Employee Net Promoter Score

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Are you using NPS as a valuable employee engagement tool?

NPS has been used successfully since 2003 to measure customer loyalty, but organisations are also starting to use NPS as a measure of employee engagement and loyalty to the company. 

They do this by making a slight change to the traditional “would recommend” question to instead read:

“How likely are you to recommend company X as an employer to your friends and/or associates?”

There are two main reasons for using NPS to measure employee engagement and loyalty. 

The first is higher employee loyalty generally drives lower business costs, and the second that higher employee engagement leads to higher the customer loyalty. 

Although there been limited direct research on the direct correlation between the use of eNPS and an increase in employee and customer loyalty, businesses using the approach report a decrease in employee turnover and an improvement in KPIs with an improvement in their eNPS score.

Employee NPS: An Early Warning System for Managers

Organisations using eNPS typically use it as a transactional employee feedback tool. This allows them to identify issues and make changes quickly, before a larger problem develops.

Dr. Beatrice Hofmeyr, organisational design consultant, talks more about eNPS in this post.

If you have already implemented NPS in your business to drive customer loyalty, adding eNPS will be relatively easy and effective way to boost long term profitability.

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