If you've ever wondered how engaged your employees are and what that means for your business, you're in the right place. Here, we'll dive into what employee engagement scores really tell you, how to calculate them, and why they're so important. 

What is an Employee Engagement Score?

Employee engagement scores are crucial metrics that gauge the level of employees' commitment and connection to their organization. These scores reflect how emotionally and intellectually invested employees are in their roles and the company.

An employee engagement score is typically derived from survey responses that measure various aspects of an employee's experience at work. The score helps organizations understand how engaged their workforce is, which is a vital indicator of productivity, satisfaction, and retention. High engagement scores are often correlated with positive organizational outcomes, including enhanced performance, lower turnover rates, and greater employee loyalty.

Engagement scores are usually obtained through standardized surveys that ask employees to rate their feelings and attitudes towards numerous factors such as:

  • Senior Leadership: Perception of the organization’s leadership and its ability to inspire and motivate.
  • Direct Supervisors: The quality of management and support that employees receive from their immediate supervisors.
  • Inclusion, Diversity, and Equality: Employees’ perspectives on the inclusivity and fairness of the workplace.
  • Safety and Security: How safe and secure employees feel at their workplace.
  • Goal Alignment: The degree to which employees feel their personal goals align with company objectives.
  • Job Satisfaction: Overall satisfaction with job roles and work environment.
  • Opportunities for Growth and Learning: Availability and quality of professional development and career growth opportunities.
  • Benefits and Compensation: Satisfaction with earnings, bonuses, and non-monetary benefits.
  • Recognition: Frequency and quality of recognition for employee achievements.
  • Team Collaboration: The effectiveness of teamwork and collaboration within the company.

Organizations often use statistical methods like regression analysis to delve deeper into the data, identifying which factors most strongly influence engagement. This analysis can pinpoint areas that require improvement and help strategize better engagement practices.

Why Should You Measure Employee Engagement?

Understanding the importance of measuring employee engagement is crucial for fostering a motivated and aligned workforce. Here are a few reasons why you should measure employee engagement.

1. Checks How Productive Your Employees are

Measuring engagement helps identify whether employees are optimally involved in their work.

Because highly engaged employees are more productive, often going above and beyond their basic duties.

Companies with highly engaged workforces are 17% more productive than those with disengaged staff - Gallup

If your employees' productivity seem to be declining or going in the same pace, chances are that your employees' aren't engaged and you'll need to improve that.

2. Good Engagement Improves Retention Rates

Regular measurement of engagement can signal early warnings of potential turnover, and allows organizations to implement strategies to retain top talent by addressing their concerns proactively.

If your employees are engaged, they're more likely to stay in your organization for longer periods of time.

3. Lets You Know About Your Employees' Satisfaction

Engagement metrics give insights into employee satisfaction levels through employee satisfaction surveys.

Higher satisfaction often translates into better customer interactions and enhanced service quality.

4. Facilitates Better Decision-Making

With clear data on engagement levels, leaders can make informed decisions about policy changes, cultural initiatives, and development programs tailored to boost engagement.

Check ThriveSparrow's dynamic heatmaps. These heatmaps provide a color-coded view of your employees' engagement across departments, competencies, teams, and managers. This holistic view of engagement levels allows for strategic decision-making that helps retain top talent, mitigate risks, and build a high-performing culture.

A screenshot of ThriveSparrow's dynamic heatmaps
ThriveSparrow's Heatmaps

5. Strengthens Company Culture

Engagement surveys often reflect the organization's values and practices. Measuring engagement can help reinforce a positive company culture that supports growth and innovation.

6. Encourages Transparency

Regularly measuring and discussing engagement results promotes an open culture where feedback is valued and acted upon, fostering trust and transparency within the team.

Read more: How to measure employee engagement (Key metrics and tools)

Industry Benchmarks for Engagement Scores

Benchmark scores provide a valuable perspective on how your organization's engagement levels compare with others in your industry. These benchmarks vary in methodology and scoring ranges, with T-scores and percentage-based scores being the most common in employee engagement surveys.

  • T-Scores for Clarity: T-scores standardize survey results, neutralizing question variability to offer a clear picture of how your scores rank in comparison to others. This method is effective for understanding where you stand in terms of employee engagement relative to industry norms.
  • Percentage-Based Comparisons: These benchmarks translate engagement scores into percentages, simplifying the comparison with industry averages. This approach provides a quick and straightforward way to gauge your organization's engagement performance against broader industry standards.

These benchmarking tools are crucial for identifying your standing in the competitive landscape and guiding strategies for enhancing employee engagement.

What is an Acceptable Employee Engagement Score?

High Engagement (70 - 100%): Indicates a strong commitment to the company's success. These employees are typically proactive, communicative, and enthusiastic about their work.

Moderate Engagement (30 - 69%): Reflects sufficient motivation to perform tasks, but there's room for improving commitment and addressing specific issues.

Low Engagement (0 - 29%): Signifies a lack of connection and potential risks of burnout or turnover. Urgent interventions may be necessary.

In essence, a score above 70% is generally considered good, signaling a healthy level of employee engagement. However, remember that engagement scores are indicators, not absolutes. They should be used alongside other metrics and insights for a comprehensive understanding of employee engagement in your organization.

