Businesses, such as those based in serviced offices in Cardiff, should not necessarily associate employee morale with the success of the firm, according to one researcher.
Dr Ben Hardy, research associate in neuroscience, endocrinology and finance at the Cambridge Judge Business School, believes whether employees have a drive and ambition can improve morale in the same way as a business being successful.
He used the example of a manufacturing company that had threatened to close a plant after difficult trading, stating that as the enterprise had long-term goals and knew what it wanted to achieve morale at the plant was actually quite high, despite the lack of financial success.
Dr Hardy compared this to other successful organisations, whose employees can feel unvalued and directionless and therefore have low morale, despite the company's overall achievements.
"Morale is a useful precursor for success, but it doesn't mean the two are going hand in hand," he concluded.
The Forum of Private Businesses recently said allowing staff involvement in a company's strategy can make them feel more engaged.
