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IMPORTANCE OF EMPLOYEE ENGAGEMENT
PRESENTED BY: SUMA HAREGOPPA VENKATAGIRI
WHAT IS EMPLOYEE ENGAGEMENT FOR AN EMPLOYER?
 Improved Business Outcomes
 Employees feel pride and loyal working in the organization
 Drawing employees knowledge and ideas to improve products and
services, and be innovative about how they work
 Drawing out a deeper commitment from the employees
EMPLOYEE ENGAGEMENT DRIVERS
• Work of action
• Sense of accomplishment
• Resources
• Processes
• Pay
• Benefits
• Recognition
• Career opportunities
• Training and
Development
• Senior Leadership
• Managers
• Colleagues
• Valuing people
• Customers
• Policies & practices
• Performance
management
• Brand alignment
• Company reputation
• Diversity
• Physical work environment
• Work-life balance
CALCULATIONS
 ENPS = (# of promoters - # of detractors) / total # of respondents
(ENPS: Net Promoter Score)
Example: If you ask every employee ‘How likely are you to
recommend this company as a place to work?
Calculate: Scale from 0-10
 0- suggesting that they would warn people away
 10- they would tell everyone they know to apply immediately
 (0-6- indicate detractors), (7-8- passives), (9-10 promoters)
AFFECTS ON FINANCIAL PERFORMANCE AND RETENTION
EMPLOYEE ENGAGEMENT METRICS
 Recognition
 Feedback
 Happiness
 Personal Growth
 Satisfaction
 Wellness
 Ambassadorship
 Relationship with Managers
 Relationship with Colleagues
 Company Alignment
USEFULNESS
LIMITATIONS
 Employees very much focused on their own position, little sense for bigger
picture
 Lack of understanding employees perceptions regarding the organizations
strategy and its communication effects
 Negative publicity
IMPACTS
 Top policies are revealed
 Difficult to match the IQ level
 Security is at a greater risk
 Providing them training – disengagement costs money
 Message might turn into rumor sometimes (very fast)
 Chaos and uncertainty increases
OPPORTUNITIES
 Increased productivity = Increased profitability
 Treat employees with respect
 Let employees be themselves
 Consistent implementation of one-to-one reviews
 Review of career progression criteria
 Easy process to recruit and retain employees- improving brand image
 Group synergies/ sharing knowledge
 Flat management structure
 Competitive rates of pay
STATISTICS THAT PROVE EMPLOYEE ENGAGEMENT IS IMPORTANT
It costs up to $150,000 to replace a good employee
Highly engaged employees achieve
twice the annual net income of
organizations without
Customer
retention rates
are 18% higher
on average when
employees are
highly engaged
Employee
disengagement
costs more than
$500 billion per
year to the US
economy
Highly engaged workers are 2X more
likely to be top performers
Only 13% of
employees are
engaged
worldwide
Engaged
employees take
less sick days
(2.69 vs 6.19)
Only 35% of US
managers are
engaged in their
jobs
Managers
account for 70%
of the variance
in employee
engagement
scores
69% of
employees
report
engagement is a
problem in their
organization
THANK YOU
REFERENCES
 http://www.humanresourcestoday.com/employee-engagement/&source=highground?open-article-
id=4850004&article-title=defining-employee-engagement-and-initiating-change&blog-
domain=highground.com&blog-title=highground
 http://www.jff.org/sites/default/files/publications/NFWS_EmployerEngagement_011111.pdf
 https://www.findmyshift.com/us/blog/the-best-metrics-for-getting-started-with-employee-engagement
 http://www.nationalskillscoalition.org/news/blog/employer-engagement-is-critical-to-effective-
workforce-programs
 https://www2.deloitte.com/us/en/pages/human-capital/solutions/improve-employee-engagement-with-
engagepath.html?id=us:2ps:3gl:eplaunch:awa:cons:102416:emplbmm:kwd-
21659804743:%2Bemployee%20%2Bengagement&gclid=CjwKEAiAjIbBBRCitNvJ1o257WESJADpoUt0N
Wms8SqpbzXDbICwq3ZKToyPUNs3AWShC-we7nIoaBoCOP7w_wcB
 https://www.officevibe.com/employee-engagement-solution/guide

