Cal STRS Goals Cal STRS is committed to

Cal. STRS Goals Cal. STRS is committed to providing a sustainable employee culture to promote our mission of securing the financial future and sustaining the trust of California's educators. Specifically, we strive to create an organization that supports each employee's understanding of how they contribute to Cal. STRS success, while having the opportunity to obtain personal satisfaction in their role. We know the single biggest impact on member engagement is employee engagement. Therefore, developing a culture of employee engagement is paramount in our organizational development plan.

Organizational Culture • Cal. STRS Mission • Cal. STRS Core Values • Training and Professional Development • Onboarding Program with dedicated coordinator • Virtuosity—award winning recognition program • Wellness matters at Cal. STRS • Internal Controls—everyone’s responsibility 2

What Is Engagement? The state of emotional and intellectual involvement with the result that employees invest themselves in their work. An individual’s contribution to the organization’s success and personal satisfaction in his or her role. 3

What We Currently Do at Cal. STRS: Culture: mission and core values, wellness program, sustainable organization Rewards & Recognition: Virtuosity, QRE, informal appreciation and team events Training: onsite/offsite training, informal developmental assignments, on-the-job training Engagement My job: employees are involved with decisions that affect their work Manager/ Supervisor: leadership forums, manager academy Communication: surveys, What Do You Think, meetings, one-on-ones My team: core value training, team building 4

Overall Trends in Engagement: What Makes An Organization Simply Irresistible? Employee Engagement Company Climate of Trust Satisfaction with Career Satisfaction with Work Environment Leads to Member Engagement Satisfaction with Recognition & $ Satisfaction with Managers Five Elements of a Simply Irresistible Organization are meaningful work, great management, growth opportunities, an inclusive, flexible, fun environment, and leadership we can trust. Published by John Bersin in Forbes, 2014.

Member Engagement Improved With Interactions Effects of Interaction and Lifestage on Engagement Interacted No Interaction 6 5, 99 5, 8 5, 51 5, 6 Engagement Score 5, 92 5, 43 5, 66 5, 54 5, 17 5, 2 5 5, 21 5, 15 5 4, 8 4, 6 4, 73 4, 67 4, 61 4, 54 4, 2 4 20 -29 30 -39 40 -49 50 -59 60+ Active Newly Retired Enjoying Retirement 6

Brand Ambassadors Stay: Believe your products and services are best in class. Believe the organization values them. I believe Strive: Motivated to perform. Excited about the direction and vision of the organization. Employee and Member Engagement I’m inspired Say: Recommend your services to friends. Engage in behaviors that contribute to business success. I do extra 7

Engagement is the state of emotional and intellectual involvement with the brand, company, and products/services that drives discretionary effort. We see engagement when our members and employees… STAY STRIVE SAY ü Believe your products and services are best in class ü Are excited about the direction and vision of the organization ü Recommend your firm/products/services to friends ü Believe the organization values them and therefore they stay ü Motivated to perform ü Engage in behaviors that contribute to business success I Believe I’m Inspired I Do Extra

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