designed to cater to individual investors in the communities in which they live and work. The firm's 12,000-plus financial advisors work directly with more than 7 million clients to understand their personal goals -- from college savings to retirement -- and create long-term investment solutions that emphasize a well-balanced portfolio and a buy-and-hold strategy.
About the Author
Since 2005, Tim Steins has managed the recruitment marketing efforts for Edward Jones, a financial-services firm based in St. Louis. Prior to joining Edward Jones in 2000, Tim supported the national audit recruiting function at PricewaterhouseCoopers. Tim earned a Masters of Marketing from Webster University and Bachelors of Journalism from the University of Missouri.