Why Your Employee Net Promoter Score (eNPS) Matters

Man and woman team looking at graph on computer and discussing the results

Today, many companies are battling recruitment and retention woes, unlike anything they’ve seen in years past. The labor force is shrinking, and the Great Resignation led many professionals to leave roles as they re-evaluated their careers and what their employers brought to the table. As a result, companies need every advantage if they’re going to remain competitive.

If you’re trying to boost recruitment and retention, your Employee Net Promoter Score (eNPS) makes a big difference. If you’re wondering what an eNPS measures, why it’s important, and what you can do to boost it, here’s what you need to know.

What Is an eNPS?

An eNPS is a scoring system that helps companies assess how employees perceive the company. It specifically focuses on the likelihood that an employee would recommend their workplace to others. Along with a simple score request – asking workers to rate their willingness to recommend their workplace on a scale of one to ten – it also lets workers elaborate on the reasoning behind the score they chose.

After employees respond, the scoring system categorizes the answers, dividing them into three core groups. Those who chose a rating of nine or ten are “promoters.” Sevens and eights are “neutral,” while scores of six or less are “detractors.”

Once the responses are divided, the percentage that falls in the detractors category is subtracted from the percentage in the promoters category. You’ll get an answer between -100 and 100. That calculation is your company’s the eNPS.

Why Your eNPS Matters

Your eNPS is a reflection of how your employees view your organization. A low eNPS should be concerning. It means that the number of detractors – those who may openly criticize working for your company – is higher. Not only can this hurt recruitment, but it also means that retention is likely to remain problematic. Additionally, it could indicate productivity, work quality, or engagement issues are likely, as employees aren’t satisfied in their roles or with the company.

In contrast, when your eNPS is high, not only is it a sign that many of your workers would champion your company, but it also signals broader employee satisfaction and overall engagement. Recruitment and retention are both easier, particularly since workers are enjoying their roles and are open to actively referring or recruiting others on your behalf.

When it comes to engagement, higher levels result in better productivity and output quality. It can also be a reflection of a strong, positive culture.

How to Improve Your eNPS

If your eNPS is lower than you’d like, you need to determine why employees are dissatisfied. Read the answers they provided when explaining the score they chose as a starting point. Look for common threads and patterns within those responses, as any issue that’s presented regularly should likely become a priority.

It’s also wise to read the neutral responses. In some cases, those employees are close to becoming promoters; there’s just something missing from the equation that could tip the scale if implemented or improved.

As you find patterns, develop a plan for addressing the issues. Precisely what that involves will depend on the problems involved. However, you want to make sure that you’re strategic. Additionally, review the promoter responses to ensure that any proposed changes won’t broadly harm employee perception in that category, just as a precaution.

Then, as you implement changes, issue new eNPS regularly to gauge shifts in employee sentiment. That way, you can determine what is and isn’t working, allowing you to continuously adjust until you reach your target eNPS score.

If you’d like to learn more about managing employee satisfaction to improve recruitment and retention, the team at GSG Talent Solutions wants to hear from you. Contact us today.

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