Net Promoter Score (NPS) is a widely used customer loyalty and satisfaction metric that measures how likely customers are to recommend a business, product, or service to others.
NPS can also be used internally to measure employee satisfaction and engagement, often referred to as Employee Net Promoter Score (eNPS).
How eNPS works
[membership level=”1,2,3,4,8″]Instead of measuring client loyalty, eNPS gauges how likely employees are to recommend the company as a great place to work. The typical question asked is:
On a scale of 0 to 10, how likely are you to recommend [company] as a great place to work?
Employees are then categorised similarly to the traditional NPS model:
- Promoters (9-10): Highly engaged employees who love their workplace.
- Passives (7-8): Neutral employees who are satisfied but not highly engaged.
- Detractors (0-6): Unhappy employees who may be disengaged or considering leaving.
NPS Formula
The formula is the same as customer NPS: by subtracting the percentage of Detractors from the percentage of Promoters:
The result is a score ranging from -100 to +100. A higher score indicates a stronger likelihood of client referrals and satisfaction.
What is a good eNPS?
- Above 0: More promoters than detractors, a positive sign.
- Above 30: Indicates good employee satisfaction.
- Above 50: Strong employee engagement and a healthy workplace.
Why use eNPS?
- Measures team satisfaction: Provides insight into workplace engagement.
- Identifies areas for improvement: Helps address employee concerns before they escalate.
- Predicts retention and culture strength: High eNPS often correlates with strong culture and lower turnover.
- Simple and actionable: Easy to track over time and benchmark.
Best practices for implementing eNPS
- Ensure anonymity: Employees are more honest if their responses remain confidential.
- Follow up with detractors: Understand their concerns and take action.
- Engage promoters: Encourage them to help improve company culture.
- Track trends over time: Measure eNPS regularly to monitor progress.
- Combine with qualitative feedback: Ask an open-ended follow-up question like, “What could we do better?”
