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Forbes
11-08-2025
- Business
- Forbes
What A Workvivo Study Reveals About The ‘Frontline Gap'
Frontline workers are the foundation of organizations, industries and communities, yet many still feel overlooked and disconnected from the companies they serve. According to Workvivo, an employee engagement platform owned by Zoom, ineffective communication and engagement drive a 'frontline gap,' which makes employees feel undervalued, alienated from company culture and less motivated. The costs can be high, including lower morale, increased turnover and negative impacts on brand reputation and customer experience. Workvivo recently surveyed more than 7,500 frontline employees across key sectors to better understand this challenge. For this study, 'frontline employees' include workers in customer-facing roles across retail, healthcare, manufacturing, food service and other essential industries who operate primarily outside traditional office environments. The findings reveal five distinct gaps spanning culture, recognition, communication, technology and career growth that organizations must bridge to empower and retain their frontline teams. To address these gaps and maintain a competitive edge, organizations must rethink their strategies as new technologies emerge. From real-time safety alerts to integrated team communications and flexible scheduling, the ability to effectively support and engage frontline workers is becoming a key differentiator. (Note: Zoom is an advisory client of my company, Moor Insights & Strategy.) Key Findings From The Workvivo Study The global Workvivo study reveals a significant cultural and professional divide between frontline workers and their desk-based peers. Half of the respondents believe their organizations prioritize office staff, despite nearly as many feeling that their roles have a greater business impact. A sense of alienation is widespread: almost half can't name their CEO, 87% aren't sure their company culture applies to them and 37% say that company culture is something they hear about but don't feel. Communication tools are a major friction point, with two-thirds of workers finding their current solutions unfit for purpose, and almost half perceiving them as designed exclusively for office staff. Career development is similarly unclear; only 13% see a clear path for advancement, and most feel limited in their growth compared to their office-based colleagues. These factors often lead to the formation of local 'microcultures' within teams, which can create a disconnect from the broader company mission. Almost half of the workers cited poor communication from leadership, and only 10% believe managers fully understand their daily realities. Furthermore, 70% want greater insight into company decision making, emphasizing a clear demand for more transparency and engagement from leadership. The study's data suggests that these deficits in communication and career opportunities directly impact worker motivation and engagement. In my view, this highlights the need for organizations to reconsider how they recognize and incentivize their most valuable asset. Frontline Workers Define The Brand's Reputation Frontline employees are not just the operational backbone of a company; they are its most visible representatives. The data highlights their profound influence. Roughly 80% of the global workforce is considered frontline, yet these individuals are often the least recognized. Despite this, they have the most frequent and direct interactions with customers, making them the primary voices and faces of the business. Investment in frontline engagement has a measurable business impact. A Harvard Business Review Analytic Services study revealed that 92% of executives believe engaged employees deliver superior service, a factor correlated with a 10% increase in customer ratings and up to 23% higher profitability. This high engagement is also linked to increased customer loyalty. Research has shown that roughly 70% of consumers make purchasing decisions based on customer service alone. Unsurprisingly, companies that empower their frontline teams with effective communication tools see a direct correlation between improved internal communication and higher customer satisfaction scores. The consensus among executives is that frontline teams possess a unique understanding of the brand, influencing satisfaction and long-term brand perception. Evolving How Companies Recognize Workers The Workvivo study found that a lack of recognition is the number-one factor compromising frontline workers' sense of belonging. The report also found that 39% of frontline workers say that being praised in front of their peers makes them feel more valued than getting a bonus, underscoring that while financial rewards are a good way to reinforce behavior, non-monetary recognition is just as critical. Yet traditional incentive programs often fall short; a 2024 report by WorkTango found that while 91% of organizations have rewards programs, only 31% rate their effectiveness as high, suggesting that many traditional programs are not generating the full value they could. Platforms such as Whistle Rewards offer alternative models to traditional rewards with the premise that linking incentives to behaviors rather than just outcomes can yield stronger results. In one case study, Korte Construction used this alternative approach to drive a 50% increase in adoption of safety reporting best practices, which suggests the positive impact of this approach in industrial settings. The increasing use of token-based systems, which allow workers to redeem rewards for tangible benefits like extra time off, also gives frontline employees greater control over how their contributions are recognized. Technology Solutions Bridge The Communication Gap Technology vendors, including Workvivo, are responding to the realities of this 'frontline gap' (whether they call it that or use other terms) with a new generation of