Many of you in the enterprise must be sending out surveys to your employees but have you ever tried to measure Employee Net Promoter Score (eNPS) and analyze why your scores are what they are and whether it is a positive or a negative trend?
Before we go deeper into the topic, for those of you wondering what eNPS is, it is nothing but NPS but for employees. Net Promoter® Score (NPS®) was developed by Fred Reichheld, Bain & Co and Satmetrix during the 1990’s to measure customer loyalty and is built on the “ultimate” question: “How likely are you to recommend this company to a friend or relative?”. Over the years NPS has become a very popular metric and by analyzing the trend, companies could know whether they were building a loyal customer base.
Now the customer NPS applied to employees is called eNPS and is used to measure how engaged and how loyal your employees are both to your company and the products or services you offer. Highly engaged and satisfied employees results in low attrition, more productivity, new talent acquisition and ultimately more loyal customers as shown in the promoter flywheel.
Gallup’s State of the American Workplace, reports that companies in the top quartile of employee engagement have 10% higher customer ratings indicating a connection between employee engagement and customers.
Calculating the Employee Net Promoter Score
eNPS is measured based on responses to rating questions, rated on a scale of 1 to 10, like - "How likely are you to recommend this company to a friend or relative?" or "How likely are you to recommend our products (or specific product) to a friend or relative?"
The responses are first sorted into three categories
- Rating between 0 - 6: “Detractors” - Employees who are not happy and critical about your company.
- Rating between 7 - 8: “Passives” - Employees who are just hanging in there and do not care. Based on your actions they can swing either way.
- Rating between 9 - 10: “Promoters” - Employees who are extremely happy. These are your brand ambassadors.
The eNPS is then calculated as the difference between the percentage of promoters and the percentage of detractors.
eNPS = % Promoters - % Detractors
How can you measure eNPS easily and see if it is really creating brand ambassadors?
eNPS surveys can be done as a standalone or as part of other regular surveys at least once a month. The easiest way to measure employee net promoter score is to create a survey with a rating question as shown above and an open-ended question asking employees why they rated that way. The second question can provide insights into how employees are feeling and will help companies take appropriate measures to resolve these issues.
There are many survey platforms out there that can help you create these surveys and provide you the scores you need. But there are three big things these software platforms do not address:
- Mobile First - Most survey platforms are not mobile first which increases the inertia for employees to access the surveys on their desktops and answer them. Quick surveys on mobile are very effective and employees can take them wherever they are. It also helps you target employees who do not have access to computers.
- Incentives - Survey platforms do not provide any incentives for employees to take these surveys. A gift coupon or points that can be redeemed for a reward later increases the chances of employees taking these surveys.
- Measuring Brand Advocacy Actions - The eNPS gives you a metric that shows the intent of the employees. So to know if your positive scores are working, you need to see if your employees are in fact recommending your company.
The hubEngage platform addresses all these 3 issues above. As shown below, the platform not only gives you intent metrics but it actually shows you the participation (i.e. sharing activity) and the impact of that activity (referrals) as well.
The best way to increase eNPS is to engage your employees better by not only explaining your company vision, mission, values better but by giving them the tools to access information they need and to connect with people they want to especially the leadership of the company. Additionally rewarding employees and creating gamification around their activities creates an environment of both collaboration and competition resulting in higher productivity.
Check out hubEngage's employee app platform that provides comprehensive set of tools to implement an effective employee engagement and communication program.