Measuring employee engagement is the first step in improving employee satisfaction. However, many organisations struggle with knowing where to start due to the complexities of employee engagement solutions and a lack of clarity on how to act on insights gained.

In this article, we will cover the key metrics you should track to measure employee engagement successfully. We will also outline a five-step process for measuring employee engagement and highlight some common mistakes to avoid.

By following these guidelines, you can simplify the process of measuring employee engagement and gain valuable insights into your workforce.

Key employee engagement metrics you need to track

Here are five key employee engagement metrics you need to track:

• Employee Net Promoter Score (eNPS)
• Survey participation rates
• Employee performance
• Employee retention rate
• Employee development

Metric 1: Employee Net Promoter Score (eNPS)

This metric measures how likely employees are to recommend your organisation to others as a workplace.

It’s based on a simple survey question: “On a scale of 0-10, how likely are you to recommend our organisation as a place to work?” The responses are divided into three categories: Promoters (score of 9-10), Passives (score of 7-8), and Detractors (score of 0-6). Promoters are highly likely to recommend your organisation, while Detractors are unlikely to recommend it.

To calculate the employee NPS, you need to subtract the percentage of Detractors from the percentage of Promoters. For example, if 70% of your employees are Promoters and 5% are Detractors, your employee NPS would be 65 (70 - 5 = 50).

Metric 2: Survey participation rates

Monitoring employee engagement in surveys can provide insights into how invested employees are in their work and in giving feedback to the organisation. Low participation rates may indicate disengagement or a lack of interest in giving feedback, while high participation rates may indicate a high level of engagement and interest in giving feedback.

Metric 3: Employee performance

While not a direct measure of engagement, employee performance is often a reflection of engagement. High-performing employees are often more engaged, unlike low-performing employees, who may be disengaged or unhappy at work. Monitoring employee performance can provide insights into engagement levels and help identify areas for improvement.

Metric 4: Employee retention rate

The retention rate of employees is a crucial metric that reflects the overall employee experience within an organisation. This metric measures how many employees stay with an organisation over time. High retention rates indicate that employees are satisfied with their work and feel valued by the organisation. One of the key factors in achieving a high retention rate is implementing an effective employee engagement strategy that fosters a positive work culture and promotes employee recognition.

Metric 5: Employee development

This metric measures the extent to which employees feel they are being provided with professional growth and development opportunities. High scores on this metric indicate that employees are more likely to stay with the organisation long-term.

Track what matters

Employee engagement has become a buzzword prompting some organisations to try to measure each and every aspect of employee satisfaction. But it is vital to find the right balance to track sufficient metrics while not overburdening employees. Organisations should concentrate on tracking metrics relevant to their company culture and specific business objectives.

Meet Friday Pulse

Friday Pulse is a happiness-measuring and employee engagement platform that helps organisations monitor and improve staff happiness levels and experience of organisational culture.

Friday pulse is about human connection rather than surveillance, so we avoid burdening managers striving to gauge employee engagement. Friday Pulse differentiates itself from other solutions by deliberately limiting the number of employee engagement KPIs it tracks.

This approach allows organisations to focus on what’s most important rather than get bogged down in unnecessary details. By keeping employee engagement metrics simple and intuitive, Friday Pulse helps companies enhance employee productivity, lower burnout rates, and improve personal well-being.

How to measure employee engagement

1. Define the outcome you want to achieve
2. Invest in the right employee engagement solution
3. Design employee satisfaction survey questions
4. Collect and analyse data
5. Take action

Step 1: Define the outcome you want to achieve

Without a clear goal, it’s next to impossible to measure progress. So, the first step in measuring engagement is to define what you want to achieve. Determining your desired outcome first is like choosing your destination on a trip—it gives you direction and allows you to measure progress along the way.

Step 2: Invest in the right employee engagement solution

There are many employee engagement solutions, so you must choose one that is best suited to your organisation and the outcomes you want to achieve. Friday Pulse uses proprietary measures, statistics, and research to improve team collaboration and creativity, help reduce stress levels, and lower employee turnover rate.

One of the key features of Friday Pulse is its user-friendly interface, which makes it easy for employees to participate in the weekly surveys (weekly and quarterly flows). The platform also provides real-time data and analytics, allowing managers to track employee engagement levels over time. The weekly flow gives immediate, real-time feedback for quick action, while the quarterly flow provides information about employees’ views of organisational culture that can be used for longer-term, incremental action.

Step 3: Design employee satisfaction survey questions

Designing effective employee satisfaction survey questions requires careful consideration. Firstly, decide on the right format. There are various question formats, such as multiple choice, rating scales, open-ended questions, etc. Choose the format that best suits your purpose and the type of data you want to collect. Secondly, make sure that the language used in the questions is clear and easy to understand. Avoid using technical terms or jargon that employees may not be familiar with.

