This finding seems to be a direct contradiction to the pattern we see at most companies, where executives and highly skilled people get big bucks and bigger incentives, and Wall Street rewards companies for squeezing and cutting people on the lower rungs of the ladder (even if this practice is proven to be at the expense of long term performance).

The study looked at companies all around the globe, ranging in size from 27 to 126,000 employees, from 2005 through 2009.

Results demonstrated that in most businesses, front-line employees drive 90% of the profits.  By increasing employee engagement you can cut staff turnover, find cost savings, increase productivity, and increase profits.  Here’s how you can do just that - by adopting some or all of the following practices:

• Provide more training and advancement opportunities for people on the lowest rungs of the ladder, which leads to lower staff turnover, easier recruitment, and increased efficiencies.
• Invest in the health of people by providing low-cost health insurance, on-site exercise facilities, and a more nutritious company cafeteria menu – which reduces absentee rates and boosts productivity.
• Promote from within to impact worker happiness and to reduce turnover.
• Offer employee ownership options, which increase revenue and the value of the stock options themselves.
• Practice open book management by showing front-line workers the monthly financials and inviting them to find and share in cost-saving initiatives, which increases profitability.
• Implement flex time for line workers, which allows firms to shift employees into more productive areas through the down times.
• Give line workers more say in the direction of their work, which motivates workers and leads to cost savings and efficiency increases.

This is yet another study with HARD DATA that increasing employee engagement creates positive outcomes and a return on investment for all concerned. It makes business better for everyone – for you, for your people and for your stakeholders.

Here are three businesses that are doing it right – check them out:

A significant part of the history comes to us courtesy of a couple of bicycle builders from Dayton, Ohio named Wilbur and Orville Wright.  In fact, there’s a National Park – The Wright Brothers National Memorial – in Kill Devil Hills that commemorates their incredible achievement of controlled, powered flight.  It is an amazing place to visit and learn.

Although one can argue that the events that occurred at Kill Devil Hills on December 17, 1903 changed the course of history, I believe that the events leading up to that day were much more important. As I learned the details of their story on that overcast, windy day this past August, I realized that Wilbur and Orville were teaching me about how to systematize innovation.

You can learn from them too.  Straight from the history books, here are the Wright Brothers’ 5 steps to innovation:

1. Solicit outside help and become a voracious reader.
2. Create customized tools specific to your needs.
3. Plan meticulously and maintain a sharp focus on your goals.
4. Challenge both assumptions and conventional wisdom.
5. Find inspiration in ordinary things.

These 5 simple things can work in your business too.  An easy way to get started is to turn each of them into questions that you can then answer.  For example, your questions might be:

1. Who do I know that could potentially help us?
2. Which of our processes (tools) require redesign?
3. How can we improve at planning and at executing?
4. What assumptions do I have that could be holding us back?
5. Where can I find a fresh perspective on our situation?

The questions and their answers are just a start. What you actually do with them can make all the difference in the world – in fact, it could even change the course of history!