The link between employee engagement and high productivity


Research has shown that UK businesses have low levels of both employee engagement and productivity. It’s entirely possible that the two are linked.


In a report by Engage for Success, evidence shows that only 30% of UK employees are actively engaged, and the UK has 6% lower average engagement levels than other large economies. Concurrently, the UK’s productivity is 20% lower than that of other G7 nations.


Employee engagement can have a positive impact on a business in several ways:


Productivity – Engagement scores in the top quartile averaged 18% higher productivity. 71% of companies with above average employee engagement performed above their sector average.


The RSA insurance company found that teams with higher engagement had 35% less downtime between calls. That worked out to be the equivalent to one ‘free of charge’ employee to every eight employees.


Profit – Organisations with higher engagement have 22% higher shareholder returns and twice the annual net income. A specific example is Sainsbury’s explaining 15% of a store’s year on year growth is due to employee engagement.


Customer service – According to Gallup, companies with engagement scores in the top quartile averaged 12% higher customer advocacy. The Hay Group reported that 84% of the ‘World’s Most Admired Companies’ stated their efforts to engage employees had strengthened customer relationships.


Absence – Engaged employees in the UK take an average of 2.7 sick days per year, while disengaged staff take 6.2. Packaging company Nampak reported that their absence levels were reduced by 26% since embracing employee engagement.


Turnover and retention – The CIPD reported that companies in the bottom 10% quartile for employee engagement had almost twice the staff turnover.


How Deminos can help

Deminos can create and conduct a survey with your workforce to give you a current measurement of employee engagement within your business. Find out which parts of work your employees are feeling positive and negative about, and what’s influencing their levels of engagement.


Your dedicated advisor will explain how to promote the survey to your employees so you get the highest response rate possible. Once the results are in, your advisor will show you how to communicate them to employees to show you’re listening.


We will then design and introduce solutions based on the results to improve and sustain employee engagement on a long term basis.


To learn more, call Deminos on 020 7870 1090.

Author David Ralph

More posts by David Ralph

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