Fostering skills use for sustained business performance

Human resources contribute to the success of an organisation though their skills. According to the ability, motivation, opportunity (AMO) model, employee contributions to organisational performance depend on their skills, their motivation to draw on their skills, and the opportunities to do so. Organisations can adopt managerial approaches cultivating ability (A) by facilitating learning, creating opportunity (O) by providing employees with autonomy, and encouraging motivation (M) by leveraging monetary and non-monetary motivational drivers.

This report is based on the 2019 European Company Survey (ECS 2019). It shows that managerial approaches cultivating AMO are positively linked to establishment performance, and that these approaches are driven by an organisational culture that values employees as an asset to the organisation. People-centred managerial approaches that harness workplace wellbeing are central to the mechanism linking human capital utilisation to business outcomes.