tools. The integration between ServiceNow and UKG is another example of the platform consolidation trend. UKG People Fabric integrates with ServiceNow's new AI Agent Fabric to connect their HR and workforce management platforms, allowing frontline employees to use a single interface for tasks such as requesting time off, checking payroll or managing schedules. This approach should reduce administrative friction, enabling workers to handle HR-related needs efficiently without switching between disconnected systems. Prioritizing Worker Safety And Wellbeing Safety and wellness for frontline workers are paramount, particularly in high-risk sectors. The National Safety Council estimates that workplace injuries cost employers approximately $176.5 billion annually, or about $1,080 per worker. This highlights the critical need for proactive safety measures, which can deliver a return of $4 to $6 for every $1 invested, according to OSHA estimates. To take one example, Samsara's suite of advanced wearables enables real-time incident response with features such as one-touch SOS alerts and automatic fall detection. Another example comes from Samsara's vehicle monitoring platform, which provides real-time GPS tracking, AI-powered dash cameras that detect risky driving behaviors, driver safety scoring and automated incident reporting. Implementing this solution helped Ireland-based Midland Tyre to reduce road traffic accidents by 54% in two years. This improvement led to a renegotiation of its insurance premiums. Additionally, instantly sharing audio, video, and location data allows managers to respond to incidents with complete context. In the bigger picture, organizations are consolidating communication, workflow and training tools into integrated platforms. The adoption of wearable technology and AI, including augmented reality and collaborative robotics, is also rising, offering hands-free functionality and enhanced safety. Going beyond the tools, engagement programs extend past basic safety to include mental health, belonging and emotional support, which companies now recognize as critical for retention and performance. The expansion of hybrid and gig work models also drives demand for intuitive, self-service systems for scheduling and development. Integrating AI and data analytics enables a more proactive culture of safety, compliance and continuous improvement among frontline workers. Engaging The Frontline Shapes The Future The Workvivo study — backed by what we know about broader industry trends — indicates a clear strategic imperative: companies must address the frontline gap. Doing so requires a complete shift from viewing the frontline workforce as a cost center to seeing it as a strategic asset. By doing so, organizations can foster a sense of belonging and bridge the divides in recognition, culture and communication. In turn, that builds more resilient and innovative organizations, driving measurable improvements in morale, retention and customer experience, which fuels long-term profitability and brand strength.
Fast Company
09-06-2025
- Business
- Fast Company
Frontline workers feel so disconnected, nearly half don't know who their CEO is
Frontline workers, those non-desk workers who do some of the most demanding jobs, don't always feel connected to the company they work for. In fact, many say their team has an entirely distinct culture of its own and that communication with their company leaves a lot to be desired. According to a new global survey of 7,550 workers from Workvivo by Zoom, while frontline workers make up 80% of the global workforce, many say they don't get the recognition they deserve. Frontline workers know how essential their duties are. In fact, 49% say they feel their impact is greater than that of their office colleagues. They just don't feel recognized for it. Likewise, 40% say their company doesn't care about them as a person. A separate corporate culture Overall, according to the new findings, frontline workers feel largely disconnected to in-office culture. A staggering 87% said that their company's culture doesn't apply to frontline workers. Half of frontline workers feel that their team has its own specific culture that doesn't mirror that of the company's overall vibe. And a huge chunk of frontline workers feel so disconnected from their company they don't even know who runs it. Nearly half (46%) said they don't know who their CEO is. One glaring reason why frontline workers feel so disconnected from in-office culture seems to be a lack of communication. According to the report, 38% say they have feedback for higher-ups, but no way of communicating it. Forty-two percent say that the leaders at their company aren't good at reaching out to their team. Forty-eight percent say their company's communication feels irrelevant to frontline workers. Connecting with frontline staff Another recent report by Staffbase similarly found a communication disconnect among frontline workers. The research found only 9% of non-desk workers were very satisfied with internal communication. And it seems to be an issue that leads to overall workplace unhappiness and drives turnover. Sixty-three percent of employees who are considering leaving their position say poor internal communication is a factor. Meanwhile, most frontline workers aren't checked out. In fact, they want more communication. The latest report found that 69% of frontline workers want to better understand their company's decisions. Essentially, those on the frontlines want clear communication, to feel connected, and to be heard by the company they represent. 'Our research shows that frontline employees feel disconnected not because they care less, but because they are engaged less,' said Gideon Pridor, CMO & chief storyteller at Workvivo, by Zoom in a press release. 'To close this critical gap, organizations need to recognize frontline contributions in real time, communicate in ways that are relevant and accessible, and provide clear and visible paths for growth.'
