eNPS or how to know if your employees want to work with you

The transformation of the work environment is leading companies to reevaluate what really drives their success. Now, for example, companies are more aware that having the loyalty and commitment of their workforce is crucial to reaching the top.

In this context, eNPS has become a key metric, as this indicator measures this commitment.

What is the eNPS?

The eNPS is a metric that measures employee loyalty through a single but powerful question: How likely are you to recommend us for work?

The answers to this question, collected on a scale from 0 to 10, classify employees as promoters, passives and detractors. In this way, this simple question is the basis for calculating the level of commitment and satisfaction within an organization.

What is eNPS for?

This indicator serves as a thermometer for employee loyalty and enthusiasm for the company, providing a clear and direct view of their willingness to recommend the company as a great place to work. This, in turn, reflects their level of satisfaction and commitment.

What are the benefits of calculating the eNPS?

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There are several, and they range from deep understanding the general perception of employees, to the promotion of a culture of continuous improvement. Here are four of the biggest benefits.

In-depth understanding of the work environment

The eNPS is more than a measurement tool; it's a bridge that connects management to the true perceptions and feelings of its employees. This is because, by using eNPS, companies obtain a detailed and honest view of how employees experience their daily work lives.

In addition, by analyzing the results of the eNPS, company managers can identify critical areas that need attention and use those insights to inform and guide their strategies in human resources and talent management.

Efficient and effective measurement

One of the greatest strengths of the eNPS lies in its simplicity and effectiveness. Through a single question, companies can collect significant data on the loyalty and satisfaction of their employees, thus avoiding lengthy and complex surveys that often lead to response fatigue.

This simple approach allows for fast and efficient data collection, facilitating a regular measurement of the company's pulse.

Improving employee retention

Identifying and understanding the concerns of detractors is critical for any company that wants to improve employee retention. By using the eNPS, organizations can recognize these dissatisfied employees and understand the reasons behind their discontent.

This information is invaluable for addressing specific problems and making changes that can transform detractors into promoters.

How is eNPS measured?

The measurement of the eNPS is carried out through a clear and structured methodology, which begins with a survey aimed at employees. In this survey, employees are asked if they would recommend the company as a good place to work.

The answers obtained to this question are categorized into three different groups, based on the given score:

• Promoters (scores from 9 to 10): These are those employees who are highly satisfied and loyal
• Passives (scores from 7 to 8): Satisfied but not committed enough to be considered promoters
• Detractors (scores from 0 to 6): These are dissatisfied employees and possibly disconnected from the company.

In addition, there is a simple but revealing formula for calculating eNPS: the percentage of detractors is subtracted from the percentage of promoters.

For example, if 70% of employees are promoters and 20% are detractors, the eNPS would be 50% (70% - 20%).

This result is a direct indicator of organizational health in terms of employee satisfaction and loyalty.

It's also important to consider that there are different types of eNPs, each with a particular focus:

1. Relational: Focuses on the employee's general perception of the company. This global measurement is not linked to specific events or interactions, but rather evaluates the employee's long-term relationship with the organization.
2. Transactional: Designed to obtain specific feedback on certain interactions or events within the employee's journey through the company, such as the onboarding process or performance evaluations.
3. Benchmark: Used to compare the company's performance and strategic position from a market perspective, serving as a reference point to understand how the organization compares to others in terms of employee satisfaction.

The choice between these types of eNPs will depend on the specific scope and intent of the measurement.

How to improve the measurement of the eNPS and, as a consequence, the eNPS?
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To improve the measurement of the eNPS and, consequently, the eNPS itself, companies can follow these strategic steps:

1. Detailed analysis of results: Not only should the global eNPS be considered, but also the responses of promoters, passives and detractors should be analyzed. This makes it possible to identify specific areas of improvement and success.
2. Measurement frequency adjustment: The frequency for measuring the eNPS must be adapted to the company's ability to act on the results. If changes can be implemented quickly, the frequency must be increased; if not, the measurements must be spaced out.
3. Use of qualitative methodologies: Complementing quantitative surveys with qualitative methods such as focus groups and individual interviews provides a deeper understanding of employee experiences and perceptions.
4. Involve leaders: It is essential that leaders understand the impact of eNPS on company culture and results, and commit to continuous improvement.
5. Transactional measurement in the Employee Journey: Measuring specific experiences in the employee journey, such as onboarding or training, helps identify and act on critical points.

What should I do with the eNPS data?

Data from the eNPS should be used to develop specific strategies that address areas of concern. This may include training workshops, changes in company policy, or initiatives to improve work culture.

In short, eNPS is a powerful and effective tool for measuring and improving employee satisfaction and loyalty. For this reason, its correct implementation and continuous monitoring are key to creating a positive and productive work environment, in which employees want to stay.

If you want to start measuring your eNPS or improve your work environment, contact us. At Izo, we are experts not only in improving the employee experience, but also that of end consumers. Contact us and let's start improving your Employee Experience.