More and more organizations are concerned about the commitment of their employees, as the higher this is, the greater the business success.
To achieve this, having satisfied employees is an essential factor and the eNPS is the appropriate indicator to measure it, as it allows us, among other things, to identify the relationship between motivation and performance.
What is the eNPS
The eNPS (Employee Net Promoter Score) is an indicator used in HR management to measure the level of satisfaction that employees have with their job and with the organization.
Although it is an emotional and subjective indicator, it is also powerful and useful one, highly valued by companies that not only care about the well-being of their workers but are also committed in improving engagement and productivity.
It is a direct resultant from the NPS that is commonly used in marketing and has the same function, but aimed at another audience: customers.
Both indicators were created by the consulting firm Bain, and have a high correlation between them: the higher the eNPS, the higher the NPS.
If an employee is motivated and satisfied with what he does, he will provide a better service to clients which will also have an impact on customer satisfaction.
Advantages of applying the eNPS in HR management
Calculating the level of satisfaction, motivation and loyalty that each employee has can bring numerous benefits, which are very interesting to take into consideration in order to improve productivity, as the fundamental pillars of a company are the people who are part of it. These benefits include:
- Identify areas for improvement: with the eNPS you can find out if a production process is not working as it should, even if the problem does not yet significantly affect the organization.
- Take measures proactively: as mentioned above, detecting problems early on allows organizations to make decisions before they seriously affect employees and the organization itself, allowing to save time and money.
- Real data: thanks to the anonymous nature of the surveys, the information that is extracted is honest and real, allowing it to reveal problems and situations that other methods would be less likely to, due to a possible lack of trust.
- Employees feel valued: measuring the level of satisfaction indicates that their opinion matters, making them feel valued. It is the first step in improving your satisfaction and loyalty.
- Brand value: emphasizing about the well-being of employees is a key factor that can differentiate one company from another within the vast competition that exists in the market. Turning an organization into the best place to work not only builds employee loyalty, but also attracts the best talent.
Other advantages of the eNPS are that it is easy to apply, fast, understandable for everyone and globalized: its results can be interpreted anywhere in the world, a useful aspect if you want to attract talent abroad.
How the eNPS is calculated.
The way to obtain the eNPS is very simple. You just have to answer the question “Would you recommend a friend to work for this company?”
The answers are obtained anonymously and presented through a Likert scale (from 1 to 10), where 1 is the lowest score (very unlikely) and 10 is the highest (very likely).
Depending on the score given by each employee, three different profiles can be obtained:
- Scores between 1 and 6: Detractors.
- Scores between 7 and 8: Neutral or Passive.
- Scores between 9 and 10: Promoters or Ambassadors.
The detractors are those employees who present a lack of commitment and motivation, while the promoters show loyalty and satisfaction.
Once the responses of all the members of the organization have been obtained, the eNPS is calculated by subtracting the number of promoters from the number of detractors, dividing the result by the total of the workforce and multiplying by 100.
The final result will be the number that will indicate the level of satisfaction of the employees in a global way and together, with the reference values, they allow us to know in what situation the organization is.
These values are classified as follows:
- Between -100 and -10: Very low satisfaction.
- Between -9 and 20: Low satisfaction.
- Between 21 and 40: Good satisfaction.
- More than 40: Very good satisfaction.
If you also want to obtain qualitative information, you can add other open-ended questions such as “Why would you recommend us?” or “Why wouldn’t you recommend us?”
How often do you have to carry out an eNPS study?
Measuring the eNPS should be a regular practice in your organization in order to keep a historical record of employee satisfaction levels and keep track of its evolution.
It is also used to find out if and in what way the strategic decisions made by C-level and management affect the workforce.
If measures are taken with the sole purpose of improving the well-being of employees, the eNPS makes it possible to know if they are working as expected or, on the contrary, they must be reviewed.
To avoid biased results, it is important to omit carrying out the surveys at specific moments of stress or tension and always use the same criteria. This will help to obtain reliable data.
Why use Team Insights to calculate eNPS
Obtaining the eNPS without knowing the reason or importance of this indicator is useless. Team Insights is a simple, easy to use and very powerful tool that helps you understand your team.
With its innovative T-Engine ™ technology, it is possible to know which areas are working well and which need improvement in order to make the best decisions and enhance the satisfaction, loyalty and motivation of your employees.