Evidence of Benefits of an Engaged Workforce

Employee engagement is about the commitment of employees to reach challenging goals, finding ways to improve their employer’s work processes and achieve personal satisfaction from the job being done.


Study of Employee Engagement

Various researchers as well as individual companies have measured the motivation of employees using various simple-to-highly complex employee opinion surveys.  Although results differ among studies, they are consistent in the direction of the findings.

A high level task force conducted detailed research on how an engaged workforce can affect an organization and its growth. It was found that there is a significant difference in the performance of organizations with a highly engaged workforce and organizations with lower employee engagement levels. Hence the task force said that leaders and managers should focus on making the employees more engaged since this could result in greater productivity and GDP growth. The statistics of employee engagement and business performance for some of the most reputed organizations were provided as evidence.

Statistics of Employee Engagement

One survey of the workforce indicates that…

– Only one-third of the employees are actively engaged in the work which they are assigned.  According to a Gallup poll, only 51% of the American workforce is engaged.

– That translates into approximately eighty to one hundred million employees are not delivering their full capability or attaining their full potential at the work they were doing!

– 64% of the employees said that they had more skills than what were used for the work which they were doing at present

Comparing Employers with the Most Engaged vs. the Least Engaged Employees

Statistics were compiled of different organizations, and they were classified based on their level of workforce engagement. Specifically the performance of companies in the top quartile of employee engagement was compared to the companies in the bottom quartile. It was found that:

– The profit of the companies in the top quartile was twice the profit of companies in the bottom quartile

– The revenue growth of the top companies for employee engagement was two and half times the growth for companies with lower engagement

– Customer satisfaction levels in for the top quartile companies was 12% higher than the lowest quartile

– Highly engaged employees were 18% more productive compared to employees who were not engaged in the work assigned

– 59% of the employees engaged in their work were likely to offer creative and innovative solutions while doing the tasks assigned to them compared to only 3% of the employees who were less engaged

– The high engaged employees were less likely to leave their job and their companies had a 40% lower employee turnover, compared to businesses whose employees were mostly not engaged. So organizations with an engaged workforce has to spend less money and effort on recruiting new employees.

– It was found that efficiency in organizations having engaged employees was about 35% higher than businesses with less engaged workforce. For the organization, this increase in productivity is equivalent to having one additional free employee for every eight employees

– Organizations whose employees are less engaged, find that these employees are 42% more likely to be involved in accidents compared to businesses with a highly engaged workforce. This is because the unhappy employees are usually more careless and do not follow the rules specified. These accidents are expensive since the productivity is adversely affected.

Wow!  Kind of disheartening.

Objectives of Employee Engagement

So obviously the objectives of employee engagement are to:

  • Become an “employer of choice” in your industry
  • Improve employee retention
  • Build a culture of high performance
  • Improve customer satisfaction
  • Increase shareholder value (for companies with shareholders)
  • Reduce absenteeism.

Hence every organization should do everything possible to keep their employees engaged, since it increases productivity and what’s more, it has a real effect on your business bottom line – without any additional cost.

Recruiting Engaged Employees

Need assistance recruiting engaged workers, call on Flexicrew or just pick our professionals‘ brain for creative ideas.

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