Importance of employee engagement
'Employee engagement' is an omnipresent term in the HCM world, in any season. And how your organization engages NOW, in times of uncertainty, will speak volumes to your employees. How will your senior, mid-level and front-line employees look back on your actions during this time?
Employee engagement strategies can create a variety of positive outcomes, even in tough situations.
But what signifies an engaged employee? Generally speaking, engaged employees are committed to their work and the goals of the company. They may also be more involved than their peers, and not just because they're paid to be, but because they are genuinely invested in the organization. And that matters when the chips are down.
That said, employee engagement is not to be confused with employee satisfaction. While a satisfied employee (i.e. one who is content in their role) is not necessarily engaged, the engaged employee demonstrates both job satisfaction and a commitment to helping the company they work for reach their goals.
Here are four ways employee engagement can directly impact your company's success.
Employee engagement supports profitability
Overall, companies with a highly engaged workforce are 21% more profitable. Why? Think about it - when employees work harder, serve customers better and stay with businesses long-term, those companies are bound to be more profitable than those with disengaged staff - which is especially important now.
On the flip side, a negative customer experience will be even more memorable in times like these, when the caller or customer is stressed - and probably shared widely.
Engaged employees are retained employees - and great re-hires
HR leaders focused on improving employee engagement at their organization likely site retention as a key goal - and for good reason. According to Forbes, employees who are engaged in their work are more likely to be motivated and remain committed to their employer, and a highly engaged workforce has been shown to decrease turnover by 25-59%.
On the other hand, in tough times, when furloughs are being implemented, take a hard look at the way you transition staff. Today's furloughs often include staff you wish you could keep, in a different economic climate. These may be your future re-hires, or boomerang workers. Strategic leaders know that offboarding is as important as onboarding.
Investing a little more time now in employee communications can lead to better outcomes. Transitions are huge, and communications which are clear and understandable, with consistent messaging across touch points, and a touch of empathy will be remembered.
Transition communications for employees
- Clear and understandable
- Consistent messaging across touchpoints
- Variety of communication modes
- Touch of empathy
Engaged employees boost productivity
It's safe to say that employees who enjoy their work and are invested in their role will work harder than those that aren't. And, according to research, engaged employees are 44% more productive than their less engaged peers.
A major motivator in employee engagement is showing how individual roles impact the company at large - how their work ties to the bigger picture. Engaging employees is more than giving them work they enjoy, but showing them the purpose and meaning behind their efforts.
Employee engagement supports customer satisfaction
Knowing that engaged employees are committed to and passionate about their work, it only makes sense that would result in positive customer experiences, right? Yes! According to research from Gallup, engaged employees experience a 10% increase in customer rankings and a 20% boost in sales. This is because when employees believe in your company and value your product or service, they will also go above and beyond to provide superior customer service.
Wondering how to nurture engaged employees for continued customer success? Treat your employees exactly as you want them to treat your best customers.
Download our white paper to see how a robust benefits administration platform can help improve employee engagement by maximizing your benefits offerings.