Why is employee engagement important?

 

(Buit In, 2019)

WHAT IS EMPLOYEE ENGAGEMENT?

Employee engagement is described as the degree to which employees are loyal to their employer, excited about their job and engaged in the success of the business. (Sridevi , 2010, p. 89).

WHY IS EMPLOYEE ENGAGEMENT IMPORTANT?

Employee engagement reduces turnover

They're not going to stick around if your employees don't care about their jobs or your goals. Staff who are actively disengaged are 12 times more likely to leave than their colleagues who are engaged. What is worse, a ripple effect is created by employee turnover. Your top performers know their worth and can quickly get another job. 53% are optimistic that within six months they can find a comparable role. "When your best people start leaving, the rest of your team looks around the office and asks, "What am I missing?”And they'll pack their things.

Improving the commitment of workers allows individual contributors to participate in your team, helping you attract top talent. In fact, it has been shown that a highly engaged workforce reduces turnover by 25-59 percent. Get in front of a migration if you are actually experiencing high turnover by finding out what is moving people away and how you can boost it. (anitha, 2014, pp. 62-67).

Employee engagement improves customer satisfaction

A 10 percent increase in customer rankings and a 20 percent increase in revenue was experienced by companies with active workers.  why? Engaged staff believe in your company, respect your product, and are optimistic about the work they do. This translates into unprecedented customer service in which for the individuals they serve, workers go above and beyond. Customers pick up on the enthusiasm and passion of dedicated workers, which affects their purchase decisions. One study showed that clients of companies with dedicated employees use their goods and services more often and were more happy than clients of companies with disengaged employees.

Employee engagement increases profitability

It makes sense that companies with employees who work harder, serve customers better and stick around for longer are more profitable than organizations with disengaged workforces. Consider the following three advantages: minimizing the cost of recruiting new workers by reducing turnover; improving efficiency means creating more business-driving goods, ideas and strategies; improved customer loyalty leads to more sales. This all drives profitability. 

In every corner of your market, a highly engaged workforce infuses passion and energy, producing higher profits in return. (Buit In, 2019).

Conclusion

The secret to a successful company is engaged employees; a highly engaged workforce has been shown, among others to improve retention, efficiency and profitability rates. Engaged workers often go the extra mile to do more than their job description allows, using discretionary initiative. They have the mindset of an owner; they are deeply involved in the long-term success of the business and feel that their day-to-day tasks strongly contribute to how the company achieves its objectives.

Reference

 

anitha, J. (2014). Determinants of employee engagement and their impact on employee performance. International journal of productivity and performance, 118-143. Retrieved 11 22, 2020

Buit In. (2019, 12 18). WHY IS EMPLOYEE ENGAGEMENT IMPORTANT? Retrieved 11 22, 2020, from Buit In: https://builtin.com/employee-engagement/why-is-employee-engagement-important

Sridevi , S. (2010). Employee Engagement: The Key to Improving Performance. International Journal of Business and Management, 5(12), 89-115. Retrieved 11 22, 2020, from http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.466.1591&rep=rep1&type=pdf