Employee engagement has always been about doing the right thing for employees and the business. However, that business focus often becomes lost. In this edition of Sustainably Engaged, we highlight how Willis Towers Watson Employee Engagement Software brings the focus back to business outcomes. We also present a bit of research to remind ourselves of the size of the prize.
Imagine if managers could have a single dashboard where, in addition to their engagement scores, they could also see key financial, operational and customer metrics. Willis Towers Watson Employee Engagement Software now makes this possible.
With the latest release of Willis Towers Watson Employee Engagement Software, a manager can see up to three, non-survey KPIs, as well as key survey results whenever they log into their dashboard. Both the engagement survey scores and KPIs shown are specific to their part of the organization.
The possibilities are endless. Managers can select KPIs most relevant to their industry. For example, retail stores might choose to display sales or margin data; banks might want to show net lending or risk culture maturity stats; and manufacturing organizations may wish to display operational or efficiency metrics. Moreover, in addition to internal metrics, Willis Towers Watson Employee Engagement Software also integrates external metrics including consumer feedback, such as the Net Promoter Score (NPS).
Regardless of the KPIs selected, these metrics help managers set their survey results into a broader business context, and better understand the link between improved engagement and performance.
Display any metric: Financial, operational, NPS, eNPS, qualitative
While the business world seems awash in discussions of the people analytics revolution, it’s surprising how few organizations have been able to implement meaningful employee engagement analytics programs. Until now.
At Willis Towers Watson, we’re building analytics solutions that allow our clients to explore and interact with their data in ways they never imagined – delivering new and powerful insights. It’s a cutting-edge and exciting space for us.
As an example, a retail services organization was struggling to bring its survey results to life. Our solutions enabled this retailer to visualize its stores as points on a map, colour-coded to reflect engagement levels, allowing the user to click on single stores, or select a group, and examine summary analytics for the chosen stores.
What’s the real impact of engagement on performance, and what comes first, engagement or performance?
At Willis Towers Watson, we have conducted research identifying the link between employee opinions and organizational performance for a wide range of clients. One of the most interesting pieces of research involved a study of over 2,000 UK high street bank branches. We tracked engagement and sales over a number of years. We found that engagement scores were a significant predictor of future sales performance. Those store branches with high and improving engagement had the highest rates of future sales versus target.
Modelling the size of the impact of engagement on sales, we found that for every 10% increase in engagement scores, there was roughly a 4% increase in customer satisfaction, and an increase of close to 10% in business outcomes including sales, share of customer business, customer retention and operating efficiency. For a typical large UK retail bank, with an income of £5bn, that’s an additional £0.5bn in sales for every 10% increase in engagement.
But surely engagement is just a reflection of success? Well, we tested this and found that engagement is in fact five times more powerful as a predictor of future sales, than sales is as a predictor of engagement.
Does success lead to engagement, or does engagement lead to success?
For organizations looking for a new and more business-focused approach to employee engagement surveys, there now exists a solution with the potential to deliver true business insights.