I don’t think there’s any question that engaged employees are more productive. Research by the Gallup organization shows that they are also “…more profitable, more customer-focused, safer, and more likely to withstand temptations to leave. The best-performing companies know that employee engagement improvement strategy linked to achievement of corporate goals will help them win in the marketplace.”
Over the years Gallup has supported organizational efforts to improve the level of employee engagement and created some metrics that help business leaders determine their ratio of engaged vs. not engaged employees. According to Gallop, their “…engagement ratio is a macro-level indicator of an organization’s health…”
You might be interested to know that Gallup identifies that world-class organizations have a ratio of 9.57 engaged employees to every employee that is not engaged. The average organization is 1.83:1—that’s a big difference.
After more than 30 years of in-depth behavioral economic research involving more than 17 million employees, this is what the Gallup organization says about engaging employees:
“Actively disengaged employees erode an organization’s bottom line while breaking the spirits of colleagues in the process. Within the U.S. workforce, Gallup estimates this to cost more than $300 billion in lost productivity alone. In stark contrast, world-class organizations with an engagement ratio near 8:1 have built a sustainable model… As organizations move toward this benchmark, they greatly reduce the negative impact of actively disengaged employees while unleashing the organization’s potential for rapid growth.”
Read the full story:
http://www.forbes.com/sites/tykiisel/2011/12/14/improvinga-leading-indicator-of-financial-performance-employee-engagement/
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