Yahoo
20-05-2025
- Business
- Yahoo
Zoom Gears Up to Post Q1 Earnings: What's in Store for the Stock?
Zoom Communications ZM is scheduled to report its first-quarter fiscal 2026 results on May expects first-quarter fiscal 2026 revenues between $1.162 billion and $1.167 billion. Non-GAAP earnings per share are expected in the range of $1.29-$ Zacks Consensus Estimate for ZM's first-quarter fiscal 2026 revenues is currently pegged at $1.16 billion, indicating a 2.03% increase from the year-ago quarter's reported consensus mark for earnings is pinned at $1.30 per share, which has remained unchanged over the past 90 days. The figure suggests a 3.70% decrease from the year-ago reported surpassed the Zacks Consensus Estimate for earnings in each of the trailing four quarters, with an average surprise of 10.33%. (See the Zacks Earnings Calendar to stay ahead of market-making news.) Zoom Communications, Inc. price-eps-surprise | Zoom Communications, Inc. Quote Let us see how things are shaping up for the upcoming announcement. The expansion of Zoom's AI Companion capabilities is anticipated to have played a major role in boosting the company's top-line performance. With the launch of AI Companion 2.0 and the rollout of the customizable add-on in April, Zoom began to monetize its agentic AI features. These innovations are likely to have improved customer stickiness and platform engagement in the quarter under review, directly benefiting the top is expected to have continued being the dominant growth driver. In the fourth quarter of fiscal 2025, enterprise revenues grew 6% year over year and accounted for 60% of total revenues. The number of customers generating over $100,000 in trailing 12-month revenues grew 7% year over year, while churn rates reached record lows. This trend is expected to have persisted in the to-be-reported quarter, supported by continued momentum in Zoom Phone, Contact Center, and Workvivo, particularly as large deals likely ramped Online business segment, which includes SMB and individual customers, is expected to have remained flat to slightly down during the quarter. This performance reflects ongoing stabilization trends, including record-low churn levels achieved in the previous quarter. In contrast, Zoom's Enterprise segment is anticipated to have carried the bulk of the growth in the fiscal first quarter. Large deal wins, such as the deployment of Zoom solutions to Amazon employees and Delta Airlines' adoption of Workvivo, is expected to have reinforced the platform's relevance and appeal to upmarket a bottom-line perspective, strategic investments in AI are expected to have weighed on gross margins, though the company remains committed to achieving long-term efficiency gains. Zoom's federated AI approach and infrastructure optimization efforts are expected to have helped offset these costs in the fiscal first quarter, keeping operating margins stable near 39%. Additionally, free cash flow in the quarter under review is expected to have been impacted by timing differences, tax conditions and changes in interest rates. Per the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case currently has an Earnings ESP of -1.68% and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter. Here are some companies worth considering, as our model shows that these have the right combination of elements to beat earnings in their upcoming releases:NVIDIA NVDA currently has an Earnings ESP of +3.87% and a Zacks Rank #3. You can see the complete list of today's Zacks #1 Rank stocks shares have gained 0.8% in the year-to-date (YTD) period. It is slated to report its first-quarter fiscal 2026 results on May Lauren RL has an Earnings ESP of +2.72% and a Zacks Rank #3 at shares have gained 18.9% YTD. It is scheduled to report its fourth-quarter fiscal 2025 results on May Sports, Inc. AS has an Earnings ESP of +1.06% and a Zacks Rank #3 at shares have gained 11.4% YTD. It is scheduled to report its first-quarter 2025 results on May 20. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NVIDIA Corporation (NVDA) : Free Stock Analysis Report Ralph Lauren Corporation (RL) : Free Stock Analysis Report Zoom Communications, Inc. (ZM) : Free Stock Analysis Report Amer Sports, Inc. (AS) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
