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5 reasons why employee engagement is important

Employee engagement is more than just a buzzword in the corporate world. It's a pivotal element that can significantly impact an organization's success.

A woman works from her laptop at her kitchen table.A woman works from her laptop at her kitchen table.

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Insights from Ellen Raim, Founder of People MatterWe focus more on solving than preventing People problems.

Understanding the value of engaged employees

Employee engagement is more than just a buzzword in the corporate world. It's a pivotal element that can significantly impact an organization's success.

Engaged employees are genuinely passionate about their roles. They actively contribute to the company's goals and feel a deep connection to their place of work. This level of engagement is crucial for several reasons, which we explore below.

Learn how live learning boosts employee engagement

1. Employee engagement drives performance + productivity.

When employees are engaged, they are more likely to put in the extra effort that drives business performance.

Engaged employees are motivated to exceed expectations, leading to higher productivity levels. This increased productivity directly contributes to the company's bottom line, making employee engagement a critical factor in achieving business success.

2. Employee engagement enhances employee retention.

High levels of employee engagement are associated with lower turnover rates.

Engaged employees feel a strong bond with their organization and are less likely to leave for a competitor. This is especially important in competitive job markets, when replacing a skilled employee can be costly and time-consuming. By fostering an engaging work environment, companies can retain top talent, saving on recruitment and training costs.

3. Employee engagement improves customer satisfaction.

Engaged employees often go above and beyond in their roles, which includes how they interact with customers.

The enthusiasm and commitment of engaged employees can improve customer service, increasing customer satisfaction and loyalty. Happy customers are likelier to return and recommend your business to others, driving growth and profitability.

4. Employee engagement fosters a positive company culture.

Employee engagement is closely linked to company culture.

A culture that values and promotes engagement tends to be more positive and inclusive, creating an environment where employees feel valued and part of a team. This positive atmosphere can enhance collaboration, innovation and overall job satisfaction, further contributing to the organization's success.

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5. Employee engagement encourages innovation + creativity.

Engaged employees are likelier to contribute ideas and innovations that propel the company forward.

Their deep understanding of and commitment to the organization helps them identify opportunities for improvement and innovation. By encouraging engagement, companies can tap into a wealth of ideas, leading to new products, services or processes.

Employee engagement is essential for business success.

Employee engagement drives performance, enhances retention, improves customer satisfaction, fosters a positive culture and encourages innovation. Leaders must prioritize engagement strategies to harness these benefits and steer their organizations toward sustained success. Engaging employees is not just about making them happy — it's about unlocking their full potential to achieve remarkable results.

Engage your employees with help from Electives.

Electives is bringing live learning within your reach.

Designed for lean People teams who are frustrated with traditional corporate training, when you work with Electives, you immediately gain access to hundreds of live classes delivered by unforgettable instructors.

Electives team-building and culture-building classes are where fun meets impactful learning. Imagine sessions filled with laughter, heartfelt moments and applause that resonate beyond the screen. These classes, led by incredibly engaging instructors, turn every lesson into a memorable experience.

From exciting events and life-enriching lessons to adaptive teamwork tactics and mastering remote/hybrid connections, our team-building and culture-building classes enhance relationships and strengthen organizational culture to boost collaboration and employee retention.

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