How to Calculate Employee Engagement Score

Step 1: Design a Well-Crafted Survey

  • Focus on questions that evaluate employees' wellbeing.
  • Keep the survey concise, ideally completable within 10 minutes.
  • Utilize questions that resonate with the company's goals, culture, and values.

Step 2: Use the Likert Scale for Responses

  • Apply a Likert scale ranging from 1 (Strongly Disagree) to 5 (Strongly Agree).
  • Include neutral options to capture more accurate responses.
  • Ensure question phrasing is clear and positively oriented.

Step 3: Calculate the Score Per Employee

  • Add the points from an individual employee's responses.
  • If you have 20 questions, each worth 5 points, the maximum score is 100. For more than 20 questions, adjust the maximum score accordingly.
  • Convert the total points to a percentage.

For instance, if an employee scores 90 out of a maximum of 150 points, their engagement score would be (90/150)×100=60%.

Step 4: Calculate the Score Per Question

  • Sum the scores for each question across all employees.
  • This helps identify the strengths and weaknesses in specific areas of the organization.

Step 5: Take Action

  • Analyze the results to understand where improvements are needed.
  • Involve employees in creating actionable plans to boost engagement.

Step 6: Calculate Your Company's Average Employee Engagement Score

  • After individual and question-wise scores are computed, evaluate the engagement scores department-wise.

Example

There are 3 departments in a company whose engagement scores are as follows.

Department A's engagement score is 75%

Department B's engagement score is 65%

Department C's engagement score is 55%

To find the company's average employee engagement score, we'll add these scores and divide by the number of departments.

Average Engagement Score = (Department A Score+Department B Score+Department C Score) / Number of Departments

=(75%+65%+55%) / 3 ​

=65%

This means the company's average employee engagement score is 65%. Therefore, this company's engagement score is close to a high engagement score but may still need improvement.

Related Post: Essential tools and metrics for measuring employee engagement

Elevating Employee Engagement with ThriveSparrow

ThriveSparrow is not just an employee engagement platform; it's a comprehensive solution designed to elevate your engagement strategies. Here’s how ThriveSparrow stands out:

  • Engagement Surveys: Conduct in-depth surveys with ThriveSparrow to gauge the pulse of your organization's engagement levels.
  • Actionable Insights: The platform's analytics offer deep dives into engagement data, aiding in informed decision-making.
  • Employee Recognition with Kudos Module: A key feature for boosting morale, the Kudos module enables peer recognition, fostering a culture of appreciation.
  • Heatmaps for Engagement Visualization: ThriveSparrow’s heatmaps are a standout feature, providing a visual representation of engagement levels across different departments or teams. This helps in quickly identifying areas that need more attention and effective action planning.
A screenshot of ThriveSparrow's Heatmaps
ThriveSparrow's Heatmaps

Don't let the complexities of employee engagement leave you in the dark. Illuminate your path with ThriveSparrow's innovative heatmaps and robust engagement tools. Take the first step towards a more engaged and dynamic workforce.

Strategies for Enhancing Your Organization's Employee Engagement Score

Boost your organization's employee engagement effectively with these five key strategies, each designed to enhance workplace satisfaction and commitment.

1. Implement a Bottom-Up Approach

Start with a solid foundation by engaging employees at every level. Utilize employee surveys and polls to gather their insights and address concerns. This approach not only identifies areas needing improvement but also makes employees feel valued and integral to the organization. Remember, a workforce that shares its voice is a workforce that stays engaged and committed.

2. Foster Two-Way Communication

Transparent and open communication is critical for engagement. Ensure your employees are well-informed about organizational changes and decisions. This clarity builds trust and a sense of security, crucial for maintaining high engagement levels.

3. Promote Community Involvement

An organization thrives when it functions as a community. Foster this by organizing events or casual get-togethers that bring everyone together. Creating a sense of belonging and equality across the organization reinforces a positive work culture.

4. Reward and Recognize Efforts

Recognition is a powerful motivator. Address the common feeling of underappreciation by acknowledging and rewarding good work. Simple gestures of appreciation or formal rewards can significantly uplift morale and drive engagement.

5. Invest in Personal Development

Investing in your employees’ growth is investing in your organization’s future. Provide opportunities for training and higher education, enhancing their skills and deepening their commitment to the organization. This investment not only aids in the organization's growth but also fosters a strong sense of loyalty among employees.

Related Post: 10 proven employee engagement strategies for a thriving workplace

The Long-Term Impact of Good Engagement Scores

Begin with strengthening your internal communication strategies. Effective communication enhances trust, reduces frustration, and aligns employees with company goals. Consider the time lost in inefficient information searches; streamlining internal communication can significantly boost engagement and productivity.

Addressing these key areas in your employee engagement strategy can lead to a more motivated, committed, and productive workforce, driving your organization towards its goals.

FAQs

1. What is a Good Score for Employee Engagement?

A good score for employee engagement is generally considered to be 70% or above. Scores in this range indicate a strong commitment to the company's success, with employees who are proactive, communicative, and enthusiastic about their work.

2. How Do You Calculate Employee Engagement Score?

A good score for employee engagement is generally considered to be 70% or above. Scores in this range indicate a strong commitment to the company's success, with employees who are proactive, communicative, and enthusiastic about their work.