Benefits of Employee Engagement

The Top 5 Benefits of Creating Amazing Employee Engagement

It's not a coincidence that many of the best companies also have the best employee engagement.

Did you know...

  • engaged employees are 87% less likely to leave an organization than the disengaged?
  • companies with high employee engagement scores had twice the customer loyalty (repeat purchases, recommendations to friends) than companies with average employee engagement levels? 

These are just a few of the many stats out there about the correlation between employee engagement and other critical aspects of your business.

Check out Kevin Kruse's article HERE for some eye opening info about employee engagement.

If you have not been focused on employee engagement in your business I'd highly recommend doing so ASAP. I'm going to review the top 5 benefits you will see in your business by doing so.


“The way your employees feel is the way your customers will feel.” –Sybil F. Stershic


Did that quote make you stop and think for a minute? It did for me.

Most people don't even take the time to consider that employee engagement has a huge impact on your business as a whole. 

Once you take the time to put an employee engagement plan in place and begin to execute you will see the results start to pay off.

This is not a quick fix and you must be committed for the long haul. In some cases, you may be talking about completely changing the culture of your business.

If you decide to embark down the road of employee engagement I promise you will see huge benefits in your business.  Here are the top 5:

1. Higher Employee Satisfaction

​​​​Creating high employee satisfaction is a natural byproduct of high employee engagement.

When employees have low job satisfaction they cause all kinds of problems. They lack enthusiasm and passion. They may complain about their job to other co-workers, or worse, to customers.

Like a disease within the body, this attitude can spread throughout your business...not good.

When employees feel engaged they have a desire to perform their best, they're passionate, they believe in the company and their role, and they make the conscious choice to put forth the maximum amount of effort they can.

The engaged employee spreads positive energy everywhere they go in your company. 

2. Higher Retention & Lower Turnover

The statistic at the beginning of this article pretty much says it all. When employees are engaged they are much less likely to leave your organization. When people are happy and feel good about their role within a company there is very little incentive to look elsewhere.

Contrast that with the disengaged employee who is not happy and feels very little commitment to their role.  It's easy to see why a disengaged employee would start to think the "grass is greener" and begin looking for other opportunities.

According to Center for American Progress, the cost of employee turnover can be anywhere from 16 - 20% of the employee's annual salary. Highly skilled positions and executive level positions can be significantly higher and potentially approach rates of 213% of annual salary.

Either way you look at it, the cost of losing employees can be a significant drain on your company's capital and resources.

3. Stronger Recruiting

You don't need to look any further than tech giants like Apple, Facebook, and Google to see the correlation between employee engagement and strong recruiting.

These companies recruit some of the best talent in the world and typically have their pick of which candidates they want. Why?

Because they are exciting, dynamic and engaging places to work. They have been very deliberate about creating a specific type of culture within their organizations and they've got strong employee engagement because of it.

This ARTICLE is a fascinating read about employee engagement at Facebook and will give you some additional insight into how some of the best are approaching employee engagement.

4. Better Productivity

Think about the last time you went on vacation. You were super productive the week before you left, weren't you? You were engaged and committed to getting projects done and tying up loose ends before you went away.

Employee engagement is very similar. When employees feel good about their role and their impact on the company, they make the discretionary effort to perform at their best. This isn't rocket science, people who feel great are more productive and the people who don't feel great aren't productive.

For your company to maximize all available opportunities you need employees to be as productive as possible. High employee engagement will do this for you.

5. Better Customer Service

I've already discussed how high employee engagement leads to higher employee satisfaction. Well, satisfied employees are happier too.

Most people have a very difficult time hiding their emotions.   When employees are not happy it naturally spills over to how they treat your customers. Unhappy employees tend to not be courteous, lack patience, and won't go the extra mile to make your customers happy.

Zappos is an amazing example of unbelievable customer service. There is no way to get to their level of customer service without strong employee engagement. Check out this ARTICLE to see some of the unique techniques they use to build employee engagement.

6. Increased Profitability

I'm giving you one extra benefit because it's a big one...

You might be thinking, how in the world does employee engagement increase profitability? Here's the flow that makes it possible.

Employee Engagement -> Happy Employees -> Better Service/Quality Work -> Higher Customer Satisfaction -> Customer Loyalty/Referrals -> Increased Profit

It's easy to miss the correlation between the two because there are a number of steps in between, but make no mistake, your employee engagement will impact your profitability one way or the other. Whether it's going to be positive or negative is your choice.



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Header Image Courtesy of Pexels.

About the Author Tim Fitzpatrick

Tim Fitzpatrick is the President of Rialto Mobile Marketing. At Rialto Mobile Marketing we create marketing systems to help small businesses achieve simple, sustainable growth. We help small businesses differentiate themselves from the competition, work with more ideal clients, command a premium for their products and services, and make marketing easier with consistent, repeatable results.

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