What is employee engagement?
Employee engagement refers to the connection employees feel toward the organization they work for, their team, and their everyday work. In practice, employee engagement in the workplace reflects how much employees care about and commit to the business goals.
Why is employee engagement important?
Why is employee engagement important for enterprise organizations? The answer is simple: engagement in the workplace is directly correlated to productivity, innovation, retention, and ultimately, business outcomes.
Disengagement can be lethal – with Gallup research suggesting it costs the global economy almost $8.8 trillion. In short, knowing how to measure and improve engagement in the workplace is mission-critical.
The benefits and importance of staff engagement
The benefits of effective employee engagement in the workplace extend far beyond surface-level satisfaction. Research from Gallup shows that some of the key success factors of highly engaged teams include:
- Increased productivity: Engaged employees achieve 18% higher productivity
- Higher retention: Organizations with high staff turnover who improve employee engagement see 21% less staff turnover. Those with low staff turnover to begin with see a further 51% increase
- Enhanced customer experience: High engagement drives a 10% increase in customer loyalty
- A safer environment: Organizations with engaged employees see 63% fewer safety incidents
- Lower absenteeism: Engaged teams see 78% less absenteeism.
The ROI of employee engagement
Return on experience, or ROX, is the new ROI. Find out how to calculate the value of employee experience & engagement, and what you can do to improve it.
Learn moreEmployee engagement in the workplace: what it does and doesn’t look like
Understanding differences in engagement levels drives targeted interventions. Here’s a quick comparison:
|
|
Highly engaged |
Moderately engaged |
Disengaged |
|
Attitude |
Positive, passionate, and proactive |
Generally positive but inconsistent |
Negative, apathetic, or resistant |
|
Performance |
Consistently exceeds expectations |
Meets but seldom exceeds expectations |
Underperforms, may do the minimum |
|
Connection to purpose |
Champions company mission and values |
Accepts but doesn’t champion them |
Shows little connection or alignment |
|
Initiative |
Brings new ideas, seeks growth |
Occasionally contributes |
Rarely innovates or drives change |
|
Impact on colleagues |
Energizes and uplifts teams |
Neutral influence |
Can demotivate others |
|
Retention likelihood |
Unlikely to leave – advocates for company |
Open to offers; neutral |
Actively seeking new opportunities |
Key drivers of employee engagement
The importance of staff engagement is driven by several factors. At Unily, we speak to HR and EX leaders across the globe – here are some areas they consistently focus on:
- Purpose and alignment: Employees want to understand the “why” behind their work and see how their work contributes to business results.
- Autonomy: Trusting employees to own their roles and empowering decision-making drives engagement.
- Learning and Development: Opportunities to learn, grow, and build careers are crucial, especially in large organizations.
- Recognition and feedback: Real-time recognition and continuous feedback help employees feel valued.
- Supportive leadership: Great leaders set a clear vision and are transparent with employees at all levels.
- Collaboration and inclusivity: Organizations who don’t operate in silos and encourage cross-functional collaboration increase engagement.
Watch our webinar series on The Future of Employee Engagement:
How to measure employee engagement
Measuring employee engagement meaningfully requires a blend of data, technology, and strategic intent. Here’s how enterprises can gauge employee engagement in the workplace:
- Annual engagement surveys: Wide-reaching surveys provide a holistic “pulse” on attitudes and sentiment
- Pulse surveys: Shorter, more frequent surveys capture real-time feedback and identify trends across locations, teams, and timeframes
- Exit interviews: Honest feedback at departure highlights systemic issues.
- Technology analytics: Intranets like Unily’s provide analytics and insights into how employees are interacting across digital touchpoints.
Intranet Analytics
Turn data into a strategic asset and effortlessly optimize employee experiences.
Learn more“With access to multiple analytics dashboards (both front-end and back-office) and a the GQL playground interface from Unily, we gain detailed insights into how content is consumed by our users. This analysis is instrumental.”
Yann Vialet, Digital Workplace Manager at Technip Energies
Recommended metrics to measure employee engagement
Here are some of the key metrics enterprises can keep an eye on to measure employee engagement in the workplace.
- Survey response rates and completion
- Engagement index scores
- Employee Net Promoter Score (eNPS)
- Turnover and retention metrics
- Absenteeism rates
- Training completion rates
Top tip: When running employee surveys, it’s good to guaranteeing anonymity and confidentiality to increase survey honesty. You should also close the loop – share results and resulting action plans quickly to build trust.
Best practice tips for enterprises to increase employee engagement
With over 20 years of experience supporting large and complex enterprises, we recommend the following actionable best practices to boost employee engagement in the workplace:
- Align internal comms with purpose - Regularly reinforce the organization’s mission and align people towards business goals. This includes keeping them updated with how you’re tracking against the goals. towards goals.
- Provide a personalized employee experience - By tailoring both your comms and people’s employee journeys, based on their role, location, department, and stage of lifecycle, you’ll make people feel valued as individuals. This ultimately increases their engagement levels.
- Encourage idea sharing - Forster a greater sense of collaboration and knowledge sharing. This can be difficult for enterprises with large and dispersed workforces, but by eliminating as much friction as possible, you can spark innovation.
- Prioritize wellbeing - Support the physical and mental health of employees by investing in relevant benefits and wellness programs.
- Recognize and celebrate - Implement frequent shout-outs, rewards, and collective celebrations.
- Leverage technology to break silos - Use employee experience platforms to dissolve barriers and foster easy cross-company collaboration, regardless of role or region.
