How Human Resources Can Measure Workplace Engagement
Engaged employees play a crucial role in the success of any organization.
Employees who are actively invested in the company’s goals don’t just perform consistently; they also contribute new ideas, support morale, and look for ways to help the business grow.
The problem is, research indicates that only about 32% of U.S. workers fit the definition of an engaged employee.
Needless to say, this can have a substantial impact on a company’s success. An analysis of 50 global companies revealed that those organizations with low workplace engagement scores typically had operating margins of under 10%.
Employee engagement doesn’t just result in a positive workplace culture; it impacts the bottom line and affects how well your company is achieving work objectives. That’s why Human Resources teams must look for ways to measure the employee engagement within their organizations.
Because it’s impossible to make the necessary changes without first understanding the extent of the problem (i.e. the level of workplace engagement). In making an effort to discover any issues, these changes can then be addressed in employee performance appraisals and meetings.
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The following are three Key Performance Indicators – or KPIs – that will help you assess engagement. You can use them to learn where your organization stands engagement-wise.
Turnover Rate
Ideally, an organization will have an annual turnover rate of 10% or less. High annual turnover rates limit an organization’s ROI.
HR teams can measure employee engagement by regularly monitoring the company’s turnover rate.
Specifically, it helps to try and link the turnover rate to particular interventions the company has taken to boost workplace engagement. For example, if an organization implements a new strategy to boost employee satisfaction, monitor the turnover rate to see if it has a positive effect.
On the other hand, if the turnover rate during one year (or any other clearly defined time period) is worse than expected, HR teams should try to identify if any changes at the company may be to blame.
That said, it’s important to realize that if your company has low employee engagement, measuring the turnover rate won’t allow you to boost engagement among the employees who have already left (obviously).
All it does is prove there’s a problem you must address. Thus, it’s also necessary to find ways to improve employee engagement before others jump ship. The following KPI will help in this respect.
Suggestion Boxes
Employees tend to be more engaged with their work when they feel as though their voices are being heard.
According to a survey, 48% of workers are less likely to leave an organization if they have a (continuous) opportunity to provide feedback and can see that company leaders are acting on their feedback.
In other words, something as simple as a suggestion box – or a digital feedback tool – could not only help you get a better sense of how engaged your employees are but also create an environment in which engagement among workers is much more common.
A company’s HR department should coordinate with all office managers and relevant team supervisors to develop a simple, easy-to-implement procedure for accepting employee suggestions and feedback.
Like we said, this can take the shape and form of an actual box, or it could be a digital process. Doing so won’t just boost employee engagement; it also gives HR the chance to measure workplace engagement by reviewing suggestions and determining which ones indicate low or high levels of overall satisfaction among the staff.
Keep in mind that if you’re going to implement this strategy, it’s very important that you actually use the feedback provided by your employees to make real changes!
Employees may become even less engaged if they feel as though their suggestions have been ignored. While you can’t act on every idea, be sure to act on those that have genuine value.
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Whatever feedback tool you choose,
make sure you do something with the suggestions you get.
Engagement Surveys
Don’t underestimate the value of employee surveys; they can yield useful insights when implemented properly.
That said, your approach to distributing surveys shouldn’t be old-fashioned. Sending out an employee questionnaire is an outdated practice that doesn’t give your workers sufficient opportunities to offer (instant) feedback.
Instead, opt for pulse surveys.
A pulse survey tends to be short and usually consists of no more than 10 questions. This allows your HR team to distribute them as often as once a week if you decide that would be helpful.
Also, unlike most traditional employee surveys, a pulse survey should focus on one specific area you want to receive feedback on.
For example, “Do our employees feel recognized for their accomplishments?” or “Do our employees have the support they need from management to advance in the company?
Create a scoring key for the survey to determine which survey results represent the feelings of an engaged employee, which represent the feelings of a neutral employee, and which represent those of a disengaged worker.
After each round of surveys, find out how many respondents fell into each individual category. This provides a clear set of data telling you whether efforts to boost engagement are working.
If you do learn you have low employee engagement, make actual plants to ensure your organization becomes the type of company where people feel they play valuable roles and are being heard. This may take some time, but it’s worth the effort.
Again, research shows that low employee engagement hurts your bottom line. That same research, however, shows that high engagement can boost it.
Taking steps to address this problem will yield major rewards in the long run.
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Rae Steinbach
Rae Steinbach holds an International Relations and Chinese degree from a competitive university. She has worked with a variety of startups in HR, marketing, and PR roles which has allowed her to gain a vast experience in these fields.
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