Turning SaaS competitors into partners to win the market with Dorothy Yiu @EngageRocket

saas.unbound is a podcast for and about founders who are working on scaling inspiring products that people love, brought to you by https://saas.group/, a serial acquirer of B2B SaaS companies.

In episode #23, Anna Nadeina talks with Dorothy, co-founder & CEO (international) at EngageRocket, a cloud-based software focused on enhancing the employee experience at work from hire to retire.

Tackling the Problem of Employee Disengagement

As the co-founder and CEO (International) of EngageRocket, Dorothy Yiu is on a mission to solve a pressing issue that plagues organizations worldwide – employee disengagement. According to Gallup, a staggering two in ten employees are engaged at work, meaning that eight out of ten are not motivated, productive, or providing their best efforts. This disconnect between employers and their most valuable asset, their people, is a problem that Dorothy and her team are determined to address.

The implications of employee disengagement are far-reaching, impacting both the business and the well-being of individuals. From a business standpoint, disengaged employees are less likely to stay with the organization, less creative, less productive, and provide poorer customer service. On the personal level, if employees spend the majority of their waking hours in an environment where they feel unmotivated or dissatisfied, it can negatively impact their overall life satisfaction. Dorothy finds this problem deeply meaningful, as EngageRocket’s mission is to create an environment where employees feel appreciated, supported, and engaged, directly improving their happiness and well-being.

Automating Surveys and Real-Time Data

The journey of EngageRocket began when Dorothy and her co-founder, both coming from the world of HR consulting, identified a significant gap in the way employee engagement surveys were conducted and acted upon. In the consulting world, they observed that the process of running employee surveys, analyzing the data, and providing insights to managers was often a slow and cumbersome affair, taking three to four months to complete. By the time the insights reached the hands of team managers, the data was often outdated, and the issues they aimed to address had already changed.

To address this, EngageRocket’s initial focus was to automate the entire survey process and enable real-time data delivery. Instead of the lengthy delay, the team built a system that could collect employee feedback and provide immediate insights to managers, allowing them to take action on pressing issues as they arose, rather than months later. This not only improved the relevance and usefulness of the data but also helped to address the issue of “survey fatigue” – the tendency for employees to disengage from surveys if they do not see tangible changes resulting from their feedback.

Addressing Survey Fatigue and Taking Action

While automating the survey process and delivering real-time data was an important first step, EngageRocket recognized that the real challenge lay in encouraging meaningful action from managers and leaders. As Dorothy explains, “survey fatigue is actually just a lack of action fatigue.” If employees do not see their feedback translated into tangible improvements to their work experience, they are less likely to engage with future surveys.

To address this, EngageRocket has evolved its approach to focus on “closing the feedback loop” – ensuring that employees who take the time to provide feedback see the actions taken as a result. This involves not only delivering insights to managers in a timely manner but also nudging them to take the necessary steps to address the issues raised. EngageRocket’s platform now includes features that facilitate this process, empowering managers to take ownership of employee engagement and well-being within their teams.

Staying Competitive in a Crowded Market

As EngageRocket has grown, the team has had to navigate the competitive landscape of employee engagement and people analytics solutions. In the early days, the company targeted mid-sized organizations, but over time, they found that larger enterprise clients were more likely to retain their services and enter into multi-year contracts.

To stay competitive, EngageRocket has adopted a multifaceted approach. First and foremost, they prioritize listening to their customers and building features that address their real needs. Dorothy makes it a point to regularly engage with clients to understand their evolving requirements and feedback. The company also fosters a culture of cross-collaboration, where the customer success, sales, and product teams work together to ensure that customer input is effectively channeled into product development.

Additionally, EngageRocket has found success in converting competitors into strategic partners. By recognizing the complementary strengths of consulting firms and technology providers, the company has forged partnerships that allow them to offer clients the best of both worlds – the deep domain expertise of consultants and the innovative technology of EngageRocket’s platform. This collaborative approach has not only strengthened EngageRocket’s position in the market but has also created a win-win scenario for both the company and its partners.

Determining Values and Employee Development

EngageRocket places a strong emphasis on aligning its employees with the organization’s values and culture. Dorothy believes that value alignment is a key driver of intrinsic motivation, and the company has undertaken a regular exercise to refresh its values to ensure they resonate with the current team.

This process involves gathering input from a cross-functional team of employees, who work together to identify the core values and translate them into specific behavioral statements. These values are then reinforced through a quarterly 360-degree assessment, where employees are evaluated on how well they demonstrate the desired behaviors in their day-to-day work.

Beyond values alignment, EngageRocket also prioritizes learning agility as a key trait in its employees. Recognizing that the ability to learn, unlearn, and relearn is essential for navigating the fast-paced world of startups, the company looks for individuals who are curious, adaptable, and resilient in the face of setbacks. By fostering a culture of continuous learning and growth, EngageRocket aims to support its employees in transitioning from the “zero to one” stage to the “one to ten” stage of their careers within the organization.

Building Relationships and Trust in Enterprise Selling

As EngageRocket has expanded its reach, the team has encountered the nuances of enterprise selling, particularly in the Southeast Asian market. Dorothy acknowledges that the relationship-building aspect is more prominent in this region, where personal connections and trust play a crucial role in closing deals.

To navigate this landscape, EngageRocket has placed a strong emphasis on thought leadership and community engagement. By hosting events, publishing content, and actively participating in industry discussions, the company has been able to build a strong inbound sales pipeline, attracting potential customers who are already interested in and informed about the company’s offerings.

Additionally, EngageRocket has found success in converting competitors into strategic partners. By recognizing the complementary strengths of consulting firms and technology providers, the company has forged partnerships that allow them to offer clients the best of both worlds – the deep domain expertise of consultants and the innovative technology of EngageRocket’s platform. This collaborative approach has not only strengthened EngageRocket’s position in the market but has also created a win-win scenario for both the company and its partners.

Balancing Work and Family Life as a Female Founder and CEO

As a female founder and CEO, Dorothy has faced the unique challenges of balancing her professional responsibilities with her personal life as a mother of two young children. She openly shares the struggles she has encountered, including episodes of burnout and the constant battle with “mom guilt.”

To address these challenges, Dorothy has implemented several strategies to prioritize her mental health and well-being. This includes pre-booking quarterly vacations, where she physically removes herself from the work environment to recharge and rejuvenate. She has also learned to let go of the notion of perfection, acknowledging that it’s impossible to be 100% present and productive all the time.

Dorothy’s approach to managing work-life balance is a testament to her belief in the importance of self-care and the interconnectedness of personal and professional well-being. By sharing her experiences, she hopes to inspire other female founders and leaders to prioritize their mental health and find ways to thrive in both their personal and professional lives.

Recharging and Maintaining Productivity

As Dorothy has learned, the key to maintaining high performance and productivity as a founder is to prioritize rest and recharging. 

During her breaks, Dorothy deliberately does not bring her laptop, limiting her ability to work and forcing her to truly unwind. She has found that this mental and physical separation allows her to return to work feeling refreshed, energized, and more productive than if she had tried to power through without taking time off.

By acknowledging the importance of rest and self-care, Dorothy has not only improved her own well-being but has also set an example for her team. She encourages her employees to prioritize their mental health and take breaks when needed, recognizing that a healthy, engaged workforce is essential for the company’s long-term success.