Measure Employee Engagements: Employee Net Promoter Score

Employees who are engaged in their work and committed to their organizations give companies crucial competitive advantage including higher productivity and lower employee turnover. Organizations of all sizes and types have invested substantially in policies and practices that foster engagement and commitment in their workforces. Engaged employees shows positive attitude toward the organization, its values and aware of business context and work with colleagues to improve performance with in the organization. Clearly, employee engagement can potentially translated into valuable business results for an organization. The organization most work to develop and nurture engagement, which require two-way relationship with employees and employer (Devi, 2009).

After surveying more than 19,000 workers across the globe, AOP Research Institute found that only about 16% of workers overall are fully engaged (Perry, 2019). To reap the benefits of employee engagement, companies should measure its current employee engagement. There are several ways to measure employee engagement such as IES engagement survey, Gallup Workplace Audit, NetPromoter etc.

Employee net promoter score (eNPS)

eNPS is one of the simple and effective measurement tool to measure employee engagement. This method of measurement evolved from Net promoter Index that used to measure customer loyalty though asking customers how they would recommend a product or service to a colleague or friend. Fred Reichheld, Bain & Co and Satmetrix originally developed this method during the 1990’s (Netigate, 2019).


eNPS is built in the same way, asking employees on a scale from 0-10 how likely are they to recommend their employer to family or friends. The answers are divided into 3 categories as follow.

To calculate the score, share of detractors is deducted from share of promoters as below formula.  

eNPS = Share of promoters (%) – share of detractors (%)


HR leaders can compare this score with the industrial standards and get clear idea on where an organization stand regarding employee engagement. Using the eNPS question, alone will give a quick overview, which can be a good start. However, to really understand the underlying reasons and be able to adjust problems, more comprehensive surveys are required, or a few follow up questions connected to the eNPS question will support HR leaders to understand the real reasons behind employee engagement.

References

Devi, R., 2009. Employee engagement is a two - way street. Human resource Management International Digest, 2(17), pp. 2-4.

Netigate, 2019. Netigate.net. [Online]
Available at: https://www.netigate.net/articles/employee-engagement/employee-net-promoter-score-how-engaged-are-your-employees/
[Accessed 22 May 2019].

Perry, M., 2019. Harvard Business Review. [Online]
Available at: https://hbr.org/2019/05/engagement-around-the-world-charted
[Accessed 22 May 2019].

Comments

  1. Good. You have introduced something new for the discussion

    ReplyDelete
  2. Really a new topic and interesting and there's is a small issue of faking the score by some employees in order to gain benefits but their true stance about the employer can be negative.

    ReplyDelete

Post a Comment

Popular posts from this blog

Impact of change in organizational perspective

Impact of globalization on HRM

Industry 4.0, how does it challenge and support HRM.