3 Ways to Measure Employee Loyalty
Defined as “demonstrating constant support to an institution”, company loyalty is a hard concept to measure. Humans are complex creatures who have sporadic feelings of loyalty – we’ve all be there, one day you’re in a great mood and love your company, the next is another story.
Paired with the zero hour contracts and the ever-growing gig economy means loyalty schemes can be difficult to implement, let alone measure. That doesn’t mean loyalty schemes aren’t important, they have just changed shape. Plus, measuring loyalty can help you minimise employee turnover and improve productivity. So, this begs the question, how do you measure employee loyalty?
1. Awards and Surveys
Can’t afford a third party surveyor and don’t have the time to do it yourself? No problem! There is an abundance of awards that help you measure loyalty. Admittedly, you will have to write the award submission but the questions will help you think about your employee loyalty schemes and measures.
Some awards will even conduct surveys for you! Earlier this year we applied for the Great Place to Work award. A part of that award was the Trust Index; a survey consisting of 58 statements which assess employee experience. They also provide benchmarking which helps compare your organisation’s culture against a range of profiles. Fundamentally, these surveys help you understand your employees a bit better.
If a third party surveyor cannot be used, the company must reassure participants that their responses will remain confidential and anonymous. Without this, employees won’t have confidence in the survey and it is likely to negatively affect loyalty.
2. Find your Net Promoter Score (NPS)
Ranging from -100 to +100, your net promoter score measures the willingness of employees to recommend your organisation. You ask employees how likely they would recommend your company to a friend or colleague on an 11-point scale. Your results will show you whether your employees are promoters, passives, or detractors. Net Promoter note:
- Promoters are loyal enthusiasts who will keep buying and refer others, fueling growth.
- Passives are satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
- Detractors are unhappy customers who can damage your brand and impede growth through negative word-of-mouth.
While NPS doesn’t predict loyal behaviours, it can give you a good guess on how loyal your employees are. Plus, it is only one question so finding your NPS is cheap!
3. Engagement in the Office
How committed are your employees to their work and the company? How willing is your team to go for drinks together after work? Does everyone look forward to group incentives? These are the kind of questions you could be asking yourself when it comes to trying to gauge how engaged your workforce is. Good engagement is when everyone trusts both each other and their management and appears to be working towards a shared goal. A good sense of direction, motivation and friendship is key to strong employee engagement, and the best way to assess this, believe it or not, is to just ask them! This can be either asking them in their 1:1 or in an anonymous survey.
The key to continually growing and improving as a company is to use the data and your newfound knowledge and reassess this annually or 6-monthly.
We work closely with a range of large IT, Public Sector and Engineering corporations, helping them build a loyal, dedicated and enthusiastic workforce. If you would like similar help or would just like some advice from our helpful team, simply pick up the phone and give us a call on 0117 4280600 today!