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How to Best Measure Employee Satisfaction

Posted by Insightlink on 02/10/23

It is well established that knowing your employees’ satisfaction is important for assessing the overall productivity of your workforce. But how do you know if your employees are actually happy with their jobs? 

In this post, we'll explore some tips for figuring that out and identifying areas where your organization could improve. Keep reading to learn more!
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Photo by Celpax on Unsplash
1. Use an Employee Satisfaction Survey
One of the most common (and reliable) methods to get employee feedback is through the use of traditional employee surveys. A tried and true method for collecting feedback. They should ideally cover various topics, such as overall job satisfaction, compensation and benefits, aspects of company culture, internal communications and day-to-day operations. Surveys help you identify areas where employees are happy and where the company could improve. Done at regular intervals, they allow you to track the progress of your organization's efforts and improve satisfaction (and all its associated benefits) over time.
2. Conduct Interviews with Employees
Another option is conducting one-on-one interviews with employees. This allows managers to collect direct feedback from staff about their job fulfillment levels. While these types of one-on one interviews are not anonymous, if done with care and sensitivity they can provide insight into what factors are most important to employees. For example, some may value flexible work hours or opportunities for professional development. Others may need extra training or courses. In each scenario, listening to and acting on employees' opinions helps employers identify improvement areas where changes can be implemented to boost morale and employee retention.
3. Set KPIs
A key performance indicator (KPI) is a metric used to evaluate how well an organization or individual is performing. It can be financial or non-financial, often specific to an industry or sector.
The most important aspect of setting KPIs is ensuring they align with the organization's overall goals. For example, if an organization's goal is to increase productivity, then a KPI that measures employee satisfaction would need to be linked to productivity in some way. This demonstrates whether the organization is achieving its desired results.
4. Measure NPS
The Net Promoter Score (NPS) is another tool that can predict employee satisfaction. It works by asking employees to rate their satisfaction on a scale of 0-10 and then dividing them into three groups: detractors, passive participants, and promoters. Promoters in this case are likely to be very satisfied with their jobs and will spread positive word-of-mouth about the company. Passives are moderately satisfied and may be open to leaving for a better opportunity. Detractors are unhappy with their jobs and can damage the company's reputation with negative feedback.
How to Calculate it
The formula to calculate the NPS score is very simple:
NPS = percentage of Promoters minus percentage of Detractors
The NPS identifies areas where employees are dissatisfied and it can be used to track changes in employee satisfaction over time. It can also facilitate the comparison of employee satisfaction levels across different departments or organizations.
5. Implement a Suggestion Box
Implementing a suggestion box is a simple and fun way to get feedback in the workplace. This gives employees a confidential and anonymous way to share both their suggestions and concerns. It can provide management with valuable insight into what employees think and feel in real time outside of the annual employee survey. Suggestion boxes can be traditional physical boxes or digital boxes accessible by computer or phone. Either way, they work effectively to boost overall motivation at work.
Ideas to Improve Your Employee's Satisfaction
A company's most important asset is its human capital. Employees who are satisfied with their jobs are more likely to be productive, engaged, and loyal to the company. It should be a no-brainer, therefore, that organizations need to measure employee satisfaction and take steps to improve it. So, what are some common strategies to achieve that?
1. Regular Training
Providing professional training will not only help employees to stay up-to-date on recent developments in their field, but it will also allow them to learn new skills. Furthermore, by investing in employee training, you share the strong message that you value your employees and are committed to their development. This can help to increase employee satisfaction and loyalty, both essential elements for long-term success.
2. Offer Flexible Working Hours
Flexible hours are becoming increasingly the norm in the modern workplace. And it's no wonder why–employees who can control their own schedules are often more productive. It is proven that flexible hours can help to reduce stress levels and promote work-life balance. Plus, in today's fast-paced world, remote or hybrid working is a win-win for both employers and employees.
3. Give Job Promotions
One of the most important aspects of running a business is managing employees. This also includes promoting and evaluating them. At first, this can be challenging, as it requires finding the right balance between experience and potential. However, this strategy is also very important, as it helps to motivate them while identifying areas where they may need improvement.
4. Encourage Team Building
A strong team is essential for any successful business. Team members need to work together efficiently and effectively to meet common goals. One great way of promoting team unity and cohesion is to organize employee team-building activities. They help employees better know each other, develop trust, and build communication and problem-solving skills. The team-building activities that any organization can tailor are endless, from icebreakers to various group games.
5. Support Diversity
A diverse workplace includes employees from various backgrounds with unique experiences and perspectives. Different opinions can lead to more creative solutions and help build a more well-rounded company culture. Moreover, studies have shown that diversity leads to increased productivity and profitability. For these reasons, it is essential to support variety in the workplace. This can be done by recruiting employees from diverse backgrounds, establishing policies that promote inclusivity, and providing training on cultural competence.
Employee satisfaction is one of the most reliable indicators of how well a company is doing. By measuring it, companies can ensure they are on the right track and identify areas where they need to improve. This helps to increase overall performance and hopefully boost happiness. So how do you motivate your employees at work? Let us know in the comments section below.
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Insightlink Communications are experts in employee survey design, data collection and analysis. Since 2001 we've helped companies of all sizes measure and improve their employee satisfaction and engagement.

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