Instead of asking about general attitudes or perceptions, ask about specific behaviours or experiences. For example, instead of asking, “Do you feel supported by your supervisor?” ask, “Does your supervisor provide you with timely feedback and guidance?”. Also, avoid asking questions that cover more than one topic or concept. For example, instead of asking “Do you feel valued and respected by your colleagues?” separate the questions into “Do you feel valued by your colleagues?” and “Do you feel respected by your colleagues?”.

Step 4: Collect and analyse data

Collecting and analysing data is key in measuring employee engagement as it provides objective information about employees’ attitudes, perceptions, and behaviours that can inform decision-making and improve organisational performance. It also enables organisations to identify areas of strengths and weaknesses within the company.

By examining the data, organisations can identify factors that contribute to high levels of engagement and factors that lead to employee disengagement.

Step 5: Take action

Once you’ve collected data, take action and implement changes that will foster engagement and create a positive work environment. This could involve providing employees with more resources to improve their skills and knowledge, offering more opportunities for professional development, or creating a culture that recognises and rewards high-performing employees.

It is crucial to recognise that an engaged workforce requires ongoing investment. This means regularly evaluating and adjusting policies and procedures to ensure they support employee engagement. Providing ongoing training and development opportunities is important to help employees stay current on new technologies and best practices. Ultimately, a company’s success depends on the quality of its talent and resources, and creating an engaged workforce is essential for attracting and retaining the best employees.

How not to measure employee engagement?

The traditional method of measuring employee engagement through annual surveys is often ineffective and limited. These surveys cover a broad range of topics and may not capture the full picture of employee engagement, including factors like job satisfaction and workplace culture. Additionally, annual surveys may not be frequent enough to capture changes in engagement throughout the year.

Below are some pitfalls to avoid when measuring employee engagement:

1. One-size-fits-all surveys: Using the same survey for all departments and employees across the organisation can give inaccurate results as employees have different job experiences and expectations.
2. Survey fatigue: Sending out surveys too frequently or making them too long will make employees shy away from responding or not responding at all.
3. Lack of action: Conducting a survey without any follow-up or action plan can lead to employees feeling unheard and disengaged. Interestingly, 85% of employees globally are disengaged in their job, according to Gallup research.
4. Focusing only on positive feedback: Ignoring negative employee feedback is a formula for danger, and it can lead to employees feeling like their concerns are not being taken seriously.
5. Lack of confidentiality: Employees may not feel comfortable providing honest feedback if they feel their responses are not confidential. Ensuring anonymity in the survey process can help employees feel more comfortable about providing honest feedback, leading to more accurate results.
6. Focusing only on short-term fixes: Improving employee engagement is a long-term process and organisations should focus on sustainable solutions rather than short-term fixes. Failing to address underlying issues can lead to decreased engagement over time, despite short-term improvements.

Friday Pulse aims to address these pitfalls by providing a more frequent, personalised, and actionable approach to measuring employee engagement.

Friday Pulse is a weekly pulse survey customised for each team and employee, ensuring that the questions asked are relevant to their experiences. The short and frequent surveys reduce survey fatigue and increase response rates.he platform provides real-time insights and actionable recommendations to help organisations address areas where employee engagement is low.

Overall, using a platform like Friday Pulse can lead to more accurate and actionable insights into employee engagement, ultimately leading to a more engaged and productive workforce.

What to do after you measure employee engagement?

Measuring employee engagement is only the first step toward creating a more engaged team within a company. Once you have the results, it’s important to take action to improve engagement levels and create a positive work environment. Here are some steps you can take:

1. Analyse the results: Analyse the engagement survey results. Identifying strengths and areas for improvement. Look for patterns and trends in the data to gain insights into the factors that affect employee engagement.
2. Communicate the results: Communicating the engagement survey results to employees is essential. Share the overall results and any specific findings with employees. This will show that you value their feedback and are taking steps to improve the workplace.
3. Create an action plan: Based on the survey results, create an action plan to improve employee engagement. Identify specific actions that can be taken to address issues identified in the survey. Set clear goals and timelines for each action.
4. Implement the action plan: Once you have an action plan in place, it’s time to implement it. Share the action plan with employees to get their feedback and support. Assign responsibilities for each action to specific individuals or teams.
5. Monitor progress: Regularly monitor progress towards your goals. Track your progress using key performance indicators (KPIs) and adjust your plan as needed. Celebrate successes and continue to communicate with employees about the on-going progress.
6. Repeat the survey: Regularly repeat the engagement survey to track your progress and detect any new issues that may have arisen. Consider conducting the survey quarterly to track employee engagement changes and identify positive behaviours that have improved the organisation’s culture.

Measure employee engagement with Friday Pulse

Measuring employee engagement is crucial for creating a productive and satisfying workplace t. Friday Pulse is an innovative platform that provides a unique solution to this challenge by offering an easy-to-use and straightforward way to measure employee happiness and engagement.

By limiting the number of metrics it tracks, Friday Pulse allows organisations to focus on the most important aspects of employee engagement, providing valuable insights into employee satisfaction, productivity, creativity, and well-being.

Book a demo of Friday Pulse and see how it can help create employee happiness surveys that enhance engagement and improve your organisational culture.