Surveys and questionnaires are integral parts of every organization’s optimization process. This improvement could be in products, customer relationships, service delivery, etc. Many companies have experienced much improvement and have benefited from creating periodic surveys. While in most cases, surveys are created for customers, some surveys are conducted for other groups. Such is the purpose of this survey
Employee Net Promoter Score (or eNPS for short), is a survey created for employees of an organization. It helps to measure employee loyalty through a series of questions. Companies use the eNPS to evaluate how far their employees are willing to go to recommend their products.
The eNPS is based on the framework of the Net Promoter Score (NPS). The NPS measures customer loyalty, while the eNPS measures loyalty of the employee. However, both surveys are evaluated using the Promoter score. How does it work? Let’s find out.
Employee Net Promoter Score
Background of generating the Promoter Score
The Score is the goal of any Employee Net Promoter Score, it is derived from the survey questions of the eNPS. In most cases, the answers to the survey question are presented using a number scale. The number scale (usually 1-10) provides a more qualitative and effective means of answering the questions. That way, employees can rate the product and, in some way, depict their work experience.
Therefore, if the question of the eNPS is presented this, “How likely are you to recommend this product to your friends and family?” They can give their answers using numbers, with “1” being very unlikely and “10” being very likely. Some surveys may ask their responders to state their reasons for giving such an answer.
Responses in an Employee Net Promoter Score and What they mean.
Regardless of the reasons given, the eNPS score sees all responses as numbers and groups such responses into three main categories. Detractors, Passives, and Promoters. Employees who filled between 1 and 6 are classified as detractors, 7 and 8 are Passives, while 9 and 10 are Promoters. The goal of every brand is to have a higher number of Promoters than any other group.
1. The Detractors
This set of responders filled between 1-6 can be a problem for the business. Note that these individuals have done nothing wrong, they are simply unhappy with their experience of the quality of the company’s product.
Detractors will not recommend the company’s product to others. Why should they? They are not satisfied with certain things about the company and its product. In some cases, they may even recommend competitor brands to their friends or publicly tarnish the image of the company.
The success of a company starts when its employees are believers in its vision and good ambassadors of the brand. Thus, when employees of companies become detractors, such companies might be in for a bad financial year.
Therefore, companies must do all they can to have as small detractors as possible. One way to do this is by conducting periodical surveys to determine employee loyalty. The HR department must also evaluate every response and address the reasons any of their employees might become detractors. By setting time aside to attend to the needs of aggrieved employees, a company is on the path to success.
The number of detractors is a vital variable in calculating the Employee Net Promoter Score. To determine the percentage of detractors, the sum of all responses that chose between 1 and 6 is gotten and divided by the total number of responses in the survey and then multiplied by 100.
% detractors= Number of Detractor Response × 100
2. The Passives
Passives refers to individuals who filled the survey and chose 7 or 8. Their answers show that they know the product or service and recognize its value, however they are not impressed or passionate enough to tell others about it. Although it is assumed that they will not talk badly about the product, they are not willing to say anything, either positive or negative. They are neutral.
While it is a better group than the detractors, it is better to keep the number of passives as low as possible. The reason is this, passives are lukewarm employees, they have no fire in them. Companies, especially new ones, that have strong competitors need employees that believe in the brand and the product. They need people who are loyal and are ready to go up and above for the company. Passives or neutrals are not that of that breed.
However, Passives can become passionate with the application of the right effort by the employer. Employers need to view their workers in a better light, to treat them as a part of the brand, because that is exactly what they are. When the concerns and reservations of employees are considered, they are more likely to be passionate about the brand.
When calculating the Employee Net Promoter Score, the number of Passives is not considered. Experts believe that these individuals have a neutral standing about the brand, they do not affect the score. However, since the total number of responses includes passive individuals, the presence of those responses is still quite vital.
To calculate the percentage of passive responses, add up all passive responses – those who choose between 7 or 8. Divide the sum by the total number of responses and multiply the result by 100.
