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The Importance of Employee Engagement

By: capturecode | Sep 29, 2014

Businesses work hard to get people to notice them, buy their products/services and share their buying/users experience online. In order to achieve this, employees need to be engaged first. Employee engagement in a nutshell is the emotional connection and sense of empowerment an employee feels as part of a company, and its manifold benefits include:

Improved productivity

A research by Hay Group says that actively engaged employees are 43% more productive. Also, they’re more self-motivated at work and find it personally fulfilling. They don’t just show-up at work because the money is good, they love what they do. Hence, they’re likely to put in extra effort – to help their colleagues, improve on their role in the organization – beyond the stipulation of their job description. A study by Kenexa (“The Impact of Employee Engagement”) involving 64 organizations reveals that the annual net income of organizations with highly engaged employees is twice that of other organizations.
No attrition, better retention

One of the most common concerns plaguing companies is high attrition rates. As employees lack a sense of meaning in their work and more often than not, feel like an insignificant entity. An engaged employee on the other hand will remain with an organization for longer periods of time. A Corporate Leadership Council, study states that effective engagement results in an 87% decrease in ‘probability of departure’, compared to their disengaged counterparts.

Engaged employees mean loyal customers

Engaged employees strive to create a memorable customer experience. They set the right expectations with the customers and are prepared to go the extra mile to ensure the customer is completely satisfied with the brand.

John Goodman in his book, “Strategic Customer Service” notes that customers delighted by proactive education or superior service were 10-30% more loyal in comparison to those who were not delighted. Also, employees who assist customers efficiently stand-out in the minds of customers. A well informed waiter who helps you choose the right dish at a restaurant may make a bigger impression on a diner than an elaborate loyalty program.

Some common ways of engaging employees

Give responsibility: Empowering individuals to make impactful decisions at their own discretion is one of the best ways to get employees involved in a company’s larger picture. While hiring new employees managers can ask other employees to conduct the interview.

Help them improve: When employees are given opportunities to learn and grow, they will be loyal and grateful to the organization.

Forget hierarchy: Foster an atmosphere where the lowest ranked employee can freely interact with the CEO of the company.

An engaged employee is perhaps the greatest brand advocate, as he experiences a combination of job satisfaction, organizational commitment, and a sense of empowerment. The onus is on the organization to make high levels of engagement possible in order to complement its growth in numerous ways.







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