Are your employees happy?

How do you know?

Many of us are grateful to have jobs right now—but that doesn’t mean we’re happy where we are. While we might be happy that we’re employed, it doesn’t mean we’d want our friends to join us in our daily slog.

That’s why measuring your company’s eNPS score is so important. Employee net promoter score (eNPS) is a metric that assesses employees’ job satisfaction by measuring their willingness to recommend their company to others. If your employees want their friends to hop on for the ride, they’re reasonably satisfied—and if they’re telling their pals to head for the hills, you have a problem.

Let’s discuss:

• Measuring eNPS
• What your eNPS can teach you about your people
• The impact of eNPS on recruiting

How to measure eNPS

Of all the HR metrics in the world, eNPS is the easiest to measure. All you have to do is ask one question:

“On a scale of zero to ten, how likely is it that you would recommend this company as a place to work?

After employees rate their company, HR divides them into “promoters” (9-10), “passives” (7-8), and “detractors” (0-6). 

The formula for eNPS is:

[(Number of Promoters — Number of Detractors) / (Number of Respondents)] x 100

Anything between -10 and 20 is reasonable, between 10 and 30 is good, and 40 to 50 is outstanding.

How do you conduct an eNPS survey?

The eNPS system was built to encourage participation; it includes an anonymous reporting system, and should only take employees a few minutes to complete. 

To design the eNPS survey, you should: 

• Craft the eNPS survey. Including room for open-ended answers allows employees to explain the reasoning behind their ratings, thereby providing HR with valuable insiders’ information. If HR adds questions to the basic version of the survey, it’s essential to disclose the survey length to employees beforehand so they’ll address each query with thoughtfulness and care. 
• Organize the results. Filtering the data through various methods enables HR to refine the results for a thorough analysis. For example, dividing the data based on employees’ department, length of employment, or role, helps HR strategically approach issues and determine which are company-wide or relevant to specific groups.   
• Involve employees in the process. Companies usually run eNPS surveys every three to six months. This continuous process is an opportunity for employees to offer constructive feedback, collaborate with managers, and share in the collective responsibility. Employee involvement raises the level of employee engagement and loyalty.  

What eNPS means for recruiting

In the immortal words of Mean Girls’ Gretchen Weiners: “I mean, you wouldn’t buy a skirt without asking your friends first if it looks good on you!”

So maybe you can buy a skirt alone—but would you want to go into a job search cold? According to a collection of hiring statistics shared by LinkedIn:

• Referrals are the number one way recruiters find candidates
• Recruiting through employee networks expands candidate pools by 10x
• 35% of employees refer to help their friends; 32% do it to help their company; 26% do it to be seen as a valuable colleague, and only 6% do it for money and recognition 
• Employee referrals are a top source of quality hires, along with social networks and internet job boards

By building a culture so positive that it encourages employees to recruit their friends and loved ones, you’re investing in the future of your company and workforce.

How does eNPS improve company culture?

eNPS helps HR leaders monitor employee loyalty towards their company. Using the eNPS metric to increase engagement, HR can boost employee wellbeing and job satisfaction in the workplace. Improving employees’ experiences in the workplace can build a workforce of motivated, happier individuals who contribute positively to the company culture.

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