% Passives = Number of Passive Responses × 100
3. The Promoters
Employees who are promoters are what every brand needs. People that have sufficient knowledge of the product and are quite passionate about the brand. They are ready to go the extra mile to tell others about the product or service, convince others to become fans of the brand, and can represent the brand publicly. These employees are loyal and are of great value to the company.
Promoters are those who chose 9 or 10 in the survey, organizations with a considerable large number of promoters thrive and are pretty successful. Although these individuals have scored the company high and lofty members, they must not be neglected or taken lightly. They are valuable and any reservations or negative feelings they may have should be addressed promptly.
Determining the number of promoters in an eNPS is quite important. In fact, many companies carry out Employee Net Promoter Score to determine the number of promoters they have among their employees, hence the name. It is an important variable when calculating the Promoter Score.
To calculate the percentage of promoters in a survey, the number of responses that chose 9 or 10 is gotten. This number is divided by the total number of responses and the result is multiplied by 100.
% Promoters = Number of Promoter Responses × 100
Calculating The Employee Net Promoter Score
After collating responses for the survey, the next step is analyzing the feedback and calculating the promoter score. As said earlier, getting the Promoter Score is the main purpose for carrying out the eNPS. It goes by a generally acceptable formula; the number of promoters minus the number of detractors. The result is divided by the total number of responses and multiplied by 100 to give the Net Promoter Score.
Employee Net Promoter Score = No of Promoters – No of Detractors × 100
Total Number of Promoters
The score is usually given in the whole number, to ascertain a definite value for the Promoter Score and put the survey into proper perspective.
For Instance, in a survey for a company selling insurance policies, there were 100 responses, and the following is the breakdown.
20 Detractors who chose between 1 and 6
20 Passives who chose 7 or 8
60 Promoters who chose 9 or 10
To calculate the Employee Net Promoter score = 60 – 20 × 100
The Promoter Score calculated = 40
Employee Net Promoter Score can be calculated for companies that have several branches. If they are present in different regions, the Promoter Score can be used to evaluate the performance of each branch of the company. Comparisons can be made; deductions are drawn, and actions are to be taken.
While it is not a stated rule, it is the goal of companies to have an Employee Net Promoter Score that is above 50. Companies with a score above 50 have an excellent brand image and are filled with loyal employees who are dedicated to the success of the company.
Creating an effective Employee Net Promoter Score
One of the biggest challenges to having a successful survey is when responses are not genuine. It is quite common for responses found in an Employee Net Promoter Score to be untrue or obscuring the truth. This may be caused by many factors, intimidation, misconception of the terms, inadequate knowledge of the brand and its product, etc. To achieve an effective and genuine Promoter Score, the conditions surrounding the survey must be free of the aforementioned.
What is involved in creating an effective eNPS?
Create an Employee-friendly Work Environment
The main focus of the eNPS is the employees and if work conditions are unfavorable or below reasonable levels, it will be reflected in the survey. Employees are likely to give low ratings and will be very unlikely to tell others about the company if they feel intimidated or unwelcome at work.
There are several reasons and circumstances that can lead to a non-friendly work environment. Physical, emotional, and sexual harassment are common reasons that make workers uncomfortable. In such conditions, an employee will not in good fate recommend the company or its products to others
Technical working conditions must also be optimum for employees to be loyal. All the required structures must be in place like; good Wi-Fi, a prompt mail delivery system, an unambiguous chain of command, standard break and coffee rooms, and equipment in good working conditions. Some of these things may appear minute but are ultimately prerequisites for employee loyalty.
Employees need to feel like they are part of the company, which means their ideas are appreciated and considered. Policies should not be imposed before running it by workers.
If these steps are taken, employees are likely to prove their loyalty to their employer
A little Anonymity won’t hurt!
This survey takes different forms depending on the discretion of the company. Sometimes it may be better for the eNPS to have anonymous responses. It could serve as a safe space for those who are too intimidated to come forward and lodge their complaints. Some who feel unqualified but have practical knowledge of the product may also give their sincere suggestions.
