Recent research suggests that companies with high levels of employee engagement had revenue 4.5 times higher than those with the lowest levels of engagement.
This finding is a striking testament to the power of employee engagement and performance motivation on business outcomes. But, as I would suggest, comes as little surprise given that in today’s business climate employee engagement is tantamount. And that’s only becoming more true.
Why employee engagement is fundamental
The reason engagement can have such a drastic effect on business outcomes is because of the changing nature of the workplace and the labor market. Talent is harder to retain and finding those who can fill the roles you need is becoming increasingly difficult.
Here are some of the essential reasons for the growing place of employee engagement and why they can affect your business outcomes.
Growing demand for highly skilled individuals
This means your best employees (yes, the ones you depend on) have a growing freedom to move to companies they believe suit them better. With options available why would they stand for a company that doesn’t inspire them?
Expansion of digital life means work is always with you
To remain competitive in an increasingly innovative and dynamic business environment you need your team fully present. If they are expected to treat their work like monotony then they won’t see the innovative opportunities that could help you gain that competitive edge.
Generational change means change in workplace values
Perhaps this is beating a dead horse, but the generation(s) entering the workforce have been shaped by 50 years of pushback against the corporate 9-5 atmosphere. So they have very different workplace expectations than your more senior team. To retain young talent engagement is key. Especially engagement based in a purpose beyond merely making money.
Investing in employee engagement
Employee engagement is already noted by many CEOs as a major concern. And there’s a good chance you are already well aware of the importance of engagement. However, you’re probably also at a loss for how to pursue a successful engagement initiative.
Motivational speakers have a positive effect on engagement, but their benefit is quickly felt and quickly subsides. Other initiatives that require organizational overhaul can be extremely expensive and require significant spans of time.
This is where employee engagement tech comes in. Innovative new technology coupled with a firm grounding in positive psychology allows for scalable employee engagement solutions.
The ROI on this sort of technology has yet to be fully understood, but we’ve seen engagement. And we know how engagement can drastically affect revenue.