Customer service Engagement Marketing

Employee Satisfaction: Happiness Pays

“Dispirited, unmotivated, unappreciated workers cannot compete in a highly competitive world.”  It’s one of my favorite quotes from nonprofit leader Frances Hesselbein, and it’s an important reminder for all organizations.

To all those reading this blog: how many people do you know who are truly happy in their workplace?  Most of my friends in this situation are the ones who are self-employed; i.e., spared the BS of inane office politics and the incompetents in charge.  (As I’ve explained to friends & family over the years, the reason I’m happily self-employed is because I work for someone I respect.)

Why should management care about how its people feel?  The benefits of a positive workplace go beyond the warm & fuzzy directly to the bottom line.  According to the Customer Loyalty Research Center, which specializes in measuring both employee and customer satisfaction & loyalty, employees who have better relationships with their companies are more likely to:

  • Stay with the company, reducing turnover costs.  (You want sticker shock? Ask Human Resources what this really costs.)
  • Recommend the company to other potential employees, reducing search expense (which also makes HR folks happy)
  • Be more productive on the job
  • Provide higher service levels, ultimately increasing customer satisfaction & loyalty (which should make everyone happy).

What does the Customer Loyalty Research Center use to measure employee satisfaction & loyalty? They look at variables that contribute to overall job satisfaction including:

  • Relationships with managers and co-workers
  • Customer-focus
  • Organizational improvement
  • Rewards & recognition
  • Communication.

How do you tell if your organization needs to get serious about employee satisfaction?  Here’s the magic question — just ask employees “Would you refer a friend to work here?”  It’s a loaded question, but one that will give you tremendous insight into your organization.

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