Employee Engagement: What is it? Why is it important?

The direct link between commitment and performance is what defines the importance of employee engagement. That is why organizations are beginning to understand the worth of defining more human-centric corporate values. In this article, we will discover what is employee engagement and which factors have a bigger impact on the organization.

Employee Engagement Definition

It’s a common misconception to think that employee engagement is directly related to the employees’ happiness and satisfaction. This is not necessarily true, as it would be misleading to base actual employee investment on these short-term and rapidly changing measurements.

Employee engagement is a state of functioning in an organization, in which employees are motivated to contribute to the company’s success. They give their best and make additional efforts to accomplish important tasks in order to reach objectives.

It’s the base level of investment and motivation that drives employees on a daily basis. And those engaged employees will not only be more productive, but they will also stay longer in the organization and become an example for others.

What is employee engagement

What are the Types of Employee Engagement?

We can observe three main types of employees based on their level of commitment to the organization:

Actively Engaged Employees

These are the most active and passionate employees that demonstrate an emotional connection to their work. They are enthusiastic and take initiative when it comes to professional tasks. In addition, they show the most consistency in performance and contribute heavily to business objectives.

Non-Engaged Employees

They do what is asked from them and follow their job description, but they rarely venture outside of their scope. They feel indifferent about the organization and the main drives for them are personal security and remuneration.

Disengaged Employees

These employees are often pessimistic and have a negative attitude towards the organization. They show signs of absenteeism from work and do the minimum required from their job, which strongly affects the company’s overall productivity.

three type of employee engagement

According to a survey conducted by Gallup across 142 countries worldwide, only 13% of employees are engaged in their job and 24% are the disengaged employees, leaving the majority of employees being non-engaged.

To tilt the scales in your favor you need to learn what drives and motivates your employees to come to work every day and provide them the best work conditions to boost their productivity.

Why is Employee Engagement important?

According to a recent article published in the Washington Post, a group of top U.S chief executives said that maximizing shareholder profits can no longer be corporations’ primary goal.

CEOs work to generate profits and return value to shareholders, but the best-run companies do more. They put the customer first and invest in their employees and communities.

– Tricia Griffith, President and CEO of Progressive Corp.

In other words, to build long-term value, top companies are shifting to strategies that increase employee engagement and improve customer experience.

Defines company values

A clear set of values are the foundation of a strong corporate culture. Rethinking the source of your values can begin with asking a few simple questions: What gets your employees excited? Why do employees want to work at your company? It’s important to include employees’ perspective, that’s why answering these questions and measuring results every so often will allow you to keep pace with trends.

Boosts company success

Business success can be strongly affected by the level of employee engagement.  High-performing companies understand that sustainable growth comes from the dedication of their employees. Creating a workplace where people feel inspired and heard will boost their performance to drive even better results.

Enhances company reputation

Employees are the window to your company and they are the first contact with your customers. When employees are happy to work, customers will echo positivity, increasing satisfaction at all levels. Therefore, both sides will have the incentive and willingness to recommend the brand, which will build a stronger corporate reputation.

How to measure employee engagement ?

Many employee engagement statistics support the importance and relationship between engaged employees and business profitability. Employee engagement affects multiple key performance indicators, so it’s essential for each organization to measure it. By implementing the right tools and techniques, organizations increase the chances of achieving their desired outcomes.

There is no single metric or method, but if you want a better chance of improving employee engagement you can consider a combination of these below, according to your needs and resources:

Employee Engagement Yearly Surveys 
Employee Pulse-Surveys 
Focus groups 
Exit interviews 
Net Promoter Score  
Retention Rate 

Analyze the needs of your organization and define the best measurements. If you are looking for a deeper understanding, have a look at our “Measuring Employee Engagement Guide”.

Now it’s your turn. Start by defining why employee engagement is important for your company. With the right approach, you can turn your employees into a powerful tool to reach objectives and build a sustainable business.


Asya Stamenova
Brand Content Writer

Published on

February 21, 2020


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