We know employee loyalty matters, but here’s even more proof. In a 13-year-old Harvard Business Review article (we won’t even make you break out the microfiche to find it), Fredrick Reicheld introduced the world to the NPS (net promoter score) as THE metric you needed to know about to grow your business. Now, HR departments are using the eNPS (employee net promoter score) to see how likely their employees are to recommend their organization as a place people should want to work. Here are three reasons employee loyalty matters, and why you should pay attention to your eNPS.
Attracting and Retaining Talent
Talent acquisition and retention are really competitive. We live in a very transparent employment environment where employees can gather more information than ever before about their employer, or a potential employer. The reputation game is critical in an age of Glassdoor reviews and LinkedIn-based job searches. If you don’t treat your employees well, there are plenty of anonymous ways they can let others know to stay away. If you want the best people, you need to not only keep up appearances but exceed any previous notions about your company as a place of employment.
Company Image
The flip side of reputation is image. The more positive press you can gain, the more “best places to work” lists you can make, the better off your company image is and the more likely you are to prove how much employee loyalty matters to you. Improving your company image on a general level with standard PR is a great way to innovate employee loyalty and retain top talent.
Customer Satisfaction
Employee loyalty is linked to customer satisfaction in the simplest way: happy employees make happy customers. If your employees are loyal they will accrue institutional knowledge, be more invested in organizational goals, and be able to provide better service to your customers. If you build postitive employee relationships, they will build stronger customer relationships, which will build your business.
