Many people believe it is hard to quantify the benefits of training in these ‘softer’ skills. Our research has found that training in these techniques is proven to raise job satisfaction, organisational commitment, well-being and performance among your employees, while also reducing cynicism, turnover intentions, job stress and anxiety (this is evidenced by the largest ever academic study of positive psychology workplace interventions, which analysed the results of more than 50 separate trials).
Clear financial benefits can be seen from reducing stress & anxiety (i.e. fewer sick days being taken) and staff turnover (to replace an employee is generally reckoned to cost around 1.5 times their annual salary). In addition to this, Shawn Achor’s research found that using these techniques to raise an employee from a neutral to a positive state resulted in a 31% uplift in productivity and an increase of 37% in sales.
In Psychological Capital and Beyond (2015), Luthans et al. present a case study in which the ROI from a simple PsyCap intervention was shown to be 270%, and demonstrate that such results are not extreme or unlikely – far outstripping the return from traditional forms of capital investment.
In another study (Pryce-Jones, 2010), the difference in productivity between those with high and low levels of positivity was shown to be potentially as great as an extra 60 days per year spent on-task (per employee). This has clear monetary value, if one thinks about 60 days’ worth of wages, or about the number of extra projects that could be delivered.