The Impact of Employee Engagement

The Impact of Employee Engagement

Share This Post

Why Employee Engagement? 

Organizations implement employee engagement plans to increase employee satisfaction and encourage performance. Effective engagement initiatives improve the well-being of each employee and will motivate them to achieve the organization’s preset goals, driving the organization toward success. 

Improved engagement can also strengthen an employee’s emotional attachment to their company and its values. A committed and satisfied employee will, in most cases, bring a solid contribution to the organization’s overall success. 

A company focusing on the satisfaction of its employees has a stronger retention rate, achieves productivity targets, and enjoys higher revenue generation along with increased market share. 

Impact of Excluding Employee Engagement 

According to Gallup, 70 percent of employed American employees are disengaged. That is three-fourths of the American workforce. Decreased morale, increased costs and reduced returns area all results of low employee engagement. Not only do disengaged employees drain a company’s time and resources, but they might also be responsible for driving away other engaged employees. Attrition does cost organizations money. When organizations do not introduce flexible, attractive, and achievable rewards, employees may feel less motivated and not focused on the organization’s mission. Worse, they may be more likely to seek other job opportunities.  

Remote working is the new norm in the post-COVID world. Happy and satisfied employees are more intent on completing their tasks and can achieve their goals and targets even without being in a classical “office” setting. That said, it has become essential to offer the right support to your employees based on their individual needs, which can correlate to the businesses’ success. 

A management style concentrating solely on output and results without investing in the well-being of its employees can very possibly fall short of achieving long-term targets. In most organizations, the leadership style is what defines its culture and path forward. 

HR Can Help 

HR should work in unison with organizations to decide employee needs and what engagement initiative to apply to address those needs. Showing employees how their work affects the business, and where they fit in, will go a long way to encourage employees to put in first-rate efforts toward organizational growth 

Career advancement possibilities, encouraging managers, training opportunities, attractive salary packages, recognition and rewards and a harmonious work environment can all directly affect employee engagement. 

To put it into simpler words, an engaged employee will be one who feels valued, has the right skill set for their job, receives a salary in alignment with their contributions, and is aware that their career is on the right path. An engaged employee has a clear idea of the company’s expectations and has the tools to be successful.  

Recognition and Rewards 

Setting clear incentives and rewarding the employees for achievement is the easiest way to show appreciation. Anything from a simple “well done” to time off, a bonus, or a well-earned promotion will show the employees that you are attentive to the work they are generating and recognizing their contribution to the organization’s goals. Creating healthy competition among employees is also a fantastic way to promote teamwork and target achievement.  

Training  

Another opportunity to increase engagement would be to implement ongoing learning opportunities for the employees. Skill and product training will increase confidence, boost morale and gives employees the satisfaction of knowing the organization is invested in their growth and leading them onward.  

Feedback and Communication 

Keeping all employees in a constant loop through relevant meetings, group chats, or personalized calls or emails lets them know they belong. You must let employees know that the work they are putting in matters. One-on-one interaction is a great feedback tool to uncover performance gaps and communicate expectations. 

The value of an employee knowing they belong, and that the organization recognizes their efforts and contributions, and considers them worthy encourages employees to surpass their employers’ expectations and fully commit to the organization’s success. 

Customer Satisfaction 

Customer satisfaction and employee engagement go hand in hand. An unhappy, less engaged employee will not feel close to the organization’s mission and may deliver substandard service in dealing with a client which could result in a loss of business. Your employees’ level of engagement will determine their ability to address and resolve the customer’s problems. When your employees are engaged, they are more likely to supply hassle-free customer service – leading to an increased number of satisfied and loyal customers. The Demand Metric 2013 Employee Engagement Survey concluded that organizations that have more than 50% employee engagement retain more than 80% of their customers. A clear business case for leaders to focus on building engaged teams across the business.  

Be aware that customer satisfaction does not mean having loads of sales and recurring clients. Customer satisfaction is measured by how well a company’s products and services meet customers’ needs and expectations. You may have a wonderful product and offer competitive pricing, but if your customers are not happy with your service delivery, they will leave. It is often less about the product and more about the experience.  

Customer-Facing Teams 

The way a client feels when engaging with your customer service team can make or break their belief in your organization. The best customer service professionals are people-centric, empathetic, and have creative issue resolution capabilities. Organizations must first hire people with these skills and then create a pathway of employee training. 

Being on the other end of a call with angry clients for long can take its toll on employees, and if HR doesn’t intervene by offering support and care, along with recognition for target achievement, the high-performing employees with great track records of customer satisfaction might set their eyes on companies offering better levels of employee engagement and more satisfied customers. 

To Conclude 

Start building a culture of “we” where employees needs are important and addressed. Help your teams understand how they affect the success of the organization and invest in their training and career progression. Feedback and communication help employees feel included and understand what you expect. Finally, organizations should empower employees and supply the tools for success! 

A fully engaged employee will help increase customer satisfaction and loyalty, improve market share, and drive a more collaborative workforce! 

Strategic HR Consultants has a resolute team of consultants ready to help you review and revise your organizational practices to ensure you reach your goals for increased employee engagement and improved customer satisfaction. 

Start Growing Your Workforce Now! 

More To Explore

Customer-Centric Culture - Beverly Hathorn, HR Speaker & Consultant
Customer-Centric Cultures

4 Strategies to Create a Customer-Centric Culture

Create a Customer Centric Culture — We have some tips to get you started! Sure, many businesses tout “We Provide a Great Customer Experience,” and