As more and more employers recognise the importance of workplace wellbeing as a ‘duty of care’, the million-dollar question raised across boardrooms still remains: how will it impact the organisation’s performance?

This is a fair and practical question for businesses under huge economic pressure, and in particular SMEs with stretched budgets and many factors to take into account when deciding what to prioritise. But what if investing in wellbeing could actually lead to higher performance? Wouldn’t it be great if companies were able to create a virtuous cycle of higher growth and therefore increased resources to look after staff?

Increasingly, the HR academic world tells us this is possible (Nayani et al., 2022; Patey et al., 2022). Focusing on performance doesn’t have to be at the expense of employee interests. What this looks like in an ideal world is a form of workplace partnership, a ‘win-win’ where the organisation and its employees both reap the benefits (Kochan & Osterman, 1994).

Now of course, possible doesn’t always mean true. In fact, we often come across organisations actually cutting their wellbeing budgets because they’ve had their fingers burnt spending generous wellbeing budgets with little or no measurable return either for the company or its employees.

So how can businesses ensure that workplace wellbeing and high performance really do go hand in hand? Based on our experience of implementing workplace wellbeing within organisations at SuperWellness, I can think of five key conditions for good outcomes to occur, and there are many others:

1. The ‘common sense’ factors that affect work

From day one of an employee joining, it could be as simple as knowing where to find everything they need, and later on, having a clear path for growth and development. For shift workers, it could mean being able to warm up food at midnight, or for parents the flexibility that will mean they don’t stress so much about childcare. As companies grow, these things can start falling through the cracks. Carrying out an audit or gap analysis will help identify and prioritise issues. Before you invest in that app or free fruit delivery, focus on the simple things that will make the biggest difference.

2. Meaningful company values

These are essential for building high performance teams where employees feel a sense of belonging, an important facet of wellbeing. For growing businesses, keeping these values alive amidst all the ups and downs can be challenging but well worth it, as they will serve as a ‘True North’ both for leaders and employees. Without them, or even worse, if company values become empty words, your team will struggle with direction or move in conflicting directions.

3. Purpose

The links between purpose and mental health are well established, and if there’s a factor that feeds both into wellbeing and performance then this has to be it! From the company’s mission and vision through to individual roles, purpose can be built into every aspect of work. A significant area to consider is career development. Introducing solid performance review processes, designing jobs to make the most of people’s strengths, and providing employees with clear goals and KPIs are all practical ways to provide purpose at work.

4. Clear boundaries

As for any healthy relationship, clear boundaries are essential to wellbeing at work as well as creating the conditions for high performance. Establishing and communicating boundaries provides employees, line managers and leaders with clarity on what’s expected. They apply to work-life balance, ensuring everyone gets the time and space they need to rest and recharge. They also apply to behaviours, establishing what’s acceptable and what impinges on others’ wellbeing, and importantly addressing behaviours that do affect others negatively. One of the hardest aspects of effective line-management, this is something that can often be neglected. Providing managers with the training they need to be able to have these conversations instead of avoiding them is paramount.

5. Fairness

One of the surest ways to demotivate people at work is unfairness (Brown, 1989). We often hear about companies investing substantial amounts into wellbeing, but finding that it is having an adverse impact because they are focusing their investment only on certain groups (e.g. those who are in the office or at HQ) leaving others feeling overlooked. In a wider sense, it’s worth making sure fairness is a consideration throughout an employee’s tenure: from selection and recruitment to promotion and reward.

Want to hear more about building high performance teams in a way that benefits both business and employees? Join one of our upcoming Business Leader Forum online events. Davina Jenkins will be sharing some unique insights and practical steps for business leaders. Find out more here.