How Great Leaders Inspire Employees’ Loyalty, Growth, and Performance

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For years, employee engagement was considered a soft, feel-good perk, something nice to have, but not essential to the bottom line. But today, the business world is waking up to a powerful truth: engaged employees don’t just work harder, they drive growth, innovation, and retention.

That’s a lesson Michel Koopman, seasoned executive and former CEO of getAbstract, learned the hard way, and one that transformed his leadership philosophy forever.

READ: Does Casting a Wide Net in Hiring Really Work? The Data and Experts Say Yes

From Performance to Purpose & Loyalty: A Shift in Leadership Mindset

Early in his career, Koopman admits he saw work through a transactional lens. Like many in the ’90s corporate world, especially in sales-driven environments, he believed success meant hard work, solid numbers, and climbing the ladder. Appreciation wasn’t expected, “That’s what the money is for,” as the infamous Mad Men quote goes.

But over time, something shifted. As he moved into higher leadership roles, especially during his time at Citrix—Koopman noticed that results alone weren’t fulfilling. Culture began to matter. So did enjoyment, purpose, and team connection.

That awareness took root during his CEO tenure at getAbstract. Surrounded by leadership literature and interacting with CHROs at top global companies, Koopman found himself immersed in the world of people-first business thinking. And as he began applying what he learned, like leading with gratitude, offering space for growth, and aligning work to purpose, he saw his teams transform.

People brought more energy, customers noticed, and sales increased. Culture stopped being an HR buzzword and became a business driver.

Engagement and Employees’ Loyalty Isn’t Fluff, It’s Strategy

Too many leaders still view employee engagement as intangible or irrelevant to operations. Koopman used to be one of them.

But here’s what he and countless others have discovered: when employees feel seen, supported, and connected to purpose, they give more than what’s required. They bring what’s known as discretionary effort—energy that can’t be mandated, only inspired.

According to Gallup, low engagement cost U.S. businesses an estimated $1.9 trillion in lost productivity in 2024. That number is staggering, and it tells leaders everywhere that disengagement is more than a morale problem, it’s a business risk.

Engagement isn’t about offering free snacks or planning happy hours. It’s about:

Investing in learning and growth

Recognizing contributions

Creating meaningful work

Building trust and belonging

And the payoff is real. Engaged employees are more likely to:

Stay longer

Sell more

Innovate more

Refer top talent

Treat the company like owners

Building a Culture Like a Product

One insight that resonated with Koopman came from MD Rafi, CEO of Bison Life: “We started treating culture like a product—something to design, build, and iterate.”

That approach reframes engagement as something intentional and evolving, not a one-off initiative. When you build culture with the same rigor and creativity as your customer offerings, employees feel the difference. They’re not just cogs in a machine. They become essential to the mission.

LinkedIn Learning’s 2025 report supports this. Companies with strong internal mobility and career development programs reported:

Higher engagement

More internal promotions

Healthier leadership pipelines

With 88% of companies naming employee retention a top concern, the link between engagement and long-term stability is impossible to ignore.

Authentic Leadership Creates a Flywheel of Trust

One of the most powerful transformations happens when leaders evolve from authority figures to authentic, purpose-driven mentors. Koopman has seen it again and again while coaching executives: when leaders shift their focus from control to connection, everything changes.

At first, engagement is an experiment. Then it becomes a habit. Over time, it shapes a new leadership identity—one grounded in authenticity, care, and service. That, in turn, creates what Koopman calls a flywheel:

Trust builds passion.

Passion fuels performance.

Performance reinforces purpose.

It becomes a self-sustaining cycle, benefitting employees and business outcomes alike.

Examples of Engagement in Action

Two companies that exemplify this people-first model are:

1. Restaurant Brands International (RBI):
Home to Burger King, Popeyes, Tim Hortons, and Firehouse Subs, RBI puts employee care at the center of its success. Chief People & Services Officer Jeff Housman emphasizes that supporting team members translates directly into great customer experiences. When employees feel valued, that care radiates outward, creating a culture of positivity that customers can feel.

2. Freeman:
As a global leader in live events and brand experiences, Freeman has earned repeated recognition as a Top Workplace USA winner. Their commitment to flexibility, values, and leadership development reflects their belief that meaningful connections make people (and businesses) better prepared for what’s next. Carrie Freeman Parsons, Chair of the Board, believes that events connect people “in ways that leave them more inspired and better informed.” The same can be said for engagement at work.

The Bottom Line: Engagement Isn’t Just the Right Thing to Do

It’s smart business.

Companies that invest in engagement don’t just improve retention, they become magnets for talent, engines for innovation, and models of modern leadership. Culture becomes a competitive edge.

If you’re a leader still clinging to outdated mindsets—“That’s what the money is for”—maybe it’s time to test something new. Lead with purpose. Start small. See what changes.

You might just unlock a better version of your team, and yourself.

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