Introduction to Jackson Kerchis & Paul Krismer of Happiness Means Business
We help business and military leaders solve people problems using science-based tools for happiness and performance to improve results.
Our work transforms clients
- Drove 80% reduction in claims costs and $3M in insurance savings in one year
- Implemented a strategy for 32% increase in recruiting productivity
- Supported zero suicides for a National Guard with several each year in prior decade
- 89% of trained leaders agree or strongly agree they learned the skills to create and sustain a positive, high performing culture
Why happiness at work? Research
When we speak about happiness consider it an umbrella term like flourishing or wellbeing. It includes physical and mental health, strong relationships, positive emotion, and optimism. It’s about people being at their best. It includes, but is not limited to, “employee engagement” – which is now a widely recognized business concept.
There’s a mistake we see across organizations in all sectors. There’s a tendency to think of a trade-off between happiness at work and productivity/financial performance. We may think of it as a zero-sum game: it’s not about happiness – people have to work hard and get results. Or at the very least, leaders may think of it as a “nice to have” – pleasant, but relatively consequence.
However, this perspective overlooks the consensus of the rich psychological literature on individual and organizational performance. Happiness (again used broadly as wellbeing, positive emotion, optimism, etc.) is critical for human performance.
Success (All Contexts)
A meta-study (a study of studies) of 200+ studies with 250,000+ participants found a surprising relationship between happiness and success. Researchers propose that it is actually happiness that leads to success in a variety of life outcomes.
Bravery & Performance
A study from the University of Pennsylvania titled “Happy soldiers are highest performers” was published in 2021. Researchers examined a sample of 908,096 soldiers in the US Army and found that happiness (defined as optimism and tendency towards positive.
Creativity/Innovation
A meta-analysis of about 25 years of studies found that positive moods produce more creativity than mood-neutral controls. Creativity is enhanced most by positive states that are activating and have an “approach motivation”.
Safety/Compliance
Through a meta-analysis of responses based on Gallup’s Q12 employee engagement survey, Gallup researchers compared top and bottom quartile organizations with respect to engagement (interest and enthusiasm at work).
Healthcare Economics
Nearly all hospitals and healthcare providers will find patient experience drives financial performance. The most direct line to improving patient experience is through positive interactions with engaged employees.
Attrition/Retention
Happier and more engaged employees are more likely to stay with the company. The cost of replacing a single salaried employee can range from one to two times annual salary when we consider embedded costs of lost productivity, loss of institutional knowledge, rehiring / retraining costs.
Sales & Revenue Generation
Psychologist Martin Seligman studied thousands of salespeople at MetLife Insurance. They were hiring some 5,000 salespeople per year and he introduced a test to measure and assess positive outlook. They also tested for aptitude (technical proficiency). Two years after hiring, optimistic employees sold 31% more than pessimistic employees. Interestingly, those who failed the aptitude test but scored high on the optimism test sold 57% more in the second year.
Financial Performance
Gallup researchers found companies with engaged workforces have higher earnings per share (EPS). They examined 49 publicly traded companies with EPS data available from 2008-2012 and employee engagement data shared with Gallup. This study found that businesses with a critical mass of engaged employees outperform their competition. Irrational Capital has also developed a fund (HAPI) that invests in happier companies (based on their human capital factor) which has outperformed the S&P 500 consistently.
Our Approach
Our approach is strategic in nature. We view happiness and flourishing as a mechanism to improve outcomes
Our solutions range from small scale targeted training or coaching on specific outcomes (e.g. prepare our emerging leaders to be better mentors as we launch our internal mentorship program) to large scale culture transformations (e.g. comprehensive 3-year program for 7,000 service members in the Wisconsin National Guard).
Then we do discovery: interviews, observations, and occasionally surveys. This is a critical step that is often missed. I give the allegory of a client coming to us saying their employees are burning out and productivity is suffering. We could sell them a $50,000 emotional intelligence training.
Or we could conduct discovery and find that their legacy systems crash nearly every day. Their highly motivated employees are stifled and unproductive because they can’t do their work. They do not need to purchase training, they need a digital transformation.
