4 Employee Engagement Metrics You Should be Measuring

Employee Engagement

Did you know that engaged employees are more likely to invest themselves in the broader success of the company, rather than only showing up for a paycheck? Engaged employees are also more likely to view their role as an important part of the company’s mission. They will often support the company in a manner of different ways beyond their everyday responsibilities. However, research shows that 32% of employees are engaged in their work, suggesting that companies miss out on 68% of their employees’ best work. To improve your employee engagement, you have to be able to measure it first. We’re sharing four employee engagement metrics you should be measuring.

Employee Net Promoter Score (eNPS)

You’ve likely heard of Net Promoter Score; maybe you’re even using NPS to measure the loyalty of your clients. A question is answered on a scale from 0 to 10, where anyone answering 0 to 6 is considered a detractor, 7 and 8 considered passive, and 9 and 10 respondents are considered promoters. Net Promoter Score measures the promoters and detractors for your company.

Have you considered running an NPS internally? An Employee Net Promoter Score (eNPS) measures the promoters and detractors within your organization. ‍If your company receives a positive score, employees that are engaged will be more likely to recommend a position to a friend or colleague. Reversely, a negative score indicates that more employees said they would not recommend someone to work at your company. This is a red flag a majority of your employees are unengaged and not living up to their full professional potential.

‍Having a clear understanding of what your employees are feeling in real-time will help you improve their engagement or show that your employees are happy and thriving. Here at EG, we run an eNPS quarterly to access the highs and lows of our team’s engagement. When we hit a low, our leaders work with their teams to pivot their goals and interests to help boost overall engagement.

Absenteeism and Turnover Rate

Another way you can start measuring your employee engagement is by your organization’s absenteeism and turnover rate. It’s no surprise that engaged employees show up to work ready to contribute and put their best effort forward. According to market research, companies should target an employee turnover rate of 10% or less annually. While a certain amount of employee turnover can be beneficial in terms of moving the company forward and sparking change, unnaturally high employee turnover can be a massive ROI killer for your organization.

Departments with high absenteeism and/or turnover rates should be examined deeper. Is there a problem with how this department functions? Are their gaps in this department that prevent the staff from doing their job well? Is there an issue with leadership in the department? Identifying these problems can help you get your employees re-engaged, saving your company culture and bottom line.

Your company should also be measuring pre-absenteeism. This is when your employees come to work, but they are not actively engaged in the functions they are performing. They may be distracted, put less effort, or not be doing working on what they should be. Pre-absenteeism is a key indicator of dropping employee engagement rates within your company, and if it’s a team-wide issue, it‘s a sign it’s time realign your company’s success with that of your employees.

Employee Participation

Employee participation is another key factor in determining the involvement of company-wide engagement. Of course, participation may vary from time to time as different teams or departments move through busy and slow periods.

Employees will participate in company initiatives more successfully when they see value in their participation. Values can be highlighted by managers and executives. While it doesn’t seem like much, taking the time to show your employees you value them goes a long way. Leaders can highlight participation and value by writing “thank-you” notes to their team, recognize them for a job well done or a completed project, or a number of other low to no-cost options. As an employer, you should be taking the time to make sure your employees’ sense they and their work is valued and matters.

What you should measure to gain insight on your employee participation include the number of participants completing an eNPS, volunteering for projects, participation in meetings, and participation in “outside” events such as a happy hour or company gathering.

Diversity and Inclusion Rate

Measuring your diversity and inclusion rate within your organization is a metric that helps create a more welcoming company culture that retains your employees and attracts top talent. Also, companies with higher rates of D&I have also been found to more successfully be able to navigate difficult circumstances, even financial recessions. In fact, a 2019 study found that “During, and after the Great Recession, [companies with higher rates of D&I] gained a 4x larger stock return than the S&P 500.”

Investing in strong D&I initiatives is also a strategic and smart business decision for your organization. When your company starts a D&I initiative, it’s important to review your people data and find out where your company has any gaps. Check for imbalances in gender and ethnicity before they lead to employee turnover. It is also important to check the diversity of employees at your senior leadership and even board level.

Employee Engagement Leads to Company Success

Employee engagement is a crucial part of your organization’s overall success. To improve your employee engagement rate, you first have to measure it. Utilizing an eNPS score will first give you a baseline for where the majority of your employees fall in terms of engagement. You can also measure absenteeism and turnover rates, employee participation, and your company’s diversity and inclusion rate to measure engagement. Engaged employees lead to better, more productive companies.

About EG Workforce Solutions

We’ve been in this business for decades and have developed a deep network of professional connections. Whether they’re companies looking for talent, job seekers looking for work, or an up-and-coming store in need of some temporary help, we know the right people to bridge the gap between the hiring and the hired.

But what’s more, we get to know people. From employers hiring to candidates looking, we take the time to listen and learn. We hear your likes, talents, and needs. We gain an understanding, and with it, we’re able to facilitate lasting relationships between businesses and people.

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