On this episode of The Collab Collective Interview Series, the Collab Collective's Craig Durr talks with Alex Lovell, Director of Research at the OC Tanner Institute, during the Influence Greatness 2024 event. They discuss OC Tanner's research on employee recognition, the psychological states of survival vs. thriving in the workplace, and how recognition helps bridge this gap. Lovell also touches on the significant ROI of mental health and its impact on company culture.
For more insights on employee recognition and its impact on thriving workplace cultures, be sure to watch the full interview.
Craig Durr:
Everyone, as I've told you, I am still here at the OC Tanner Influence Greatness 2024 conference. It's a phenomenal event right now because, as I come to this from a technology point of view, what I'm realizing is the human-centric nature of this is becoming really important. To help talk more about this and how we can influence it with some of the technology and solutions we've put in place, I have a very special guest joining me—Dr. Alex Lovell, who is the Director of Research at the OC Tanner Institute, which is affiliated with the OC Tanner company. Did I get that right?
Alex Lovell:
You got that right!
Craig Durr:
I love it. So, since our audience doesn’t know much about it, tell me about the OC Tanner Research Institute.
Alex Lovell:
Of course. The OC Tanner Institute was started about 10 to 15 years ago because we wanted to invest in high-quality research that would then inform our products and services—and really, how we make recognition better. We've been around for 97 years. We originated the market, so we have a deep knowledge of what recognition is. But we wanted to scientifically validate it, which is how the institute came into being. I started about seven years ago, and we focused on building our internal capacity to conduct academically rigorous research. We actually publish peer-reviewed research in academic journals.
You can learn more about the institute here:
Craig Durr:
It’s fascinating, the level of research you all do. Now, your research is global, right? You even publish an annual report, which we’ll get into in a moment. Could you share more about the size and scope of your research for that annual report?
Alex Lovell:
Yeah, this year, we were in over 20 different countries and talked with 38,075 employees.
Craig Durr:
38,000? That’s incredible!
Alex Lovell:
Yes, and we do that because, to get down to the nuances that matter, it requires a large sample size. We need that level of detail to truly make a difference.
Craig Durr:
Not only are you slicing and dicing data by region and country, but you’re also looking at personas and roles within companies, right?
Alex Lovell:
Yes, we also analyze industries and generations. It's a big part of our approach.
Craig Durr:
I love talking about generational insights. So, you mentioned you’ve published your annual report, and I have it right here—The Generative Care 2025 Global Culture Report from OC Tanner Institute. It’s a beautifully prepared document, but beyond the great layout and ease of reading, it's packed with some of the research we discussed. One of the most intriguing things you mentioned in the report are the two terms you’ve focused on: Surviving and Thriving. Could you explain those?
Alex Lovell:
Of course. To understand total rewards in today’s world, we looked at employees from two perspectives: are they surviving or are they thriving? The first question employees ask themselves is: Am I surviving? If they can’t answer "yes," they’re stuck there. Once they can say "yes" to that, they ask, Am I thriving? These are two very different psychological mindsets.
Craig Durr:
Surviving is just as it sounds—getting by day to day. I remember you shared a video on stage showing that this mindset isn’t just limited to entry-level employees. You said survival mode can happen at any level of an organization, right?
Alex Lovell:
Exactly. We found that survival mode doesn’t discriminate. It can happen to anyone, regardless of role, title, or industry.
Craig Durr:
That’s really interesting. So, when someone is in survival mode, how do you support them in moving to thriving? You mentioned there are three key actions in the report, but you highlighted one element that bridges the gap: Recognition. Can you explain how recognition plays into both survival and thriving?
Alex Lovell:
Absolutely. In survival mode, recognition helps employees feel like they belong, which is a foundational human need. If we don’t feel like we belong, we leave. In thriving mode, recognition shifts to helping employees feel valued, appreciated, and seen. It fosters personal growth.
Craig Durr:
That’s a great connection. For the IT leaders and HR professionals in our audience, recognition is often discussed in the context of employee experience platforms, like OC Tanner’s Culture Cloud. What are some practical examples of recognition that you’ve seen work well?
Alex Lovell:
Recognition can be as simple as a thank you for the little things or as formal as a Presidential Award for significant contributions. The key is to be deliberate. Culture Cloud allows organizations to customize recognition to fit their unique culture, offering both large and small-scale recognition experiences.
You can explore Culture Cloud here:
Craig Durr:
Recognition as a bridge from surviving to thriving makes a lot of sense. But you also mentioned the ROI on mental health. That’s an important part of the conversation, especially when employees are in survival mode. Could you talk about how mental health support ties into ROI?
Alex Lovell:
Definitely. We found that supporting mental health through recognition not only improves employee well-being but also has a tangible impact on the bottom line. For employees with probable depression, there’s an $8,000 per employee per year cost savings in absenteeism when they feel a sense of belonging, even while struggling with mental health challenges.
Craig Durr:
That’s a significant number—$8,000 per employee. And when we scale that to companies, the cost savings can be in the millions.
Alex Lovell:
Yes, for an average company of 5,000 employees, the estimated cost savings is around $2 million per year. It’s one of the key findings in our report.
Craig Durr:
Incredible. These insights are not only about employee well-being but also about demonstrating to business leaders the ROI on investing in recognition and mental health. Thank you for sharing this, Alex. It’s been great to hear about the research and the real-world impact it has.
Alex Lovell:
Thank you for having me, Craig. I’m excited to continue sharing this research.
Craig Durr:
I appreciate it. Everyone, this is Craig Durr here at the OC Tanner Influence Greatness 2024 event. Thanks for watching!