Employees today want to be enthusiastic about the company they work for, have a sense of belonging, and be allowed flexibility when it comes to location and working schedules. As a result, engaged employees will contribute to the success of your business.
But in spite of the importance of employee engagement, research by Gallup has shown that only 36% of employees in the United States are engaged in their work and workplace. Across the globe, more than 70% of employees are not yet fully engaged, which leads to a loss of about $11 billion in employee turnover.
In this article, we’re discussing the role employee engagement plays in achieving business success and offer tips to help you boost employee engagement levels.
How Employee Engagement Contributes to Business Success
1. Increased Productivity
Engaged employees are innovative, collaborative, and enthusiastic towards work. When employees are actively engaged, they recognize the value they bring to the company, which in turn makes them more productive. In fact, nearly 85% of engaged employees say they are willing to go beyond their scope of work.
2. Better Retention
Employees who are engaged are more likely to stay with the company, decreasing the overall employee turnover and the expenses associated with it. In general, they feel a stronger bond to the company’s purpose and mission, which also makes them effective brand ambassadors. According to a survey by Gallup, companies with high engagement levels achieve nearly 25% less turnover.
3. Increased Profitability
Highly engaged employees show more than 20% greater profitability. Why is it so? Engaged employees show up every day with purpose, energy, and passion. In addition, they contribute to positive workplace culture, which can increase revenues by up to 682%.
Employees that are engaged are more efficient and willing to work together to reduce costs and maximize return. As more individuals provide better quality output, more customers will choose your brand, helping you rise above the competition and further improve profitability.
4. Enhanced Collaboration
Research by McKinsey found that the most engaged employees are those who work in teams. In fact, they’re twice as likely to be engaged as employees who work on their own.
On the other hand, engaged employees are more likely to collaborate with their teammates, business partners, and suppliers, helping reduce the number of misunderstandings and contributing to a better work environment.
5. Improved Customer Service
According to Bain & Company, prioritizing better customer service experiences can help businesses grow revenues between 4% and 8% above their market. And in order to provide outstanding customer service, you’ll need to have highly engaged team members
Employees who feel involved and passionate about their work will transfer their enthusiasm when handling customers. They will always be willing to assist and even go beyond their regular duties to serve customers, making sure to treat them in line with the company values.
Tips to Increase Employee Engagement
1. Use Employee Engagement Software
In this day and age, employee data, insights, and analytics have become essential to ensure higher levels of employee engagement.
Employee engagement software is a type of application that companies use to boost employee satisfaction and retention. HR departments rely on employee engagement software features like gamification, employee feedback tools, and online benefits programs to help employees become absorbed in the company’s culture and increase their productivity.
2. Provide Opportunities for Development
By investing in your workforce, you’ll be able to increase employee engagement levels.
Consider creating formal career development plans, establishing a mentoring program, and encouraging your employees to attend conferences and networking events.
Additional skills training will make them feel valued and, as a result, they will be more passionate about their jobs.
3. Ensure Clear Communication
Clear and transparent communication within the company helps create a culture of trust and openness. Employees will be able to understand instructions and follow them accordingly, voice concerns to the management, and be more open to constructive criticism. All this will help them become better at their job and willing to contribute to achieving the overall business goals.
4. Organize Team Building Activities
Organizing team-building activities on a regular basis is a great way to revitalize the team spirit, strengthen the connection between the management and employees, and boost engagement. In addition, group activities promote wellness and health, which is also crucial to boosting their motivation and productivity.
Your employees are crucial to the success of your business, which is why providing a positive work environment where they feel valued is essential. Employee engagement is all about removing the obstacles that prevent your team members from doing their best, and you should make this your everyday mission. Highly engaged workers perform better and, as a result, they are able to contribute significantly to business success.