This story illustrates the importance of discovery in uncovering the unique context and problem sets for each organization.
Finally, we propose solutions. Solutions, to drive long term impact, must go behind a one-off training. As we sometimes quip – organizational transformation is not sending an email. Solutions should include experiential learning, coaching, and, critically, leveraging institutional reinforcement mechanisms like communications platforms, talent management, and formal processes.
Sample Case Studies
Organizational Transformation to Reduce Insurance Claims by 80% ($3M)
Case:
YCT is an industry leader in commercial transportation. They are at risk of having to dissolve the company due to frequent and expensive insurance claims. They navigate a high intensity and high risk operating environment due to supplier demands in a seasonal industry.
Solution:
We developed a comprehensive leadership development program for senior leaders as well as training for frontline supervisors. We implemented coaching programs for key executives including the CEO and group coaching for all management. We also provided cutting edge safety management best practices. While the safety system was impactful. What we found was it was really about psychological buy-in. It’s not just about what’s “on paper” but following through on it. We developed leaders’ emotional intelligence so they could influence their reports to create a climate of safety compliance and genuine engagement with a safety culture. The key levers were shifting management leadership styles and directing sustained organizational focus back to the safety objective.
Results:
Over one year, we see a 50% reduction in claims and an 80% reduction in cost of claims saving about $3M.
Organizational Transformation for a 7,000-person National Guard
Case:
One state in the US National Guard sought our expertise to improve command climate (culture) in service of mental health, productivity, and overall readiness.
Solution:
We developed a multi-year leadership development program fitting their unique drill weekend schedule. It included follow up coaching, internal advocacy teams, measurement, and 20+ hours of intensive experiential learning.
Results:
We are entering the 2nd year of our program. To date 89% of the hundreds of leaders surveyed say this training has prepared them to create and sustain a high performing culture. The Recruiting and Retention Battalion timed their leadership transition to coincide with our training and we worked closely with the new executive team to develop their vision and strategy. Year to date they have seen a 32% increase in recruiting productivity. We played a part in supporting organization-wide comprehensive health and wellness efforts resulting in zero suicides in the last calendar year (after multiple every year for the prior decade).
Development Program for High Potential Emerging Leaders
Case:
A national real estate development, construction, and property management firm sought a high impact development workshop for their high potential future leaders group.
Solution:
We worked with the buyer to determine the key outcomes for participants: skillsets to manage stress and difficult interpersonal interaction and ability to mentor and develop their people. To this end we delivered our signature training on happiness and performance as well as two custom modules on coaching/mentoring and adaptive stress responses.
Results:
“The training was the talk of dinner. People couldn’t believe how emotional and impactful of an event it was. We see the models coming up most of our interactions”. Below are participant self-reports.
- Avg. score 8.4 → 9.2 “I have what it takes to be happy and successful at work.”
- Avg. score 8.0 → 9.3 “I have the knowledge and skills to deal with stress and show up at my best for customers and employees.”
- Avg. score 8.7 → 9.7 “I have the knowledge and skills to be an exceptional mentor in our mentorship and peer connection program.”
Executive Coaching for Work-Life Satisfaction & Performance
Case:
Laura is a former hospital CFO recently hired as the CFO of a large human services nonprofit. She felt she needed to re-engage her passion after mid-career burnout. She needed clarity on her career trajectory as well as practical tools to manage stress, optimize cognitive performance, and lead effectively in her new executive role.
Solution:
We developed a 4-month coaching program supplemented with weekly assignments.
Results:
Laura’s motto that stood out from the engagement: “You are stronger than you let yourself be.” Here are her self-reported changes in key performance indicators…
- Lifestyle structure and healthy habits 3 → 7
- Tools for managing stress and discomfort 1 → 7.5
- Short term career clarity 3 → 7.5
- Long term career clarity 3 → 8
Thank you for taking the time to read this introduction to our work. Find our private sector business at HappinessMeansBusiness.com and our military / law enforcement work at WarriorLeaderTraining.com
– Cheers
Jackson & Paul
Managing Partners
