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Developing and engaging.  The biggest  underlying theme for engaging employees is not tracking their every  move, or even their happiness, but to inspire them to do their job to  the fullest extent and to do it well, and then enjoyment with their work  will come.  Employees that are properly engaged tend to be more  effective and productive.
Transparency.  For many years transparency has had a  different meaning.  Now employees consider insight into business  performance and operations as a necessity to fully rally behind a  company.  Private companies are not required to publish financial  information, however, those that choose to share this information  internally with its employees have had better luck with either  encouraging or inspiring their employees to do better.  This helps  employees better understand their contribution to the company.   Additionally, what is sometimes better insight than financial numbers is  performance and operating metrics.
Communication.  Employees need to be informed and  feel involved.  As a result, being transparent is fundamental. This can  include periodic meetings or updates on the company’s status and goals;  these should be broken out both broadly and specifically, as to allow  for celebrating milestones along the way.
Start early.  Part of the continued employee  engagement process begins with the hiring process and ensuring solid  fits with respect to company setting and culture.  This includes  actively conveying the company values in the beginning and before  hiring.  Also, convey expectations and goals of the position. This will  go a long way in making sure the overall engagement strategy is  effective.
Team.  Part of developing employees is to ensure  they are not overworked.  Ensure the proper team is in place, and that  employees have the right support and are not understaffed.  This  includes recognizing when an employee does not fit with the team and  being able to quickly and delicately remove that person.
Continuous feedback.  Assess your employees and  company constantly.  Monthly, semi-annually or annually is not enough;  if you wait that long to address issues your employees will lose  encouragement and leave managers frustrated.  Continuous feedback is  difficult if only in-person meetings are used. Many tools offer social  based feedback and easy exchange of feedback from managers.  It is hard  for employees to be able to make necessary changes and develop their  skills if feedback is only periodic.
Objectives.  Set expectations, reasonable and  obtainable ones. This will allow employees to know what you expect, but  also allow them to gauge their progress.  Objectives should include  development goals that come from feedback reviews.
agement.  Have planned company outings,  either dinners or team building activities.  Also, do company lunches,  even if catered into the office.  These are great ways to build rapport  with employees and help the company grow as a team.  Being able to  interact informally plays great to being able to provide useful  continuous feedback. 
Support.  Employees should have access to managers  when needed, and one-on-one meetings regularly.  As well, companies  should have company wide or department wide meetings. The CEO should  also make appearances to inspire employees and reaffirm the company  goals.
Promote from within the company.  To properly engage  and inspire employees, they must be inspired and feel they have  something to work toward.  Promoting from within gives employees  incentive.  Give your employees the opportunity to create a career path  within your company whenever possible.
Give raises and bonuses.  Obvious? Maybe. One of the  best way to inspire employees is through bonuses and raises. Almost  everyone is motivated financially to some degree, although this is only  one part of the puzzle.  Incentive bonuses can be useful if they are  properly aligned, namely if they are based on company objectives.
Ownership.  Employee engagement is only one of the  key retention tools companies should use.  Furthermore, use ownership  incentives to inspire companies to become truly vested in the company.   This includes stock and option grants, and if you have given someone  equity based compensation in the past, but be sure to look at retention  grants to offer them additional grants (either stock or options) after  their initial grants vest.
Employee engagement tools.  Yammer is an enterprise  social network allowing employees to collaborate and share within their  own tailored social network.  This helps keep employees engaged by being  able to see activity feeds of other employees, easily ideas and  thoughts, offering encouragement and help where possible.
Rhypple is a performance management tool that helps companies engage  with employees through social goals and continuous feedback.  This tool  provides the one-on-one coaching, as well as public recognition and  feedback that makes for positive employee engagement.
WorkSimple is another performance management tool focused on being  social.  It combines the ability to share social goals, rally around  achievements, offer feedback and assess performance.
 

 
