Firstly, what is employee engagement? Why is it so necessary? So, employee engagement is a term that defines the level of dedication or enthusiasm of an employee towards their job. It is synonymous with motivation. Only a motivated employee would work with enthusiasm and dedication and vice versa. The reason is that employees are convinced that their efforts matter and make a difference in the organization. Employee engagement can also be defined as a method to improve employees’ attachment to the organization. The organization is inclusive of the duties of the employees, their position within the firm, their colleagues, and the culture of the company. Now, why is it important for the employee to have an emotional attachment to the firm?
Need for employee engagement
- For the workforce
Employee engagement plays a crucial role in an employee’s day-to-day life. A person doing a job 40 hours a week is likely to get bored or lose interest. This may lead to poor performance and, ultimately, a loss in the firm’s revenue, and at any cost, the company would like to keep its employees motivated by offering more than they expect. When this happens, the employee feels enthusiastic and motivated and dedicates his maximum efforts to the company. This improves their mental health, and they tend to maintain a cordial relationship with their co-workers as well. It also helps to improve work culture and reduce turnover.
- For the organization
An engaged employee is the most valuable asset of any firm. It is the most productive resource of the organization. In better words, it helps the company to reduce costs on employees. Reduced labor turnover, and high productivity, are the reasons. Moreover, it helps the company to understand the needs of the employee and improve employee morale.
Benefits of employee engagement
- Loyalty
Employee engagement ensures that employees stay with the company. This tends to develop loyalty in the employees towards the company. This increases employee retention and reduces turnover costs. Low engagement can cause employees to discontinue work and seek employment in a new place. This not only increases the hiring cost but also tends to spoil the company’s reputation, and it is difficult to hire new employees. Only a motivated employee will insist on staying in the organization because though they might not have plans to change jobs, nobody would want to reject a better offer.
- Brand advocation
Employees who are content with the firm and its policies are the best advocators of the firm. They might engage in word-of-mouth marketing and also share it on social media; this tends to improve the firm’s employer image. Employees are the most trusted face of the company because what they share or the opinion they have is based on personal experiences. Providing employees with the best content to be shared can also be a technique of brand marketing. However, an employee’s willingness to do so depends on his motivation.
- Reduced employee turnover
If the employees in a company are engaged and feel satisfied with the company policies, they would like to stick around the company. This will lead to the retention of employees and gradually reduce employee turnover.
- Increased productivity
An engaged employee will be motivated to work harder and give his best to what he is doing. This leads to increased productivity, an employee that was initially able to produce only 10 output a day will now be able to produce 20 output. This ultimately increases the firm’s earning capacity, i.e., revenue.
- Employee satisfaction
When effective employee engagement strategies are undertaken, employees gain a sense of satisfaction in the work they are doing. They feel like their work is being valued and the effort that they put in is being counted. This creates a positive environment wherein the employee can freely work without any stress or distractions.
- Adoption of company incentives
An engaged employee will be better able to adopt the policies of the company because he is already confident in the company. Such employees are more likely to participate in the company’s policies and other activities organized for the betterment or upskilling of the employees.
- Higher revenue
With loyal employees advocating the brand and their satisfaction in work and adoption of company policies, the firm’s revenue is likely to go up. Studies state that having an engaged workforce increases sales by 20% and revenue by 21%. This is because employees are critical in driving customer satisfaction.
How to improve employee engagement
Now, let’s discuss some ways to improve employee engagement.
- Â Hire the right people
Hiring the wrong individuals can ultimately cost the firm a lot in terms of productivity and earning money. There is no point I’m trying to motivate an employee who is not meant for the job. It is important to see that the employee possesses the right skills, experience, and qualifications required to perform the job. Otherwise, the job might seem like a tedious task, and the employee might end up quitting the job.
- Give employees access to training and development
Employees would expect the firm to provide them with training so that they can upskill and progress in the company. It is also important to increase their productivity. Employees do not just see training as a means of upskilling themselves but also the firm’s efforts to improve its employee’s efficiency.
- Keep the employees informed
It is important to keep employees informed of all the relevant happening in the firm. A new product launch, a new competitor, or any achievement of the firm, make sure to keep the employees informed so that they get a sense og belonging.
- Feedback
Merely informing the employees is not enough, it is important to take their feedback. Ask them what they feel about a particular policy or a new venture the company has undertaken. This will make the employees realise that their opinion do matter to the firm. Besides employes have contact to numerous people out of the company, half of them might use the product or service of the firm. Employees serve as a medium for obtaining customer feedback unfiltered.
- Rewarding
Employee engagement programs highlights the best efforts. It is easier for the firm to identify the best talent and reward them. Rewards are a source of motivation. Rewards need not necessarily be financial incentives rather an appreciation from the manager is also a rewrad and is enough to motivate the employee.
- Encourage interaction
Create a space where the employees can interact with each other. Never restrict employees from communicating with each other. It may seem to them like interfering their freedom. If employees are satisfied with the organization it is advised to allow free flow of communication because they might engage in positive conversations and that it turn may lead to a positive environment.
- Flexibility
There is nothing more convenient for an employee than work flexibility. It is assured way for improving employee engagement. It also helps them to balance their personal activities with work. A work-life balance eliminates stress. Always keep them informed of meetings, training sessions and other activities well in advance so that they can plan their activities accordingly.
Employee engagement provides employees with the right conditions to give their best input and stay committed to the goals and missions of the firm. It helps them stay motivated to contribute to the success of the firm. In short one can say that employee engagement is all about understanding, influencing and motivating the employees. The success of a business firm, to a great extend dependents on the elevel of employee engagement.