As a business owner, making sure your team is happy and engaged should be something you prioritise, because it fuels business success.

But what actually drives that engagement? Here's what the research tells us:

1. A caring, capable manager
• Managers account for about 70% of team engagement variance - their support, clarity and feedback matter most.
• Regular one-on-one check-ins, clear goal setting and guidance boost trust and performance.

2. Clarity, purpose and strength-based work
• People want to know how their role fits into the bigger picture and how to use their unique strengths.
• A strong strategic vision, communicated well, inspires belief and belonging.

3. Autonomy and empowerment
• Freedom to make decisions.
• Less micromanagement.

4. Feeling heard and recognised
• Recognition from both managers and peers increases retention and engagement.
• Encouraging input, giving credit and acting on feedback creates a culture of respect.

5. Work-life balance and wellbeing
• Burnout is a top engagement killer. Flexible schedules, time off and stress relief matter.
• Programs like mental health support, resilience coaching and fair workloads help teams to thrive.

6. Psychological safety and respectful culture
• Teams perform best when they can speak up, take risks and trust each other.
• Respectful workplaces where people feel valued boost well-being, collaboration and retention.

7. Growth and development opportunities
• Learning and career progression are essential drivers. Without them, engagement slips.
• Mentorship, workshops, stretch assignments and volunteering programs help people to grow.

8. Good tools, communication and structure
• Providing the right tech, clear roles and reliable processes frees people to do their best work.
• Strong internal communication and transparency build trust and alignment.

Ways to activate engagement today

1. Train and support your managers. They’re the biggest influence.
2. Clarify mission and roles, linking work to the wider vision.
3. Empower teams with decision-making scope.
4. Create psychological safety through trust, respect and open conversation.
5. Invest in well-being: flexible work, mental health support, stress relief.
6. Offer growth paths, mentorship and stretch projects.
7. Recognise contributions publicly and often.
8. Equip people properly with tools, structure and communication.

Need some help creating your happier and more engaged team? Arrange a free chat with Kat, our HR Director HERE