Measuring ROI of Employee Experience

Despite the obvious benefits, most organizations put employee experience strategy on the back burner. They don’t see it as an urgent need. The return on investment of EX is difficult to evaluate. Or is it?

In reality, good work culture has a major fiscal impact on a business.

Here are a few reasons why investing in EX is crucial for the growth of your business.

1.   Financial Benefits

Businesses with good employee satisfaction are FOUR times more profitable.

Organizations that invest in culture, physical environment and technology, tend to witness great financial benefits.

These experiential companies have greater profits and revenue than those that choose to ignore culture and work environment.

Research shows that financial performance of an entity is significantly related to EX. Organizations with good employee experience ratings witness growth in revenue and gross profit margin.

According to Gallup, organizations with good work culture overtake the competition by 147% in earnings per share.

2.   Employee Retention

Attrition depends on the wage and role of workers.

According to a CAP (Center for American Progress) study, average costs to replace an employee are 16% of average salary for low paying jobs; 20% of annual salary for mid-range jobs; and around 213% of annual salary for high level executive positions.

Additionally, the loss in productivity from employee turnover is a hidden cost.

Investing in creating positive experiences for workers goes a long way for employee retention.

3.   Customer Experience

The ROI of customer experience is rather well known.

A lesser known fact is that it is closely related to work culture.

How you treat your employees will reflect on your customers. Employees that feel like they belong and have a voice will go the distance to provide quality customer service.

Workers who feel at ease will also do more to identify and solve problems, if they are given the right environment to do so.

4.   Productivity

According to Gallup, disengaged employees exhibit 37% more absenteeism, 18% lesser productivity and 15% lesser profitability.

Improving levels of employee engagement is the only way forward.

While fewer workers are looking to switch jobs their level of complacency in their current roles is at an all-time high.

This is because they feel disengaged in the workplace.

How to motivate employees in this scenario? This is something higher management and leadership ought to be racking their brains about.

Improving productivity and reducing turnover are incentives to invest in an employee engagement strategy.

How to Improve the ROI of Employee Experience

According to an Achievers survey, only around 9% of leadership are committed to culture related initiatives.

1.   Feedback

Before venturing out to set things right, you need to gauge the status of the situation.

Employees only want to be heard.

Therefore, running a survey to gather data on what employees and teams feel about the work culture, is a good first step. To get an interesting take on giving employees a voice, read our article on inclusive culture here.

Once you gather inputs from your staff regarding the state of the workplace, at least from their point of view, it’s time to chart out a plan of action.

2.   Aesthetics and Ergonomics

Does your office or workspace have a good vibe?

The physical work environment has a significant impact on culture, morale, productivity and collaboration.

Making an environment aesthetically appealing and clean can be helpful.

Ergonomic furniture and practices help with promoting well-being.

Also, creating spaces for team collaboration and individual work can come in handy.

3.   Onboarding Program

Transitioning new employees from the orientation program to the floor should be a smooth process.

Workers should complete their formalities with HR, finance and admin teams seamlessly.

At no point should employees feel strained or lost during their first days in a company.

Making new hires feel welcome and safe is the key.

4.   Digital Workplace Technology – the Mobile Intranet

A good communications platform or interactive mobile-first intranet is a great way to create healthy work culture.

Mobile intranets give employees access to company communications from their smart phones.

Constantly interacting with employees through company-wide posts; team specific messages; or individual chats works like magic.

Intranet applications also help HR and internal communications teams gather instant feedback from workers.

Employee engagement apps help businesses loop in frontline staff, deskless and remote workers too.

A mobile intranet helps you connect distributed teams. This is crucial in today’s changing workplace scenario.

Ensure that the technology used to engage workers is secure and versatile.

 

Employee Experience for Frontline Workers

Frontline workers, deskless workers and hourly workers are extremely important to the economy.

However, they are often excluded from the employee experience strategy, benefits programs and similar issues.

Trust promotes good work culture. Period.

Regular frontline communication is beneficial. Reward and recognition for work well done is also a good way to motivate frontline staff.

However, communication aimed at deskless and frontline workers should be relatable.

Think of the checkout operator in a retail apparel outlet, or a line worker in a manufacturing unit. Or even a frontline health care worker.

Their needs and nature of work are not the same as desk workers.

If frontline workers feel respected and valued, they do a better job.

This translates to good customer experience, a better bottom-line and so on and so forth.

Just imagine a world without nurses, truck drivers, mechanics or carpenters.

Deskless workers, frontline or otherwise, need to feel valued, to be given a voice and to feel professionally nurtured.

This will impact the organization, the economy and society as a whole.

Tending to the needs and aspirations of frontline workers is akin to harnessing 80% of the global workforce.

How a Mobile Intranet Improves Employee Experience

Top down communication; interaction within and between teams; connecting employees through the directory and IM feature.

These are just a few ways in which a mobile-first engagement tool promotes great morale.

Intranets also connect employees who share common interests in sport, music, and so on.

Feeling connected with your colleagues and being a part of a community creates a sense of belonging amongst staff.

Telework or flexiplace is a major contributor to a positive work culture.

Providing employees the option of remote work helps with work-life-balance.

One of the intranet advantages is support of telecommuting by giving workers access to data from many devices.

Secure collaboration tools also help workers work seamlessly from any location, making a distributed workforce a productive reality.

Groupe.io – a Tool to Enhance your Employee Experience

Groupe.io is a mobile first, employee communication app that connects frontline workers, remote workers and your entire distributed workforce.

Apart from being an internal communication platform, Groupe also fosters employee engagement.

Through employee recognition tools, surveys and polls, Groupe.io helps you develop more engaged and connected teams.

Groupe’s productivity tools like task manager, forms and checklists promote process automation and compliance.

Data collection tools and rich analytics help you gather feedback, track and assess progress of individuals and teams.

Bot virtual assistants eliminate the need for performing routine administrative tasks and saves time.

Microapps help you integrate multiple platforms that can be accessed through a single interface.

Groupe.io is a GDPR compliant and secure platform with the highest level of data security through 256-bit AES encryption.

Groupe.io is free for 100 users and rolls out in 24 hours!

Why not schedule a demo today to see how adopting an efficient communications and engagement platform helps you improve the culture of your workplace!

For more information on our product, write to us at info@groupe.io!

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