THE EVIDENCE

 

Employee engagement is a recognised mainstream core business strategy proven to impact positively on
organisational performance.

 

Global research proves that organisations who invest in their employees with long term engagement strategies outperform rivals who don’t.

Workers who believe their employer values their opinions and ideas as well as the effort they put into their daily workload respond with improved productivity, creativity and customer focus, reduced sickness rates and increased loyalty.

It is no coincidence that businesses which enjoy excellent employee relations benefit from high performing, motivated staff prepared to go above and beyond the call of duty.

  1. Government and industry recognition

    Successive UK governments have publicly acknowledged the importance of successful employee engagement to the economy over the past decade, as have key business figures including Sir Richard Branson and CIPD Chief Executive Jackie Orme.

    In March 2011 Prime Minister David Cameron launched an independent Employee Engagement Task Force to share good practice, generate debate and offer support to businesses via new website engageforsuccess.org

    The move followed the publication of 150-page report Engaging for Success, commissioned by the previous Government in response to the economic downturn to examine whether a wider take up of engagement approaches could impact positively on UK competitiveness and performance. Authors David MacLeod and Nita Clarke found compelling evidence improved employee engagement would result in “a step change in workplace performance…for the considerable benefit of UK plc”.

  2. Global research findings

    There is a myriad of statistics available to demonstrate the impact of successful employee engagement, based on decades of research by global market research giants.

    Gallup, which has spend 30 years conducting in depth research involving more than 17m employees, surveyed 50,000 businesses in 34 countries with 1.5m employees in 2012 and found those which scored in the top half of employee engagement had twice the chance of success of those in the bottom half.*

    Tower Perrins-ISR carried out a global survey in 2006 with data from opinion surveys of 664,000 employees from more than 50 companies, representing a range of industries and sizes. Comparing the financial performance of organisations with a highly-engaged workforce to their peers with a less-engaged workforce over a 12 month period, they found a 52 per cent gap in the performance improvement in operating income (19.2% up compared to 32.7% down).*

  3. Key facts

    The Employee Engagement Task Force, in its report Nailing the evidence published in November 2012, has found companies with engagement scores in the top quartile, compared to those in the bottom quartile had:

    • TWICE the net profit
    • 40% lower staff turnover
    • 2.5 times higher revenue growth
    • 62% less accidents.
    • 12% higher customer satisfaction
     
    • 18% higher productivity
     

    * Taken from David MacLeod and Nita Clarke – Engaging for success: Enhancing performance through employee engagement.

    For more independent research on the impact of employee engagement visit engageforsuccess.org



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