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Employee Engagement

  • 1. IMPORTANCE OF EMPLOYEE ENGAGEMENT PRESENTED BY: SUMA HAREGOPPA VENKATAGIRI
  • 2. WHAT IS EMPLOYEE ENGAGEMENT FOR AN EMPLOYER?  Improved Business Outcomes  Employees feel pride and loyal working in the organization  Drawing employees knowledge and ideas to improve products and services, and be innovative about how they work  Drawing out a deeper commitment from the employees
  • 3. EMPLOYEE ENGAGEMENT DRIVERS • Work of action • Sense of accomplishment • Resources • Processes • Pay • Benefits • Recognition • Career opportunities • Training and Development • Senior Leadership • Managers • Colleagues • Valuing people • Customers • Policies & practices • Performance management • Brand alignment • Company reputation • Diversity • Physical work environment • Work-life balance
  • 4. CALCULATIONS  ENPS = (# of promoters - # of detractors) / total # of respondents (ENPS: Net Promoter Score) Example: If you ask every employee ‘How likely are you to recommend this company as a place to work? Calculate: Scale from 0-10  0- suggesting that they would warn people away  10- they would tell everyone they know to apply immediately  (0-6- indicate detractors), (7-8- passives), (9-10 promoters)
  • 5. AFFECTS ON FINANCIAL PERFORMANCE AND RETENTION
  • 6. EMPLOYEE ENGAGEMENT METRICS  Recognition  Feedback  Happiness  Personal Growth  Satisfaction  Wellness  Ambassadorship  Relationship with Managers  Relationship with Colleagues  Company Alignment
  • 8. LIMITATIONS  Employees very much focused on their own position, little sense for bigger picture  Lack of understanding employees perceptions regarding the organizations strategy and its communication effects  Negative publicity
  • 9. IMPACTS  Top policies are revealed  Difficult to match the IQ level  Security is at a greater risk  Providing them training – disengagement costs money  Message might turn into rumor sometimes (very fast)  Chaos and uncertainty increases
  • 10. OPPORTUNITIES  Increased productivity = Increased profitability  Treat employees with respect  Let employees be themselves  Consistent implementation of one-to-one reviews  Review of career progression criteria  Easy process to recruit and retain employees- improving brand image  Group synergies/ sharing knowledge  Flat management structure  Competitive rates of pay
  • 11. STATISTICS THAT PROVE EMPLOYEE ENGAGEMENT IS IMPORTANT It costs up to $150,000 to replace a good employee Highly engaged employees achieve twice the annual net income of organizations without Customer retention rates are 18% higher on average when employees are highly engaged Employee disengagement costs more than $500 billion per year to the US economy Highly engaged workers are 2X more likely to be top performers Only 13% of employees are engaged worldwide Engaged employees take less sick days (2.69 vs 6.19) Only 35% of US managers are engaged in their jobs Managers account for 70% of the variance in employee engagement scores 69% of employees report engagement is a problem in their organization
  • 13. REFERENCES  http://www.humanresourcestoday.com/employee-engagement/&source=highground?open-article- id=4850004&article-title=defining-employee-engagement-and-initiating-change&blog- domain=highground.com&blog-title=highground  http://www.jff.org/sites/default/files/publications/NFWS_EmployerEngagement_011111.pdf  https://www.findmyshift.com/us/blog/the-best-metrics-for-getting-started-with-employee-engagement  http://www.nationalskillscoalition.org/news/blog/employer-engagement-is-critical-to-effective- workforce-programs  https://www2.deloitte.com/us/en/pages/human-capital/solutions/improve-employee-engagement-with- engagepath.html?id=us:2ps:3gl:eplaunch:awa:cons:102416:emplbmm:kwd- 21659804743:%2Bemployee%20%2Bengagement&gclid=CjwKEAiAjIbBBRCitNvJ1o257WESJADpoUt0N Wms8SqpbzXDbICwq3ZKToyPUNs3AWShC-we7nIoaBoCOP7w_wcB  https://www.officevibe.com/employee-engagement-solution/guide

Editor's Notes

  1. 6 companies that get employee engagement Google: transperancy American express- focus on behaviors John lewis-empowering Hyatt-employee development Southwest airlines-purpose Virgin- listening