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Benefits of Employee Engagement

Benefits of employee engagement can be realised through improved work performance, reduced turnover, improved customer service, lower absenteeism and even higher profitability. Engaged employees are more productive, loyal and committed to their employer.
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In a recent study by the Chartered Management Institute (CMI) it was found that engaged employees are 50% more likely to recommend their organisation as a good place to work and 47% more likely to stay for more than three years. They also contribute more ideas for improving the business and are more willing to go the extra mile for customers with 56% saying they would go out of their way for customers compared with just 42% of those who are not engaged.

Engaged employees are more motivated and productive than their counterparts. This can lead to increased profitability which helps in boosting up the company’s bottom line. Continue reading to see the more insights to benefits of employee engagement.

In this article we discuss the top 5 benefits of employee engagement

  1. Better Work Performance
  2. Increases Employee Retention Rates
  3. Improves Customer Service and Loyalty
  4. Reduced Absenteeism
  5. Higher Profitability

1.  Better Work Performance

Having more strongly engaged employees leads to higher productivity.

They’ll be motivated to perform better despite working under pressure. One of the reasons could be that their efforts are recognised. If one person is seen putting the work in and being praised for it, it inspires others to do the same. Meaning that it can boost team morale.

So, when everyone’s consistently getting their tasks done to meet set targets, this correlates to the company’s growth.

2.  Increases Employee Retention Rates

An unfulfilling job that lacks a sense of purpose affects an employee’s attitude.

Part of employee engagement is about nurturing a team who cares about what they do for the company they work for. Those who are passionate and feel a sense of purpose are more likely to stay. That’s because they find their jobs meaningful.

Other factors are involved such as:

●     Diversity and inclusion

●     Appreciation

●     Rewards

3.  Improves Customer Service and Loyalty

Happier employees lead to better customer service, which means better customer satisfaction.

A report from the Aberdeen Group found that those who used an employee engagement program saw an increase in customer loyalty by 233%.

It’s easy to forget but everyone who works fora company represents them. If they’re strongly engaged and proud of what they do, those values will reflect through their actions and behaviour. The same applies to disengaged workers. Those values reveal themselves through how they act.

Want to read more on the different levels of employee engagement? - You can access our guide on the 5 levels of Employee Engagement here.

4.  Reduced Absenteeism

This refers to your staff’s attendance. They could be away from work for reasons such as:

●     Health & wellness, Workplace discrimination, Personal issues and Management problems

Using employee engagement as a strategy has been proven to lead to positive outcomes and business results. For instance, one study by Gallup found that highly engaged business units noticed an 81% difference in absenteeism.

5.  Higher Profitability

Employees are crucial stakeholders. Imagine there’s not a day where your entire team isn’t engaged. They’re all working hard, suggesting new ideas, adapting to trends, and constantly developing their skills.

Not only does it mean being productive because they’re completing more tasks in less time to a high standard. More importantly, it means hitting your business goals and meeting the needs of your customers. As we investigate the bigger picture, their contributions influence the success and profitability of an organisation.

Want to learn more on employee engagement? Read our complete guide on Employee Engagement.

Read how Elite Hotels experiences the benefits of employee engagement

Elite Hotels knew that high staff engagement results in higher customer satisfaction, and to ensure that their employees feel engaged, they chose to use Winningtemp.

Bianca Britten-Austin is the Talent Manager at Elite Hotels and immediately saw Winningtemp as one of the most important tools to contribute to engagement in the workplace.

In the service industry, there is a strong correlation between employee engagement and customer satisfaction. We are constantly asking our customers how they feel about our hotels, so it makes sense to ask our employees how they feel at work," Bianca says. We now have up-to-date data that is tangible, updated in real time and comes directly from the employees themselves. Employee engagement is one of our key factors to good profitability, that's just the way it is.

Read more on Elite Hotels and how they increased their employee engagement with Winningtemp.


If you want to learn more about how Winningtemp can help you improve your employee engagement, why not have a look at our tool in action?