People may be willing to respond to the surveys and state what they really think if the opportunity presents itself. That is, they are free from scrutiny and intimidation. Thus, even if they respond with low ratings on the number scale, they are free from adverse consequences.
It is not just enough to conduct the survey and get the Employee Net Promoter Score, the real work is just about to begin. Earlier it was stated that the survey may come with blank spaces where people can properly state the reason behind their choice. This feedback is carefully collated and transformed into a standard feedback document.
The management team carefully reviews the feedback, breaks it down, and turns it into action points, stating which department will be responsible for a specific action. For this process to work, no response or feedback should be ignored or downplayed, everything should be taken with utmost seriousness.
Transparency comes into play when the employer informs its employees of every step taken to address their concerns. Being transparent reflects accountability and professional courtesy, qualities that attract employee loyalty and by extension the loyalty of customers.
An undeniable trait of humans is an insatiable level of satisfaction. Also, often, preferences may change and so does taste. Employees may have newer worries and some genuine concerns which are different from those of the previous quarter.
Therefore, it is usually better to conduct periodical surveys to keep updated with the feelings and loyalty level of employees. Also, the standard must be kept both in reviewing and analyzing responses. The process of addressing the feedback must also be consistent or better than those in previous surveys.
Someone famous once said, “Energy and Consistency conquers all things.” With the right efforts applied consistently towards employee welfare, they will become passionate about the brand and show loyalty.
It is advisable to hire qualified professionals to help set up, conduct, and analyze the Employee Net Promoter Score. This tip is especially important for companies with a large workforce who lack the personnel required to handle the survey.
Qualified professionals will effectively handle the entire process and give a standard inference or recommendation based on years of practice. Companies that hire professionals have observed positive results and a happier workforce.
Benefits of the Employee Net Promoter Score
Some of the steps and processes mentioned may seem quite difficult and pointless in the first instance. To be factual people are difficult to manage and sometimes their demands are unreasonable and can put the business in jeopardy.
However, compromises are bound to be made in employer-employee relationships. The business will only progress when every party is represented, and their interests are aligned. This is the purpose the eNPS serves, to find a common ground for both parties. It is worth the time and energy expended, let us consider some benefits of the Employee Net Promoter Score.
It is crucial for Business Promotion
It is called a Promoter for a reason. Business promotion is a significant goal for any business. Therefore, it is imperative that companies take surveys that can influence promotion seriously. The eNPS shows how much promotion is going on among employees, even those who are not into marketing.
If issues raised by employees in the survey are addressed properly, the image of the brand will be improved. Ultimately, promotion is activated, and more sales are made. Therefore, the survey is as important as good old-fashioned advertising.
The eNPS helps evaluate Working Conditions
These days, the work atmosphere is under close scrutiny and watch, and the rights of workers are monitored closely, as they should be. Therefore, companies that are serious about their employee’s welfare can use the Employee Net Promoter Score to correctly ascertain working conditions. Suggestions can be made and taken into consideration.
As said earlier, it could help if the surveys are anonymous and free of needless scrutiny. Workers can thus freely pour their hearts out to their employers. In a case where the workplace is toxic and difficult to function in, the departments concerned can be called to others and the problem is trashed completely.
It fits into Fiscal Planning
One of the biggest advantages of the Employee Net Promoter Score is that it is a variable that fits into the planning of most organizations. When companies are making plans for the next year or quarter, the Score comes in handy. It is a digit, a standard measure of an abstract quantity, and a very useful tool for improving the company’s status.
The Employee Net Promoter Score is a proven inquiry to determine employee loyalty. The Promoter Score helps solve several problems and helps to understand the needs of the company’s workforce. It is easy to use and accepted as a standard metric for calculating abstract concepts.
However, it must be treated carefully and planned to execute its purpose. Steps must be taken so that responses are honest and reflect the true conditions and feelings of workers. If the right moves are made, the right results will be higher in the long run.