Why Unily ranks first for Employee Communications and Engagement in Gartner® Critical Capabilities
Learn moreThe role of leadership in improving employee engagement
Leadership plays a pivotal role in shaping engagement outcomes. The most effective leaders set a clear vision and direction for the organization – this includes communicating enterprise goals and then painting a picture of how each individual can contribute to achieving these. This includes role-modelling company values – when people see the behaviors they’re being asked to display being showcased by leaders, it automatically drives trust and credibility.
Transparency is another key part of leadership communication. Strong leaders openly share both successes and challenges, taking employees on the journey with them. Finally, engaged leaders actively facilitate growth by investing in coaching and mentorship, as well as providing clear pathways for career advancement.
The role of technology in improving employee engagement
Digital transformation demands digital employee engagement. Modern, agile technology platforms – such as intranets – are now the backbone of the modern employee experience. Here are some of the ways they can help engagement in the workplace.
Speeding up information flows
An intranet or employee experience platform (EXP) directs employees to the right information quickly – supporting better and faster decisions.
Eliminating silos
A modern intranet encourages knowledge sharing across departments and geographies, creating unity and agility.
Delivers data-driven insights
A robust intranet should offer in-depth dashboards and analytics to reveal engagement patterns – and help your refine your employee engagement strategy.
Providing personalized experiences
Advanced EXPs tailor content, communications, and resources to each employee’s needs and role.
Supporting hybrid and remote work
Digital tools are essential for engaging dispersed workforces in real time, wherever work happens.
Top tip: Enterprises must select solutions that are scalable, have the highest layer of security, and integrate easily with critical systems. This ensures every employee, from frontline to boardroom, can engage seamlessly.
Accelerating employee engagement with technology
We partnered with Harvard Business Review Analytics Services to survey nearly 500 global executives to understand how they are using technology to accelerate employee engagement. Find out how leading enterprises are leaning into digital to get ahead.
The importance of good internal communication in improving employee engagement
Communication is the heartbeat of employee engagement in the workplace. Effective internal communication ensures:
- Every employee understands the organization’s strategy, values, and priorities.
- Information is shared transparently – no surprises, no silos.
- Employees have avenues to provide feedback, ask questions, and raise challenges.
- Achievements are celebrated and learnings are shared enterprise-wide.
When communication within an organization is clear and transparent, employees are more likely to feel aligned with the company’s mission and goals. This sense of connection creates greater motivation and commitment, both of which are essential for strong employee engagement.
One of the key roles internal communication plays in engagement is creating a shared understanding of the company’s vision, strategy, and values. When employees understand how their work contributes to the broader objectives, they are more likely to feel a sense of purpose and ownership. This alignment not only increases individual motivation but also enhances teamwork and collaboration across departments.
Timely and transparent communication is also crucial during times of change or uncertainty. At a time of unprecedented volatility, this is a non-negotiable for enterprises.
Whether it's a change in strategy because of geopolitical uncertainty, a corporate restructuring, or a new leadership team – how information is shared can either mitigate or amplify anxiety. By keeping employees informed and outlining clear next steps, leaders can ensure sharp pivots can be made by all employees when needed.
Finally, communication tools and platforms significantly influence engagement levels. A modern, user-friendly internal communication system can foster a more connected and informed workforce – crucial in hybrid or remote environments.
How to improve employee engagement
Whether it is a question of how to keep employees engaged, or how to improve employee engagement with technology, employers should ensure elevating engagement levels is a top priority.
Learn moreFuture trends in employee engagement
Looking ahead, these are the emerging trends shaping employee engagement in the workplace.
- Personalization at scale: AI-powered content that adapts to each employee’s role, needs, and location.
- Continuous listening: Always-on “listening posts” using digital platforms for real-time feedback.
- Skills marketplace: Internal gig and project marketplaces matching people to learning or new roles, driving internal mobility.
Examples of successful employee engagement
With their sights set on cultivating a sustainable energy future, Baker Hughes needed to unite its workforce of more than 50,000 employees across 80 countries, to achieve its ambitious transformation goal.
By launching a world-class employee experience platform – that would go on to be named as one of the world’s best intranets – Baker Hughes has inspired employees to be a part of its bold new era of work – one hallmarked by collaboration, productivity and connection.
Baker Hughes: Uniting a global enterprise with a world-class employee experience platform
Discover how the world's leading energy technology company, Baker Hughes, is launching a new era of work with an employee experience platform designed to unite and empower 50k mission-driven employees working across 80 countries. Take an exclusive look inside one of the world's best intranets, as recognized by Nielsen Norman Group, and find how one global enterprise is transforming communication, collaboration, and productivity with Unily.
Read The Case StudyEmployee engagement: a key enabler of high performance
Enterprises who double down on staff engagement reap multiple benefits – talent stays longer, teams are more productive, and companies move faster to capture opportunities.
Employee engagement was once it was seen as purely as HR responsibility. However, the modern working world requires deep collaboration between HR, IT, and Internal Communications.
For business leaders, the call to action is clear: equip these teams with the right strategy and the right technology. By getting these right, you can create a world-class employee experience that elevates engagement and therefore performance.
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Discover how Unily could transform employee engagement at your organization.
An experienced writer who’s worked with businesses and entrepreneurs across the globe, Nilesh has seen his words appear in everything from national newspapers to international speeches. As part of the Unily Brand and Communications Team, Nilesh is responsible for creating content to help enterprises enhance their employee experience. This includes guides, research reports, blogs, and customer stories.