RESEARCH
Research shows engaged workplaces outperform their peers with an increase in profit, productivity, customer service and a decrease in absenteeism and turnover.
21% Increase in Profitability
Employee engagement is good for business. Research shows that highly engaged organizations have 21% higher profitability than their peers.¹ It also found that “engaged employees are more present and productive; they are more attuned to the needs of customers; and they are more observant of processes, standards and systems”, which when taken together leads to an increase in profitability.¹
17% Increase in Productivity
Successful organizations view investing in their employees as an investment in themselves. In turn, employees care about their work and the success of their team and company. When organizations give their employees clear expectations, the materials and support needed to do their best work, and meaningful development and training, productivity goes up. Research shows that highly engaged employees are 17% more productive than their counterparts.¹ Engaged employees put their best efforts forward because they feel valued, trusted and heard. In fact, further research shows that employees who feel their voice is heard are 4.6 times more likely to feel empowered to perform their best work.²
10% Increase in Customer Service Ratings
Organizations are beginning to realize that when employees are engaged and treated well, customers are more likely to be well-served. Research shows that highly engaged organizations achieve a 10% increase in customer ratings compared to their peers.¹ This is one of the reasons why organizations are putting employees first, who in turn are putting their customers first, making their experience as positive as their own. In other words, what happens internally in an organization, is felt externally by customers.
41% Decrease in Absenteeism
A company’s most valuable resource is their employees. Research shows that teams who score in the top 20% in engagement realize 41% reduction in absenteeism.¹ Highly engaged organizations are focusing on their employees’ health and well-being in order to support their ability to be present each day with the energy needed to do their best work. Further research shows that 89% of workers at companies that support well-being initiatives are more likely to recommend their company as a good place to work.³ Another study found that 87% of employees expect their employer to support them in balancing work and personal commitments.⁴ Highly engaged organizations are responding by offering such things as flexible work schedules to employees.
59% Less Turnover
Employees are more loyal and likely to stay within organizations who utilize their strengths, provide ongoing feedback and check-ins, challenge them, and where their work has purpose and meaning – all signs of high engagement. Research shows that teams who score in the top 20% in engagement realize 59% less turnover.¹ Company culture matters and is reflected within an organization’s leadership and values. Another study found that 96% of employees believe showing empathy is an important way to advance employee retention.⁵ “Leadership is about empathy. It is about having the ability to relate and to connect with people for the purpose of inspiring and empowering their lives.”⁶
1 Harter, J., & Mann, A. (2017, April 12). The Right Culture: Not Just About Employee Satisfaction. Retrieved from https://www.gallup.com/workplace/236366/right-culture-not-employee-satisfaction.aspx.
2 Kirsh, A. (2018, February 2). Why Equality and Diversity Need to Be SMB Priorities. Retrieved from https://www.salesforce.com/blog/2018/02/why-equality-and-diversity-need-to-be-priorities.
3 American Psychological Association. (2016, June 1). Workplace Well-being Linked to Senior Leadership Support, New Survey Finds. Retrieved from https://www.apa.org/news/press/releases/2016/06/workplace-well-being
4 Glassdoor. (2017, October 25). Two-Thirds of American Workers Would Be Better Employees if They Got More Sleep, According to Glassdoor Survey. Retrieved from https://www.prnewswire.com/news-releases/two-thirds-of-american-workers-would-be-better-employees-if-they-got-more-sleep-according-to-glassdoor-survey-300542688.html
5 Businessolver. (2018, April 12). State of Workplace Empathy Study. Retrieved from https://www.businessolver.com/who-we-are/news/businessolver-quantifies-empathy-in-the-workplace-
6 Pink, Daniel H. (2006). A Whole New Mind: Why Right-Brainers Will Rule The Future.