Employers need to look outside the traditional office setting to create an engaged, productive workforce. In general, employees want to be aligned with their employers on a range of issues. This is the theme of Sodexo's 2012 Workplace Trends Report. My interest in the report lies in the benefits and consequences of these trends for employees in the workforce.

The report provides a list of top-10 human capital trends which can be expected to produce favourable business outcomes. The report is based on research data from work site visits and interviews at over 1,000 client sites, a robust review of current trade journals, combined with unstructured data from social media such as LinkedIn and Twitter.

The top trends are, as presented in the report:

1. Integration of workplace solutions
2. Workplaces that promote sustainability
3. Inclusive workplaces
4. Rewards and Recognition
5. Virtual Workforces
6. The built environment as a driver of employee engagement
7. Evidence-based space design
8. Quantifiable employee health and wellness initiatives
9. Psychological health in the workplace
10. Flexible workplaces

There are some catchy phrases and concepts here, so let's break it down with a very brief description of each trend and what the report had to say about each one.

• Integration of workplace solutions. Businesses must consider the total package of their offerings to employees in order to maximize the results in terms of employee engagement, innovation, and productivity. Rather than implementing solutions piecemeal, they will maximize value by integrating the solutions into a package that works for their employees, taking into consideration the diversity of their workforce.
• Workplaces that promote sustainability. This is about reduction of the company's carbon footprint, conservation of resources, and environmentally sound policies to reduce costs, increase savings and improve public perception.
• Inclusive workplaces. Businesses will continue to build on the workplace diversity trend of recent years. A workforce of employees with different educational backgrounds, from different generations and with different life experiences lead to higher rates of employee engagement and satisfaction.
• Rewards and Recognition. Employees seek recognition for their accomplishments over and above their monetary benefits. The trend will continue with more peer-based recognition platforms and innovative incentives.
• Virtual Workforces. Companies will continue to look at pay for productivity and performance as opposed to pay for hours worked. More effort will be put into investigating solutions for virtual workforces that can sustain the corporate culture.
• The built environment as a driver of employee engagement. This is about the level of satisfaction employees derive from their physical workplace. Things like properly maintained and heated/air-conditioned offices, ergonomics, dining and exercise facilities will continue to be improved to meet employee expectations.
• Evidence-based space design. Architects and office space designers will rely more on the advice of subject matter experts in the disciplines expected to inhabit the spaces that they design. The goal will be the same as always; to build beautiful, outcome-based working environments that inspire employees to do their best work.
• Quantifiable employee health and wellness initiatives. There will be a renewed emphasis on small fitness breaks, exercises employees can do at their desks and relaxation methods such as meditation and mindfulness. Rather than being focused on the tangible financial benefits of such programs, more companies will be looking to justify their expenditures based on more intangible benefits, such as business process improvement, innovation, and organizational competencies.

• Psychological health in the workplace. A psychologically healthy workplace fosters employee health and well-being and enhances productivity and performance. More companies will embrace a broader definition of wellness as they consider the psychological and emotional health of their employees. The report concedes that there is no 'one-size-fits-all' approach to creating a psychologically healthy workplace, and that each organization must put their needs in context when designing a solution. The report groups activities that promote psychological health as follows:
  • Employee Involvement. Getting employees more involved in decision-making increases job satisfaction, employee morale and commitment to the company. As a result, companies can expect to see an increase in productivity, a reduction in turnover and absenteeism, and an improvement in the quality of service.
  • Health and Safety. By encouraging and supporting healthy lifestyles and behaviours, companies can improve the physical and mental health of their employees. Implementation of workplace practices to reduce health risks and manage stress can result in greater productivity and reduction of health care costs and absenteeism.
  • Employee Growth and Development. Companies that provide opportunities for growth and development increase employee motivation and job satisfaction and help employees more effectively manage stress in the workplace. These companies will see improvements in work quality and be able to attract and retain a higher-quality workforce.
  • Work-Life Balance. Programs designed to improve work-life balance are typically flexible work arrangements or resources to help employees manage non-work commitments. Companies who strive to reduce conflict between work and other life responsibilities can improve employee morale, increase job satisfaction and foster employee commitment to the organization. These companies should see benefits in increased productivity and reduction of absenteeism and employee turnover.
  • Employee Recognition. Companies that recognize their employees, either informally or formally, tend to find their employees have better morale, job satisfaction, and self-esteem. These companies can see improvements in productivity, lower staff turnover, and attract and retain a higher-quality workforce.
• Flexible workplaces. Flexible work arrangements have shown to produce improvements in work-life balance. More companies will look for ways to leverage flexibility in the workplace to improve intangible benefits such as work-life balance and tangible benefits such cost reductions. The report suggests there will be a trend toward outsourcing technology solutions such as third-party video conferencing to reduce the costs and carbon footprint associated with business travel.

The 2012 Workplace Trends Report describes developments that will influence employers and employees in the coming years. Businesses that wish to grow in the current uncertain economy will likely adopt, or expand their adoption of these trends. The way we work will evolve and the methods by which we measure success will adapt.

In 2012 Workplace Trends and Employee Health and Well-being, Part 2: we speculate on some of the professional and personal costs and benefits of being a worker in an organization that has adopted these trends. We focus on those trends that are expected to bring improvements to work-life balance and management of workplace stress.

Sodexo, Inc. (http://www.sodexousa.com/), leading Quality of Daily Life Solutions company in the U.S., Canada, and Mexico, delivers On-site Service Solutions in Corporate, Education, Health Care, Government, and Remote Site segments, as well as Motivation Solutions such as Esteem Pass. The complete 2012 Workplace Trends Report can be found on Sodexo's website at http://bit.ly/SDXworkplacetrends2012.