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Employee engagement the evidence


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Slide pack to accompany Employee Engagement - The Evidence white paper

Employee engagement the evidence

  1. 1. NAILING THE EVIDENCETANITH DODGEHR DirectorMarks & Spencer plc
  2. 2. Our Aim
  3. 3. Why is it Important?70% 6% 20% 30% Percentage of The UK has 6% Percentage Percentage of employees lower average below G7 employees who do not engagement productivity actively trust their levels than levels engaged managers other large (International comparison of economies productivity gap) (Kennexa, 2011)
  4. 4. Imagine if 30% of lights didn’t work…
  5. 5. …OR 30% OF COMPUTERS!Imagine 30% of lights didn’t work…
  6. 6. Organisational Case Study Submissions
  7. 7. Research Houses and other Organisations
  8. 8. Linkages to Employee Engagement
  9. 9. Organisations with higher engagement level Outperformed the total stock market index Posted total shareholder returns 22% higher than average Twice the annual net income4.2 times more likely to deliver above average profit15% of a store’s year on year growth can be explained bythe level of engagement12% higher growth in sales
  10. 10. Companies with engagement scores in the topquartile averaged 12% higher customeradvocacy84% of ‘Worlds Most Admired’ Companiesstated their efforts to engage employees hadstrengthened customer relationshipsHigher engagement levels have lower patient mortality rates7 percentage points difference in customer service scoresbetween top 10% and bottom 10%Contracts delivered by engaged employees showed highercustomer loyalty
  11. 11. Engagement scores in the top quartileaveraged 18% higher productivity71% of companies with above averageemployee engagement performed above theirsector averageEngaged staff able to talk to additional 800 customersper yearHigher sales and lower absence
  12. 12. 59% of engaged employees say work bringsout their most creative ideas – only 3% ofdisengaged employees agreeEngaged employees are more likely to searchout new methods, techniques and transforminnovative ideas£26m of improvement opportunities
  13. 13. Engaged employees in the UK take an averageof 2.7 sick days per year, while disengagedstaff take 6.2Sickness absence costs the UK economy£17 billion per yearAbsence levels reduced by 26%Higher engagement levels have lower absence levels
  14. 14. High levels of engagement are positivelyassociated with wellbeingStrong correlation between engagement and wellbeing
  15. 15. Bottom 10% has 2x voluntary turnoverBottom 10% ranked by employee engagement had almosttwice the voluntary turnover
  16. 16. Engaged Employees: Perform better, work harder, longer, smarter Work more vigorously, offer innovative suggestions
  17. 17. Employee Engagement:The Evidence CEOs call on UK to deliver A high-level task force of some of the UK’s most recognisable organisations is calling for every GDP growth leader and manager across the economy to by better engaging play their part in tackling the UK’s employee employees at work. engagement deficit. Analysis of the evidence shows that: Only around a third of UK employees say they are actively engaged at work. 20 million workers are not delivering their full capability or realising their potential at work. of people said they have more to offer in skills and talent than they are currently being asked to demonstrate at work. UK productivity was 20% lower than the rest of the G7 in 2011.0
  18. 18. Employee Engagement: Statistics and Case StudiesPROFIT CUSTOMERCompanies with SATISFACTIONengagementscores in the top Companies with top25% had twice the quartile engagementannual net profit. scores average REVENUE 12% higher customer GROWTH advocacy. Organisations in the top quartile of engagement scores demonstrated revenue growth 2.5 times greater than those in the bottom quartile.
  19. 19. Employee Engagement:Statistics and Case Studies PRODUCTIVITY Organisations in the top quartile of employee engagement scores had 18% higher productivity. INNOVATION EMPLOYEE TURNOVER 59% of engaged Companies with high levels of employees said that their engagement show turnover rate job brings out their most 40% lower than companies with low creative ideas. levels of engagement.
  20. 20. Employee Engagement:Statistics and Case Studies EFFICIENCY An insurance company found that teams with higher engagement had 35% less down time between calls – equivalent to one ‘free of charge’ employee to every eight employees. HEALTH & SAFETY Organisations with engagement in the bottom quartile average 62% more accidents than those in the top.
  21. 21. Engage for